Tatiane Bagagí Faria
Lawyer at Marcos Martins Advogados
The 25th Chamber of Private Law of the São Paulo State Court of Justice suspended the enforcement of an injunction for the repossession of machinery belonging to a company undergoing judicial reorganization, accepting the arguments put forward by the Marcos Martins Advogados law firm, in particular the demonstration that the asset is essential for maintaining the company’s activities.
This is an interlocutory appeal filed for the purpose of overturning a lower court decision, handed down in the case of a repossession action, which granted the preliminary injunction requested by the bank in order to proceed with the repossession of the machinery that was the subject of the lease agreement.
In summary, when the appeal was filed, the reasons for reforming the decision were pointed out, especially the fact that the company was in judicial reorganization. In this sense, the alleged claim is qualified in the judicial reorganization proceedings and, under the terms of article 6 of Law 11.101/05, all actions brought against the company under reorganization must be suspended. In addition, it was shown that the machinery in question is essential to the continuity of the company’s activities and, therefore, to the preservation of the company and jobs, one of the fundamental principles of the reorganization process.
Thus, the interlocutory appeal was granted suspensive effect to prevent compliance with the injunction to repossess the machinery, until the final judgment by the Appeals Chamber.
The success obtained through the defensive thesis prevents further acts of constriction having the machinery as their object and allows the company to continue developing industrial activity in search of equalization of its debts.
