Brazil · Property and land · Federal law

Law No. 5,709/1971: acquisition of rural property by foreigners

The statute that decides whether a foreign individual or company can buy farmland in Brazil, how much and with whose permission. The full consolidated text in English, the Portuguese original under every paragraph, and our notes on how the Law is applied today.

In force, as amended in 202021 articles · Art. 2 revokedRegulated by Decree No. 74,965/1974Official text: Planalto

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Official title
Lei nº 5.709, de 7 de outubro de 1971 — Regula a Aquisição de Imóvel Rural por Estrangeiro Residente no País ou Pessoa Jurídica Estrangeira Autorizada a Funcionar no Brasil, e dá outras Providências
In English
Law No. 5,709 of 7 October 1971, which regulates the acquisition of rural property by foreigners resident in Brazil or by foreign legal entities authorised to operate in Brazil
Type
Federal law (lei ordinária)
Published
Diário Oficial da União, 11 October 1971
Status
In force, as amended
Last amended
Law No. 13,986 of 7 April 2020 (Art. 1 § 2)
Constitutional basis
Art. 190 of the 1988 Constitution: the law regulates and limits the acquisition or lease of rural property by foreign individuals and companies
Official text
planalto.gov.br ↗

In short

  • The Law applies only to rural property (imóvel rural). Urban flats, houses and commercial premises are outside it.
  • A foreign individual must be resident in Brazil to buy rural land; a foreign company must be authorised to operate in Brazil.
  • A Brazilian company whose majority capital is held by foreigners resident or seated abroad is treated as foreign (Art. 1 § 1).
  • For individuals: up to 3 modules free; 3 to 50 modules with INCRA authorisation; above 20 modules an exploitation project is also needed; above 50 only by presidential decision (Art. 3).
  • Companies may buy only for agricultural, livestock, industrial or colonisation projects linked to their corporate object and approved by the Ministry of Agriculture (Art. 5).
  • Foreign-owned land may not exceed 25% of a municipality, and one nationality may not exceed 10% of it, i.e. 40% of the 25% (Art. 12).
  • A public deed is mandatory. A purchase in breach of the Law is void and the seller must refund the price (Art. 8, Art. 15).

Who it affects

  • Foreign individuals resident in Brazil buying farmland, ranches or rural plots.
  • Foreign companies with an authorisation to operate in Brazil (a registered branch).
  • Brazilian Ltda and S.A. companies controlled by non-resident foreigners, including groups that hold land through a local subsidiary.
  • Lenders taking rural land as collateral, and heirs on statutory succession: both outside the restrictions (Art. 1 § 2).
  • Notaries and land registrars, who are personally liable for deeds and registrations in breach of the Law.

Key dates

DateEvent
7 Oct 1971Law enacted
11 Oct 1971Published in the Diário Oficial da União; in force (Art. 20)
26 Nov 1974Implementing regulation: Decree No. 74,965
30 Sep 1978Law No. 6,572 rewords Art. 1 § 2 (statutory succession)
19 Aug 1980Law No. 6,815 revokes Art. 2 (pre-immigration purchase contracts)
5 Oct 1988Constitution, Art. 190: foreign acquisition and lease of rural land to be regulated and limited by law
Aug 2010Federal Attorney-General opinion LA-01/2010: Art. 1 § 1 applies to Brazilian companies controlled by foreigners
7 Apr 2020Law No. 13,986 rewords Art. 1 § 2: security interests and settlement transactions excluded

BCA commentary

Rural or urban: check before anything else

Everything in this Law hangs on the property being rural. Brazilian law looks both at location (the urban zone set by the municipality) and at use: the Land Statute and Law No. 8,629/1993 lean on the use test. In practice the registry and INCRA look at the property record (matrícula) and at whether it is enrolled in the rural cadastre (CCIR). If either points to rural, treat the deal as caught by this Law until it is confirmed otherwise. A city flat or a house in an urban subdivision is not caught at all.

