LAW NO. 13,810, OF MARCH 8, 2019

Presidency of the Republic

General Secretariat

Sub‑chief for Legal Affairs

Effectiveness

Veto message

Regulation

Provides for the compliance with sanctions imposed by United Nations Security Council resolutions, including the unavailability of assets of natural persons, legal entities and entities, and the national designation of persons investigated or accused of terrorism, its financing or related acts; and repeals Law No. 13,170, of October 16, 2015.

THE PRESIDENT OF THE REPUBLIC I hereby inform that the National Congress decrees and I sanction the following Law:

CHAPTER I

GENERAL PROVISIONS

Art. 1 This Law provides for the compliance with sanctions imposed by United Nations Security Council resolutions, including the unavailability of assets of natural persons, legal entities and entities, and the national designation of persons investigated or accused of terrorism, its financing or related acts.

Art. 2 For the purposes of this Law, the following are considered:

I – assets: goods, rights, values, funds, resources or services, of any nature, financial or not;

II – unavailability of assets: prohibition to transfer, convert, move, make available assets, or to dispose of them, directly or indirectly;

III – objective grounds: existence of indications or evidence of the practice of terrorism, its financing or related acts, by a natural person or through a legal person or entity, as provided in Law No. 13,260, of March 16, 2016;

IV – entities: arrangements or legal structures that do not possess legal personality, such as funds or investment clubs;

V – without delay: immediately or within a few hours.

Art. 3 The unavailability of assets referred to in this Law shall occur in the following cases:

I – by execution of United Nations Security Council resolutions or by designations of its sanctions committees; or

II – at the request of a foreign central authority, provided that the request for unavailability complies with the applicable legal principles and presents objective grounds solely to meet the designation criteria established in United Nations Security Council resolutions or its sanctions committees.

Art. 4 The unavailability of assets does not constitute loss of ownership rights.

Art. 5 Acts of disposition related to assets that have been made unavailable on the basis of this Law are null and ineffective, except for the rights of third parties in good faith.

CHAPTER II

EXECUTION OF UNITED NATIONS SECURITY COUNCIL RESOLUTIONS OR DESIGNATIONS OF ITS SANCTIONS COMMITTEES

Section I – Immediate Compliance

Art. 6 Sanctioning resolutions of the United Nations Security Council and the designations of its sanctions committees are endowed with immediate enforceability in the Federative Republic of Brazil.

Single paragraph. (VETOED).

Art. 7 Without prejudice to the obligation of immediate compliance with United Nations Security Council sanctioning resolutions and the designations of its sanctions committees, the resolutions and designations covered by this Chapter, or their extracts, shall be published in the Official Gazette of the Union by the Ministry of Foreign Affairs, in Portuguese, for publicity purposes.

Art. 8 It is prohibited for all Brazilians, resident or not, or for natural persons, legal persons or entities in Brazilian territory, to fail, by action or omission, to comply with sanctions imposed by United Nations Security Council resolutions or by designations of its sanctions committees, to the benefit of sanctioned natural persons, legal persons or entities, including to make assets available, directly or indirectly, in favor of those persons or entities.

Single paragraph. The prohibition set out in the main clause of this article applies to the bodies of the Union, State, Federal District and Municipal Powers and to entities of the indirect public administration.

Art. 9 The natural and legal persons referred to in Art. 9 of Law No. 9,613, of March 3, 1998, shall, without delay and without prior notice to the sanctioned parties, comply with United Nations Security Council resolutions or the designations of its sanctions committees that determine the unavailability of assets owned, directly or indirectly, by natural persons, legal persons or entities subject to sanctions arising from such resolutions, in the form and under the conditions defined by their regulatory or supervisory body.

Art. 10 Without prejudice to the obligation of immediate compliance, the Ministry of Justice and Public Security shall, without delay, communicate the sanctions of:

I – asset unavailability to the regulatory or supervisory bodies, so that they immediately inform the natural or legal persons referred to in Art. 9 of Law No. 9,613, of March 3, 1998.

