Contribution of a business establishment as a going concern (LGS art. 44)
Article 44 of the General Companies Law requires an inventory and valuation when a business establishment as a going concern (Argentine fondo de comercio) is contributed, together with compliance with the laws governing transfer of such businesses.
What article 44
Article 44 governs the contribution of a business establishment as a going concern, requiring an inventory, valuation, and compliance with the formalities governing its transfer.
Where a business establishment as a going concern is contributed, an inventory and valuation shall be prepared and the legal provisions governing its transfer shall be complied with.
Source: Law 19,550, art. 44 - InfoLEG (updated official text)
Commentary
Contributing a fondo de comercio—the operating business unit, including facilities, clientele, trademarks and related assets—requires compliance with Argentine Law 11,867, including publication and creditor-opposition procedures, in addition to the corporate inventory and valuation. It is a complex contribution designed in part to protect creditors of the transferred business.
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