Judgment No. 16617 of 14/06/2024: Legitimacy of the Acquiring Company in Cassation Proceedings

Judgment No. 16617 of June 14, 2024, by the Court of Cassation addresses a highly relevant issue in civil law: the legitimacy of the acquiring company to intervene in cassation proceedings in the event of the dissolution of the appellant company due to merger. This ruling not only clarifies procedural aspects but also offers food for thought on the respect for the adversarial principle, a fundamental tenet of our legal system.

Context of the Judgment

In the specific case, the Court examined the appeal filed by company F. (G. G.) against P. (C. G.), with particular attention to the legitimacy of the acquiring company to continue the litigation in place of the dissolved company. It is important to note that, for proceedings initiated up to December 31, 2022, the acquiring company must notify the other parties of its intervention to ensure respect for the adversarial principle.

Headnote of the Judgment

(JUDGE'S POWERS) - AD PROCESSUM In General. Where, during cassation proceedings, the appellant company is dissolved following a merger by acquisition, the acquiring company may intervene in the proceedings by an act which, for proceedings initiated up to December 31, 2022, must be notified to the other parties to ensure respect for the adversarial principle, mere filing of the act with the registry office not being sufficient for this purpose; the nullity arising from the omission of the aforementioned notification is however cured if the opposing parties who have appeared accept the adversarial process without raising exceptions, whereas, if not cured, it does not prejudice the further course of the legitimacy judgment, which is governed by the court's own motion.

Implications of the Judgment

The judgment offers several points for reflection:

• Respecting the Adversarial Principle: The necessity of notifying the intervention appeal underscores the importance of the adversarial principle, which must be guaranteed at every stage of the proceedings.
• Curing Nullities: The possibility of curing the nullity arising from the omission of notification, if the opposing parties accept the adversarial process, is an element that offers greater flexibility in civil proceedings.
• Cassation Procedure: The Court clarifies that the absence of a cure does not prejudice the further course of the legitimacy judgment, highlighting the court's own motion as a fundamental principle.

Conclusions

Judgment No. 16617 of 2024 represents a significant step forward in defining legitimacy in cases of merger by acquisition within the context of cassation proceedings. It reinforces the adversarial principle and clarifies procedural dynamics that can be useful for legal practitioners. It is crucial for companies and legal professionals to be aware of these provisions to avoid issues and ensure the proper management of disputes.