Questões Frequentes
Property Rights
What’s a Hereditary Share?
It is the fraction or share of the inheritance to which the heir is entitled, that is, the part held by the heir. It is not full ownership.
Between the moment of acceptance and the moment of division, the heirs have a hereditary share, corresponding to their portion of the inheritance, which will be defined at the time of division. Inheritance shares are equivalent to the number of heirs.
While the inheritance remains undivided, that is, an inheritance that, although accepted by the heirs, has not yet been divided, what the heirs are entitled to in the inheritance are not concrete assets, but rather an inheritance share, meaning a part or percentage of the total assets, rights, and debts (assets and liabilities) that constitute the inheritance.
Can I sell a Hereditary Share?
Yes, it is possible. It is important to know that when an hereditary share is sold or given in payment to strangers (i.e., third parties who are not heirs), the other heirs (co-heirs) have a right of preference, as this right applies to co-owners.
The right of preference can be exercised within 2 months after the notification of the sale.
In other words, when intending to sell the inheritance share, the heir must give preference to the co-heirs regarding their intention to sell, specifying the terms of the transaction, including the name of the buyer, price, and payment conditions.
What’s an Usufruct?
It is a right granted to someone who, for a certain period, can enjoy a property, whether immovable or movable, that belongs to another person.
This right protects the person who wishes to transfer ownership of their property to someone else but wants to continue enjoying it while they are alive.
How long can an Usufruct last?
The usufruct declaration can have a fixed duration as specified in the contract or it can be lifelong, terminating only upon the death of the usufructuary.
After the usufructuary’s death, do the heirs have a right to the property?
In the event of the usufructuary’s death, the heirs who are not specified in the sale or donation contract and in the usufruct declaration do not have a right to the property. Even if they are legal heirs, this specific property cannot be considered part of their inheritance.
Where can the grant of a Usufruct Right be formalized?
For the usufruct to be legally valid, it is necessary to issue a usufruct declaration properly signed by the parties and recognized at any Notary Office or Registry Office, or by a lawyer or solicitor.
Is it possible to annul the grant of a Usufruct Right?
Yes, it is possible. Either party can annul this condition, provided there is mutual agreement. In this case, both parties must formalize the change at a Notary Office or Registry Office. There are no taxes to be paid. However, it is necessary to cover the costs of the acts at the Notary Office or Registry Office, or to the lawyer or solicitor.
What happens if the Owner decides to Sell the Property?
If the owner decides to sell the property, the usufruct right remains intact.
What are the Rights of the Usufructuary?
The usufructuary has the following rights:
- Rent out the property. The owner cannot oppose this rental once the usufruct right is granted. However, the lease contract expires upon the landlord’s death. By law, the death of the usufructuary extinguishes the usufruct right. Consequently, the lease contract becomes invalid. The owner can demand the return of the property 6 months after the usufructuary’s death;
- Continue to reside in the property, even if it is sold. The buyer cannot occupy the house or evict the usufructuary. Although it may be a difficult transaction, as the buyer cannot inhabit or generate income from the property, this possibility is legally recognized;
- The usufruct of property can be a form of inheritance, even for those who are not heirs by law. The property owner can choose who will have the right to use the property and, eventually, have full and final possession of it;
- Ease in creating a usufruct contract for property.
What are the Duties of the Usufructuary?
The usufructuary must fulfill the following duties:
- Manage and take care of the property as if it were their own. The property should be well-maintained and, upon the end of the usufruct, should not present any damage that was not caused by normal use;
- Pay expenses such as property tax (IMI) and other charges;
- Make necessary repairs for the maintenance and preservation of the property. In contrast, major repairs and improvements are the responsibility of the owner.
What is a Bare Property?
The property belongs to a specific person, who does not have possession or use of it.
Therefore, it implies ownership of the property, although it does not include the right of usufruct, which belongs to the usufructuary until their death or until the end of the determined term for the usufruct.
Is it possible to sell a Bare Property?
Yes, it is possible. The owner has the power to transfer the bare property through a sale or donation, and the power to use it as collateral, for example, in a bank loan.
What are the Rights of the Bare Owner?
The bare owner must enjoy the following rights:
- The bare owner has rights over the property and can sell it. However, the buyer will only acquire the root of the property. In other words, the sale does not annul the existence of the usufruct right, which only ends with the death of the usufructuary or the expiration of the established term for the usufruct.
What are the Duties of the Bare Owner?
The bare owner must fulfill the following duties:
- Make necessary repairs that involve major interventions and improvements to the property. For example: ruptures of internal and external water and sewage pipes, construction defects, and the like.
