issued a report on the handover of half of the plot to the State.
The Jewish community paid final compensation to three of the six heirs in 1967; it paid the other half
of the final compensation due into the Deposits and Loans Fund in 1969. The Greek State had told the
applicant community, in December 1955, not to pay the compensation to three of the heirs, as it had
assumed their right to compensation following a Royal Decree (no. 4 of 13 May 1955), which had
extended a 1950 Law (no. 1530/1950) to Italian properties, thus transferring relevant properties of
Italian citizens to the Greek State “with no further formalities”. The Royal Decree had provided a three-
month time-limit for third parties claiming property rights to lodge an objection. In January 1966, the
Greek State lodged a request for the final compensation that was due to the government. The
Thessaloniki Multi-Member Court of First Instance set the final price in 1973, but it cannot be seen
from the applicant community’s case file whether any proceedings followed that judgment.
According to the Jewish Community of Thessaloniki, it had exercised full property rights over the plot
– including sales, leasing and construction on it – until the end of the 1970s, when the Greek State
started making various assertions about ownership. In response, the applicant community brought a
declaratory action (αναγνωριστική αγωγή) against the State on 7 February 1981, aiming to secure
recognition of its property rights. In particular, it referred to the 1920 expropriation, which, as far as
plot no. 26 was concerned, had been finalised in 1934, with the payment to the Deposits and Loans
Fund of the amount set as provisional compensation. It claimed acquisition by way of usucapio (that
is, ownership acquired by length of possession) since, between 1920 and 1955, it had been using the
property without interruption for more than 30 years – which was the minimum period required by
the law at the time for usucapio. It further asserted that the Greek government had not acquired any
property rights from the heirs of I.S.M., given that in 1955 the plot had already belonged to the Jewish
community. Moreover, the Greek government had had no right to receive any compensation, given
that it had taken no action since 1955 to assert its ownership of the plot.
The case was heard by the Thessaloniki Court of First Instance in June 1983 and in April 1999. In
December 1999, the court ruled that the Jewish Community had acquired property rights by way of
usucapio prior to the enactment of Royal Decree no. 4 of 13 May 1955, as it had occupied the plot in
question in good faith and as owner (με καλή πίστη και διάνοια κυρίου) since 1921 – that is to say for
more than 30 years. The fact that the community had acted as owner was proved by various building
work that it had carried out, by taxes paid, and by sales and leases of parts of the plot carried out after
1950.
Following an appeal by the Greek State, in July 2005 the Thessaloniki Court of Appeal confirmed that
the Jewish community had acquired property rights in respect of the plot in question by virtue of
usucapio – but only as regards a part measuring 4,588 sq. m, rather than the entire plot measuring
7,332.94 sq. m (which the first-instance court had erroneously awarded to it).
Following an appeal on points of law, the Court of Cassation reversed the appellate court’s judgment
in March 2008 on the grounds that that court had failed to examine the argument (which had not
been raised before the first-instance court) advanced by the Greek State that the 30-year usucapio
period had been interrupted in 1947 when the Greek State had appointed commissioners and that, in
order to secure its property rights over the plot in question, the applicant community ought to have
requested that those rights be recognised during the three-month time-limit provided by the Laws of
1950 and 1955. It remitted the case to the Thessaloniki Court of Appeal.
In April 2016 the Court of Appeal upheld the objection, deeming that the Jewish community ought to
have sought the recognition of its property rights over the plot within the three-month time-limit,
given that the Greek State had indicated by its appointment of commissioners its intention to
exercise its rights. It dismissed the initial declaratory action of 1981 on the grounds that the applicant
community had not claimed its property rights within the time-limit provided by the 1955 Law.
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