Learn how to use precatories to buy real estate in the Union

The rules for the use of precatories in the purchase of Union properties were published this Monday (7) by the SPU (Secretariat for Coordination and Governance of Union Heritage), an agency of the Ministry of Economy, through ordinance 9.650/2022.

According to the ministry, this option had been planned since December last year, when Constitutional Amendment 113/2021 was enacted, originating from the PEC dos Precatórios. But there was still no legislation defining the rules to make this operation viable.

Before, these properties could only be paid with currency. Now, it is also possible to use “net and certain credits recognized by the Union, its autarchies or public foundations, or by a final court decision”. Among these credits are the precatories, public debt securities issued by the Courts to individuals or legal entities.

One of the advantages of using the precatory is the possibility of buying it from third parties at a discount to reduce the value of the property by the net value of the title. It is also an option for those who are in the queue to receive the paper and want to exchange it for another asset (the property).

“The ordinance brings the minimum and necessary procedures to give effective application to the constitutional text, because even in the case of a self-applicable norm to the Union, it was necessary to establish procedural flow”, said the secretary of Coordination and Governance of the Patrimony of the Union, Fabiana Rodopoulos.

Now, the notices for the sale of properties published by the SPU will expressly mention the possibility of the creditor offering these credits. The rule also applies to already published notices, which did not highlight this possibility of payment.

The period for paying off the property with a writ of payment is the same as for the payment in cash, 30 days from receipt of the notification — or from 31 to 120 days, but with the payment of interest and correction for inflation of the amount due.

The interested party must present, after calling for payment, sufficient documentary evidence to prove that the credits offered are their own or acquired from third parties, as well as their certainty and liquidity, according to the ministry.

Once the credits have been used, the SPU will proceed with the sale process.

In case of rejection, in whole or in part, due to the unsuitability of the credits offered, the proposal will be disqualified, and other penalties provided for in the public notice may be applied.

If the refusal is given for another reason, SPU will notify the buyer for total or partial replacement of the credits or payment for another accepted modality, including other credits offered in substitution. If these credits are also declined, payment must be made in local currency.

The ministry says that it has already received the first offer of precatory as payment for property, in this case, a shed of the extinct Instituto Brasileiro do Café in Espírito Santo.

“The precatory becomes a currency, as if it were money. We are putting into practice a possibility of payment that brings transparency, legal security and information to those interested in the acquisition of federal properties”, said in a note the Special Secretary for Privatization, Divestment and Markets, Pedro Capeluppi.

See the Union properties available for sale on the Government’s Sales Portal.