{"id":138790,"date":"2026-04-21T13:12:01","date_gmt":"2026-04-21T13:12:01","guid":{"rendered":"https:\/\/my.legal500.com\/guides\/?post_type=comparative_guide&#038;p=138790"},"modified":"2026-04-21T13:12:01","modified_gmt":"2026-04-21T13:12:01","slug":"greece-lending-secured-finance","status":"publish","type":"comparative_guide","link":"https:\/\/my.legal500.com\/guides\/chapter\/greece-lending-secured-finance\/","title":{"rendered":"Greece: Lending &amp; Secured Finance"},"content":{"rendered":"","protected":false},"template":"","class_list":["post-138790","comparative_guide","type-comparative_guide","status-publish","hentry","guides-lending-secured-finance","jurisdictions-greece"],"acf":[],"appp":{"post_list":{"below_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Sardelas Petsa Law Firm<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2022\/03\/Sardelas-Petsa-Law-Firm-logo.jpg\"\/><\/span><\/div>"},"post_detail":{"above_title":"<div class=\"guide-author-details\"><span class=\"guide-author\">Sardelas Petsa Law Firm<\/span><span class=\"guide-author-logo\"><img src=\"https:\/\/my.legal500.com\/guides\/wp-content\/uploads\/sites\/1\/2022\/03\/Sardelas-Petsa-Law-Firm-logo.jpg\"\/><\/span><\/div>","below_title":"<span class=\"guide-intro\">This country specific Q&amp;A provides an overview of Lending &amp; Secured Finance laws and regulations applicable in Greece<\/span><div class=\"guide-content\"><div class=\"filter\">\r\n\r\n\t\t\t\t<input type=\"text\" placeholder=\"Search questions and answers...\" class=\"filter-container__search-field\">\r\n\t\t\t<\/div>\r\n\r\n\t\t\t\r\n\r\n\r\n\t\t\t<ol class=\"custom-counter\">\r\n\r\n\t\t\t\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do foreign lenders (including non-bank foreign lenders) require a licence\/regulatory approval to lend into your jurisdiction or take the benefit of security over assets located in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Foreign lenders require a license issued by the Bank of Greece or an EU passport to provide lending services in Greece. However, foreign lenders do not need to be licensed or passported in order obtain security over assets located in Greece for loans provided by them in their jurisdiction.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any laws or regulations limiting the amount of interest that can be charged by lenders?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>There are no regulations limiting the amount of the contractual interest that can be charged by banking and credit institutions. However, the default interest charged by banking and credit institutions cannot exceed 2,5% per annum above the contractual interest. For loans granted by lenders other than banking and credit institutions the contractual interest rate and the default interest rate can not exceed the reference rate defined by Bank of Greece. In addition, according to Greek law the unpaid interest may be validly compounded subject to a written agreement between the lender and the borrower and only at the end of a six-month period.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any laws or regulations relating to the disbursement of foreign currency loan proceeds into, or the repayment of principal, interest or fees in foreign currency from, your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In Greece, there are no specific restrictions on the disbursement of foreign currency loan proceeds or the repayment of principal, interest, or fees in a foreign currency. Parties are free to agree that a loan will be denominated and repaid in a foreign currency. Under the Greek Civil Code, a debtor may in principle repay in euros unless the contract requires payment in the agreed foreign currency, which is standard in practice. Foreign exchange controls have been abolished, and although temporary capital controls were imposed during the 2015 financial crisis, these were fully lifted in 2019. Transactions remain subject only to general regulatory requirements, such as anti-money laundering rules.<\/p>\n<p>&nbsp;<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can security be taken over the following types of asset:  i.\treal property (land), plant and machinery; ii.\tequipment; iii.\tinventory;  iv.\treceivables; and v.\tshares in companies incorporated in your jurisdiction.               If so, what is the procedure \u2013 and can such security be created under a foreign law governed               document?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>i. Security over real property (land) and plant may be created by mortgage (by virtue of a notarial mortgage deed) or by mortgage prenotation (by virtue of a county court decision) and perfected by registration in the public books of the competent land registry or cadastre where the land and plant are located. Prenotation of mortgage confers its beneficiary with the right of preference for obtaining a mortgage. In particular, upon the claim being adjudicated by a final court judgment, the prenotation of mortgage shall be converted into a mortgage that shall be deemed registered as from the date the prenotation of mortgage was registered.<\/p>\n<p>ii. As far as machinery and business equipment are concerned, security can be created by a non-possessory private pledge according to the provisions of Law no. 2844\/2000. The possession of the pledged assets remains with the pledgor, who may use them for the needs of his\/her business. The security is created by a private agreement between the pledgor and the pledgee which must be legalised and registered in the public books established by Law no. 2844\/2000 and kept by the competent public registry where the pledgor has its corporate seat.