Corporate case law

Entre Ríos 1221 S.R.L. s/ acuerdo preventivo extrajudicial (National Commercial Court of Appeals, Chamber C, 09/05/2019)

The requirements for confirmation and objection in an out-of-court restructuring agreement. The Commercial Court of Appeals recalled that an APE, although contractual in origin, acquires collective effects only through strict compliance with the LCQ and judicial review.

CNCom., Sala C09/05/2019

Case caption

«Entre Ríos 1221 S.R.L. s/ acuerdo preventivo extrajudicial»

What was at issue

The requirements for confirmation and objection in an out-of-court restructuring agreement.

What was decided

The Commercial Court of Appeals recalled that an APE, although contractual in origin, acquires collective effects only through strict compliance with the LCQ and judicial review.

Extractable criterion

The Commercial Court of Appeals recalled that an APE, although contractual in origin, acquires collective effects only through strict compliance with the LCQ and judicial review.
The holding should be read in light of the legal interest protected in the area of out-of-court restructuring agreements (APE), not solely by reference to the documentary form of the act.
Evidence of the specific facts and of their impact on corporate or creditor rights is decisive when applying the precedent’s doctrine to another case.

Citation: CNCom., Sala C, «Entre Ríos 1221 S.R.L. s/ acuerdo preventivo extrajudicial», 09/05/2019 — Jurisprudencia societaria y comercial

Practical application

It is useful for private debt restructurings intended to become binding collectively.

Frequently asked questions

What is the main takeaway from the case?

The Commercial Court of Appeals recalled that an APE, although contractual in origin, acquires collective effects only through strict compliance with the LCQ and judicial review.

Does the rule apply automatically today?

No. The current statutory framework and the specific facts must be verified. Historical precedents retain doctrinal value, but later reforms may alter how they apply.

What should be proven in similar litigation?

The relevant corporate or commercial documentation, the parties’ conduct, the specific harm, and the facts connecting that harm to the central issue in the case: The requirements for confirmation and objection in an out-of-court restructuring agreement.

Informational commentary on a published ruling; it does not constitute advice nor guarantee an outcome. Application to a case depends on its circumstances.

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