What a “module” is in hectares

The limits are expressed in modules of indefinite exploitation (MEI), which INCRA fixes region by region (Decree, Art. 4); they run from 5 to 100 hectares. The “free” threshold of three modules can therefore be 15 hectares in one municipality and 300 in another. Ask the registry or INCRA for the module of the specific municipality before you model the deal.

Brazilian companies controlled from abroad

Art. 1 § 1 is the provision that matters most to investors. After the 1995 constitutional amendment that abolished the distinction between Brazilian companies with national and foreign capital, the federal government for years treated § 1 as no longer applicable. In August 2010 the Federal Attorney-General’s opinion LA-01/2010, approved by the President and binding on the federal administration, reversed that position: a Brazilian Ltda or S.A. whose majority is held by foreigners resident or seated abroad is subject to the same limits as a foreign company. Registries and INCRA have applied it since. The point has been litigated before the Federal Supreme Court (ADPF 342 and ACO 2463); check the current state of that litigation before relying on any structure.

The regulation also catches indirect routes: a merger, an incorporation, a change of control or the transformation of a Brazilian company that already owns rural land (Decree, Art. 20). Buying the shares of a land-owning company is not a way around the Law.

Leases are caught too

Law No. 8,629/1993, Art. 23, applies the same rules to the lease of rural property by foreigners. A long lease is not a substitute for ownership.

Security interests since 2020

Law No. 13,986/2020 took security interests out of the regime: a foreign or foreign-controlled lender may now take rural land as collateral, including by fiduciary transfer, and keep it on enforcement or by giving in payment (Art. 1 § 2). This opened agricultural lending to foreign funds without opening outright purchases.

Border strip: relevant for anyone coming from Paraguay

Land within 150 km of Brazil’s land borders lies in the border strip (faixa de fronteira) governed by Law No. 6,634/1979, which requires prior assent for acquisitions by foreigners. The functions of the old National Security Council are now exercised by the Executive Secretariat of the National Defence Council. The whole border with Paraguay, in Mato Grosso do Sul and Paraná, is inside the strip, so cross-border agribusiness projects from a Paraguay base usually need that assent on top of the rules in this Law.

The sequence in practice

Residence (or, for a company, the authorisation to operate) → the property’s module and the municipal caps, evidenced by a registry certificate → INCRA authorisation for an individual buying 3–50 modules, or ministry approval of the project for a company → a public deed within 30 days of the authorisation → registration within 15 days of the deed (Decree, Art. 10, Art. 14).

Full text in English

Read:

THE PRESIDENT OF THE REPUBLIC: I make known that the National Congress decrees and I sanction the following Law:

Original (Portuguese)

O PRESIDENTE DA REPÚBLICA: Faço saber que o Congresso Nacional decreta e eu sanciono a seguinte Lei:

Article 1Scope: who is covered

Regulation, Decree No. 74,965/1974: Art. 1

Art. 1, caput#

Art. 1. A foreigner resident in Brazil and a foreign legal entity authorised to operate in Brazil may acquire rural property only in the manner provided for in this Law.

Original (Portuguese)

Art. 1º - O estrangeiro residente no País e a pessoa jurídica estrangeira autorizada a funcionar no Brasil só poderão adquirir imóvel rural na forma prevista nesta Lei.

Art. 1 § 1#

§ 1. The regime established by this Law nevertheless also applies to a Brazilian legal entity in which foreign natural or legal persons participate in any capacity, where they hold the majority of its share capital and reside or have their seat abroad.

Original (Portuguese)

§ 1º - Fica, todavia, sujeita ao regime estabelecido por esta Lei a pessoa jurídica brasileira da qual participem, a qualquer título, pessoas estrangeiras físicas ou jurídicas que tenham a maioria do seu capital social e residam ou tenham sede no Exterior.

