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Writer's pictureEdson Ferreira

Contract Revision: Characterization of Abuse, Effects, and Rights of the Parties




This article addresses contract revision in Brazilian law, focusing on situations where the contractual performance becomes excessively burdensome for the buyer, constituting abuse by the seller. It analyzes the legal grounds for contract revision, including constitutional and infraconstitutional provisions, as well as the jurisprudence of the Superior Court of Justice (STJ). The article examines the rights and duties of the seller and buyer, highlighting the legal effects of contract revision.


In a dynamic economic scenario, long-term contracts can become disproportionate, resulting in excessive burden for one of the parties. This article examines when and how it is possible to request contract revision in Brazil, based on legislation and STJ jurisprudence, and explores the effects of this revision for both seller and buyer.


Federal Constitution of 1988


The Federal Constitution of 1988, in its Article 5, Section XXXII, ensures consumer protection. Contract revision is a protection mechanism aimed at ensuring balance in contractual relationships.


Brazilian Civil Code


The Civil Code (Law No. 10.406/2002) provides for the possibility of contract revision in Articles 478 to 480:


  • Article 478: Allows for the termination of the contract in case of excessive burden resulting from extraordinary and unforeseeable events.

  • Article 479: Provides for the possibility for the debtor to seek a reduction of the obligation to make the performance equitable.

  • Article 480: States that termination can be avoided if the party favored by the excessive burden agrees to equitably modify the contract conditions.


Consumer Protection Code (CDC)


The Consumer Protection Code (Law No. 8.078/1990) also addresses contract revision:


  • Article 6, Section V: Establishes as a basic consumer right the modification of contract clauses that establish disproportionate performances or their revision due to supervening facts that make them excessively burdensome.


Jurisprudence of the Superior Court of Justice (STJ)


Abuse and Excessive Burden

The STJ has expressed its views in various rulings on the possibility of contract revision due to excessive burden. An example is REsp 1.280.825/SP, where the Court recognized the need to rebalance contracts that became disproportionate due to unforeseeable events.


Right to Contract Revision

In the judgment of REsp 1.386.424/RS, the STJ reaffirmed that the contract must be balanced and that the principle of the social function of the contract allows for its revision to prevent excessive harm to one of the parties.


Characterization of Abuse


Constitutive Elements

To characterize abuse and justify contract revision, it is necessary to demonstrate:


  1. Excessive Burden: The performance has become disproportionate, causing severe harm to the debtor.

  2. Extraordinary and Unforeseeable Event: The event causing the burden could not have been foreseen or avoided by the affected party.

  3. Objective Good Faith: The affected party acted in good faith and did not deliberately contribute to the situation of burden.


Procedure for Contract Revision


Judicial Request

Contract revision must be requested judicially, where the interested party must demonstrate the aforementioned elements. The judge will evaluate the request in light of contractual principles and applicable legislation.


Proof of Excessive Burden

It is essential to present documentary and expert evidence demonstrating the disproportion between the performances and the financial impact on the affected party.


Rights and Duties of the Parties


Buyer's Rights

  • Revision of Performance: The buyer can request the revision of the performance value to adjust it to new circumstances.

  • Contract Termination: In extreme cases, the buyer may seek contract termination.

Seller's Rights
  • Maintenance of the Contract: The seller can propose adjustments to maintain the contract, avoiding its termination.

  • Equity: The seller has the right to negotiate terms that maintain contractual balance without causing significant harm.


Effects of Contract Revision


Adjustment of Obligations

Contract revision can result in the reduction of performances, extension of deadlines, or other necessary adjustments to restore contractual balance.


Financial Impact

The revision can have significant financial impacts on both parties, requiring new planning and adaptation to the new contractual conditions.


Judicial Precedents

The judicial decision granting the revision can serve as a precedent for similar cases, influencing future contract interpretations.


Conclusion


Contract revision is an essential mechanism to ensure balance and fairness in contractual relationships, especially in scenarios of excessive burden. The Brazilian legal framework, through the Civil Code, Consumer Protection Code, and STJ jurisprudence, offers robust grounds for the protection of the involved parties. The diligent performance of the Judiciary is crucial to ensure that contracts continue to fulfill their social and economic function in a fair and balanced manner.

 

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