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Substantive consolidation in the upcoming Brazilian Bankruptcy Law reform

20 May 2020

Substantive consolidation in the upcoming Brazilian Bankruptcy Law reform Fabiana Solano and Thiago Dias Costa / Felsberg Advogados

Partner Fabiana Solano and associate Thiago Dias Costa at Felsberg Advogados in Saõ Paulo discuss new rules on substantive consolidation of debtors’ assets in the draft bankruptcy bill pending before Brazil’s Congress. While the new rules offer a clear improvement to the current regime, the authors argue the terms under which they are proposed to apply may result in different interpretations and ongoing uncertainty.