Brunsker, a Brazilian technology company, won a crucial legal battle against Oracle and managed to annul a million-dollar charge that could have led the company to bankruptcy. The clash began after a failed acquisition attempt (M&A) by an Oracle partner, who offered only R$ 3 million for 51% of Brunsker (in the form of an investment in the operation –cash in), with Brunsker generating around R$ 600,000 in monthly revenue and experiencing growth. Faced with the refusal, Oracle took aggressive measures to pressure the company, unilaterally changing the billing method.
The strategy involved an excessive increase in the contract cost between the two companies. The monthly amount paid by Brunsker for the use of Oracle technology increased from R$ 40,000 to R$ 500,000, with no proportional financial relationship to the scope of services. Unable to bear the "adjustment," which was basically the revenue amount of Brunsker, he filed a lawsuit to prove that the increase was unenforceable. However, to make the measure even more aggressive, Oracle filed a lawsuit (by counterclaim) demanding the due dates of the upcoming installments without Brunsker having used the absurd amount of R$ 5.3 million, which considering the time, interest, and monetary corrections, could reach amounts exceeding R$ 16 million.
According to Sthefano Cruvinel, CEO of EvidJuri, to exemplify suffocation:"It would be like someone renting a house with a 36-month contract, the landlord abusively increasing the rent (from 5 thousand to 50 thousand) and also making you leave the property and paying all future installments as a penalty," explains Cruvinel.
A first judgment was unfavorable to the Brazilian company, which was ordered to pay the full increase, as well as to the growing company (Brunsker), which was notably subjected to harassment to sell, to pay the abusive increases and the future contract values.
In this scenario, EvidJuri, a national reference in evidentiary intelligence and technical audits for complex litigation, was engaged to restructure the legal-evidentiary strategy in the appellate phase and to overturn an unjust and technically flawed court decision.
With a strategic approach based on a solid technical opinion and independent auditing, EvidJuri demonstrated that the process could not proceed without a thorough evaluation by a specialist. The work brought to light hidden technical inconsistencies and documentary evidence that supported the need for a new analysis.
The resultSentence annulled, inflated charge discredited, and million-dollar debt extinguished, ensuring the continuity and return to growth of Brunsker in the market., who was once again approached by Oracle's partner (SkyOne) to acquire the portfolio, again at a low price and using privileged information.
This victory goes beyond Brunsker. It is a fundamental precedent for Brazilian companies facing unfair pressures from largeplayersinternational and who believe in Justice. Respect for contracts and free competition is essential for the technology sector, where power and money cannot override the people and families who depend on companies much smaller than Oracle. We came to re-balance this scale.", affirmed Sthefano Cruvinel, CEO of EvidJuri."