Disgorgement of unlawful profit in the null and void administrative contract
Keywords:
Lucro ilegítimo – Corrupção – Fraude – Contrato administrativo – Licitação – SançãoAbstract
The disgorgement of profit is a form of sanctioning a private party responsible for making an administrative contract null and void. Brazilian courts, based on concepts of private law, have reached the conclusion that it is also a consequence of the declaration that a contract is null and void and does not depend on the powers and procedures to apply sanctions. This viewpoint intends to assure that the private party will not benefit from the illegal act, without depending on the results of sanctioning procedures. But it uses inconsistent reasonings that conflict with other rules regarding the matter. The proper way to deal with this situation is based on sanctions that exist under Brazilian law, without reaching to concepts of private law.
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