Brazil implements new book-entry duplicate regulations

New regulatory dynamics in Brazil are changing how 'duplicatas' (trade bills) are recorded, negotiated, registered, and paid. Based on Law No. 13,775/2018 and regulated by the Central Bank of Brazil, the implementation of book-entry duplicates (duplicata escritural) increases visibility over credit titles by electronically registering data regarding their existence, ownership, negotiation, and settlement.

This change affects not only companies that anticipate their receivables or use them as guarantees, but also those whose suppliers negotiate duplicates issued against them. In such cases, the beneficiary of the title may change, requiring the debtor to monitor the status of the duplicate and ensure payments are made to the correct creditor.

To adapt, companies will need to integrate their Enterprise Resource Planning (ERP) systems with authorized book-keeping systems to reconcile information and respond to acceptances or refusals within regulatory deadlines.