Art. 1 § 2Wording given by Law No. 13,986 of 7 April 2020#

§ 2. The restrictions established by this Law do not apply:

I – to statutory (intestate) succession, save as provided in Art. 7 of this Law;

II – to the creation of security interests in rem, including the transfer of fiduciary ownership in favour of a legal entity, Brazilian or foreign;

III – to the receipt of property in settlement of a transaction with a legal entity, Brazilian or foreign, or with a Brazilian legal entity in which foreign natural or legal persons holding the majority of its share capital and residing or having their seat abroad participate in any capacity, whether by enforcement of a security interest, by giving in payment (dação em pagamento) or in any other way.

Original (Portuguese)

§ 2º As restrições estabelecidas nesta Lei não se aplicam:

I - aos casos de sucessão legítima, ressalvado o disposto no art. 7º desta Lei;

II - às hipóteses de constituição de garantia real, inclusive a transmissão da propriedade fiduciária em favor de pessoa jurídica, nacional ou estrangeira;

III - aos casos de recebimento de imóvel em liquidação de transação com pessoa jurídica, nacional ou estrangeira, ou pessoa jurídica nacional da qual participem, a qualquer título, pessoas estrangeiras físicas ou jurídicas que tenham a maioria do seu capital social e que residam ou tenham sede no exterior, por meio de realização de garantia real, de dação em pagamento ou de qualquer outra forma.

Earlier wording

Wording given by Law No. 6,572 of 30 September 1978

§ 2. The restrictions established by this Law do not apply to statutory succession, save as provided in Art. 7.

§ 2º - As restrições estabelecidas nesta Lei não se aplicam aos casos de sucessão legítima, ressalvado o disposto no art. 7º.

Original wording, 1971

§ 2. The restrictions established by this Law do not apply to transfers on death (causa mortis).

§ 2º As restrições estabelecidas nesta lei não se aplicam aos casos de transmissão causa mortis

Article 2Pre-immigration purchase contracts (revoked)

Regulation, Decree No. 74,965/1974: Art. 6

Art. 2Revoked by Law No. 6,815 of 19 August 1980#

This article was revoked. Its former text is kept for reference.

Former text in English

Art. 2. A foreigner who intends to immigrate to Brazil may, while still in his country of origin, enter into a promissory contract for the purchase of rural property, provided that within 3 (three) years of the date of the contract he establishes his domicile in Brazil and farms the property.

§ 1. If the promissory buyer fails to meet any of the conditions in this article, the promissory contract shall be deemed wholly ineffective and he shall be barred from acquiring ownership of the property in any way.

§ 2. In the case referred to in the preceding paragraph, the promissory seller may bring an action for a declaration that the contract is ineffective and is not obliged to refund the amounts received from the promissory buyer.

§ 3. The period referred to in this article may be extended, after hearing the competent department of the Ministry of Agriculture, if the promissory buyer has already used the property to implement a permanent-crop project.

§ 4. The provisions of this article must be included in the promissory contracts referred to in it, on pain of nullity of those contracts.

Former text in Portuguese

Art 2º Ao estrangeiro, que pretenda imigrar para o Brasil, é facultado celebrar, ainda em seu país de origem, compromisso de compra e venda de imóvel rural, desde que, dentro de 3 (três) anos, contados da data do contrato, venha fixar domicílio no Brasil e explorar o imóvel.

§ 1º Se o compromissário comprador descumprir qualquer das condições estabelecidas neste artigo, reputar-se-á absolutamente ineficaz o compromisso de compra e venda, sendo-lhe defeso adquirir, por qualquer modo, a propriedade do imóvel.

§ 2º No caso previsto no parágrafo antecedente, caberá ao promitente vendedor propor a ação para declarar a ineficácia do compromisso, estando desobrigado de restituir as importâncias que receber do compromissário comprador.

§ 3º O prazo referido neste artigo poderá ser prorrogado, ouvido o setor competente do Ministério da Agricultura, caso o promitente comprador já tenha utilizado o imóvel na implantação de projeto de culturas permanentes.

§ 4º As disposições dêste artigo constarão, obrigatòriamente, dos compromissos de compra e venda nêle referidos, sob pena de nulidade dos respectivos contratos.