What is a Property Root?
The property belongs to a specific person, who does not have possession or use of it.
Therefore, it assumes ownership of the property, although it does not imply the right of usufruct, which will belong to the usufructuary until their death or when the determined period for the usufruct ends.
Is it possible to sell a Property Root?
Yes, it is possible. The owner has the power to transfer the root through a sale or donation, and the power to use it as collateral, for example, in a bank loan.
What are the Rights of the Owner of the Root of a Property?
The Owner of the Root of a Property must enjoy the following rights:
- The owner of the root has rights over the property and can sell it. However, the buyer will only acquire the root of the property. In other words, the sale does not annul the existence of the usufruct right, which only ends with the death of the usufructuary or the expiration of the established term for the usufruct.
What are the Duties of the Owner of the Root of a Property?
The owner of the root of a property must fulfill the following duties:
- To make necessary repairs that involve major interventions and improvements to the property. For example: ruptures of internal and external water and sewage pipes, construction defects, and the like.
What is a Surface Right?
It is a real right granted to another person, by the landowner, either permanently or temporarily, to construct a building on the land.
In other words, it grants the perpetual or temporary right to build or maintain a structure on someone else’s land, or to make or maintain plantations on it.
Unlike usufruct, which consists of the right to use someone else’s property, the right of surface is a real right (of ownership) over the structure or plantation built (or planted) on the land.
The Surface Right and the Property Right of the landowner are distinct legal entities but are interdependent. Since it is a real right, this surface property can be transferred without necessarily transferring the ownership of the land.
The holder of the Surface Right is called the superficiary, while the landowner is called the landowner.
How and Where is the Surface Right established?
The Surface Right is established through a contract, will, or adverse possession, either for consideration or free of charge.
It can result from the transfer of a pre-existing structure or trees on the land, as long as it does not include ownership of the land.
The deed for the Surface Right can be executed at a Notary’s Office or a Land Registry Office, or through a Private Document authenticated by a solicitor.
How is the Surface Right extinguished?
In the document establishing the Surface Right, both parties may stipulate its termination upon the occurrence of any condition or as a result of the destruction of the structure or trees.
Additionally, the surface right is also extinguished:
- If the superficiary does not complete the construction or proceed with planting within the established deadline, or if no deadline is set, within ten years;
- Once the structure or trees are destroyed, if the superficiary does not rebuild the structure or replant within the same timeframes starting from the destruction;
- When it is established for a fixed period and that period has expired;
- By the merging of the surface right and the right of ownership in the same person;
- Due to the disappearance or destruction of the land;
- Through expropriation for public utility.
What are the Rights of the Superficiary?
The superficiary should enjoy the following rights:
- Use the surface of the landowner’s land under the terms of the contract;
- Enjoy and dispose of the construction or planting on the surface as their own, separate from the landownership;
- Exercise the right of first refusal to acquire the land.
What are the Duties of the Superficiary?
The superficiary must fulfill the following duties:
- Pay the landowner the compensation agreed upon contractually between both parties;
- Build, construct, or plant according to the terms of the contract and, if a construction project is involved, respect the plans agreed upon in the contract;
- Maintain the constructed work, and in case of a sale, notify the landowner so that they can exercise the right of first refusal to purchase.
What are the Rights of the Landowner?
The landowner should enjoy the following rights:
- Receive from the superficiary the compensation agreed upon contractually between both parties;
- Before construction or planting begins, the use and enjoyment of the surface rights of the land belong to the landowner, so they can use the land until construction or planting starts;
- If there is any portion of the land not used by the superficiary, the landowner can continue their activity on the unused land, provided such use is specified in the contract established between both parties;
- The landowner may terminate the contract before its expiration if the superficiary fails to build or plant within the agreed time frame, or if they use the land for a purpose different from what was agreed upon.
What are the Duties of the Landowner?
The landowner must fulfill the following duties:
- Not to prevent or hinder any activity or the exercise of the superficiary’s rights;
- Ensure the land is of proper quality and suitable for the use and purpose contracted;
- Give preference to the superficiary for the purchase of the land in case of a sale for valuable consideration.
What is Moiety?
Moiety is the share that each spouse is entitled to over the assets that make up the couple’s estate. In practice, this means that if we add up the shares of each member of the couple, the result will be the total common estate (properties, vehicles, among others).
In marriage regimes where there are common assets (community of property, general community, and atypical regimes), the sharing of the couple’s assets applies, meaning each spouse is entitled to 50% of the collective estate, as the law presumes that both contributed equally.
