Obligation of diligence by the governing body

As a result of the trial 3-2-1-197-13, the Supreme Court of Estonia expressed its position regarding the obligation of diligence by the governing body. The duty of diligence means that a board member should be diligent and sufficiently informed in order to make decisions on behalf of the commercial partnership and not expose the latter to unreasonable risks. This position was expressed by the Estonian Supreme Court in earlier decisions, too.


Issues of a spouse’s separate property

On the basis of the trial 3-2-1-193-13, the Supreme Court of Estonia explicates that a spouse may claim for compensation in the case when s/he incurs expenses with respect of the other spouse’s separate property at the expense of her/his personal separate property. In such a case, the provisions of unjust enrichment can be applied.


Lease disputes

As a result of the trial 3-2-1-179-13, the Supreme Court of Estonia ruled that in principle the lessee may waive the obligation to transfer the asset to the lessor, but this cannot be regarded as a circumstance which precludes vindication (recovery of property from unlawful possession by another party), and will be considered as a temporary objection until the lessee’s requirement has been fulfilled by the lessor.