Corinthians' decision to rescind Pedro Morelli's contract was the only way for the club to return to the Movimento de Clubes Formadores, a group of Brazilian football clubs that work together to develop young players. The Palmeiras had accused Corinthians of harassment against Pedro Morelli during the management of ex-president Augusto Melo, and presented evidence to the Movimento de Clubes Formadores. The other clubs in the group analysed the request and decided to expel Corinthians.
Corinthians offered an indemnity and a division of the economic rights of Pedro Morelli to Palmeiras, but the proposal was not accepted. The Palmeiras have consistently denied the accusations and stated that they acted professionally. The club's management had attempted to reach an agreement with Corinthians, but the proposal was not accepted.
The Movimento de Clubes Formadores has now reintegrated Corinthians after the club rescinded Pedro Morelli's contract and removed his registration from the BID.