Brazil: Brazilian Civil Code Reform: Innovations and Controversies of Bill 4/2025
Bill No. 4/2025 (“Bill”), which proposes a broad reform of the Brazilian Civil Code (Law No. 10.406 of January 10, 2002), has already generated intense discussions in legal circles. Delivered in February by the them president of the Senate, Rodrigo Pacheco, to the president of the Federal Supreme Court, Justice Luís Roberto Barroso, the text results from the work of a Commission of Jurists coordinated by the Justice of the Superior Court of Justice, Luís Felipe Salomão, and represents the most ambitious proposal to amend the Code since it was enacted in 2002.
The stated intention of the reform is to update the Civil Code in response to the social, economic, and technological changes of recent decades. The bill encompasses varied and relevant matters such as contracts, property, civil liability, family and succession law, and incorporates, for the first time, an unprecedented chapter on Digital Civil Law.
The proposal addresses sensitive aspects of contemporary private life, such as new family configurations, digital assets, and the use of artificial intelligence in legal relationships.
Among the most controversial topics is the proposed amendment to Article 421 of the Civil Code, which seeks to reinforce the freedom of contract and limit judicial review of contracts. The new paragraph one of said article mentions “minimum and exceptional intervention”, but it does not specify in which situations it would apply. The risk here is twofold: by presuming parity between the parties, even when there is a de facto imbalance, and by treating the social function of contracts as a vague concept, without clear criteria. The social function, although relevant, is often criticized for its vagueness — and the reform does not solve this problem. The result could be just the opposite of what was intended: more cases brought to court, less predictability, and greater legal uncertainty.
On the other hand, the proposal also seeks to respond to the challenges of the 21st century. One of the most innovative elements in the text is the introduction of specific rules on Digital Civil Law.
For the first time, the Civil Code might establish rules on the treatment of digital assets, the inheritance of electronic accounts and assets, the validity of contracts signed electronically, and even liability arising from the use of artificial intelligence.
The reformulation also advances by addressing the transparency duties of digital platforms, discussing the repeal of provisions of the Civil Rights Framework for the Internet, and expand the protection of personality in cases of virtual exposure.
The Bill also proposes adjustments to traditional issues, but which have a major practical impact, such as the property regime in marriage, the possibility of multi-parenthood, the rules on civil liability for environmental damage, and valuing the autonomy of people with disabilities, in line with the United Nations Convention on the subject.
The bill will now be discussed in Congress, with stages including public hearings and parliamentary amendments.
This is an important moment for Brazilian civil law. Irrespective of its final version, the Bill represents a clear attempt to reposition the Civil Code for a new era — and demands technical and critical attention from the entire legal community.
Our law firm is closely monitoring the processing of the bill and is available to discuss its possible effects on contracts, estate planning, business structuring, and other branches of private law.
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For more information on the above or other matters, please contact Maristela SA Rossetti (mar@rraa.com.br) or Gilberto Rossetti (gmr@rraa.com.br).
This article is based on publicly available information and given for informational purposes only. It is not intended as legal advice foreign subsidiary as a comprehensive analysis of the matters referred to herein.