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On May 17, 2018, the Federal Terrestrial Transport Agency of Brazil (ANTT) enacted Resolution 5,845/2019, whereby it detailed the procedure for mediations and arbitrations between ANTT and the private parties subject to its regulation, such as the concessionaires of terrestrial transport services. The resolution authorizes both the execution of agreements with arbitration clauses and the inclusion of such clauses in existing contracts in which ANTT is a party. However, including arbitration clauses in already existing…

On May 9, 2018, Justice Nancy Andrighi of the Superior Court of Justice – STJ, the highest Brazilian court for non-constitutional matters, issued an injunction reaffirming the principle of competence-competence under articles 8, sole paragraph and 20 of Brazilian Arbitration Act, according to which the arbitration panel is the only body competent to judge the competence of the arbitral venue, if an arbitral proceeding is pending. In her decision, Justice Andrighi revoked an anti-arbitration injunction…

On June 21, 2017, the Court of Appeals of São Paulo confirmed the validity of an arbitration clause set forth in an international sales representation agreement. The dispute began when an American company decided to terminate a sales representation agreement with a Brazilian representative. The agreement was in force for 20 years. The Brazilian representative used to intermediate sales between the American company and Brazilian customers. The agreement, however, provided that any party could terminate…

On April 26 the Brazilian House of Representatives has approved a reform of the Brazilian Labor Code (“Consolidação das Leis do Trabalho”), aiming at rendering the Brazilian labor market more flexible and allowing more negotiation of rights between employers and employees. One new provision expressly allows arbitration in employment agreements, provided that (i) the monthly compensation of the employee is higher than a certain threshold (at least twice the cap on social security pensions); and…