What to keep in mind
Review contracts, market terms, minutes and abstention or approval duties. Articles 271–273 of Argentina's General Companies Law are especially relevant to certain SA director transactions.
Issuing a formal invoice does not prove that a related-party contract was fair to the company.
Distinctions often confused
A related-party transaction is not automatically illegal; conditions and safeguards matter.
Frequently asked questions
Is contracting with a director's related company prohibited?
Not in every case. Applicable authorization and conflict-of-interest rules must be assessed.
Which records should be preserved?
Contracts, invoices, payment records, minutes, emails and evidence of actual performance.
Informational content. It is not a substitute for professional advice.