Standard Recovery - Brazil (Follow-on)

Statement of Work (SOW) / Performance Work Statement (PWS)

To recover assets, institute legal proceedings, and/or provide credit restructuring related to EXIM Bank defaulted debt involving debtors and guarantors in Brazil.

• Provide loan recovery services, including borrower negotiations, restructuring, and workout agreements.

• Institute legal proceedings and take other actions to effect recovery for EXIM Bank.

• Analyze case specifics, consider recovery strategies, and implement actions to maximize collections.

• Conduct preliminary research/evaluation, including asset searches, credit analysis, and legal actions against obligors.

• Attempt extrajudicial collection of debt.

• Conduct litigation upon written approval from EXIM Bank.

• Task 1 (Case Analysis/Due Diligence): Timeliness, completeness, thoroughness, good communication, 100% compliance with Brazil Law, thoroughness, and accuracy. Surveillance by EXIM Bank COR.

• Conflict of Interest Notification: Complete, accurate, and timely; 100% accuracy of deliverables.

• Task 2 (Recovery of Defaulted Debt): Timeliness, completeness, thoroughness, good communication, 100% compliance with Brazil Law, thoroughness, and accuracy. Surveillance by EXIM Bank COR.

• Written Brief for Active Cases: Complete, accurate, and timely.

• Collected Funds Report: Complete, accurate, and timely; accurate accounting of expenses.

• Task 3 (Litigation): Timeliness, completeness, thoroughness, good communication, 100% compliance with Brazil Law, thoroughness, and accuracy. Surveillance by EXIM Bank COR.

• Litigation Request Form: Complete, accurate, and timely; clear breakdown of projected expenses.

• Business Relations: Professional and respectful of all parties.

• Management of Key Personnel: Appropriate credentials, attends scheduled meetings, available for ad-hoc meetings.

• Work to be completed in Brazil.

• Contractor must be a law firm registered/licensed with the Brazilian Bar Association to practice law in Brazil.

• Subcontracted effort must also be registered/licensed with the Brazil Bar Association.

• Contractor must have experience in locating and embargoing assets, drafting/negotiating restructuring agreements, and litigating collection matters in Brazil.

• Contractor must have experience handling collection matters for foreign entities, especially government entities.

• Contractor must provide documentation of relevant experience with foreign government entities.

• No conflict of interest is permitted. Any identified conflict must be immediately reported to EXIM Bank.

• Recovered funds must be remitted directly to EXIM designated accounts.

• Contractor shall not incur legal costs without written approval from EXIM Bank.

Justification and Approval for Other Than Full and Open Competition

This document justifies the Export-Import Bank of the US (EXIM Bank) awarding a Firm Fixed Price (FFP) Purchase Order to Varella & Advogados Associados for legal recovery services. The services are intended to assist EXIM Bank in collecting outstanding amounts owed by obligors/buyers and guarantors, primarily involving efforts in Brazil.

• Professional services including labor, materials, postage, tools, travel, supervision, and expenses necessary for judicial processes.

• Undertaking asset recovery, including asset searches, site visits, negotiations, litigation, documentation of agreements, embargoing assets, and executing upon assets.

• Performing collection on EXIM Bank's defaulted loans (Claims 1021966, G509634, and G492461).

• If instructed, instituting legal proceedings or providing credit restructuring services related to the referenced claims.

• Services are non-personal and are for the recovery of fees and legal costs.

• Contract Type: Firm Fixed Price (FFP) Purchase Order.

• Period of Performance: Five (5) years.

• Estimated Value: The document mentions an estimated total value for "recovery fees" and "legal costs" but the specific amounts are redacted.

This document is a justification for a sole-source procurement, not a solicitation for proposals. Therefore, submission and evaluation criteria for bidders are not applicable.

This procurement is being conducted as "Other Than Full and Open Competition" under FAR Part 13 (Simplified Acquisition Procedures) and FAR 13.106-1(b) or 13.501, citing 41 USC §253(g) and FAR 6.302-1 (Only One Responsible Source). The justification highlights the unique qualifications of Varella & Advogados Associados, including their established expertise in Brazilian legal matters, familiarity with EXIM Bank's policies, and their ongoing involvement in the specific cases.

• The justification emphasizes the need for local Brazilian counsel with specific experience in asset recovery, litigation, and handling matters for foreign government entities.
• Varella & Advogados Associados is already overseeing litigation for these cases, minimizing familiarization time and costs.
• EXIM Bank has utilized this firm since 2003 and is satisfied with their services.
• The anticipated cost is determined to be fair and reasonable based on prior experience, market comparisons, and published rates.