II – restrictions on entry of persons into national territory, or on their exit, to the Federal Police, so that it adopts immediate communication measures to international transport companies;

III – restrictions on import or export of goods to the Special Secretariat of the Federal Revenue of the Ministry of Economy, to the Federal Police and to the Port Captaincies, so that they adopt immediate communication measures to airport administrations, airline companies and port authorities and operators.

§ 1 The communication referred to in item I of the main clause of this article shall also be addressed by the Ministry of Justice and Public Security for prompt compliance to:

I – the justice corregedorias of the States and the Federal District;

II – the National Civil Aviation Agency;

III – the National Traffic Department of the Ministry of Regional Development;

IV – the Port Captaincies;

V – the National Telecommunications Agency; and

VI – other competent public registration bodies.

§ 2 The communications contemplated in this article may be made electronically, with receipt confirmation.

Art. 11 Asset unavailability and attempts to transfer assets related to natural persons, legal persons or entities sanctioned by United Nations Security Council resolutions or by designations of its sanctions committees shall be communicated to the Ministry of Justice and Public Security, to the regulatory or supervisory bodies of the natural or legal persons referred to in Art. 9 of Law No. 9,613, of March 3, 1998, and to the Financial Activities Control Council.

Section II – Direct Judicial Assistance

Art. 12 In the event that information exists about assets subject to unavailability or about persons and goods subject to another type of sanction determined by United Nations Security Council resolutions or by designations of its sanctions committees, and such sanction has not been complied with in the manner set out in Section I of this Chapter, the Union shall, without delay, initiate direct judicial assistance to obtain it.

Single paragraph. The natural and legal persons referred to in Art. 9 of Law No. 9,613, of March 3, 1998, in the form and under the conditions defined by their regulatory or supervisory body, and the bodies and entities mentioned in Art. 10 of this Law shall inform, without delay, the Ministry of Justice and Public Security of the existence of persons and assets subject to sanction and the reasons why they failed to comply.

Art. 13 The Ministry of Justice and Public Security shall, without delay, communicate the existence of assets subject to unavailability or of persons and goods subject to another type of sanction to the Attorney General’s Office, so that it promotes, without delay, direct judicial assistance.

Art. 14 Once the request is instructed with the elements referred to in Art. 12 of this Law, the judge shall, within 24 (twenty‑four) hours from the receipt of the case file and without prior hearing of the respondent, determine the pertinent measures for compliance with the sanction.

Single paragraph. The parties, the bodies and entities referred to in Art. 10 of this Law, and, if necessary, the natural or legal person that reported the existence of persons or assets subject to sanction shall be summoned to be aware of and comply with the decision.

Art. 15 The judge shall order the citation of the respondent so that, if desired, it may contest the determination within 15 (fifteen) days from the date of citation.

§ 1 The contestation referred to in the main clause of this article shall have no suspensive effect and shall address only:

I – homonymy;

II – error in the identification of the respondent or of the assets that are the object of the sanction;

III – exclusion of the respondent from the sanctions list, by virtue of a resolution issued by the United Nations Security Council or by designation of its sanctions committees; or

IV – expiration of the validity period of the sanctions regime.

§ 2 The Union shall be heard on the contestation within 15 (fifteen) days from the date of summons.

Art. 16 Whether or not there is a contestation, the judge shall render a judgment.

Single paragraph. Once the parties, the bodies and entities referred to in Art. 10 of this Law and, if necessary, the natural or legal person that reported the existence of the assets subject to sanction are summoned, and if no appeal is filed, the case files shall be archived.

Art. 17 In the event of a subsequent exclusion of the respondent from the original action’s list of persons subject to the sanctions regime or any other reason that, according to the United Nations Security Council or its sanctions committees, justifies revocation of the sanction, the parties may file a revision action against the judgment.

CHAPTER III

DIRECT JUDICIAL ASSISTANCE AT THE REQUEST OF A FOREIGN CENTRAL AUTHORITY

Art. 18 The Union may initiate direct judicial assistance for asset unavailability at the request of a foreign central authority, in order to ensure the result of administrative or criminal investigations and ongoing actions in foreign jurisdiction concerning terrorism, its financing or related acts.

