The Bankruptcy and Judicial Reorganization Law has been in force in the country since 2005, with the purpose of preventing companies that are in a financial crisis from closing their doors, allowing the preservation of jobs, their production, the collection of taxes and interests creditors, thus maintaining its active social function.
Said Law is aimed at business companies and / or entrepreneurs, with the proper constitution and with commercial registration, and is not intended for individuals, although some Judicial decisions have recognized this right to rural producers, without them having the aforementioned constitution. corporate legal person.
Article written by Carlos Chemim for AgriBrasilis. Carlos Eduardo Chemim has a law degree from Universidade Paranaense (UNIPAR), and is a specialist in Labor Law and Labor Procedure from Universidade Anhanguera – Uniderp. He is a member of the Araúz & Advogados Associados law firm and manager of the Toledo, Paraná branch.
In recent years, we have seen a considerable increase in new Judicial Reorganization processes in all business segments, but above all in agribusiness, a situation that worsened after the economic crisis caused by the consequences brought by the Coronavirus due to restrictions on the movement of people and the free exercise of economic activity.
As a solution to their financial imbroglios, many rural producers and companies operating in the agribusiness sector are seeking the Judiciary by filing a request for Judicial Recovery, a situation that has caused great fear in the sector, especially for the parties that promote rural activity.
The fact is that private companies, trading companies, private banks, credit unions, etc., tend to be more and more discerning, generating impacts on the granting of credit, with the evaluation of guarantees that are offered, among them, the requirement by of the creditor of the destination of the rural property in question, which establishes a guarantee regarding the issuance of a rural producer certificate (CPR) or financial transactions through a rural real estate certificate (CIR), in accordance with the recently approved Agro Law (Law no. 13,986 / 2020).
As it is an asset that aims to guarantee the rural producer card and the rural real estate card, it cannot be used to guarantee or be a guarantee “of any other obligation assumed by the owner other than that to which he is linked”, according to article 10, paragraph 3, as well, it cannot be reached “by the effects of the bankruptcy decree, civil insolvency or judicial recovery of the property owner”, nor does it even belong to the public body (article 10, § 4).
On the other hand, those who seek the request for judicial recovery, see it with the salvation of its financial crisis, keeping the company in operation and with feasible perspectives of overcoming the crisis so that the economic viability of the recovery plan can be characterized, on the other hand, they will possibly have difficulties in obtaining credit for the continuity of their activities, be they rural producers or incorporated companies.
A guide for the sector is Bill No. 6,229 / 2005, already approved by the Chamber of Deputies and which is awaiting analysis by the Senate. Among the main changes is the possibility of financing in the judicial recovery phase, the application of the installment payment of federal tax debts and the presentation of the recovery plan to creditors.
Meanwhile, legal uncertainty and the concern of those who finance rural activity remain.