On August 2, 2014 Brazilian Law No. 10,931/04 ("CCB
Law") completed its tenth anniversary. Among other
matters, it brought significant improvement to financial and
capital markets in the country. Amongst them are (i) the creation
of the so-called Bank Credit Note (Cédula de
Crédito Bancário -
"CCB") and important changes in laws
regarding the fiduciary assignment as a way of security, especially
provisions of Law No. 4,728/65 ("Capital Markets
Law"), which essentially regulates local capital
markets.
During the last decade, the use of the CCB and the extension of
loans secured by fiduciary types of security consolidated in
Brazil. Both are legal institutes of relevance for the evolution
and sophistication of credit transactions in the country, that
clearly gained the preference of credit institutions. Interestingly
enough, however, one can affirm that their practicality and
functionality have not yet been fully tested.