Article 3Size limits for individuals

Regulation, Decree No. 74,965/1974: Art. 7, Art. 9

Art. 3, caput#

Art. 3. The acquisition of rural property by a foreign natural person may not exceed 50 (fifty) modules of indefinite exploitation, whether the area is continuous or not.

Original (Portuguese)

Art. 3º - A aquisição de imóvel rural por pessoa física estrangeira não poderá exceder a 50 (cinqüenta) módulos de exploração indefinida, em área contínua ou descontínua.

Art. 3 § 1#

§ 1. Where the property does not exceed 3 (three) modules in area, the acquisition is free and requires no authorisation or licence, subject to the general requirements laid down by law.

Original (Portuguese)

§ 1º - Quando se tratar de imóvel com área não superior a 3 (três) módulos, a aquisição será livre, independendo de qualquer autorização ou licença, ressalvadas as exigências gerais determinadas em lei.

Art. 3 § 2#

§ 2. The Executive shall issue rules for the acquisition of areas of between 3 (three) and 50 (fifty) modules of indefinite exploitation.

Note. Planalto cross-refers to Law No. 8,629 of 1993. The rules are in Art. 7 and Art. 9 of Decree No. 74,965/1974.

Original (Portuguese)

§ 2º - O Poder Executivo baixará normas para a aquisição de área compreendida entre 3 (três) e 50 (cinqüenta) módulos de exploração indefinida.

Art. 3 § 3#

§ 3. The President of the Republic, after hearing the National Security Council, may raise the limit fixed in this article.

Original (Portuguese)

§ 3º - O Presidente da República, ouvido o Conselho de Segurança Nacional, poderá aumentar o limite fixado neste artigo.

Article 4Private colonisation subdivisions

Regulation, Decree No. 74,965/1974: Art. 8

Art. 4, caput#

Art. 4. In rural subdivisions carried out by private colonisation companies, at least 30% (thirty per cent) of the total area must be acquired and occupied by Brazilians.

Original (Portuguese)

Art. 4º - Nos loteamentos rurais efetuados por empresas particulares de colonização, a aquisição e ocupação de, no mínimo, 30% (trinta por cento) da área total serão feitas obrigatoriamente por brasileiros.

Article 5Foreign legal entities: the purpose test

Regulation, Decree No. 74,965/1974: Art. 11, Art. 12

Art. 5, caput#

Art. 5. The foreign legal entities referred to in Art. 1 of this Law may acquire rural property only for the implementation of agricultural, livestock, industrial or colonisation projects linked to their objects as stated in their constitutional documents.

Original (Portuguese)

Art. 5º - As pessoas jurídicas estrangeiras referidas no art. 1º desta Lei só poderão adquirir imóveis rurais destinados à implantação de projetos agrícolas, pecuários, industriais, ou de colonização, vinculados aos seus objetivos estatutários.

Art. 5 § 1#

§ 1. The projects referred to in this article must be approved by the Ministry of Agriculture, after hearing the federal regional development body competent for the area concerned.

Original (Portuguese)

§ 1º - Os projetos de que trata este artigo deverão ser aprovados pelo Ministério da Agricultura, ouvido o órgão federal competente de desenvolvimento regional na respectiva área.

Art. 5 § 2#

§ 2. The Ministry of Industry and Commerce shall be heard on projects of an industrial nature.

Original (Portuguese)

§ 2º - Sobre os projetos de caráter industrial será ouvido o Ministério da Indústria e Comércio.

Article 6Corporations must issue registered shares

Regulation, Decree No. 74,965/1974: Art. 13

Art. 6, caput#

Art. 6. The shares of corporations (sociedades anônimas) must be in registered form where the corporation:

I – is engaged in rural land subdivision;

II – farms rural areas directly; or

III – owns rural property not linked to the activities set out in its by-laws.

