On January 22, the EU Court of Justice ruled that banks can generally raise setoff defense in Swiss franc loan cases.
TSUE Verdict on Setoff Defense
On January 22, the TSUE ruled that the EU directive, as a general rule, does not oppose banks raising the defense of setoff (also potentially).
Bank Interest Rights Questioned
However, the Court questioned the bank’s right to interest in situations where the bank itself contributes to prolonging the settlement process.
Positive Reception from Legal and Banking Sectors
Both lawyers representing Swiss franc borrowers and bank representatives are satisfied with the verdict. The Polish Banking Association also praises the ruling.
