Recognition of Foreign Judgments in Brazil

If you’ve recently won a legal judgment or arbitral award in the United States or another country, that decision will not be automatically valid in Brazil. For example, if you’re investing in real estate and you win a dispute abroad regarding property investments here, you still need to go through the local courts so that your ruling can be enforced. This process, often referred to as Brazil arbitration homologation, ensures that any foreign judgment or arbitration award is formally recognized by the Brazilian legal system.

In Brazil, the recognition and validation of foreign decisions—whether they come from a court or an arbitration panel—are decided by the STJ (Superior Tribunal de Justiça). This court is the second highest in the country and holds the authority to review foreign judgments.

Keep reading to learn more. Need a local partner to read this content in Portuguese? Leia aqui a versão em português: Homologação de Sentença Estrangeira no Brasil.

Why Enforcing Foreign Judgments is Essential for Buying in Brazil

You may want to enforce a foreign judgment in Brazil to guarantee that your legal ruling from abroad is upheld within the country. This applies to many scenarios—ranging from buying in Brazil and safeguarding your real estate portfolio to securing damages from a civil lawsuit. Here are some examples of decisions abroad that must be recognized by the STJ before they can have legal effect in Brazil:

• If you got a divorce decision from a court in the United States and move to Brazil, you may need to recognize and enforce that judgment here before you can remarry.
• If you win a civil lawsuit abroad against a company based in Brazil, you will need to have the judgment validated by the STJ before you can collect your money award against the Brazilian company.
• Arbitral decisions are also reviewed by the STJ before they can be enforced in Brazil—an essential step for those seeking legal services to handle Brazilian property or other assets in disputes.

These rules apply no matter the subject matter—whether it’s real estate market disputes, commercial claims, or other forms of litigation. In some cases, validating a U.S. judgment for legal effect requires brazil arbitration homologation.

Enforce Arbitration Decision in Brazil? We Can Help You

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What Constitutes a Valid Judgment in Brazil?

In order for a foreign judgment to be officially recognized by the Brazilian legal system, it needs to meet each of the following requirements:

A. Foreign Forum Requirements for Property Investments

1. Compliance with the foreign forum rules The judgment must have complied with all the laws and formalities of the foreign country. If it involves properties or Brazilian property purchased abroad, for example, make sure the decision was issued in accordance with that country’s legal procedures.

2. Judgment Rendered by an Authority with Jurisdiction The judgment must originate from a legal body with the authority to deliver such judgments. This is what’s meant by the term “jurisdiction.” Brazilian courts won’t conduct their own tests to determine whether the foreign authorities have jurisdiction; they’ll defer to the rules of the country in question.

3. Service Requirement Brazilian courts also want to make sure that the defeated party received proper service of process. That way, the courts can be sure that the legal issue was resolved fairly and that neither side’s rights were violated in the process of carrying it out.

4. Proof of conclusion A Brazilian judge will also likely want to see proof that the judgment has been finalized. If it’s an ongoing legal matter (or one in the process of being appealed), it may not yet qualify for validation in Brazil.

B. Requirements related to the Brazilian forum

1. Apostille Documents from abroad are not automatically accepted in Brazil. The Brazilian authority will require all documents to be apostilled to ensure they are legitimate. Apostilles are provided by authorities such as the Ministry of Foreign Relations in Europe, or the Department/Secretary of State in the U.S.

2. Sworn translation Sworn translation is a translation provided by translators who have been approved in public examinations in Brazil. Only Brazilian translators located in Brazil are qualified to provide this type of translation.

3. No Conflicts with Brazilian Principles Finally, the foreign judgment in question can’t violate Brazillian principles such as:

a. National sovereignty: decisions that would confront or circumvent national interests would not survive.

b. Public order: this term encompasses the social values applicable at the time of the decision. Poligamic marriage decisions, for instance, would not be recognized by the Brazilian courts under the “public order” principle.

c. Good morals: also related to the “public order” but more oriented to moral values. Decisions mandating the payment of gambling debt incurred abroad by Brazilians would be fulminated under such a principle.

Remember, brazil arbitration homologation involves strict adherence to both foreign and Brazilian legal protocols.

Enforce Arbitration Decision in Brazil? We Can Help You

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Recognition of Foreign Judgments in Brazil – Common Questions

1. Is the recognition of a judgment the same as enforcement?

No, there is a difference between having a legal judgment recognized in Brazil and enforced in the country. Recognition is the first step in having a foreign legal ruling applied in Brazil. You need to file a request for foreign judgment with the STJ. Once the case has officially been recognized, you can move forward with enforcement. Enforcement can then follow. Once recognition has occurred, any new legal filings in Brazil for the same case can be dismissed outright.

For example, if someone in Brazil owes you money through a legal ruling in the United States, you may apply to have the case recognized. Then, once that happens, the court can move forward with enforcement. And if the other party tries to file their own claims in Brazilian courts related to the issue, it can be dismissed immediately.

2. Do arbitration procedures and decisions also need recognition?

Yes. Arbitral decisions are not automatically binding in Brazil. They must be submitted to the STJ for review and recognition. Once recognized, the arbitral award is enforceable, often involving legal advice or legal services to handle the paperwork.

3. What does homologation means?

Homologation is the technical name used in Brazil to refer to the recognition of a foreign decision. Homologation is also known as the domestication of foreign decisions. Different legal systems have different vocabularies, thus the multiple terms addressing the same legal concepts.

4. Is any connection to Brazil required to apply for the homologation of a foreign judgment in Brazil?

You don’t need a connection to Brazil to recognize or enforce a foreign judgment. If the legal judgment meets all the listed requirements, Brazilian authorities will validate it without any further steps.

This is particularly useful for individuals or companies involved in property investments or even if it’s about real estate market matters who may not reside in the country but need to enforce a foreign judgment related to Brazilian property.

It is essential to understand that successful enforcement hinges on effective brazil arbitration homologation.

Oliveira Lawyers Can Help You Navigate the Validation of Foreign Decisions in Brazil

Whether you’re seeking to enforce a civil court ruling or an arbitral decision related to property investments, building a real estate portfolio, or general buying in Brazil, it’s important to handle the process correctly.

Brazil’s natural beauty and a thriving real estate market attract many investors. However, they often need legal services to finalize foreign judgments properly. Validating any foreign decision in Brazil can be complex, especially if you’re not a trained and licensed Brazilian attorney. That’s where Oliveira Lawyers comes in.

We can manage everything on your behalf—from filing the required documents to guiding you through the intricacies of Brazil arbitration homologation—so you can focus on your investments, disputes, or other important tasks.

Get in touch with us today to learn more about how we can help.

Enforce Foreign Judgment in Brazil? We Can Help You

[email protected] (214) 432-8100 +55-21-2018-1225

#1  Contact us to get a free quote, or #2 Schedule a Consultation now.