Consórcios: The Limits of Refunds, Penalties and Monetary Adjustment When a Member Withdraws
In Brazil, the consórcio — a self-financing purchasing pool — is one of the oldest and most misunderstood instruments for accessing goods and services. It became popular as an alternative to bank credit during decades of high inflation and scarce financing, and today it moves billions of reais each year under the supervision of the Central Bank of Brazil.
Unilateral termination of shareholders’ agreements: is there a right to terminate without cause?
The growing complexity of corporate relationships, particularly in closely held corporations, has led shareholders’ agreements to assume a central role in corporate governance. However, a sensitive and recurring issue arises in business practice: is unilateral termination of a shareholders’ agreement possible?