Original (Portuguese)

Art. 6º - Adotarão obrigatoriamente a forma nominativa as ações de sociedades anônimas:

I - que se dediquem a loteamento rural;

II - que explorem diretamente áreas rurais; e

III - que sejam proprietárias de imóveis rurais não vinculados a suas atividades estatutárias.

Art. 6, sole paragraph#

Sole paragraph. This article does not apply to the entities mentioned in Art. 4 of Decree-Law No. 200 of 25 February 1967, as worded by Decree-Law No. 900 of 29 September 1969.

Original (Portuguese)

Parágrafo único. A norma deste artigo não se aplica às entidades mencionadas no art. 4º do Decreto-lei nº 200, de 25 de fevereiro de 1967, com a redação que lhe foi dada pelo Decreto-lei nº 900, de 29 de setembro de 1969.

Article 7Areas indispensable to national security

Regulation, Decree No. 74,965/1974: Art. 2

Art. 7, caput#

Art. 7. The acquisition by a foreign person, natural or legal, of property located in an area considered indispensable to national security requires the prior assent of the General Secretariat of the National Security Council.

Original (Portuguese)

Art. 7º - A aquisição de imóvel situado em área considerada indispensável à segurança nacional por pessoa estrangeira, física ou jurídica, depende do assentimento prévio da Secretaria-Geral do Conselho de Segurança Nacional.

Article 8A public deed is mandatory

Regulation, Decree No. 74,965/1974: Art. 3

Art. 8, caput#

Art. 8. In the acquisition of rural property by a foreign person, natural or legal, a public deed is essential to the validity of the act.

Original (Portuguese)

Art. 8º - Na aquisição de imóvel rural por pessoa estrangeira, física ou jurídica, é da essência do ato a escritura pública.

Article 9What the deed must contain

Regulation, Decree No. 74,965/1974: Art. 10, Art. 14

Art. 9, caput#

Art. 9. A deed for the acquisition of a rural area by foreign natural persons must state:

I – the acquirer’s identity document;

II – proof of residence in Brazilian territory; and

III – where applicable, the authorisation of the competent body or the prior assent of the General Secretariat of the National Security Council.

Original (Portuguese)

Art. 9º - Da escritura relativa à aquisição de área rural por pessoas físicas estrangeiras constará, obrigatoriamente:

I - menção do documento de identidade do adquirente;

II - prova de residência no território nacional; e

III - quando for o caso, autorização do órgão competente ou assentimento prévio da Secretaria-Geral do Conselho de Segurança Nacional.

Art. 9, sole paragraph#

Sole paragraph. Where the acquirer is a foreign legal entity, the deed shall reproduce the act authorising the acquisition of the rural area and the documents evidencing the entity’s incorporation and its licence to operate in Brazil.

Original (Portuguese)

Parágrafo único. Tratando-se de pessoa jurídica estrangeira, constará da escritura a transcrição do ato que concedeu autorização para a aquisição da área rural, bem como dos documentos comprobatórios de sua constituição e de licença para seu funcionamento no Brasil.

Article 10Special register kept by land registries

Regulation, Decree No. 74,965/1974: Art. 15

Art. 10, caput#

Art. 10. Real Estate Registry Offices shall keep a special register, in an auxiliary book, of acquisitions of rural land by foreign persons, natural and legal, which must record:

I – the identity document of the contracting parties or, for legal entities, their constitutive acts;

II – a descriptive memorandum of the property, with its area, characteristics, boundaries and adjoining properties; and

III – a transcription of the authorisation of the competent body, where applicable.

Original (Portuguese)

Art. 10 - Os Cartórios de Registro de Imóveis manterão cadastro especial, em livro auxiliar, das aquisições de terras rurais por pessoas estrangeiras, físicas e jurídicas, no qual deverá constar:

I - menção do documento de identidade das partes contratantes ou dos respectivos atos de constituição, se pessoas jurídicas;

II - memorial descritivo do imóvel, com área, características, limites e confrontações; e

III - transcrição da autorização do órgão competente, quando for o caso.

