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In the case of early repayment of a loan or credit, consumers have the right to reduce their costs and apply to the bank or lender for reimbursement of the cost of the loan or credit.

This is because the consumer has the right to request a refund of a proportionate part of the costs (for example, part of the paid bank commission or insurance costs).

If you have paid off a consumer loan or credit early, including as a result of its transfer to another bank or consolidation, make sure you are not entitled to a refund of part of the costs.

Banks and loan companies often unreasonably refuse to refund these amounts to customers (contrary to the OCCP guidelines). In such situations, we help clients assert their rights. We represent clients before banks and, if necessary, before courts.  In many cases we have led to the payment of overpaid loan or credit costs.

When addressing letters to banks or lenders, we recommend referring to the judgment of the Court of Justice of the EU in Case C-383/18 (Lexitor), which states that Article 16(1) of Directive 2008/48/EC of the European Parliament and of the Council of 23 April 2008 on credit agreements for consumers and repealing Council Directive 87/102/EEC must be interpreted as meaning that the consumer’s right to a reduction in the total cost of the loan in the event of early repayment of the loan includes all costs that have been imposed on the consumer. 

Feel free to contact us.

In an article on changes in the taxation of limited partnerships, we wrote about possible transformations of this company so that the form of business carried out meets the expectations of the partners and at the same time is the most favorable tax treatment. General partnership and limited liability company deserve special attention.
Currently, the procedure for transforming companies has been simplified to a large extent – in most cases, it is no longer necessary to prepare an opinion on the transformation plan by an auditor (which not only generated large costs, but also prolonged the process of transforming the company) or to conclude a contract of the “new” company.
In order to convert a limited partnership into another commercial company, the following steps are necessary:

1) Preparation of a transformation plan
The plan of transformation is drawn up by the general partners in charge of the company’s affairs. The transformation plan should at least include a determination of the balance sheet value of the limited partnership as of a certain date prior to the submission of the transformation plan to the partners. At the same time, the transformation plan must be accompanied by a draft resolution on the transformation of the partnership, a draft agreement of the partnership into which the limited partnership intends to transform itself, and financial statements prepared as of the same date as that on which the balance sheet value of the partnership is determined.

2) Adoption of a resolution to convert the company
Shareholders must be notified twice of the intention to adopt a resolution, with the first notification being made no later than one month before the planned date of adoption of the resolution, and the second notification being made no less than two weeks after the first notification. During this period, shareholders have the right to inspect documents related to the transformation, in particular the transformation plan.
The resolution on the transformation of the company shall indicate the names of the members of the board of directors in the case of transformation into a limited liability company, or the names of the partners who will represent and manage the affairs of the company, in the case of transformation into a general partnership.
A resolution to convert a limited partnership into a limited liability company requires the consent of the limited partners representing 2/3 of the limited partnership sums and the consent of all the general partners, while a resolution to convert a limited partnership into a general partnership requires the consent of all the partners.
The resolution must be included in the minutes prepared by a notary public.

3) Submission of an application for registration of the converted company in the National Court Register
Once the resolution has been passed, the board of directors of the limited liability company or the partners representing the general partnership are required to apply to the National Court Register for an entry of the transformation and for an announcement in the Court and Commercial Gazette. The effects of the transformation take effect when the new company is entered in the register.
In light of the enacted changes to the taxation of the limited partnership, the change in the legal form of the business may prove beneficial to many entrepreneurs, while preserving the rights and obligations of the limited partnership, as well as properly regulating the scope of the partners’ liability for the partnership’s obligations.

Compulsory nature of insurance for agricultural buildings

The Law on Compulsory Insurance, the Insurance Guarantee Fund and the Polish Motor Insurers’ Bureau imposes an obligation on every farmer to conclude an insurance contract for the building that is part of the farm from fire and other fortuitous events, and the insurance obligation itself arises already from the day the building is covered with a roof.

This insurance is intended to serve farmers in case of unfortunate events. Under the insurance, the farmer is entitled to compensation for damage to agricultural buildings due to fortuitous events, such as fire, hurricane, flood, flooding or hail, for example.

Often at the stage of reporting the damage to the insurance company, it turns out that the compensation awarded does not meet the expectations of the farmer. It does not allow the full cost of reconstruction to be covered, or seems to be underestimated. It is worth knowing that the amount of compensation due may differ significantly depending on whether the reconstruction or repair of the building is planned, or whether the farmer does not intend to undertake housing, repair or renovation of damaged agricultural buildings.