<\/p>\n<p>iii. Security over inventory is governed by articles 16\u201318 of Law no. 2844\/2000 (floating charge over inventory) and created by a private agreement. In order for such security to be perfected, the private agreement must be registered in the public book established by Law no. 2844\/2000 and kept by the competent public registry where the pledgor has its corporate seat.<\/p>\n<p>iv. Security over receivables is created by a private agreement and perfected by notification to the debtor of the relevant claims. In banking practice, this security is governed by the Legislative Decree dated 17.7.1923 which provides that the pledge created by the pledgor over its claims against third parties results in the assignment of the claim to the pledgee\/credit institution. This means that the pledgee is the sole beneficiary in order to satisfy its secured claim. Security over business receivables may also be created as a floating charge under the provisions of articles 11\u201315 of Law no. 2844\/2000 by a private agreement which must be notarised and registered in the public books established by Law no. 2844\/2000 and kept by the competent public registry where the pledgor has its corporate seat.<\/p>\n<p>v. Shares issued by a soci\u00e9t\u00e9 anonyme company can be pledged, unless its Articles of Association prohibit or restrict the disposal or charge of the shares. The pledge over shares issued in certificated form is created by a private agreement and perfected by physical delivery of the share certificate(s) to the pledgee. In addition, the pledge becomes effective vis-\u00e0-vis the company issuing the pledged shares as of its notification to the company and registration in the shareholders\u2019 book. Security over shares listed on the Athens Stock Exchange is created by private agreement and perfected by notification and registration to the Dematerialised Securities System, pursuant to the regulation of the Hellenic Central Securities Depositary. Subject to the agreement between the pledgor and the pledgee, the pledge may extend to new shares issued by the company and dividends or other rights and benefits, such as voting rights.<\/p>\n<p>As a general rule, security agreements are subject to the rule of lex rei sitae; i.e. the law of the place where the charged property is situated. Therefore, assets located in Greece can been charged only under Greek law.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can a company that is incorporated in your jurisdiction grant security over its future assets or for future obligations?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>A Greek company may grant security over future receivables provided that the security agreement describes the receivables sufficiently in order to be identifiable. Security over future movable or immovable assets may not be created because under Greek law the mortgagor \/ pledgor must have the ownership of the asset over which the security is created. A security may secure future obligations.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can a single security agreement be used to take security over all of a company\u2019s assets or are separate agreements required in relation to each type of asset?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Asset security by means of a general security agreement is possible.\u00a0 Nevertheless, since each type of security is governed by different rules regarding the creation and perfection of the security depending on the asset being the security\u2019s object, a separate agreement is commonly used.\u00a0 Security over real estate properties is established by a notarial deed or a court decision, while private agreements are in general necessary for securities over other types of assets.\u00a0 As far as the procedure is concerned, see our answers below regarding different types of assets and different types of security.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any notarisation or legalisation requirements in your jurisdiction? If so, what is the process for execution?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Real estate mortgages are created by virtue of a notarial deed executed by the mortgagor and the mortgagee before a notary public. Legalisation of the security agreement is necessary for the creation of a non-possessory pledge or a floating charge over equipment or machinery, and<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any security registration requirements in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Mortgage over a real estate property is perfected upon the registration of the mortgage notarial deed with the competent land registry or cadastre. In addition, securities under Law 2844\/2000 (i.e. floating charge over equipment or receivables and non-possessory pledge over equipment and machinery) must be registered with the competent public registry.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any material costs that lenders should be aware of when structuring deals (for example, stamp duty on security, notarial fees, registration costs or any other charges or duties), either at the outset or upon enforcement? If so, what are the costs and what are the approaches lenders typically take in respect of such costs (e.g. upstamping)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Mortgages, prenotation of mortgages, non-possessory pledges and floating charges are subject to registration in the public books of the competent land registry and\/or cadastre.\u00a0 Registration fees for the land registry or the cadaster office amount to 0.9% of the secured amount approximately depending also on the costs for the issuance of certificates.<\/p>\n<p>In case of mortgages, notarial fees range from 0.2% to 1% of the secured amount.\u00a0 In case of prenotation of mortgages, court fees do not exceed \u20ac300.