Within the Board of Administration of the capital companies exist distinct responsibilities to which are attributed a series of particular functions. Regarding the distribution of positions within a Board of Directors, it is important to have clear distributions to the President, the Secretary and the rest of the members of the Board of Directors (members).
Author Archive for: Rosario Rodriguez
About Rosario Rodríguez
Rosario Rodríguez graduated from the University of Navarra with a Law degree. Her practice areas are business law, company law and commercial contracts in Spain. For any further enquiries please Contact us
Entries by Rosario Rodríguez
Investment in Spain through acquiring shareholdings in a Spanish company requires a series of steps in order to ensure the successful conclusion of the transaction. These are, in brief: the letter of intent, the due diligence process, the signing of the purchase/sale agreement, the closure of the transaction and the closing operations, or post-closing of the transaction.
One of the most problematic issues facing Spanish branches of foreign companies is the filing of accounts. In Spain, the Mercantile Registry Regulations provide for the possibility of filing the accounts of the company itself, when there is the so-called ‘equivalence control’ in both countries, or by submitting ad-hoc accounts in relation to the activity of the branch in Spain.
Article 348.bis, which recognizes the right of exit of a minority shareholder due to failure to distribute dividends, entered into force on the 1st of January 2017 after the suspension of its validity by means of a transitional provision of the Corporate Enterprises Act, approved on the 2nd of October 2011.
A general partnership is a contract through which two or more people agree to a share capital, with the purpose of undertaking a business activity and distributing the profits. It is an obsolete and uncommon form in the Spanish commercial market, for which, on numerous occasions, it is necessary to transform such partnerships into an LLC or corporation.
The modification of the legal headquarters of a company in Spain has traditionally been the responsibility of the general meeting. The LSC now expedites this procedure with the entry into force of the 15/2017 Royal-Decree-Law providing a new interpretation of article 285 of the LSC and thus clarifying that the change of the registered office will be the responsibility of the Administrative Body.
The violation of trade or industrial secrets is regulated under Article 13 of the Law on Unfair Competition and consists of acts of exploitation of confidential information for the benefit of one’s self or a third party. To find a violation of secrets, a number of requirements must be met.
The main characteristic of Spanish Entities Holding Foreign Security is the tax exemption with regards to dividends and capital gains. This constitutes an important incentive for those interested in establishing holding entities in Spain.
One of the changes arising from the Law on Capital Companies in Spain is the distinction between directors acting in their capacity as directors whose remuneration is subject to the principle statutory reserve and directors performing executive functions who, in the event of receiving remuneration, are obliged to sign a contract with the Company.