Countries › Brazil › Guide › 14. Disputes › Claims against the state in Brazil: writs of mandamus, the 5 year limit, precatórios, small value requisitions and arbitration with the administration

Claims against the state in Brazil: writs of mandamus, the 5 year limit, precatórios, small value requisitions and arbitration with the administration

Last verified: 2026-10-27 · Status: Changing

Illegal acts by public authorities can be challenged quickly by a writ of mandamus (mandado de segurança), which must be filed within 120 days of learning of the act and carries no adverse fee award; most other claims against federal, state and municipal governments prescribe in 5 years. Money judgments against the state are not paid by attachment: they are paid through precatórios in chronological order, in the budget of the year after the one in which they are presented by 1 February, while small value claims (up to 60 minimum wages, R$97,260 in 2026, for the Union) are paid within 60 days. Since the 2025 constitutional amendment, federal requisitions earn IPCA plus 2 percent a year, capped at Selic; precatórios can be sold to third parties, and arbitration with the administration is available for contract disputes, with awards paid through the same system.

USD figures use the Banco Central do Brasil PTAX selling rate of R$5.3346 per US dollar for 27 October 2026. The real moved sharply in late October (R$5.0377 on 23 October and R$5.5007 on 26 October), so conversions are for orientation only.

Key facts

Deadline to file a writ of mandamus	120 daysLei nº 12.016/2009 art. 23, as of 2009-08-07 · in force
Limitation period for claims against the state	5 yearsDecreto nº 20.910/1932 art. 1, as of 1932-01-06 · in force
Date by which a precatório must be presented to be paid by the end of the following year	1 February dateCF art. 100 § 5 as worded by EC 136/2025, as of 2025-09-09 · in force
Federal small value requisition limit in 2026 (60 minimum wages)	97260 BRLLei nº 10.259/2001 arts. 3 and 17 § 1; Decreto nº 12.797/2025, as of 2026-01-01 · in force
Days to pay a federal small value requisition	60 daysLei nº 10.259/2001 art. 17, as of 2001-07-12 · in force
Correction of federal requisitions	IPCA plus 2 percent simple a year, capped at Selic EC 113/2021 art. 3 as worded by EC 136/2025, as of 2025-09-09 · in force

The rule

1. A writ of mandamus protects a clear and certain right (direito líquido e certo) against an illegal act or abuse of power by any authority, including private persons exercising public functions, but not against commercial management acts of state companies and concessionaires. The judge asks the authority for information within 10 days and may suspend the act if the grounds are relevant and the measure would otherwise be ineffective, possibly requiring a guarantee. The right to file expires 120 days after the interested party learns of the act, and no attorney fees are awarded, except penalties for bad faith.
Cost to do it: Court fees under the relevant table; no award of adverse attorney fees (art. 25).Lei nº 12.016 of 7 August 2009 (Writ of Mandamus Law), Arts. 1 caput and § 2, 7 items I and III, 23 and 25, 2009-08-07 official text · verified 2026-10-27

2. Debts of the Union, states and municipalities, and any right or action against federal, state or municipal treasuries, prescribe in 5 years from the act or fact that gave rise to them.Decreto nº 20.910 of 6 January 1932, Art. 1, 1932-01-06 official text · verified 2026-10-27

3. Payments by federal, state, district and municipal treasuries under court judgments are made only in the chronological order of presentation of precatórios. Precatórios presented by 1 February must be included in the budget and paid by the end of the following year. Support debts (alimentícios) have priority, and elderly, seriously ill or disabled holders have super priority up to three times the small value limit. The court president orders payment and can order seizure of funds only if a creditor's precedence is breached or the amount is not budgeted.Constituição Federal of 5 October 1988, as amended by Emenda Constitucional nº 136 of 9 September 2025, Art. 100 caput and §§ 1, 2, 5 and 6, 2025-09-09 official text · verified 2026-10-27 · changed: Emenda Constitucional nº 136 of 9 September 2025 moved the cut off date for inclusion of precatórios in the next budget to 1 February, set new correction rules and capped annual precatório payments by states and municipalities as a share of net current revenue.

4. Obligations defined by law as small value are paid without precatório. For the Union, the limit is the same as the federal small claims court ceiling, 60 minimum wages, and payment is made within 60 days of the requisition being delivered, at a Caixa Econômica Federal or Banco do Brasil branch. Each state and municipality sets its own limit by law, at least equal to the highest general social security benefit. Splitting a claim to fit under the small value limit is prohibited.
Example: In 2026 a federal small value requisition covers up to R$97,260 (60 minimum wages of R$1,621). / About US$18,232.Constituição Federal of 5 October 1988; Lei nº 10.259 of 12 July 2001 (Federal Small Claims Courts), CF art. 100 §§ 3, 4 and 8; Lei nº 10.259 arts. 3 and 17 caput and § 1, 2001-07-12 official text · verified 2026-10-27

