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Covid-19 | The Court of Appeals of Paraíba suspended a state law which guaranteed discount on school fees during the pandemic
In a decision issued on 6/8/2020, Judge Maria das Graças Morais Guedes, of the Court of Appeals of Paraíba, granted an injunction to suspend the effectiveness of the state law 11.694/20, which regulates the provisional renegotiation of educational consumption contracts due to the lack of presential classes caused by the pandemic in the state of Paraíba.
The action was proposed by the Trade Union of Educational Institutions of the State of Paraíba, under the argument that the law is unconstitutional due to an initiative defect, since the matter related to contracts and, therefore, to Civil Law, is of the Union’s exclusive competence.
When granting the injunction, the magistrate pointed out that the State law has immediate application, which generates concrete effects on educational institutions, which will be obliged to grant discounts, which “can cause breaks, financial wear and unviability in the normal conduct of service provision”, and that “few educational institutions have the financial support to face the tax rebates, being sure that the majority will resort to financing, a circumstance that will generate evident losses.”
The full text of the decision in Portuguese can be accessed here.
