Brazil's football company law sets out four formation routes

The fourth route was added in 2026

The original law set out transformation, a split of the football activity and formation at the initiative of an individual, legal entity or investment fund. The consolidated text records the June 2026 addition for a club that subscribes for all shares and contributes football-related assets. Source 2 Source 1

Three routes specify sporting succession

Article 2 applies its sporting succession provisions to transformation, demerger and the all-shares subscription route. The new football company can take the original club's place in competitions under the conditions in the statute. The article also addresses contract and administration relationships. Source 1

A demerger deals separately with premises and intellectual property

The consolidated law provides for agreements on use and payment where the football company exploits the original club's intellectual property. If facilities such as a stadium or training centre stay with the original entity, the article provides for a contract on their use. Source 1

Class A shares carry specified voting protections

Article 2 provides for class A shares in a demerger. It requires their holder's affirmative vote for certain decisions while they represent at least 10% of voting capital or total capital, including specified transactions involving property or intellectual property contributed by the original club. Source 1

Sources

• Brazil Chamber of Deputies, consolidated Law 14,193, Article 2
• Brazil Chamber of Deputies, original 2021 text of Law 14,193