STF schedules judgment on government request to change rules on court orders

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Government wants to overturn the rule of the previous administration, which set an annual ceiling for the payment of court orders. The fear of the economic team is that the effect will be a ‘snowball’ for the future, with an accumulation of values. The Federal Supreme Court scheduled for Monday (27) the judgment of a government request to regularize the payment of a stock of Union debts recognized in court sentences, the so-called precatório. The Federal Attorney General’s Office sued the Supreme Court to overturn the rule created during the Bolsonaro government that set an annual ceiling for the payment of court orders. The measure was adopted to meet the country’s public accounting targets. The AGU also requested that the payment of the amount held back in recent years be paid through extraordinary credit, which is not considered in expenses that fall within the limits set by the fiscal framework, approved this year to control public spending. The trial will be in the virtual plenary, when the votes are entered into the Court’s electronic system and there are no debates. Ministers will be able to present their votes throughout Monday. The case rapporteur is Minister Luiz Fux. Ministers interviewed by TV Globo privately assess that the majority of the Court should authorize the opening of an extraordinary credit to allow the payment of the stock of R$95 billion. Government ministers are still trying to convince the Supreme Court to allow reclassification to leave part of the court orders out of the tax framework.

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