Brazil’s STJ Frames Franchising Agreements as “Adhesion Contracts” and Admits Prima Facie Pathological Clauses as Exception to the Competence-Competence Principle
On 15 September 2016, the Superior Justice Tribunal (“STJ” for its Brazilian acronym) of Brazil, in the case “Odontologia Noroeste LTDA v. GOU – Grupo Odontologico Unificado Franchising LTDA (REsp. N° 1.602.076 – SP)”, affirmed the invalidity of an arbitration clause contained in a franchising agreement based on its pathology for not complying with…