Mendes overturns TRT2 decision that allowed seizure of assets of partner undergoing judicial reorganization.
According to the minister, the São Paulo court cannot disregard the application of the Bankruptcy and Judicial Reorganization Law.
With the participation of a specialist from FAS Advogados, the report analyzes the practical impacts of the decision for companies undergoing judicial reorganization, partners, and creditors, as well as its effects on the coordination between the Labor Courts and the court overseeing the reorganization or bankruptcy proceedings.
The recent decision by Justice Gilmar Mendes of the Brazilian Supreme Federal Court (STF), which overturned a ruling by the Regional Labor Court of the 2nd Region (TRT-2) that had allowed the assets of partners of a company under judicial reorganization to be reached for the payment of labor debts, reinforces the exclusive jurisdiction of the reorganization or bankruptcy court to examine requests for piercing the corporate veil in this context.
The ruling emphasizes that the Labor Courts may determine and liquidate labor claims, but enforcement must observe the universal jurisdiction of the judicial reorganization proceedings, thereby preserving the order of payment among creditors and contributing to greater legal certainty in corporate restructuring processes.
"Allowing enforcement proceedings to move forward outside the jurisdiction of the universal court risks completely disrupting the judicial reorganization system, since an isolated labor claim cannot prevail over the collective interests of all creditors involved."
Luiz Eduardo de Amaral | Partner in the FAS advogaods
