Foreign companies and legal actions involving bidding

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sailasathay
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Joined: Wed Jan 10, 2024 3:06 am

Foreign companies and legal actions involving bidding

Post by sailasathay »

Judicial litigation for government tenders and contracts in Brazil is fully accessible to foreign companies.



SpaccaArticle 5, item XXXV, of the Constitution, which guarantees access to the Judiciary (right reiterated in article 3 of the Code of Civil Procedure), cannot be limited, considering that the premise of bidding is equal treatment between all competitors, in accordance with article 37, item XXI, of the same Magna Carta.
And Law No. 8,666/93, still in force, when establishing general rules on bidding and contracts, has several points validating the rights of foreign bidders, for example:

article 3, caput – principle of equality;
article 3, § 1, item II – prohibition of different treatment between Brazilian and foreign companies;
article 32, § 4 – permission for foreigners who do not operate in Brazil;
article 33, § 1 – permission for consortiums between Brazilian and foreign companies;
article 42 – rules for international bidding and participation by foreign companies, including guarantees of payment to the Brazilian equivalent to that of a foreigner; It is
article 55, § 2, contract jurisdiction of companies domiciled abroad.
On the other hand, Law No. 14,133/2021, the new Tenders and Contracts Law, also has several rules in the same sense in favor of foreigners, for example:

article 5, caput – principle of equality;
article 6, item XXXV – international bidding and participation of foreigners;
article 9, item II – prohibition of different treatment between Brazilian and foreign companies;
article 15 – permission for consortiums without distinction between Brazilians and foreigners;
article 52 – rules for international bidding and participation by foreign companies, including guarantees of payment to the Brazilian equivalent to that of a foreigner; It is
article 70, sole paragraph – permission WhatsApp Number List for foreigners who do not operate in Brazil; It is
article 92, § 1, contract jurisdiction of companies domiciled abroad.
Thus, considering that foreign bidders have equality with Brazilian bidders, for the administrative process, which includes the administrative appeal stage, for example, they also have equal means of control, including the judicial route.

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The Code of Civil Procedure, which in its article 17 establishes that in order to sue in court it is necessary to have interest and legitimacy (conditions that remain the same between Brazilians and foreigners, due to some offense to a material right), also has broad support for the litigation involving foreign companies in legal proceedings in Brazil, with just a few particularities:

article 75, item It is
article 83 – foreign author provides security for the payment of costs and fees of the opposing party's lawyer (a rule that has been relaxed by several judges, who have waived it in cases where there are legal representatives in Brazil, a waiver that has been occurring even in lawsuits of ordinary procedure and is almost not verified in a writ of mandamus, especially because there are no succumbing fees in this action and because the procedural costs of the stage of entitlement only to participation in the bidding are negligible).
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