<\/p>\n<p>Loan and credit facilities between Greek companies and banking institutions, as well as securities created in favour of a bank lender, are exempted from stamp duty.\u00a0 However, loan and credit facilities as well as relative securities concluded in Greece between a Greek company and a non-bank lender are subject to stamp duty at the rate of 2.4% on the loan amount, plus interest.<\/p>\n<p>According to article 14 of Law no. 3156\/2003, bond loans issued by Greek companies and relative security agreements are exempted from any tax or stamp duty, including the levy set by Law no. 128\/1975, while the fees for the registration of a securities agreement in the public books are fixed at \u20ac100 per registration.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can a company guarantee or secure the obligations of another group company; are there limitations in this regard, including for example corporate benefit concerns?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>According to the provisions of Law no. 4548\/2018 (the <em>\u201cSoci\u00e9t\u00e9 Anonyme Company Law\u201d<\/em>), relating to transactions between soci\u00e9t\u00e9 anonyme companies and their related parties (related-party transactions), in line with Directive (EU) 2017\/828, all transactions between companies and their related parties are deemed invalid, and no security or guarantee may be granted to any third party for the benefit of said related parties without the previous consent of the company\u2019s Board of Directors or the General Assembly of the Shareholders. However, the Soci\u00e9t\u00e9 Anonyme Company Law provides for exceptions to the above-mentioned prohibitions in certain cases, and lays down the procedure for the consent of the Board of Directors or the General Assembly required for the said related-party transaction (for example, parent companies may guarantee the borrowings of one or more 100% subsidiary(ies) and\/or any subsidiary(ies) whose shareholder structure does not include any related party).\u00a0 It should be noted that the conditions for the granting of consent for related-party transactions depend on whether the company is listed on a regulated market or not (for example, for listed companies the consent is provided on the basis of a fairness opinion by an independent auditor).\u00a0 Finally, transactions entered into in the ordinary course of business and concluded on normal market terms fall outside the scope of the above restrictions.<\/p>\n<p>As a general rule, corporate guarantees must serve the corporate purpose of the guaranteeing\/securing company.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any restrictions against providing guarantees and\/or security to support borrowings incurred for the purposes of acquiring directly or indirectly: (i) shares of the company; (ii) shares of any company which directly or indirectly owns shares in the company; or (iii) shares in a related company?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>(1) Shares of the company<\/p>\n<p>Under applicable law, that is, pursuant to the relevant provisions of article 51 of the Soci\u00e9t\u00e9 Anonyme Company Law, a company (other than a credit institution) is prohibited from making down payments, providing guarantees and\/or loans to support borrowings incurred to finance the direct or indirect acquisition of its shares by third parties, unless the following conditions are met:<\/p>\n<p>(i) The aforementioned transactions are carried out under the responsibility of the Board of Directors of the company according to market standards, in particular with respect to the interest received by the company and the guarantees it receives to secure its claims. Proper due diligence must be conducted regarding the solvency of the third party or, in the case of multilateral transactions, of each counterparty.<\/p>\n<p>(ii) The General Assembly of the Shareholders of the company provides its prior consent by an increased quorum and majority. It should be noted that the Board of Directors submits to the General Assembly a written report setting out the reasons which, in light of the company\u2019s best interests, justify the said transaction, its terms (including the price at which the third party will acquire the shares) as well as the risks that the contemplated transaction may pose to the liquidity and solvency of the company and the price. Please note that, in case the members of the Board of Directors of the issuing or the parent company are directly or indirectly contracting parties to the respective transactions, an auditor\u2019s report must also be submitted to the General Assembly.<\/p>\n<p>(iii) The total financial assistance provided to third parties (or the total secured amount), which shall appear in the balance sheet as a non-distributable reserve, does not result in a reduction of the company\u2019s own funds to an amount lower than the aggregate amount of share capital and non-distributable reserves.<\/p>\n<p>(2) Shares of any company which directly or indirectly owns shares in the company<\/p>\n<p>Pursuant to the provisions of the same article 51 of the Soci\u00e9t\u00e9 Anonyme Company Law, the restrictions mentioned under (a) above also apply to down payments, guarantees and\/or loans provided by subsidiaries for the acquisition of the parent company\u2019s shares by third parties.(3) Shares in a sister subsidiary<\/p>\n<p>(3)The Soci\u00e9t\u00e9 Anonyme Company Law does not include provisions regulating this circumstance.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Can lenders in a syndicate (or, with respect to private credit deals, lenders in a club) appoint a trustee or agent to (i) hold security on the lenders\u2019s behalf, (ii) enforce the lenders\u2019 rights under the loan documentation and (iii) apply any enforcement proceeds to the claims of all lenders in the syndicate?