CYPRUS Law and Practice Contributed by: Kyriacos Scordis, Alexandros Gavrielides, Chara Pieri and Demetris Yiannakou, Scordis, Papapetrou & Co LLC
9.4 Enforcement Mechanisms of a Domestic Judgment A Cypriot judgment can be enforced through the fol- lowing execution measures: • writ of seizure and sale of the debtor’s movable property; • sale of the debtor’s immovable property; • charging order over bonds or corporate shares or units in trusts held by the debtor, followed by an order for the sale of such assets; • writ of attachment against third parties (including banks) which have in their possession movable or immovable property which belongs to the debtor; and • an order for examination of the debtor regarding their assets, followed by an order for the payment of the judgment debt by monthly instalments. 9.5 Enforcement of a Judgment From a Foreign Country The procedure for enforcing foreign judgments in Cyprus depends on where the foreign judgment was given. Judgments given in civil and commercial mat- ters by the courts of EU member states or the courts of Norway, Switzerland and Iceland are enforceable in Cyprus pursuant to the provisions of the Recast Brus- sels I Regulation (Regulation (EU) No 1215/2012) and the Lugano Convention on jurisdiction and the recog- nition and enforcement of judgments. Furthermore, the Republic of Cyprus is a party to a number of bilat- eral treaties for the mutual recognition and enforce- ment of judgments. Judgments originating from such countries may be recognised and enforced in Cyprus in accordance with the procedure and subject to the exceptions and qualifications stipulated in the relevant treaty. Judgments given in certain Commonwealth countries in civil matters are enforceable in Cyprus pursuant to the provisions of the Mutual Recognition of Certain Judgments of the Courts of Commonwealth Countries Law, Chapter 10. Notwithstanding Brexit, judgments given in the United Kingdom continue to be enforceable in Cyprus pursuant to the provisions of this Law. Final and conclusive judgments, for a definite sum given by a court having jurisdiction in a country other than those mentioned above, may be enforced in Cyprus by bringing an action at common law on the basis of the foreign judgment.
lar case. For example, in claims based on breach of a contract for the sale of land, or in other cases where an award for damages would not be an adequate rem- edy, an order for specific performance of the relevant contract may be granted. 9.2 Rules Regarding Damages The Cypriot courts have wide discretion to award damages and there are no legislative provisions limit- ing maximum damages. Punitive damages may only be awarded in specific cases, namely: • where there is oppressive and unconstitutional conduct by a public servant; • where the defendant aims to take advantage of the wrongful act in order to make a profit; or • where there is a specific legislative provision per- mitting the award of punitive damages. The general rule is that the aim of damages is to com- pensate the claimant for loss and damage actually suffered. The common law rules regarding causation and remoteness of damage apply. 9.3 Pre-Judgment and Post-Judgment Interest As a general rule, the interest awarded by the court begins to accrue from the date of filing of the claim unless there is an agreement between the parties regarding the payment of interest (such as a loan agreement) or the court otherwise orders. Interest continues to accrue until the final repayment of the judgment debt. Under Cyprus law the rate of legal interest is fixed by a decree of the Minister of Finance and the current rate is 5.5%. It should be noted that there are statutory provisions which regulate a par- ty’s entitlement to interest in relation to specific kinds of debt. For example, the Suppression of Payment Delays in Commercial Transactions Law provides that a party who sells goods or provides services is entitled to interest on the amounts due to them accruing from the agreed time of payment at a rate equal to the main refinancing operations interest rate published by the European Central Bank plus 8%.
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