Facts
The joint-stock company S., B. and C. (appellants) rented various residential and commercial premises from H. Liegenschaften AG on February 28, 1993. The rental agreements were concluded for a term of 20 years and registered in the land register. On September 10, 1996, the lessor was declared bankrupt, and the property was auctioned off on May 14, 1998. Bank X. (respondent) as the mortgagee had requested the double call, as a result of which the property was awarded to it without the registered rental agreements.
The appellants remained in the premises, whereupon the respondent demanded their eviction from the Amtsgerichtspräsidium Entlebuch in summary proceedings. The High Court of the Canton of Lucerne granted the request, as the registered rental agreements had not passed to the respondent after the double call.
Considerations
The Federal Supreme Court upholds the constitutional appeal of the appellants and sets aside the High Court's decision. It states that while the double call under Art. 142 DEBA may eliminate the contractual duration of the rental agreements, it cannot fully exclude the…