Contribution of rights to the company (LGS art. 40)
Article 40 of the General Companies Law permits the contribution of rights where they are duly documented, relate to assets that may lawfully be contributed, and are not in litigation.
What article 40
Article 40 sets the conditions under which rights may be contributed to a company.
Rights may be contributed when, if duly documented, they relate to assets susceptible to contribution and are not the subject of litigation.
Source: Law 19,550, art. 40 - InfoLEG (updated official text)
Commentary
Intellectual property rights or concessions, for example, may be contributed if properly documented and not in dispute. Excluding rights in litigation prevents uncertain assets from being used to support stated capital.
Do you need advice on this matter?
The firm is headquartered in Buenos Aires, Argentina, and advises clients worldwide.
Contact the firm