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In Greece, the role of the agent\/trustee is recognised only by the bond loan legal framework, under which any security granted by the borrower is granted in the name of the bondholders\u2019 agent, for the benefit of the bondholders.\u00a0 The bondholders\u2019 agent is responsible for enforcing loan documentation and collateral securities and applying the proceeds from the collateral to the claims of all the lenders <em>pro rata<\/em>, unless otherwise agreed. Furthermore, article 73 \u00a7 3 of the Soci\u00e9t\u00e9 Anonyme Company Law provides that in case a bond loan is governed by foreign law, collateral security and guarantees are granted in the name of the person who, under the law governing the bond loan, may hold securities and guarantees on his\/her account on behalf of the bondholders.\u00a0 The registration shall be made in the name of the agent, with an explicit indication that the guarantee is granted to secure debts from a bond loan.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">If your jurisdiction does not recognise the role of an agent or trustee, are there any other ways to achieve the same effect and avoid individual lenders having to enforce their security separately?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Since Greek law only recognises the notion of a bondholders\u2019 agent, an alternative mechanism to achieve such an effect is a contractual agreement between the lenders of a syndicated credit facility (intercreditors\u2019 agreement) providing that the collateral security is granted in the name of the security trustee, who is also a joint and several creditor with the other secured lenders.\u00a0 However, lenders are not protected in case of insolvency proceedings of the security agent.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do the courts in your jurisdiction generally give effect to the choice of other laws (in particular, English law) to govern the terms of any agreement entered into by a company incorporated in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, in general Greek courts give effect to the choice of other laws to govern the terms of any agreement entered into by a Greek company on the condition that the terms of the agreement do not set aside the application of Greek law mandatory rules.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Do the courts in your jurisdiction generally enforce the judgments of courts in other jurisdictions (in particular, English and US courts) and is your country a member of The Convention on the Recognition and Enforcement of Foreign Arbitral Awards (i.e. the New York Arbitration Convention)?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under applicable law, that is, pursuant to the provisions of (a) the relevant EU Regulations (e.g. Regulation EU 1215\/2012 \u201con jurisdiction and the recognition and enforcement of judgments in civil and commercial matters\u201d and Regulation EC 805\/2004 \u201ccreating a European Enforcement Order for uncontested claims\u201d), (b) bilateral international conventions, and (c) the relevant articles of the Code of Civil Procedure, whichever applies in each case, it can be concluded that although in principle Greek courts will recognise and enforce a foreign judgment without re-examination of the case, such recognition and enforcement may be denied if any of the following applies: (a) the foreign judgment is not an enforceable title or <em>res judicata<\/em> according to the law of the foreign country where the judgment was issued; (b) it is issued by a foreign court not having jurisdiction as per Greek law; (c) the defendant was deprived of its rights to a fair trial; (d) the foreign judgment is irreconcilable with an earlier Greek judgment, which is <em>res judicata<\/em> and involves the same cause of action between the same parties; or (e) it violates Greek public order.<\/p>\n<p>Under applicable law, that is, pursuant to the provisions of (a) the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, and (b) the relevant articles of the Code of Civil Procedure, whichever applies in each case, it can be concluded that, in principle, Greek courts will recognise and enforce an arbitral award without re-examination of the case, subject to certain limitations, including, e.g., that the award has become binding on the parties, that it does not violate Greek public order, that the party against whom the award is invoked was able to present his case before the appointed arbitral authority, etc.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What (briefly) is the insolvency process in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>A company may be declared insolvent by virtue of a court decision issued following an application by the company, or any of its creditors, or the public prosecutor if the company is proved to be unable to pay its debts (cessation of payments) and the value of its assets is not sufficient for the satisfaction of its liabilities. Cessation of payments is\u00a0presumed if the debtor does not pay in due time, for at least a 6 months period, at least the 40% of its total due debts towards the Greek State, Social Security organizations or credit or financial institutions, which must exceed the amount of \u20ac30,000. In case the above conditions are met, the company is obliged to request the court to be declare insolvent within 30 days from the occurrence of the cessation of payments. \u00a0The court decision by virtue the company is declared insolvent appoints an insolvency administrator who is responsible for the liquidation of the company\u2019s assets (through public auction) and the satisfaction of the company\u2019s creditors. Under certain circumstances, the insolvency administrator may sell the company as a whole going concern business.