A mortgage loan exceeding the 80% financing limit provided for in Article 38 of the Banking Code (T.U.B.) is valid. Nullity and contract requalification are excluded. Court of Cassation, United Sections, No. 33719 of 16.11.2022.

With the judgment published on 16.11.2022, the United Sections of the Court of Cassation were called upon to rule on the fate of a mortgage loan granted for an amount exceeding the 80% financing limit referred to in Article 38 of the Banking Code. The jurisprudential conflict that arose concerned whether or not the contract could be deemed null as a consequence of exceeding the limit imposed by the aforementioned provision.

For further information, we recommend reading the case note prepared by attorney Anna Mappa.