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Legal Update

New Deadlines for the Completion of the Geodesic Survey of Rural Properties

11 April 2018
Tauil & Chequer Legal Update

According to Federal Law No. 10,267/01, rural properties in Brazil are subject to a geodesic survey, which means that the description of the limits, the total area and the boundaries of rural properties shall be made in accordance with the requirements established by the Technical Standard for Geodesic Survey of Rural Properties defined by INCRA (Brazilian Agrarian Settlement Institute), which imposes the obligation to describe their limits, characteristics and boundaries through a descriptive memorial prepared by a qualified professional, containing the coordinates of the defining vertices of the rural properties boundaries connected to the Brazilian Geodesic System.

The annotation of the geodesic survey of rural properties in the respective real estate record file will be mandatory for split and unification of rural properties, as well as for any ownership transfer and creation or modification of the description of the rural property resulting from any judicial or administrative proceeding, in accordance with certain deadlines set forth by law.

On March 16, 2018, Federal Decree No. 9,311 was published in the Official Gazette of the Federal Government, whereby the Federal Government redefined the mandatory deadlines for the completion of the geodesic survey of rural properties. The new deadlines are: (i) until November 20, 2018 for rural properties with total area between one hundred (100) and less than two hundred and fifty (250) hectares; (ii) until November 20, 2023 for rural properties with total area between twenty-five (25) and less than one hundred (100) hectares; and (iii) until November 20,2025 for rural properties with total area of less than twenty-five (25) hectares.

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Observations in this update about Brazilian law are by Tauil & Chequer Advogados. They are not intended to provide legal advice to any entity; any entity considering the possibility of a transaction must seek advice tailored to its particular circumstances.

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