Judicial Administration and Court-Appointed Mandates

The judicial administrator (administrador judicial) is an officer of the court. It represents neither the debtor nor the creditors: it monitors, verifies, reports and renders accounts. Under Art. 22 of Law No. 11,101/2005 (the Brazilian Bankruptcy and Reorganization Act), the judicial administrator conducts the verification of claims, files monthly activity reports, monitors compliance with the reorganization plan, chairs the General Meeting of Creditors and, in bankruptcy liquidation, collects and disposes of the estate’s assets.

The quality of that work largely determines the quality of the proceeding. A poorly built general list of creditors contaminates every deliberation that follows; an incomplete monthly report prevents the court and creditors from seeing deterioration in time.

The same applies to the other court-appointed mandates. The liquidator conducts the orderly winding-up of a dissolved company (Arts. 1,102–1,112 of the Brazilian Civil Code), realizing assets, paying liabilities and distributing the remainder. The court-appointed estate administrator (inventariante dativo) is appointed when no heir can or will assume the role (Art. 617, VIII, of the Brazilian Code of Civil Procedure), managing the estate until distribution.

Our practice

We have served since 2005 in court-appointed mandates of judicial administration, liquidation and estate administration, acting in Paraná, São Paulo, Santa Catarina and the Federal District.

Edison Eduardo Borgo Reinert (Brazilian Bar Association — OAB/PR 40,286 and OAB/SP 327,024) serves as judicial administrator, trustee (síndico) and court-appointed expert, and is a guest lecturer at Brazil’s National School for the Training and Development of Judges (ENFAM) and at the Superior School of Advocacy of the OAB/PR.

For each appointment, we build the case team according to the size and complexity of the estate, integrating partner professionals in accounting, asset valuation and operational support as the oversight work requires.

Our conduct rests on two commitments: rigour in the verification of claims, with individually reasoned decisions on each proof of claim and challenge; and impartiality in conducting creditors’ meetings and negotiations, preserving the equidistance the role demands.

The publicly filed documents of the proceedings in which we hold these mandates are available in a dedicated public consultation area (in Portuguese).

What the mandate covers

• Verification of claims and preparation of the list of creditors (Art. 7)
• Review of proofs of claim, challenges and discrepancies
• Monthly activity reports and oversight of the debtor (Art. 22, II)
• Convening and chairing the General Meeting of Creditors
• Monitoring compliance with the judicial reorganization plan
• Collection, valuation and sale of assets in bankruptcy liquidation
• Report on the causes of the bankruptcy and on suspect transactions (Art. 22, III, “e”)
• Rendering of accounts to the court
• Winding-up of dissolved companies: realizing assets, paying liabilities and distributing the remainder
• Administration of decedents’ estates as court-appointed estate administrator

Related practice areas

Judicial Reorganization and Bankruptcy · Probate and Succession · Corporate Law and Commercial Contracts