This means that the members of the couple do not have rights over each individual common asset but rather over half of the entirety of the assets that make up the common estate.
What is the difference between a “meeiro” and an heir?
When dealing with an inheritance, it is important to distinguish between a “meeiro” and an heir. The “meeiro” is the spouse married under a regime that grants them the right to half of the couple’s estate. No other family member can be considered a “meeiro.” An heir is someone legally recognized as having the right to inherit the whole or a portion of the deceased’s estate, such as the spouse and the deceased’s children.
What is a Proportion?
The property being sold does not constitute full ownership, but only a part, or a proportion, of it. Common ownership or co-ownership exists when two or more people are simultaneously holders of the property rights over the same asset.
Do all co-owners have the same percentage/part of the property?
A property can have two (or more) owners, but they do not need to own equal shares. For example, one may own 66.66% (or a 2/3 fraction) of a property, while the other owns only 33.33% (a 1/3 fraction) of the same property.
What are the Rights of Co-owners?
Co-owners collectively exercise all the same rights as a sole owner would. Additionally, any of the co-owners can enjoy the property.
What are the Duties of Co-owners?
Similar to rights, co-owners have the same duties that a sole owner would have. That is, the payment of Municipal Property Tax (IMI), in proportion to their share.
Assets
On average, what is the co-relation between the minimum bid value and the valuation value of the asset?
The minimum bid value in relation to market value depends on a number of factors, such as the type, geographical location or supply of services in the area, as well as the status of the asset in question.
Are the assets sold free of charges?
Yes, always. If otherwise, it will be notified to the interested parties.
What is the state of conservation of the assets at auction?
The assets are sold in the state in which they are at the time of their disposal. Given that all real estate originating from insolvency proceedings/executives were once inhabited or held by the current insolvent mass/executed, and thus goods are used, it becomes essential to visit, so that the potential buyer can bid without reservations.
Can I proceed to buy assets without having previously visited them?
You can, on your own account. The assets are sold in the condition, physical and legal state in which they are, so LEILOSOC® Worldwide declines any responsibility regarding their state of conservation or operation. In this way, the photographs present on the site/brochure may not be sufficiently enlightening to make a fair assessment of the asset you intend to sell. It is therefore recommended to inspect the property or movable asset in advance.
Is it possible to visit the properties and movable asset that will be auctioned before the end of the auction?
Yes. Not only it’s possible, it’s encouraged. Assets should always be visited before any bidding is made. LEILOSOC® Worldwide is responsible for organizing the visits, which may have a pre-defined day or be scheduled with the auction manager. However, the buyer is responsible for the inspection of the goods, and the lack of this analysis cannot be attributed to LEILOSOC® Worldwide.
Are the assets sold individually or together?
Assets can be sold batch by batch, or through a sales combination, which normally brings together all the batches in the process, into one batch.
Who owns the assets at auction?
The assets for sale are the property of the insolvency or executive proceedings, or of a private seller (individual or collective). The owner, in the case of legal proceedings, is duly identified in the auction description found on the platform. In the case of a particular seller, the seller can choose whether or not their identification is published on the auction platform.
How can I obtain information about the auctioned assets?
Information about the assets is available at leilosoc.com, and also in our newsletter, which you can subscribe to on our platform. You can also contact the colleague responsible for the property or movable asset, which is on the auction page of the property.
Do the properties have all the information required by law?
Not always, as it depends on the seller.
If the seller is an insolvent estate, it is exempt by law from displaying a user license, energy certificate, or technical sheet, although these documents may exist. The property can be sold and registered without this documentation since being a judicial sale is an exception to the law.
However, if the bidder needs to display the documentation in question for any purpose, it is his responsibility to obtain it, as well as the inherent costs.
In cases where the properties come from a seller, bank, or similar, all documentation required by law to perform the sale is assured.
Do assets for sale have a warranty?
No. Assets from insolvent estates are sold in the physical and legal state in which they are found, free of encumbrances or charges, without guarantees of any defects that may arise or that eventually exist.
Registration
Is it free to register at LEILOSOC Market Partners® website?
Creating an account at LEILOSOC® is completely free. The accounts are used to buy assets at auction. Buyers will only pay commission over granted lots.
LEILOSOC
Who are the experts at LEILOSOC® Worldwide?
Each event is supervised by a wide range of experts, who evaluate all assets for sale to provide the best quality auctions possible. Located in different parts of each country where LEILOSOC® Worldwide is present, each specialist is truly an expert in their area of expertise.
What makes LEILOSOC® Worldwide so unique?