Article 11Quarterly reporting by registries

Regulation, Decree No. 74,965/1974: Art. 16

Art. 11, caput#

Art. 11. Every quarter, on pain of loss of office, Real Estate Registry Offices shall send to the Inspectorate-General of Justice (Corregedoria da Justiça) of the State to which they are subordinate, and to the Ministry of Agriculture, a list of acquisitions of rural areas by foreign persons containing the data listed in the preceding article.

Original (Portuguese)

Art. 11 - Trimestralmente, os Cartórios de Registros de Imóveis remeterão, sob pena de perda do cargo, à Corregedoria da Justiça dos Estados a que estiverem subordinados e ao Ministério da Agricultura, relação das aquisições de áreas rurais por pessoas estrangeiras, da qual constem os dados enumerados no artigo anterior.

Art. 11, sole paragraph#

Sole paragraph. Where the property is located in an area indispensable to national security, the list referred to in this article must also be sent to the General Secretariat of the National Security Council.

Original (Portuguese)

Parágrafo único. Quando se tratar de imóvel situado em área indispensável à segurança nacional, a relação mencionada neste artigo deverá ser remetida também à Secretaria-Geral do Conselho de Segurança Nacional.

Article 12Caps per municipality and per nationality

Regulation, Decree No. 74,965/1974: Art. 5

Art. 12, caput#

Art. 12. The total rural area belonging to foreign persons, natural or legal, may not exceed one quarter of the area of the municipality in which it is located, as evidenced by a certificate from the Real Estate Registry based on the auxiliary book referred to in Art. 10.

Original (Portuguese)

Art. 12 - A soma das áreas rurais pertencentes a pessoas estrangeiras, físicas ou jurídicas, não poderá ultrapassar a um quarto da superfície dos Municípios onde se situem, comprovada por certidão do Registro de Imóveis, com base no livro auxiliar de que trata o art. 10.

Art. 12 § 1#

§ 1. Persons of the same nationality may not own, in any one municipality, more than 40% (forty per cent) of the limit fixed in this article.

Original (Portuguese)

§ 1º - As pessoas da mesma nacionalidade não poderão ser proprietárias, em cada Município, de mais de 40% (quarenta por cento) do limite fixado neste artigo.

Art. 12 § 2#

§ 2. The restrictions in this article do not apply to acquisitions of rural areas:

I – of less than 3 (three) modules;

II – that were the subject of a sale, a promise of sale, an assignment or a promise of assignment, by public deed or by private instrument duly filed with the competent Registry, and that were registered with INCRA in the name of the promissory buyer before 10 March 1969;

III – where the acquirer has a Brazilian child or is married to a Brazilian under a community-of-property regime.

Original (Portuguese)

§ 2º - Ficam excluídas das restrições deste artigo as aquisições de áreas rurais:

I - inferiores a 3 (três) módulos;

II - que tiverem sido objeto de compra e venda, de promessa de compra e venda, de cessão ou de promessa de cessão, mediante escritura pública ou instrumento particular devidamente protocolado no Registro competente, e que tiverem sido cadastradas no INCRA em nome do promitente comprador, antes de 10 de março de 1969;

III - quando o adquirente tiver filho brasileiro ou for casado com pessoa brasileira sob o regime de comunhão de bens.

Art. 12 § 3#

§ 3. The President of the Republic may, by decree, authorise acquisitions beyond the limits fixed in this article where the rural property is linked to projects considered priority projects under the national development plans.

Original (Portuguese)

§ 3º - O Presidente da República poderá, mediante decreto, autorizar a aquisição além dos limites fixados neste artigo, quando se tratar de imóvel rural vinculado a projetos julgados prioritários em face dos planos de desenvolvimento do País.

Article 13Amendment to the Land Statute

Regulation, Decree No. 74,965/1974: Art. 17

Art. 13, caput#

Art. 13. Art. 60 of Law No. 4,504 of 30 November 1964 shall read as follows:

“Art. 60. For the purposes of this Law, private colonisation companies are natural persons, Brazilian or foreign, resident or domiciled in Brazil, or legal entities incorporated and headquartered in Brazil, whose purpose is to carry out a programme of land development or land distribution.”

