State Act
Section 334
Art. 334 – All the lands applied for emphyteusis shall be put up for public auction, without prejudice to the provisions of article 327. § 1. The auction shall be published in the Official Gazette, at least fifteen days in advance. § 2. On the day fixed for the auction, the administrator shall order the bailiff to announce the initiation of bids and, at the end of the bidding, the land shall be granted in terms of the following paragraphs, drawing the required record. § 3. In the case when the land is granted to a person other than the applicant, the latter shall be indemnified by the former with double the procedural cost. § 4. The bidder who offers the highest bid foro shall deposit the amount corresponding to foro of one year and plus the double of the deposit, and only then the bid shall be considered finalized. § 5. After the order of the grant of the emphyteusis, the amount of double of the costs shall be handed over to the first applicant and the one corresponding to the foro paid into the safe of the comunidade, being credited separately in the first year of the contract. § 6. In the absence of bidders the land shall be adjudicated to the applicant for the foro fixed at the inspection.