The ruling was issued in the wake of insolvency proceedings at the seaside location on the outskirts of Óbidos. Workers at the two restaurants were told to vacate the premises before bailiffs proceeded to change the locks.

The 60 villas which were seized following the court order represent around half the amount available for holiday rentals, for which peak season has just arrived.

The five-star Marriott, which is usually home to the national football team, us unaffected by the decision.