Original (Portuguese)

Art. 13 - O art. 60 da Lei nº 4.504, de 30 de novembro de 1964, passa a vigorar com a seguinte redação:

"Art. 60. Para os efeitos desta Lei, consideram-se empresas particulares de colonização as pessoas físicas, nacionais ou estrangeiras, residentes ou domiciliadas no Brasil, ou jurídicas, constituídas e sediadas no País, que tiverem por finalidade executar programa de valorização de área ou distribuição de terras".

Article 14No donations of public land to foreigners

Regulation, Decree No. 74,965/1974: Art. 18

Art. 14, caput#

Art. 14. Except in the cases provided for in the legislation on colonial settlements, in which foreign immigrants settle on rural plots as farmers, the donation of Federal or State land to foreign persons, natural or legal, is prohibited in any form.

Original (Portuguese)

Art. 14 - Salvo nos casos previstos em legislação de núcleos coloniais, onde se estabeleçam em lotes rurais, como agricultores, estrangeiros imigrantes, é vedada, a qualquer título, a doação de terras da União ou dos Estados a pessoas estrangeiras, físicas ou jurídicas.

Article 15Nullity and liability

Regulation, Decree No. 74,965/1974: Art. 19

Art. 15, caput#

Art. 15. An acquisition of rural property in breach of this Law is null and void by operation of law. The notary who draws up the deed and the registrar who records it are civilly liable for the damage they cause to the contracting parties, without prejudice to criminal liability for malfeasance in office (prevaricação) or false statement in a document (falsidade ideológica). The seller must refund the price of the property to the acquirer.

Original (Portuguese)

Art. 15 - A aquisição de imóvel rural, que viole as prescrições desta Lei, é nula de pleno direito. O tabelião que lavrar a escritura e o oficial de registro que a transcrever responderão civilmente pelos danos que causarem aos contratantes, sem prejuízo da responsabilidade criminal por prevaricação ou falsidade ideológica. O alienante está obrigado a restituir ao adquirente o preço do imóvel.

Article 16Transitional rules for existing corporations

Art. 16, caput#

Art. 16. Corporations falling under any item of the caput of Art. 6 that were already incorporated when this Law entered into force shall, within 6 (six) months, notify the Ministry of Agriculture of the rural areas they own or farm.

Original (Portuguese)

Art. 16 - As sociedades anônimas, compreendidas em quaisquer dos incisos do caput do art. 6º, que já estiverem constituídas à data do início da vigência desta Lei, comunicarão, no prazo de 6 (seis) meses, ao Ministério da Agricultura a relação das áreas rurais de sua propriedade ou exploração.

Art. 16 § 1#

§ 1. Corporations referred to in this article that do not convert their bearer shares into registered shares within 1 (one) year of the entry into force of this Law shall be deemed irregular and liable to dissolution, in the manner provided by law, at the initiative of the Public Prosecutor’s Office.

Original (Portuguese)

§ 1º - As sociedades anônimas, indicadas neste artigo, que não converterem em nominativas suas ações ao portador, no prazo de 1 (um) ano do início da vigência desta Lei, reputar-se-ão irregulares, ficando sujeitas à dissolução, na forma da lei, por iniciativa do Ministério Público.

Art. 16 § 2#

§ 2. For public-service concession companies that own rural property not linked to the purposes of the concession, the period for converting the shares is 3 (three) years.

Original (Portuguese)

§ 2º - No caso de empresas concessionárias de serviço público, que possuam imóveis rurais não vinculados aos fins da concessão, o prazo de conversão das ações será de 3 (três) anos.

Art. 16 § 3#

§ 3. Public-service concession companies are not required to convert their bearer shares into registered shares if, within 3 (three) years of the entry into force of this Law, they dispose of the rural property not linked to the purposes of the concession.

