This is an issue that is of increasing concern to businesses. Lack of clarity of rights and obligations and the increasing evolution of laws and regulatory frameworks have a detrimental effect on competitiveness. The lack of confidence that the institutions will comply with existing laws raises doubts about the stability of legal relationships and uncertainties about the consequences of actions based on the applicable legal norms, i.e. it creates legal uncertainty. Piercing the corporate veil for reasons incompatible with the spirit of the law is a common phenomenon. This creates legal uncertainty and discourages entrepreneurship, as entrepreneurs develop doubts about whether they will be able to keep their personal assets in the event of business bankruptcy and the need to repay their company`s debts. To be used to resolve disputes, these tools must be accessible, impartial and effective. To this end, it is essential to provide specialized training for all lawyers and to strengthen mediation and arbitration institutions. Description of indicator: Brazil`s position in a legal certainty ranking based on the average score of 96 countries in the survey “Limited Government Powers/Restrictions on Government Powers, Regulatory and Civil Justice of the Rule of Law” conducted by the World Justice Project. Different judicial decisions in similar cases are one of the main causes of legal uncertainty. The inertia of the judiciary further aggravates this problem. The use of binding precedents and precedents represents progress both in avoiding differences in the application of standards and in speeding up court decisions.

The concept of legal certainty is recognised by the European Court of Human Rights. [1] Control and inspection must not be additional sources of legal uncertainty, otherwise they can do more harm than good. A large number of complaints, combined with the inertia of the judiciary, leads to legal uncertainty. The lack of a clear definition of the competences of the branches of the Republic, the branches of the Union, as well as the states and municipalities, is another factor contributing to this problem. The lack of a clear definition of the competences of the branches of the Republic, the Union, the States and the municipalities leads to conflicts of competence and contributes to increased legal uncertainty. This results in ever higher costs and lower investments, with negative effects on the competitiveness of the industry. Legal certainty is a principle of national and international law, which stipulates that the law must allow persons subject to it to regulate their conduct. Most European countries regard legal certainty as a fundamental quality of the legal system and a guiding requirement of the rule of law, although they have different meanings of the term. The doctrine of legitimate expectation states that “those who act in good faith on the basis of the law, as it is or appears to be, should not be disappointed in their expectations.” [5] This means that once an EU institution has induced a party to take a particular action, it cannot depart from its previous position if this would result in the loss of that party.

The Court of Justice of the European Communities has considered the doctrine of the protection of legitimate expectations in cases where breaches of the general principle of legal certainty have been alleged in numerous cases relating to agricultural policy and European Council regulations, the leading case being Mulder v. Minister van Landbouw en Visserij. [8] [7] The examination of abuse of power is another important element of the general principle of legal certainty in EU law. It clarifies that a legitimate power may not be exercised for purposes other than those for which it was delegated. In the civil law tradition, legal certainty is defined as the maximum predictability of the conduct of officials. In the common law tradition, legal certainty is often explained by the fact that citizens are able to organize their affairs in such a way as not to violate the law. In both legal traditions, legal certainty is seen as a justification for the legality of legislative and administrative measures taken by public authorities. [2] Main objective: to increase legal certainty in Brazil Macro objective: to improve Brazil`s position in the legal certainty ranking from 41st to 34th place.

The number of standards published each year in Brazil must be reduced, including infrastructure standards. Standards must be objective and the decision to publish them must be based on a cost-benefit analysis. The legal philosopher Gustav Radbruch considered legal certainty, justice and expediency as the three pillars of law. [3] Today, legal certainty is internationally recognised as an essential precondition for the rule of law. [1] According to the Organisation for Economic Co-operation and Development (OECD), the concept of the rule of law “aims above all to underline the need to create a rules-based society in the interests of legal certainty and predictability”. At the G8 Foreign Ministers` Meeting in Potsdam in 2007, the G8 committed itself to respecting the rule of law as a fundamental principle and to respecting the principle of legal certainty. [1] US law formulates the principle of legal certainty as a fair warning and the principle of nullity as vagueness. [11] The concept can be understood through English common law[1] in the recognition of this system that legal certainty requires that laws be designed in such a way that people can comply with them. Legal uncertainty forces companies to bear more legal costs and take precautions to defend themselves against the lack of clear standards.

Rising costs and uncertainty discourage investment and, as a result, undermine economic growth. The legal system must allow legislators to regulate their conduct with certainty and protect outlaws from arbitrary use of state power. Legal certainty is a prerequisite for decisions to be taken in accordance with legal rules, i.e. to be lawful. In national case-law, the concept of legal certainty may be closely linked to that of individual autonomy. The extent to which the concept of legal certainty is transposed into law varies according to national case-law. However, legal certainty often serves as a central principle for the development of legal methods by which justice is done, interpreted and applied. [1] The concept of legal certainty has been recognised by the Court of Justice of the European Union as one of the general principles of European Union law since the 1960s. [4] This is an important general principle of international and public law prior to EU law. As a general principle of EU law, this means that the law must be secure in the sense that it is clear and precise and its legal effects are foreseeable, in particular when applied to financial obligations.