Recent amendments to the Nationality Law in Portugal have raised significant legal and investor concerns, particularly among Golden Visa holders. The reform, promulgated by President António José Seguro, introduces substantial changes to the naturalization framework, including extending residency requirements and modifying the calculation of eligibility timelines. These changes come amid ongoing administrative delays at AIMA, creating a complex legal environment that has prompted affected investors to organize collective action against the state.
1. Collective Legal Mobilization
More than 500 foreign investors holding Golden Visas in Portugal are organizing a collective legal action against the state following the revision of the Nationality Law. The group, predominantly American but representing multiple nationalities, initially coordinated through WhatsApp and is now planning to formalize its structure as an official association. Their objective is to challenge the legal changes and protect their acquired positions, with some members expressing readiness to exhaust all legal remedies domestically before pursuing action at the European level.
2. Legislative Reform and Political Context
The amendments, promulgated by President António José Seguro on May 3, were approved in parliament by a 152–64 vote following a political agreement between the Social Democratic Party (PSD) and Chega. The reform introduces a major shift in naturalization policy, doubling the standard residency requirement from five to ten years for most foreign nationals, while EU and CPLP citizens are subject to a seven-year period. This marks a significant departure from the previous framework under which many investors structured their long-term plans.
3. Absence of Transitional Regime and New Counting Rules
One of the most controversial aspects of the reform is the absence of any formal transitional provisions. The law does not distinguish between new applicants and those already in the process, effectively subjecting both to the new requirements. Additionally, the residency qualification period is now calculated from the date a residence permit is issued by AIMA rather than from the date of application submission. Legal experts have highlighted that, for future cases, the counting mechanism should begin once the administration exceeds its legal decision deadlines, further complicating interpretation.
4. Legal Strategy and Anticipated Litigation
Multiple law firms are currently representing affected investors, although many are advising clients to wait until final implementing regulations are published before filing formal cases. Nevertheless, preparations are already underway, with both collective and individual legal actions being structured. Investors intend to challenge the legality and constitutionality of the provisions within Portuguese courts, with the possibility of escalation to European jurisdictions such as the European Court of Human Rights once domestic remedies have been fully exhausted.
5. Core Legal Arguments and Administrative Failures
The primary legal argument centers on the doctrine of legitimate expectations, with lawyers asserting that investors relied on a stable and clearly communicated legal framework when making financial and personal commitments. This position is reinforced by prior official communications, including references on the former SEF platform indicating a pathway from Golden Visa residency to citizenship. Compounding the issue are longstanding administrative delays attributed to AIMA, where applicants have often waited three to five years for processing. Legal experts argue that it is inequitable for the state to benefit from investments, delay procedures, and subsequently impose stricter requirements retroactively.
6. Market Impact and Reputational Risk
The legislative changes are already producing tangible effects on investor behavior. Some existing applicants are canceling their pending applications, while prospective investors are reconsidering their plans to enter the Portuguese market. Beyond individual cases, the situation raises broader concerns about legal certainty, institutional reliability, and the protection of investor trust. The outcome of these developments may have lasting implications for Portugal’s international credibility and its position within the global investment migration industry.
Summary
More than 500 Golden Visa investors are preparing a collective legal challenge against the Portuguese state following the revised nationality rules. The law increases the naturalization requirement from five to ten years for most foreign nationals and introduces a new rule whereby the residency period begins only upon issuance of a residence permit rather than the application date. The absence of transitional provisions means that both current and future applicants may be impacted, raising concerns over legal certainty and legitimate expectations. Legal representatives are exploring multiple avenues, including constitutional challenges and possible escalation to the European Court of Human Rights. Meanwhile, the reform is already affecting investor sentiment, with some applicants withdrawing and others reconsidering future investment plans, highlighting broader concerns about Portugal’s regulatory stability and international credibility.
