An acceleration clause is a provision of the contract that allows a lender to require a borrower to repay the entire outstanding loan if certain conditions are not met. An acceleration clause describes the reasons why the lender may require repayment of loans and repayment. An acceleration clause is usually based on payment-related crime, but the number of delinquency payments may vary. Some acceleration clauses may request an immediate payment after a payment has been missed, while others may authorize two or three missed payments before requiring full payment of the loan. The sale or transfer of the property to another party may also be a factor associated with an acceleration clause. When a lender invokes an acceleration clause, the borrower must immediately pay the outstanding principal balance of the loan as well as all interest accrued prior to the lender`s request for the acceleration clause. However, the borrower is not obliged to pay the full interest that should have been paid if the loan had been repaid normally. For example, most loans allow the borrower to accelerate the loan and repay the loan in advance in a single lump sum, to avoid paying interest for the remainder of the loan term. The debtor resorted to the facility and was delayed. The debtor was then seized on an interim basis. In 2013, the bank directed counter-thieves against the respondents in order to recover the debt and declare the mortgaged assets particularly executable. The respondents then sought a warrant for the bank to accept the cancellation of the mortgage obligations, as the debt against the debtor and, therefore, against the respondents was ordered in October 2011, three years after the debtor had not paid the payments. The bank denied that the recipe was in place.
The SCA therefore found that if the bank wished to speed up the debt, it had to ask the debtor to remedy the default and that if it did not make the payment by the debtor, it had to terminate the facility and demand repayment of the total amount owed under the loan agreement. The first notification was sent when the letter was signed in accordance with Section 129, but the latter notification was not given. As the creditor decides whether or not to accelerate the debt, the prescription begins to run on individual arrears. If the choice to accelerate the debt is not exercised, the creditor can wait until all payments are due before suing the debtor. However, previous payments may be prescribed up to the date of the opening of the action, with each tranche being a separate means that arises when it matures. Contracting parties may waive their right to enforce acceleration clauses, either by entering into an explicit agreement or by bringing the doctrine of trust. The SCA found that, in cases involving standard acceleration clauses in loan contracts and contrary to the case law of the previous Statute of Limitations of 1943, the debt is “due” when the creditor chooses to terminate the loan contract and accelerate the debt. Indeed, choice is a necessary condition for the appeal to claim the full amount owed. The SCA found that the political considerations mentioned in the case law of the former Statute of Limitations, which opposed a creditor`s delay in delaying its choice, did not nullify the clear text of the existing Statute of Limitations.