Besides being less expensive, this procedure also has the advantage of speed.
2024/10/03
What is PEPEX?
PEPEX is a voluntary procedure that allows a creditor to assess the feasibility and likely success of a future enforcement action against a debtor. By querying centralized databases, PEPEX identifies whether the debtor has attachable assets, thereby avoiding the filing of a fruitless enforcement action (Law No. 32/2014).
Procedural steps
- Submission: The application is filed electronically via a dedicated platform. Representation by a lawyer or solicitor is strongly recommended, as the request cannot be amended once submitted.
- Distribution: The case is automatically assigned to an Enforcement Agent (Agente de Execução).
- Asset search: Within 5 business days, the Agent consults databases (Social Security, Tax Authority, Property Registry, etc.) and issues a report identifying any reachable assets.
- Outcome: After receiving the report, the creditor has 30 days to convert PEPEX into a full enforcement action or to request that the debtor be formally notified.
- Debtor notification: If notified, the debtor has 30 days to pay, reach a settlement, indicate assets, or file an opposition. If the debtor takes no action, they are included on the public list of debtors.
Advantages
Tax benefits: Enables the creditor to obtain a certificate of uncollectibility, which is essential for tax purposes, particularly for VAT recovery.
Cost‑efficiency: Significantly lower costs than standard judicial enforcement actions.
Speed: Much faster than traditional court proceedings.
Ana Catarina Dias | [email protected]
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