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What impact does the insolvency process have on the ability of a lender to enforce its rights as a secured party over the security?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In the case a company is declared insolvent, its secured creditors (i.e. creditors whose claims are secured by special privilege or real security on a specific asset of the company\u2019s insolvency estate) may pursue satisfaction of their claims by the liquidation of the specific secured asset and by the whole insolvency estate in case the special privilege or real security proves to be insufficient for the complete satisfaction of their claims.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Please comment on transactions voidable upon insolvency.<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Under Greek Bankruptcy Code, all the transactions carried out by the debtor during the so-called \u201csuspect period\u201d (i.e. the period beginning from the date that the insolvent debtor discontinued its payments until the declaration of insolvency by the court) are subject to clawback upon request of the insolvency administrator or a creditor, and thus rescinded and made null and void. In addition, certain types of transactions, that is (a) donations or other transactions in which the consideration received by the insolvent person or entity from its counterparty are disproportionately small in relation to its own obligations, (b) payments of non-outstanding debt, (c) non-cash payments of outstanding debts, or (d) establishment of in rem securities (including the prenotation of mortgage) or provision of guarantees, for pre-existing obligations, if carried out during a period of six months preceding the \u201csuspect period\u201d, are subject to clawback, upon request of the insolvency administrator or a creditor.<\/p>\n<p>Please note that the legal consequences of the clawback are that transactions in question are null and void and are rescinded. Further, transactions involving the insolvent debtor and entered into during a period of five (5) years preceding the declaration of insolvency are subject to clawback if the insolvent person has acted intentionally to damage its creditors or discriminate against some of them and the counterparty was aware of the insolvent person\u2019s intention.<\/p>\n<p>It should also be noted that security agreements established by virtue of the provisions of Law no. 3301\/2004 on financial collateral agreements are, in principle, not subject to the clawback provisions of the above-mentioned law and generally remain unaffected by the bankruptcy proceedings.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Is set off recognised on insolvency?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Yes, if the right of set off existed before the declaration of insolvency.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any statutory or third party interests (such as retention of title) that may take priority over a secured lender\u2019s security in the event of an insolvency?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Statutory and third-party interests provided before the declaration of insolvency remain valid.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Are there any impending reforms in your jurisdiction which will make lending into your jurisdiction easier or harder for foreign lenders?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Currently no<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">What proportion of the lending provided to companies consists of traditional bank debt versus alternative credit providers (including credit funds) and\/or capital markets, and do you see any trends emerging in your jurisdiction?<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>In addition to traditional bank lending, during the last year companies listed on the Athens Stock Exchange Market begun to raise capital through the issuance of corporate bonds (securities), including Green Bonds and the placement of the securities through public offering to the investing public in Greece.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\t\t\t\t\t<li class=\"question-block filter-container__element\">\r\n\t\t\t\t\t\t<h3 class=\"filter-container__match-html\">Please comment on external factors causing changes to the drafting of secured lending documentation and the structuring of such deals such as new law, regulation or other political factors<\/h3>\r\n\t\t\t\t\t\t<button id=\"show-me\">+<\/button>\r\n\t\t\t\t\t\t<div class=\"question_answer filter-container__match-html\" style=\"display:none;\"><p>Eligible borrowers take advantage of the Recovery and Resilience Facility, funded by the NextGenerationEU fund of the European Union and the respective banking co \u2013 financing which support eligible investments with advantageous terms especially the interest rate.<\/p>\n<\/div>\r\n\r\n\r\n\t\t\t\t\t<\/li>\r\n\r\n\t\t\t\t\r\n<div class=\"word-count-hidden\" style=\"display:none;\">Estimated word count: <span class=\"word-count\">3840<\/span><\/div>\r\n\r\n\t\t\t<\/ol>\r\n\r\n<script type=\"text\/javascript\" src=\"\/wp-content\/themes\/twentyseventeen\/src\/jquery\/components\/filter-guides.js\" async><\/script><\/div>"}},"_links":{"self":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide\/138790","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/comparative_guide"}],"about":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/types\/comparative_guide"}],"wp:attachment":[{"href":"https:\/\/my.legal500.com\/guides\/wp-json\/wp\/v2\/media?parent=138790"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}