§ 1 The Ministry of Justice and Public Security, in coordination with the Ministry of Foreign Affairs, shall, without delay, verify whether the request for asset unavailability formulated by the foreign central authority complies with the applicable legal principles and presents objective grounds for its fulfillment.

§ 2 Once verified that the foreign central authority’s request complies with the applicable legal principles and presents objective grounds for its fulfillment, the Ministry of Justice and Public Security shall, without delay, forward the request to the Attorney General’s Office so that it promotes, without delay, direct judicial assistance, if there are elements demonstrating the existence, in the Federative Republic of Brazil, of assets subject to the unavailability measure.

Art. 19 The provisions of Art. 14, items I and II of § 1, and § 2 of Art. 15, and Art. 16 of this Law apply to direct judicial assistance.

Single paragraph. The contestation referred to in Art. 15 of this Law may also address the absence of objective grounds to establish the relationship between the assets and the investigated facts.

Art. 20 It is the competence of the Ministry of Justice and Public Security, in consultation with the foreign central authority, to inform the Attorney General’s Office about the situation of the investigation or action.

Art. 21 If the foreign central authority informs that the asset unavailability is no longer necessary, the parties may file a revision action against the judgment.

Art. 22 Where applicable, direct judicial assistance shall be applied to meet the request of a foreign central authority that aims to promote communications of procedural acts and obtain other precautionary measures or evidence necessary for criminal investigation or ongoing criminal actions in another country concerning the financing or support of terrorist acts, pursuant to items “e” and “f” of paragraph 2 of item 2 of Resolution 1373 (2001) of the United Nations Security Council, as dealt with in Decree No. 3,976, of October 18, 2001.

Single paragraph. In cases of direct assistance for acts that do not require judicial provision, the Ministry of Justice and Public Security shall adopt the necessary measures for its fulfillment.

Art. 23 The Ministry of Justice and Public Security shall inform the requesting foreign central authority:

I – the measures taken; or

II – the absence of objective grounds to enable the fulfillment of the request.

CHAPTER IV

NATIONAL DESIGNATIONS

Art. 24 The Union shall be summoned by the judge, ex officio, of decisions that decree precautionary measures over assets, rights or values of persons investigated or accused, or existing in the name of intermediaries, that constitute instrument, product or benefit of terrorist crimes, pursuant to Art. 12 of Law No. 13,260, of March 16, 2016, so that it may, if necessary, adopt national designation measures before the United Nations Security Council or its pertinent sanctions committee.

§ 1 The Attorney General’s Office shall communicate the decision to the Ministry of Justice and Public Security and to the Ministry of Foreign Affairs, so that they deliberate on the national designation and, if necessary, communicate it, without delay, to the United Nations Security Council or its pertinent sanctions committee.

§ 2 The national designation shall be accompanied by the elements that substantiate it, in accordance with the procedure established in the corresponding United Nations Security Council resolution.

CHAPTER V

FINAL PROVISIONS

Art. 25 The regulatory or supervisory bodies of the natural or legal persons referred to in Art. 9 of Law No. 9,613, of March 3, 1998, shall issue the necessary norms for compliance with the provisions of this Law.

Single paragraph. It is incumbent upon the regulatory or supervisory bodies to guide, supervise and inspect compliance with asset unavailability measures by the natural or legal persons referred to in Art. 9 of Law No. 9,613, of March 3, 1998, and to apply the applicable administrative penalties.

Art. 26 The Ministry of Justice and Public Security shall maintain a list of natural persons, legal persons and entities whose assets are subject to unavailability due to United Nations Security Council resolutions or designation by its sanctions committees, at the request of another country, or by national designation.

Art. 27 Any natural or legal person or entity sanctioned pursuant to United Nations Security Council resolutions or designation by its sanctions committees may request removal from the sanctions lists.

