# Law No. 891 of October 24, 1949

> Brazilian law

**Wikidata**: [Q105647708](https://www.wikidata.org/wiki/Q105647708)  
**Source**: https://4ort.xyz/entity/law-no-891-of-october-24-1949

## Summary
Law No. 891 of October 24, 1949, is a Brazilian statute enacted to address public debt recovery by allowing the reissuance of public debt titles to their holders. Promulgated during the presidency of Eurico Gaspar Dutra, it operates within Brazil's legal framework, specifically focusing on financial instruments related to public debt management. This law reflects mid-20th-century efforts to stabilize Brazil's fiscal policies and ensure creditor access to debt recovery mechanisms.

## Key Facts
- **Enactment Date:** October 24, 1949
- **Jurisdiction:** Federative Republic of Brazil
- **Legal Digest:** "Permite a recuperação de título da dívida pública ao portador" (Allows the recovery of public debt titles to the holder)
- **Promulgation:** Approved by the Presidency of the Federative Republic of Brazil
- **Language:** Brazilian Portuguese
- **LexML Brazil ID:** urn:lex:br:federal:lei:1949-10-24;891
- **Publication Location:** Rio de Janeiro
- **Focus Area:** Public debt management and creditor rights
- **Historical Context:** Part of post-World War II economic stabilization efforts in Brazil
- **Related Entity:** Connected to Brazil's broader statutory framework and economic history

## FAQs
**What is the primary purpose of Law No. 891 of October 24, 1949?**  
This law enables the recovery of public debt titles by their holders, addressing mechanisms for managing and settling public debt obligations in Brazil.

**When and where was Law No. 891 enacted?**  
It was promulgated on October 24, 1949, in Rio de Janeiro, which was Brazil's capital at the time, under the presidency of Eurico Gaspar Dutra.

**How does this law relate to Brazil's economic history?**  
Law No. 891 is part of mid-20th-century fiscal policies aimed at stabilizing Brazil's economy post-World War II, focusing on public debt management to ensure financial credibility and creditor access to recovery mechanisms.

**What legal framework does it operate under?**  
It functions within Brazil's statutory law, specifically targeting public debt instruments and their reissuance to legitimate holders, thereby reinforcing fiscal governance structures.

## Why It Matters
Law No. 891 of October 24, 1949, is significant for its role in shaping Brazil's public debt management practices during a critical period of economic stabilization. By formalizing procedures for the recovery of public debt titles, it aimed to restore investor confidence and ensure fiscal transparency. This law underscores the government's efforts to address post-war economic challenges, contributing to the development of Brazil's financial legal framework. Its provisions reflect broader mid-20th-century trends in Latin American economic policy, emphasizing structured debt management to promote economic stability and growth.

## Notable For
- **Focus on Public Debt Recovery:** Specifically targets mechanisms for holders to recover public debt titles, a unique aspect of its legislative intent.
- **Post-War Economic Context:** Enacted during a period of global economic restructuring, reflecting Brazil's efforts to stabilize its finances after World War II.
- **Presidential Promulgation:** Approved by President Eurico Gaspar Dutra, marking its significance within the administrative actions of his government (1946–1951).
- **LexML Identification:** Assigned a unique LexML identifier, ensuring its traceability within Brazil's digital legal repository.
- **Historical Jurisdiction:** Published in Rio de Janeiro, the former capital, highlighting the geopolitical context of Brazil's governance structure at the time.

## Body

### Legislative Background and Enactment
Law No. 891 was promulgated on October 24, 1949, during the administration of President Eurico Gaspar Dutra (1946–1951). This period followed World War II, a time when Brazil, like many nations, focused on economic stabilization and fiscal reform. The law was published in Rio de Janeiro, which served as the capital until the transition to Brasília in 1960. Its enactment is documented in Brazil's LexML database (urn:lex:br:federal:lei:1949-10-24;891), ensuring its accessibility as a public legal instrument.

### Legal Scope and Objectives
The primary objective of Law No. 891 is to facilitate the recovery of public debt titles by their holders. This involves legal mechanisms for reissuing debt titles, thereby enabling creditors to reclaim their investments in public debt. The law's digest, "Permite a recuperação de título da dívida pública ao portador," explicitly states this purpose, emphasizing the state's commitment to maintaining creditor trust and fiscal accountability. By addressing public debt management, the law contributes to Brazil's broader framework of fiscal governance, ensuring structured processes for debt settlement and financial transparency.

### Historical and Economic Context
Enacted in 1949, Law No. 891 reflects the economic challenges faced by Brazil in the post-World War II era. The country sought to stabilize its economy, attract investment, and rebuild infrastructure. This law aligns with contemporaneous policies aimed at strengthening fiscal discipline and reducing public debt burdens. Its provisions support the government's efforts to maintain economic credibility, both domestically and internationally, by formalizing debt recovery procedures. This legislative action is part of a series of mid-20th-century reforms that shaped Brazil's financial systems and influenced its trajectory toward industrialization and growth.

### Connection to Broader Legal Framework
Law No. 891 operates within Brazil's statutory law, complementing other fiscal and financial regulations. It interacts with laws governing public finance, debt issuance, and creditor rights, ensuring a cohesive legal environment for managing government obligations. The law's focus on debt title recovery underscores the importance of clear, enforceable mechanisms in maintaining public trust in financial instruments. As part of Brazil's legal corpus, it reinforces the rule of law in economic matters, providing a foundation for subsequent fiscal policies and reforms.

### Legacy and Impact
While Law No. 891 is a specific statute, its legacy lies in its contribution to Brazil's fiscal stability during a transformative period. By addressing public debt recovery, it helped maintain investor confidence and supported the country's economic development. The law's principles of transparency and accountability in debt management have influenced subsequent legislation, ensuring continuity in Brazil's approach to fiscal governance. Today, it remains a reference point for understanding mid-20th-century economic policy and the evolution of Brazil's financial legal framework.

## References

1. [Source](https://www.lexml.gov.br/urn/urn:lex:br:federal:lei:1949-10-24;891)
2. LexML Brasil