Newsletter June 2021

Legal Updates

The New Regime of the Injunction Procedure in Lease Matters

On 14 May, Decree-Law No. 34/2021 approved the new Leasehold Injunction Procedures Regime.

This follows Law No. 12/209, of 13 February, which prohibits and punishes harassment in the lease, proceeding with the fifth amendment to the New Urban Lease Regime, approved by Law No. 6/2006, of February 27. According to this alteration, any illegitimate behaviour by the landlord that, with the purpose of causing the tenant’s eviction, disturbs, constrains or affects his dignity will now be prohibited.

The same law also establishes the possibility for the tenant to require the landlord to take the measures within his reach to cease the production of noise outside the legally established limits, to correct deficiencies in the property, or in the common parts of the respective building, that constitute a serious risk to the health or safety of persons and property.

The objective of Decree-Law No. 34/2021 is to allow tenants to enforce their rights in a simple and effective manner. To this end, it approves the regime for the injunction procedure in matters of lease (IML) and regulates the Leasehold Injunction Service (LIS).


Portuguese Charter of Human Rights in the Digital Age

At a time when dependence on digital media is prevalent, the Portuguese legislator innovated with the creation of the Portuguese Charter of Human Rights in the Digital Age. This diploma, published on 17 May, 2021, protects rights, liberties and guarantees, being an important step towards protecting citizens on the internet.

Highlights include:

  • The right to access the digital environment, with the State being responsible for promoting the creation of a social tariff for access to internet services for customers with economic difficulties.
  • The right to privacy, recognizing that everyone has the right to communicate electronically using forms of identity protection that avoid the collection of personal data. The “right to be forgotten” is guaranteed, as the citizen has the right to have his personal data deleted, and the right to protection against abusive geolocation.
  • The right to protection against disinformation – fake news – defining it as the false/misleading narrative created to gain economic advantage or deceive the public, and which is likely to cause harm.

The growing importance of international organizations and the disruptive changes in the world of work, economy and education make this an ideal environment for the creation of this diploma, which thus seems to be attentive to current needs.


Business Updates

New Incentive to Business Standardization

Ministerial Order No. 102-A/2021, of May 14, entered into force on May 15, 2021, regulating the new incentive to business activity standardization created by Decree-Law no. 23-A/2021, of March 24.

This new incentive foresees two distinct support modalities, which depend on the date of submission of the support request:

  • If the support is requested until 31st May, 2021, the amount to be granted will be twice the minimum guaranteed remuneration (“RMMG”) – € 1,330 – and will be paid in a phased manner, over six months. There will also be a partial waiver of 50% of the employer’s Social Security contributions during the first two months of the grant;
  • If the support is requested between 31st May and 31st August, 2021, the amount granted will correspond to one RMMG – €665 – paid in one lump sum, corresponding to the three-month period.

The applications are submitted on a specific form on the IEFP website. Employers who benefited in the first quarter of 2021 from the Simplified Lay-Off support or from the extraordinary support for the progressive resumption of activity can apply.


Cost Reduction When Ore Treatment Occurs in Portugal

Decree-Law No. 30/2021, of May 7, the so-called “Mining Law”, was recently published. This law regulates the basic law on geological resources regarding mineral deposits (Law No. 54/2015, of June 22), in other words, mineral occurrences which, due to their rarity, high specific value or importance in the application in industrial processes of the substances contained therein, are of special economic interest.

In what concerns the charges due for the exploitation of mineral deposits, the new legal regime provides in article 62 for a reduction in the annual value of the necessary financial compensation. The general rule of the minimum trading benchmark of 3% of the value of the ore at the mine’s mouth may be replaced by 2% when the industrial processing of the ore takes place in Portuguese territory.

This will allow companies in the sector to reduce the mandatory costs associated with the development of their activity, and will change the previous situation, where the operating costs were negotiated with each concessionaire.