Business debt recovery in São Paulo, Brazil
Business debt recovery in Brazil through out-of-court collection, protest and court proceedings — including foreign creditors collecting from Brazilian debtors or assets.
5,0 · 18 Google reviewsNot every debt needs a lawsuit, and not every lawsuit is enforcement. The route depends on two things: which document you hold and how much time is left. Enforcement requires an instrument recording a certain, liquidated and due obligation (arts. 783 and 784, Civil Procedure Code); written evidence without enforceable force may support a monitory action (art. 700). Protest may also be assessed, depending on the validity of the instrument and the debtor’s situation.
The recovery routes we run.
- Out-of-court collectionNotice, negotiation and a possible secured settlement, comparing costs and feasibility with court proceedings.
- Protest of the instrumentA measure under Law 9.492/1997, subject to a valid instrument, notification and applicable costs; payment is not guaranteed.
- Credit bureau listingAssessing lawful credit bureau listing, including the risk of liability for an improper demand or entry.
- Enforcement of instrumentsTrade bills, cheques, promissory notes and contracts that meet the enforcement requirements, including the specific rules for electronic documents (arts. 783 and 784, CPC).
- Monitory actionWhere written evidence lacks enforceable force, such as certain invoices, messages and contracts (art. 700, CPC); missing witnesses alone does not rule out enforcement of every electronic document.
- Asset tracingLawful searches for assets and corporate links to assess recovery prospects, without guaranteeing that attachable property will be found.
- Preventing defaultContract review, security, penalty clauses and credit policy, to reduce the next loss.
Collecting from a debtor or assets in Brazil.
When the creditor is abroad, the first question is not simply whether the invoice is unpaid. We identify the Brazilian debtor and assets, review the governing-law and dispute provisions, check the evidence and limitation period, and determine which recovery route is available in Brazil.
- Document and jurisdiction reviewContract, invoices, delivery records, acknowledgements, governing law and dispute provisions assessed together.
- Brazilian debtor and asset mappingCompany details, addresses and identifiable assets reviewed before litigation costs are incurred.
- Out-of-court recoveryNotice and negotiation conducted in Brazil, with a documented settlement and security where appropriate.
- Proceedings in BrazilProtest, enforcement, monitory action or another suitable route, selected only after the documents and deadlines are mapped.
Time runs even when nobody is collecting.
Debt recovery claims have limitation periods that vary with the obligation and document. A claim for a liquidated debt evidenced by a public or private instrument is time-barred after five years (art. 206, §5, I, Civil Code). Enforcement of a cheque is time-barred after six months from the end of the presentation period (art. 59, Law 7,357/1985), and of a duplicata trade bill against the drawee and its aval guarantors after three years from maturity. Claims against endorsers and their aval guarantors have one year from protest; recourse between co-obligors has a separate one-year period from payment (art. 18, Law 5.474/1968).
Missing the enforcement window does not necessarily exhaust every recovery route. Brazil’s Superior Court of Justice has settled that a monitory action against the drawer of a cheque without enforceable force is time-barred after five years from the day following the date of issue (Precedent 503); against the issuer of a promissory note, likewise five years from the day after maturity (Precedent 504). The instrument may serve as written evidence, but the monitory limitation period must still be available: losing enforceable force does not start a fresh five-year period. Any suspension or interruption also needs assessment.
So the first thing we do is take stock of the receivables: what exists, from what date, with which document, and how long is left to collect. That is what separates a receivables book from a folder of write-offs.
How we run the case.
- Taking stock of the receivablesDocument by document: amount, due date, available evidence and time remaining. This defines everything that follows.
- Out-of-court collection and protestNotice with a deadline, a settlement proposal and, where appropriate, protest, taking urgency, costs and risk into account.
- Choosing the judicial routeEnforcement where its requirements are met; a monitory action supported by suitable written evidence without enforceable force; assessment of an ordinary claim otherwise.
- Asset tracingSearching assets and corporate links before filing, so the effort is directed where recovery is realistic.
