PORTUGAL Law and Practice Contributed by: Miguel Durham Agrellos, Paulo da Rocha Pichel, Ricardo Pereira Amaro and Francisco Duque Lima, Durham Agrellos
5. Wealth Disputes 5.1 Trends Driving Disputes Disputes regarding estates usually result from lack of succession planning. Division procedures are time-consuming, and it may be several years until a final decision is taken. How - ever, the parties do typically tend to conclude agree - ments. Regarding payments from life insurance policies, the Portuguese Supreme Court has confirmed that such payments are not subject to succession laws (although an insurance premium should be considered a donation for succession purposes). The use of arbitration for wealth disputes is increasing. 5.2 Mechanism for Compensation The calculation of damages follows general Portu - guese civil law rules, essentially aimed at repairing the damages suffered by the parties. No aggravated damages or punitive damages rules apply. Penalty clauses included in succession planning instruments also play a very important role in this context. 6. Roles and Responsibilities of Fiduciaries 6.1 Prevalence of Corporate Fiduciaries The use of corporate fiduciaries is not prevalent in Portugal. 6.2 Fiduciary Liabilities This is not applicable in Portugal. 6.3 Fiduciary Regulation This is not applicable in Portugal. 6.4 Fiduciary Investment This is not applicable in Portugal.
7. Citizenship and Residency 7.1 Requirements for Domicile, Residency and Citizenship Residency Permit Any EU national may obtain a residence permit in Por - tugal if: • they have a professional activity as a worker or are self-employed in Portugal; or • they have sufficient funds and are covered by health insurance when the same applies to Portu - guese citizens in their country of origin. Regarding third-country nationals, a residence permit is granted for: • the exercise of independent professional activities; • the exercise of professional activities under an employment contract; • investment activity; • the exercise of a highly qualified activity or teach - ing; • students in secondary or higher education; • interns or trainees; • volunteers; • researchers; and • family reunification. In 2012, Portugal enacted a special permit (expedi - tious and simplified) for investment activities (the so- called Golden Visa). Under this regime, the qualifying investment activities (carried out directly or through a single-member company incorporated in Portugal or in any other EU member state, as long as it has a permanent establishment in Portugal) entitle the appli - cant to a temporary residence permit. Furthermore, the investor’s family members may also benefit from a family reunification permit. The Golden Visa grants the investor the right to remain in Portuguese territory and the right to free movement in the Schengen area. Moreover, after five years, the beneficiaries of the Golden Visa may apply for a per - manent visa or for Portuguese (and European) citizen - ship.
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