§ 1 The removal request shall be substantiated, aiming to meet the criteria established in the pertinent United Nations Security Council resolution or sanctions committee designation, and forwarded to the Ministry of Justice and Public Security.

§ 2 After analysis, the Ministry of Justice and Public Security shall forward the request to the Ministry of Foreign Affairs, which shall transmit it to the United Nations Security Council or the pertinent sanctions committee for deliberation.

Art. 28 Unavailable assets may be partially released, if necessary, to cover ordinary or extraordinary expenses.

§ 1 For the purposes of this article, ordinary expenses include, among others:

I – basic expenses for food, rent, mortgages, medicines, medical treatments, taxes, insurance and public service fees;

II – payment of professional fees of reasonable amount and reimbursement of costs incurred for the provision of legal services;

III – payment of fees or charges related to the ordinary administration and maintenance of funds or other unavailable assets or resources.

§ 2 In the case of natural persons, legal persons or entities included in the United Nations Security Council sanctions lists or designated by its sanctions committees, partial release of blocked assets shall be authorized:

I – for covering ordinary expenses, after notification by the United Nations Security Council or its competent sanctions committee, provided no objection is raised within 48 (forty‑eight) hours from the date of notification; and

II – for covering extraordinary expenses, after notification and approval by the United Nations Security Council or its competent sanctions committee.

§ 3 When asset unavailability arises from a request by a foreign central authority or from a Brazilian judicial order, partial release shall be decided by the judge who ordered the unavailability, who shall notify the Union for communication to the United Nations Security Council or its competent sanctions committee.

Art. 29 The direct judicial assistance measures provided for in this Law shall proceed under secrecy of justice.

Art. 30 If assets are subject to any degree of deterioration, depreciation, or difficulty of maintenance, the competent court may be requested to authorize early alienation of the declared unavailable assets to preserve their value.

§ 1 The interested party shall be summoned to the asset appraisal and, if desired, may present observations within 10 (ten) days from the date of summons.

§ 2 After appraisal and resolution of any disputes regarding the assigned value, the assets shall be alienated by auction or public tender, preferably electronic, for an amount not less than 75 % (seventy‑five percent) of the appraised value.

§ 3 Upon completion of the auction or tender, the amount obtained shall be deposited in an interest‑bearing bank account.

§ 4 Taxes and fines incident on the alienated asset shall be deducted from the amount obtained.

Art. 31 A qualified person shall be designated for the administration, custody or safekeeping of the unavailable assets, if necessary.

§ 1 The provisions applicable to a judicial administrator shall apply, as appropriate, to the person designated under the main clause of this article.

§ 2 In the case of financial assets, their administration shall be the responsibility of the institutions where they are held, with the blocking of interest, other civil fruits and earnings arising from the contract.

Art. 32 The Ministry of Justice and Public Security shall communicate:

I – to the Federal Public Prosecutor’s Office and the Federal Police the asset unavailability measures adopted and attempts at transfer related to natural persons, legal persons or designated entities, for assessment of opening or not a criminal investigation;

II – to the Ministry of Foreign Affairs the asset unavailability measures adopted in compliance with United Nations Security Council resolutions or designations of its sanctions committees, for knowledge and communication to the respective international body.

Art. 33 The provisions of Law No. 13,105, of March 16, 2015 (Civil Procedure Code), and Decree‑Law No. 3,689, of October 3, 1941 (Criminal Procedure Code), shall, where applicable, apply subsidiarily to this Law.

Art. 34 The Federal Executive Branch shall regulate this Law within 90 (ninety) days from its publication date.

Art. 35 Law No. 13,170, of October 16, 2015, is repealed.

Art. 36 This Law shall enter into force after the lapse of 90 (ninety) days from its official publication.

Brasília, March 8, 2019; 198th Independence and 131st Republic.

Jair Messias Bolsonaro

Sérgio Moro

Ernesto Henrique Fraga Araújo

André Luiz de Almeida Mendonça

This text does not replace the version published in the Official Gazette on 08‑03‑2019 – Extra edition