DIREITO GV discusses in Israel the impact of the international financial crisis

The professor of Business Law of São Paulo Law School (DIREITO GV), director and research associate of the Center for Corporate Law at Yale Law School (the John R. Raben/Sullivan & Cromwell Executive Director for the Yale Law School Center for the Study of Corporate Law), Érica Gorga, presented a paper at the conference Financial Regulation and Comparative Corporate Governance?, organized by The Cegla Center For Interdisciplinary Research of Law and held at Tel Aviv University Faculty of Law, on January 8th - 10th.Érica presented the paper The Impact of the Financial Crisis on Non-Financial Firms - The Case of Brazilian Corporations and Lessons for the Private Enforcement Debate, addressing the impact of the international financial crisis of 2008 on the Brazilian capital market. According to the study, while the financial sector was not significantly affected, traditional and important non-financial groups were quite affected.In this context, the professor analyzed the cases of Aracruz and Sadia, which suffered billions in losses from foreign exchange derivative operations. She also compares the court orders of the cases in Brazil and the United States, concluding that while minority shareholders received financial compensation in the North American country, there was no compensation for damages suffered in Brazil.The global universities that participated in the Congress included Harvard, Cambridge, Bologna, Hebrew, Toronto, Chicago, Columbia, Madrid and Bonn.