LEILOSOC® Worldwide is an auction platform with online and live auctions, private negotiations, sealed letter submission, and buy now auctions. Each event is supervised by a set of experts, who evaluate all assets for sale to provide auctions with the best quality possible. LEILOSOC® Worldwide auctions are open to the general public and not just to professionals, which provides a direct link in the valuation of the goods put on sale.
For how long has LEILOSOC® Worldwide existed?
LEILOSOC® Worldwide was created on February 17th 2000.
What is LEILOSOC® Worldwide?
LEILOSOC® Worldwide is an auction platform certified by Google Trust Services, with a management system with ISO 9001:2015 accredited quality certification and whose activity is licensed by the Directorate-General for Economic Activities (DGAE), in line with Decree-Law n. º 155/2015 of august 10th.
Live Auction
Where does the auction take place?
The auction site is advertised in the auction area at and usually takes place in a hotel or on the insolvent’s premises.
What happens to me if I buy an asset and I refuse to sign the Promise of Purchase and Sale Agreement?
You immediately lose the right to claim the security deposit made at the beginning of the auction and are subject to the legal implications provided for by law.
Do I have to pay a deposit to sign up for the auction?
Yes. You will pay a deposit of € 5,000.00. This deposit (which is not a fee) will be paid in check, at the order of LEILOSOC® Worldwide at the time of registration or buy bank transfer. The deposit will be returned to the prominent buyer if they didn’t buy a lot or already proceeded to the payment of the sign of the Promise of Purchase and Sale Agreement of the completed lot(s).
What do I need to do to sign up for the auction? Does the registration involve a cost?
On the day of the auction, you must register with the LEILOSOC® Worldwide employees present at the auction. The registration does not involve any cost for the prominent buyer.
Do I have to be present in the auction to be able to bid?
It is advisable to attend the auction. However, there is the possibility to conduct your bids by phone, through the LEILOSOC® Worldwide employees present at the auction. In order to be able to bid by telephone, you must contact LEILOSOC® Worldwide in advance and complete all necessary formalities to do so.
What is a Live Auction organized by LEILOSOC® Worldwide?
LIVE AUCTION consists in carrying out procedures for the public sale of assets to the bidder offering the best price. This form of sale is carried out in a Public Auction, at a previously defined time and place (hotel or other facilities), where interested parties must register and participate in person.
Online Auction
Do I have to pay a deposit to sign up for an online auction?
No, it’s not necessary to pay any deposit to sign up for an online auction.
What do I need to do to participate in the Online Auction?
Bidders and potential bidders must be duly registered on the LEILOSOC® portal before making any bidding. In the creation of an account on the leilosoc.com platform must contain all the identification elements necessary for the invoicing and / or preparation of the Contract-Promise of Purchase and Sale, such as name, address / headquarters, Number of B.I./Citizen card or permanent certificate and fiscal number. Upon completion of the registration, the client will be asked to confirm the email account. The confirmation is essential to validate the requested e-mail and be allowed to bid.
Registration is free of charge and does not involve any risk to the customer.
Is the asset awarded to the bidder with the highest bid?
The asset is awarded to the highest bid if it is equal to or greater than the Estimate Value indicated in the auction. If the bid is lower, it will be considered as an Offer Register, and will be considered by the Insolvency Administration or the Seller.
What is an Online Auction organized by LEILOSOC® Worldwide?
ONLINE AUCTION consists on a series of procedures destined to the public sale of assets to the highest bidder. The bidders can present their offers by bidding on LEILOSOC® Worldwide’s website (www.leilosoc.com), only after registering.
Bids
Are the bids visible to other interested parties?
Other interested parties have access to the most recent bid.
Will I be notified if my bid is surpassed?
Yes. Bidders are notified by e-mail if there is a bidding that surpasses theirs. You can also consult Your Bids in Your Account. You just have to click on My Bids.
Is there a minimum bid amount for each asset that goes to auction?
Yes. The minimum bid value, referred to as opening value, depends on the opening value of each batch and no bid below opening value is accepted.
Can I bid in more than one asset at the same time?
Yes. Participants are not limited in terms of bidding or auction participation.
However, we draw attention to the obligation of participants to bid responsibly.
Do other participants have access to my biddings?
Bids are visible to all users who log in. However, bidders are only identified with a bidder number assigned when registering on the platform. If you have not logged in, you can see the last bid made, but you cannot see previous bids or bidder number.
I placed a bid and regretted it. Can I withdraw it?
No. Bids cannot be withdrawn. The bidder that fails to comply with its obligations, may be held civilly and criminally liable for damage caused. When you bid, you assume the responsibility to acquire the asset for the value you offered.
