Litigation 2025

BRAZIL Law and Practice Contributed by: Arthur Villamil, Villamil Advogados

1. General 1.1 General Characteristics of the Legal System Brazil is a constitutional state, organised as a fed- eration, and operates under a civil law system. This system is characterised by an inquisitorial approach, where the judge plays a central role in managing the proceedings. The judge has the authority to independently order the collection of evidence. The proceedings are mainly con- ducted through written submissions, although there are opportunities for oral submissions. Unlike systems that utilise juries, Brazil relies on a single judge to evaluate all submissions and evidence before delivering a first verdict. In appellate courts, cases are reviewed by a panel, ensuring a level of oversight and consistency in rulings. The Superior Court of Justice (STJ) and the Supreme Federal Court (STF) serve as the pinnacle of the judicial hierarchy, handling appeals on matters of law and constitutional interpretation. 1.2 Court System Brazil’s judicial hierarchy begins with the STF, which has ultimate jurisdiction over constitution- al matters. Below it is the STJ, which is tasked with ensuring uniform interpretation of federal law by reviewing appellate court decisions. At the appellate level, cases are typically heard by a panel of three judges, while first instance courts generally have a single judge presiding over cas- es. In the first instance, cases are conducted and adjudicated by a single judge, with all evidence collection exclusively undertaken at this stage. Within the general court system, there are both federal and state courts. Federal courts handle cases involving the federal government or its entities, such as federal agencies and federal

tax. State courts, on the other hand, have juris- diction over all other matters not specifically assigned to federal courts. Specialised courts in Brazil include labour, elec- toral, and military courts. In major cities, courts are often organised by speciality, such as fam- ily, commercial, intellectual property, and insol- vency, to better address specific types of legal issues. 1.3 Court Filings and Proceedings Judicial proceedings are generally public and open for any individual to access. Since 2019, electronic systems have been widely adopted across most jurisdictions, enabling full online access to case files. However, some excep- tions exist, such as cases involving arbitration; the enforcement of arbitral awards; family law matters; and competition and antitrust disputes. Furthermore, parties may petition for confiden- tiality in specific cases, provided they present valid reasons, although the final decision is at the discretion of the judge. 1.4 Legal Representation in Court As a rule, parties must always be represented by an attorney appointed through a power of attor- ney. Only Brazilian lawyers, registered with the Brazilian Bar Association (OAB), are permitted to act in judicial proceedings in Brazil. In specific proceedings in small claims and labour courts, parties are not required to be represented by an attorney. A corresponding power of attorney must also be included in the case records. 2. Litigation Funding 2.1 Third-Party Litigation Funding Third-party litigation funding is possible, and it has been gaining acceptance, especially in com-

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