Brazilian Court Overturns Bank Sentence in Consumer Insurance Case

The 1st Civil Chamber of the Tribunal de Justiça de Santa Catarina (TJ‑SC) annulled a lower‑court judgment against a bank for ruling beyond the issues raised by the plaintiff. The case involved an elderly woman who claimed she was enrolled in an insurance contract through a facial‑biometric process she did not authorize, leading her to seek double restitution of deducted amounts and increased moral damages. The first‑instance court had found a defect of consent and ordered the bank to refund the deductions and pay R$10,000 in damages. On appeal, the appellate judge, Silvio Franco, declared the decision extra petita, stating the original complaint only questioned the existence of the contract, not its validity, and therefore reversed the ruling.

The bank maintained that the contract was valid, having been concluded electronically via biometric authentication. The appellate court’s decision underscores the requirement that courts limit their analysis to the matters expressly presented in the initial petition.