How to buy
How to bid?
All interested buyers must complete a previous registration at the leilosoc.com platform to participate. Registration validation is subject to confirmation of indicated personal data and communicated through a message sent to the client’s e-mail address and telephone number.
Is it safe to buy at LEILOSOC®?
Yes. All personal and entrepreneurial data are secured and protected by a certified system.
Participants provide personal data during their registration used exclusively for auction’s execution purposes.
If consented by the participant, personal data will also be used to perform information and marketing activities from the platform, guaranteeing the security of the client’s personal data, who is protected by law.
The auction platform is certified and the mediation between buyer and seller is carried out by LEILOSOC® Worldwide, which monitors the entire process from the beginning to the end of the sale.
The payment is made securely and must take place within 3 days after the end of the auction. The buyer can choose the method of payment, from among the options available: bank transfer, Stripe, Mastercard, Visa, ApplePay or GooglePay.
After validation of payment by all parties involved, LEILOSOC® Worldwide is present at the delivery phase of the movable assets and also at the time of the Public Deed.
I am the highest bidder. Can I consider the lot as my own?
No. The auction’s result is communicated to the seller or insolvency administrator, who are responsible for all procedural steps. If the bids do not exceed the estimate sales value, and if the seller is an insolvent estate, it will be up to the trustee to notify the creditors so that they can pronounce accordingly, providing a period of 30 days for them to pronounce.
Even if the bidding exceeds the estimate sales value, it is necessary, however, to bear in mind that there are procedural situations that may determine a different result than expected, such as:
Exercise of preemptive rights;
Exercise of the right of redemption;
Verification of irregularity that dictates the invalidity of the sale.
General
What is the output value?
It represents the value from which the bids for the sale of the assets will be accepted.
What is the selling value?
The selling value is the value from which the goods are considered sold.
What is the average waiting time between the end of the auction and notification of the highest bidder?
After the conclusion of the auction, in the event of adjudication, the average waiting time is 2 to 3 business days. The client will be contacted in order to proceed with the payment and withdrawal of the assets. If the final bid falls below the minimum value, which represents 85% of the base value, the offer will not be considered binding, the bidder will be contacted in a timely manner in order to be informed of the position of the auctioneer. Other bids will be automatically filed.
When will I be granted the actual possession of the asset I bought?
In the case of properties, the actual possession is is usually granted following the signature of the Public Deed. In the case of movable assets, possession is effective at the time of the withdrawal of the items.
What is the signal I have to pay if I’m the winner of an auction?
In the case of a property, with the completion and signature of the PSPS, there will be a place for the payment of 10% of the proposed value as a sign. The remaining amount, including the commission and the respective VAT, will be paid on the date of the public deed. In the event that it is a movable asset, there will be the payment of the total proposed value and respective VAT.
If I buy a property, when do I have to sign the Purchase and Sale Promise Agreement (PSPA)?
The signing of the PSPA must necessarily be realized immediately after the property is bought, ending the property. LEILOSOC® Worldwide will contact the buyer to sign the respective Purchase and Selling Promise Agreements.
Will I have to pay anything to LEILOSOC® Worldwide?
The value of the sale is added to a commission for the services provided by LEILOSOC® Worlwide and the respective VAT, namely:
a. Real Estate: 5% on the proposed value and respective VAT (at the legal rate in force).
b. Movable Assets: 10% on the proposed value and respective VAT (at the legal rate in force).
c. Rights on Real Estate (measure, usufruct, naked property, root and inherited property): 10% + VAT at the legal rate in force.
d. Industrial property (shares, quotas, trademarks, logos, patents): 10% + VAT at the legal rate in force.
e. Commercial Establishment: 10% on the proposed value and respective VAT (at the legal rate in force).
f. Art: 15% on the proposed value and respective VAT (at the legal rate in force).
g. Specific cases will be indicated in the specific conditions of the auction and/or in the information area dedicated to the electronic auction or the particular product.
What is an insolvency process?
The insolvency process begins when the debtor – individual or collective – cannot fulfil its obligations, whereby the procedural purpose results in the sale of the insolvent’s assets with a view to reimbursement of creditors.
If the sale is given without effect, are the amounts paid returned?
Yes. If the sale is given without effect for reasons beyond the control of the bidder, all amounts paid referring to that same sale will be refunded in single.
What is the estimate value?
It is the sale value of an asset or a group of assets that integrate a lot, as it was determined within the insolvency process, regulated by the insolvency and companies’ recovery code, or the value previously determined by the seller.