Injunction suspending Boeing–Embraer merger overruled

The motion was considered hasty and unfounded

Published in 10/12/2018 - 19:25 By Marli Moreira - São Paulo

Federal Judge Souza Ribeiro overruled the preliminary injunction temporarily suspending the process transferring Embraer to Boeing. The judge decided the citizen suit was “hasty, unfounded, with no demonstration of legal problems in the business transaction in progress.”

In his view, the negotiation is taking place “between two private companies operating in accordance with the principles of free enterprise and business freedom, with public interests not affected, and no restrictions stemming from general judicial norms, be they constitutional or legal, in such a way that any interference from the Judiciary branch is seen to be unfit.”

The judge further noted that, due to the complexity of the operation, the talks have been closely scrutinized by a number of public agencies and watchdogs, which confirms that the deal is being conducted in full compliance with both Brazilian and international law.

He also mentioned the golden share, which gives the federal government the power to veto the operation if damage or harm to public interests are detected.

Translation: Fabrício Ferreira -  Edition: Fernando Fraga / Mariana Branco

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