Cesar Peres Dulac Müller logo


Date: February 26, 2019
Posted by: CPDMA Team

STJ allows fixing of success fees after withdrawal of the party

The 3rd Panel of the Superior Court of Justice (STJ) determined the arbitration of successful fees to lawyers even after the party withdrew from the case. According to the collegiate's understanding, the unilateral and unjustified termination of the contract with a success clause by the client constitutes abuse of the right. The Court's decision was unanimous and was based on the vote of the rapporteur, Minister Nancy Andrighi.

The matter was judged in an action originating from the Court of Justice of the State of Tocantins (TJTO). According to the file, the party signed a contract with a success clause with the lawyers. That is, he would only have to pay the fees if he won the action. After 15 years without trial, however, the client withdrew from the process and terminated the contract with the lawyers, who filed a lawsuit to claim the fees.

In the first instance, the claim was granted, but the decision was reversed in the Court of Justice. The defenders appealed to the STJ through REsp 1,724,441, on the grounds that even if the contract only provided for payment at the end of the process, in case of success, the unilateral termination modified the contractual relationship. In this way, payment would be due to the defenders.

The lawyers asked that the fees be arbitrated in 20% of the value of the case or determined by the court of origin. The rapporteur of the case, Minister Nancy Andrighi, responded to the second request, being unanimously accompanied by the 3rd Panel.

For her, “it is undeniable that the contract for the provision of legal services signed with a success clause is anchored in a true relationship of trust, to the extent that, if the risks initially assumed by the parties are linked to the final result of the judgment, there is an expectation right that the bond between them lasts until the termination of the process, which, evidently, presupposes a duty of fidelity established between the lawyer and his client”.

On February 21, the Special Court analyzed the possibility of setting fees in cases in which the party waives the action to join the tax installment program. The understanding in the collegiate, however, was in the opposite direction to that of the 3rd Panel. Due to Law 13,496/2017, the Special Court must change its position, taken by means of a repetitive appeal, which allows the payment of fees in these cases.

Source: Pedro Alves via Jota.


Recent posts

Discover the asset class - INDUSTRIAL DESIGN

In our series of posts explaining the differences between classes of intellectual assets, today we're going to look at INDUSTRIAL DESIGN. Industrial Design is the ornamental plastic form of an object - for example, the design of a product or the set of lines applied to a product, such as a print - that gives it [...]

Read more
Learn about the asset class - PATENTS

A PATENT is a title of ownership granted by the State over an unpublished invention (invention patent) or one derived from an existing one (utility model patent). The application for registration is made to the INPI, granting the holder the right to prevent third parties from manufacturing, using or offering for sale [...].

Read more
Corporate name: get to know this asset class

Continuing with our series of posts explaining the differences between the classes of intellectual assets, today we'll look at the BUSINESS NAME. Although trademarks - the nature of which has already been described in the previous post - can sometimes be confused with business names, they are distinct legal institutes. The business name identifies the company by [...]

Read more
PERSE: legislative changes in the emergency program to revive the events sector

Law No. 14,859/2024: amendment of the Perse rules for the period 2024 to 2026. The Emergency Program for the Resumption of the Events Sector - Perse was created in 2021 with a view to helping companies linked to the events sector - the activity most affected by the COVID-19 pandemic, by reducing [...]

Read more
The extent of insurance cover in floods

The rains that have hit Rio Grande do Sul in recent weeks have destroyed farms, properties and vehicles. Even if they have insurance, car or property owners should check the coverage of their policies to see if they can get compensation. Basic insurance for cars and properties does not usually cover floods. Insurance against electrical breakdown, [...]

Read more
The agreement to sell the most famous slimming drug of the moment

It was recently reported that the Brazilian company BIOMM has signed an agreement with the pharmaceutical industry BIOCON to distribute in Brazil a drug similar to Ozempic, indicated for the treatment of diabetes, but used mainly to treat obesity. However, this will only be possible because the patent holder of the drug has certainly authorized, through a [...]

Read more
linkedin Facebook pinterest youtube lol twitter Instagram facebook-blank rss-blank linkedin-blank pinterest youtube twitter Instagram