One-member Court of Appeals of Athens 2913/2021
Draft agreement. The draft agreement is the contract by which the parties undertake the responsibility to enter a certain agreement, according to the conditions set and subjected to the form prescribed by the law for the agreement to be concluded. It is a complete, stand-alone and independent contract, which creates the obligation to draft the final contract. Representation. For the protection of the third party’s interest and the security of transactions, in order for the declaration of intent to act in favor of and against the principal, the agent must manifestly disclose to the person to whom the declaration is addressed that the act of legal transaction shall take effect directly to the principal. If someone without a power of attorney entered into a legal transaction or contract as the agent of a third party, the relevant legal transaction shall be considered void against the principal and shall have no effect, unless the principal approves it a posteriori. A contract drawn up with persons who do not legally represent any legal person or have no representative authority, shall be void and non-binding for the said persons, unless they have approved it. Warranty. The guarantor is obliged to pay only to the extent that the principal debtor is also obliged. Therefore, the guarantor’s liability is dependent on the liability of the principal debtor.