Brazilian arbitration practice was influenced by three landmark events: the enactment, in 1996, of the Brazilian Arbitration Act (Federal Law No. 9.307), the adhesion, in 2002, to the New York Convention and the enactment of Constitutional Amendment No. 45, on 31 December 2004, which transferred to the Superior Court (?Superior Tribunal de Justiça?) the competence for the recognition of foreign arbitral awards previously held by the Supreme Court (?Supremo Tribunal Federal?). The Brazilian Arbitration Act gave great impulse to the use of arbitration domestically, whilst the ratification of the New York Convention introduced Brazil in the group of receptive countries and in the list of recommended places of arbitration. Nonetheless, the transfer of competence to the Superior Court triggered a new trend in local courts more favorable to arbitration and more in line with international practice. For instance, the validity of arbitration clauses signed by state-owned companies and of arbitration clauses included in contracts that were not signed by all the parties have been finally recognized.
These cases clearly illustrate this important movement towards a more comprehensive approach from Brazilian judges with respect to arbitration and their concern to provide a more stable legal environment for the development of local economy.ASA Bulletin