5. Requisitions against the federal treasury are corrected from issue to payment by the IPCA, with simple default interest of 2 percent a year and no compensatory interest; if the result exceeds the Selic rate for the same period, Selic applies instead, and tax cases use the same criteria the treasury applies to its own tax credits. No default interest runs during the constitutional payment period. Requisitions against states, the Federal District and municipalities follow IPCA plus 2 percent a year from 1 August 2025, also capped at Selic.
Example: A R$5,000,000 federal precatório with 4 percent IPCA in a year would accrue about 6 percent, R$300,000, unless Selic for the period is lower. / About US$56,237 on about US$937,277.Emenda Constitucional nº 113 of 8 December 2021, art. 3, as worded by Emenda Constitucional nº 136 of 9 September 2025; ADCT art. 97 §§ 16 and 16-A, EC 113 art. 3 caput and §§ 1 to 3; ADCT art. 97 §§ 16 and 16-A, 2025-09-09 official text · verified 2026-10-27 · changed: Emenda Constitucional nº 136 of 9 September 2025 replaced Selic based correction of federal requisitions with IPCA plus 2 percent simple interest a year, capped at Selic.

6. Creditors may assign precatórios in whole or in part to third parties without the debtor's consent; the assignment takes effect after notice by petition to the court of origin and to the debtor government, and the assignee does not benefit from the super priority of § 2 or the small value regime of § 3. Where the debtor government's law allows, creditors may use precatórios to settle tax debts in instalments or in active debt, buy public property or pay concession grants.Constituição Federal of 5 October 1988, as amended by Emendas Constitucionais nº 62 of 2009 and nº 113 of 2021, Art. 100 §§ 11 items I to III, 13 and 14, 2021-12-08 official text · verified 2026-10-27

7. The public administration may arbitrate disputes over disposable property rights; such arbitration is always at law and public. In federal port and transport concessions, an award ordering the Union or its autarchies to pay money is paid by precatório or small value requisition, and the winning party must start enforcement in the competent court; by agreement, the award can instead be performed through contractual rebalancing mechanisms, offset of non tax amounts or payment by a third party.Lei nº 9.307 of 23 September 1996, as amended by Lei nº 13.129 of 26 May 2015; Decreto nº 10.025 of 20 September 2019, Lei nº 9.307 arts. 1 § 1 and 2 § 3; Decreto nº 10.025 art. 15 caput and §§ 1 and 2, 2019-09-20 official text · verified 2026-10-27

Type	Federal limit 2026	Payment timing	Correction
Small value requisition (RPV)	Up to 60 minimum wages, R$97,260 (US$18,232)	60 days from delivery of the requisition	IPCA plus 2 percent a year, capped at Selic
Precatório	Above the RPV limit	By end of the year after presentation, if presented by 1 February	IPCA plus 2 percent a year, capped at Selic; no default interest within the payment period
States and municipalities	Own law, at least the highest RGPS benefit	Budget rules plus EC 136 revenue caps	IPCA plus 2 percent a year from 1 August 2025, capped at Selic

How the state pays money judgments (CF art. 100; Lei nº 10.259).

Worked example

A concessionaire wins a R$5,000,000 (about US$937,277) final judgment against a federal autarchy. The court issues a precatório; if presented by 1 February 2027 it must be budgeted for 2028 and paid by 31 December 2028 (CF art. 100 § 5), corrected by IPCA plus 2 percent a year capped at Selic (EC 113 art. 3 as worded by EC 136). Needing cash earlier, the concessionaire sells the precatório to a fund and notifies the court and the autarchy (CF art. 100 §§ 13 and 14).
A foreign owned importer learns on 2 March of a customs authority's act it considers illegal. It files a writ of mandamus within 120 days (Lei nº 12.016 art. 23), asks for suspension of the act (art. 7 III), and faces no adverse fee award if it loses (art. 25).

Step by step

1. For an illegal act by an authority, gather documentary proof and file a writ of mandamus within 120 days (Lei nº 12.016 art. 23).
2. For damages or contract claims, sue within 5 years (Decreto nº 20.910 art. 1), or use mediation through the government's conflict chamber, which suspends limitation (Lei nº 13.140 art. 34).
3. In concession and procurement contracts, check whether disputes go to arbitration (Lei nº 14.133 art. 151; Decreto nº 10.025).
4. After a final money judgment or award, start enforcement and track the precatório or RPV and its cut off date of 1 February (CF art. 100 § 5).
5. Consider assigning the precatório if you need liquidity, giving notice to the court and the debtor (CF art. 100 § 14).

Common traps

Missing the 120 day mandamus window, which forces a slower ordinary action (Lei nº 12.016 art. 23).
Expecting to attach public assets: payment is only through precatório or RPV (CF art. 100).
Splitting a claim to fit under the small value limit, which is prohibited (CF art. 100 § 8).
Using a writ of mandamus against commercial acts of state companies, which is not allowed (Lei nº 12.016 art. 1 § 2).
Assuming federal requisitions still earn Selic: since EC 136 of 2025 they earn IPCA plus 2 percent, capped at Selic.

Sources

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