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First sentence of a provincial court applying the “rebus sic standibus” clause

First sentence of a provincial court applying the “rebus sic standibus” clause

The Provincial Court of Cáceres was the first to issue a ruling applying the “rebus sic standibus” clause as a result of the restrictions agreed by the Government to deal with the Covid-19 pandemic. Previously, the Provincial Court of Valencia had invoked this doctrine in a car.

In this resolution, dated September 3, 2021, the court reduced by half the compensation that the tenant of a bar must pay to the owner of the premises when the first terminating the lease due to the large losses that it caused in its activity the closure of the hotel business ordered by the authorities

This ruling is pioneering and will be a boost for a multitude of freelancers and entrepreneurs who will be able to rely on the foundations of it to judicially demand the economic rebalancing of contracts that has been drastically altered by circumstances that could not be taken into account. account at the time of signing such agreements.

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