- Payment and settlementApplications for attachment, negotiation with suitable security and monitoring of compliance within the agreed scope, without guaranteeing full recovery.
What to bring to the first conversation.
Documents that speed up the review
To tell you the route and the deadline for each receivable, we need to see the paper trail. Bring what you have — even if incomplete.
- Contract, purchase order or signed proposal
- Invoices and proof of delivery
- Trade bills, cheques or promissory notes
- Payment slips issued and bank statements
- E-mails and messages acknowledging the debt
- Notices and protests already made
- Debt acknowledgement or earlier settlement
- Debtor details: company number, partners, address
Initial mapping of your receivables, with our proposal presented in writing. Informational content under Brazilian Bar Association Rule 205/2021 — it does not replace an assessment of your case.
What clients say on Google.
“From the very start I was looked after exceptionally. The team is attentive and explains every step.”
Amanda M. · Google“Excellent, highly qualified professionals. I highlight the professionalism, the service and the honesty.”
Rita G. · Google“Very polite, patient, always with precise, accurate answers. I recommend them with no reservations!”
Thais T. · GoogleReal client reviews published on Google.
Who leads this area.
Partner in charge of the corporate practice (OAB/SP 344.334). Postgraduate in Business Law (FGV), acting in debt recovery, enforcement proceedings, contracts and corporate restructuring. Member of AASP and of the AIPLA. Fluent in English.
Meet Renato FalchetArticles that go deeper.
Common questions.
We have an invoice but the client signed nothing. Can we still collect?
Recovery may be possible. An invoice and delivery record may support a monitory action if no enforceable instrument exists and the requirements of art. 700 of the Civil Procedure Code are met. An initial payment order depends on the judge finding the right evident; doubts about the evidence may require adaptation to ordinary proceedings. Enforcement of a duplicata trade bill requires a separate assessment.
Is protest worth doing before going to court?
It depends on the validity of the instrument, cost and the debtor’s situation. Article 12 of Law 9.492/1997 generally provides three business days from lodging, excluding that day, but notification rules and statutory exceptions may affect the registration date. Protest does not guarantee payment, and an improper protest can create liability.
We missed the deadline to enforce a cheque. Is the money lost?
Not necessarily. Cheque enforcement has a six-month period from the end of the presentation period. STJ Precedent 503 sets five years for a monitory action against the drawer from the day after issue; for promissory notes, Precedent 504 runs from the day after maturity. We must check how much time remains and any suspension or interruption: these are not five new years after the enforcement deadline expires.
Are the partners liable for the company’s debt?
A company debt is not automatically a partner’s personal debt. Personal guarantees and statutory liability require separate review. Piercing the corporate veil under art. 50 of the Civil Code requires abuse through misuse of purpose or commingling of assets; the request may appear in the initial claim or a separate procedural incident, with a right to be heard. Default alone is insufficient.
How much does collection cost?
We use two structures: a fixed fee per step, where the debt is documented and the debtor traceable, and an upfront fee plus a percentage of what is actually recovered, for larger books. Court costs and notary fees are paid separately and, in enforcement, may be charged to the debtor. The proposal comes in writing after we map the book.
Do you collect from debtors outside São Paulo?
Yes. Out-of-court collection and protest can be handled remotely. Court venue depends on the rules governing the instrument and obligation and the validity of any contractual clause, including the limits in art. 63 of the CPC; parties cannot simply choose an unrelated court. We act for companies across Brazil and work with local counsel under our supervision where needed.
Can a foreign company recover a business debt from a debtor in Brazil?
Yes, where the debtor or relevant assets are in Brazil. The available route depends on the contract and evidence, governing-law and dispute provisions, the limitation period and what can be located in Brazil. We first map those points and then assess out-of-court negotiation, protest or the appropriate Brazilian court proceeding.
Claims based on a foreign judgment
When recovery starts with a decision obtained outside Brazil.
How much is your company holding in unpaid receivables?
Send us the list of instruments and whatever documents you have. We map the book, with the deadline and the route for each item. Our team will confirm the review timeframe.