Original (Portuguese)

§ 3º - As empresas concessionárias de serviço público não estão obrigadas a converter em nominativas as ações ao portador, se dentro do prazo de 3 (três) anos, contados da vigência desta Lei, alienarem os imóveis rurais não vinculados aos fins da concessão.

Article 17Transitional rules for colonisation projects

Art. 17, caput#

Art. 17. Brazilian legal entities that, by 30 January 1969, had colonisation projects approved under Art. 61 of Law No. 4,504 of 30 November 1964 may, with the authorisation of the President of the Republic and after hearing the Ministry of Agriculture, complete them and grant final deeds, provided they do so within 3 (three) years and the area does not exceed 3 (three) modules of indefinite exploitation per acquirer.

Original (Portuguese)

Art. 17 - As pessoas jurídicas brasileiras que, até 30 de janeiro de 1969, tiverem projetos de colonização aprovados nos termos do art. 61 da Lei nº 4.504, de 30 de novembro de 1964, poderão, mediante autorização do Presidente da República, ouvido o Ministério da Agricultura, concluí-los e outorgar escrituras definitivas, desde que o façam dentro de 3 (três) anos e que a área não exceda, para cada adquirente, 3 (três) módulos de exploração indefinida.

Article 18Authorisations already granted

Art. 18, caput#

Art. 18. Authorisations granted under Decree-Laws No. 494 of 10 March 1969 and No. 924 of 10 October 1969, in studies and proceedings already completed whose projects have been approved by the competent bodies, remain in force.

Original (Portuguese)

Art. 18 - São mantidas em vigor as autorizações concedidas, com base nos Decretos-leis nºs 494, de 10 de março de 1969, e 924, de 10 de outubro de 1969, em estudos e processos já concluídos, cujos projetos tenham sido aprovados pelos órgãos competentes.

Article 19Implementing regulation

Art. 19, caput#

Art. 19. The Executive shall issue the regulation implementing this Law within 90 (ninety) days.

Note. The regulation is Decree No. 74,965 of 26 November 1974.

Original (Portuguese)

Art. 19 - O Poder Executivo baixará, dentro de 90 (noventa) dias, o regulamento para execução desta Lei.

Article 20Entry into force

Art. 20, caput#

Art. 20. This Law enters into force on the date of its publication.

Original (Portuguese)

Art. 20 - Esta Lei entrará em vigor na data de sua publicação.

Article 21Repeals

Art. 21, caput#

Art. 21. Decree-Laws No. 494 of 10 March 1969 and No. 924 of 10 October 1969, and all provisions to the contrary, are repealed.

Original (Portuguese)

Art. 21 - Revogam-se os Decretos-leis nº 494, de 10 de março de 1969, e 924, de 10 de outubro de 1969, e demais disposições em contrário.

Emílio G. Médici · Alfredo Buzaid · L. F. Cirne Lima · Marcus Vinícius Pratini de Moraes. Published in the D.O.U. of 11 October 1971.

Amendment history

ActChange
Law No. 6,572 of 30 Sep 1978Art. 1 § 2 reworded: “transfers on death” replaced by “statutory succession”, save Art. 7
Law No. 6,815 of 19 Aug 1980Art. 2 revoked (Foreigners Statute)
Law No. 13,986 of 7 Apr 2020Art. 1 § 2 reworded and items I–III added: security interests, fiduciary transfers and settlement transactions excluded

How to cite

Cite the article and paragraph, and link to the paragraph anchor. For example:

Brazil, Law No. 5,709 of 7 October 1971, Art. 12 § 1 (unofficial English translation, BCA LatAm Law Library), https://bcaparaguay.com.py/law-library/brazil/law-5709-1971-rural-land-foreigners#art-12-p1

Unofficial translation by BCA LatAm for information. Only the Portuguese text published in the Diário Oficial da União is authentic. Article headings are editorial and not part of the official text. Text checked against the official consolidation on planalto.gov.br on 27 October 2026. This page is not legal advice; for a transaction, ask for a written opinion.

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