Corporate Law
Corporate law is a branch of law that regulates the creation, organization, structuring and operation of commercial companies and enterprises in Colombia. It is regulated mainly by the Code of Commerce and Law 222 of 1995.
It is a very old branch of law that emerged from colonial times. The first Commercial Code in Colombia was created in 1853 and later Law 222 of 1995 was created in the nineties. This branch of law has been evolving and adapting to the economic and social needs of society.
This branch of law contains the regulations governing the relationships between shareholders, directors, customers, employees and other stakeholders in a particular company. It also establishes the duties and rights of shareholders, the corporate governance structure and the responsibilities of the company’s directors and officers. In addition, it regulates corporate mergers and acquisitions, the issuance of securities, the management of financial and accounting information of the company and compliance with social, corporate and sustainable responsibility standards.
Among the services covered by this branch of law are the following:
Clients receive advice on the creation and incorporation of commercial companies, including the choice of the most beneficial type of company for the particular case, registration with the Chamber of Commerce, drafting and review of bylaws, among others.
This refers to the study carried out by a group of experts on a company or commercial company that the client is seeking to acquire or merge with regarding its commercial, financial and other status in order to analyze the investment risks and opportunities that the company represents. It should be noted that this study is carried out only when prior negotiations have been held between the parties interested in the acquisition or merger of the company.
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Corporate governance:
The client receives advice on the implementation and development of good corporate governance practices in the company, including the drafting and review of internal policies, risk management and training of management and shareholders.
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Mergers and acquisitions:
The client receives advice on the purchase and sale of companies, including the negotiation of contracts, review of legal documents and obtaining the required authorizations and permits.
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Commercial contracts:
The client receives advice regarding the drafting and negotiation of commercial contracts, such as supply, distribution, franchise and other contracts.
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Commercial litigation:
Through this service, the client obtains legal representation in legal proceedings involving commercial matters such as, for example, disputes between partners, breach of contract and others.
Corporate law is a very complete branch of law that includes commercial, corporate and business law. It is advisable to receive advice on these issues as it brings multiple benefits when negotiating, acquiring companies and proceeding in conflicts and legal proceedings. These services are very beneficial for companies or commercial companies as well as for individuals as they provide certain guarantees and greater security.
References:
- LAW 222 OF 1995. (1995, December 20). Senate Secretariat. http://www.secretariasenado.gov.co/senado/basedoc/ley%5F0222%5F1995.html
- DECREE 410 OF 1971 – Code of Commerce. (1971, June 16). Senate Secretariat. http://www.secretariasenado.gov.co/senado/basedoc/codigo%5Fcomercio.html
- Publisher Aliat. (n, f.). What is Corporate Law? https://www.soycest.mx/blog/index.php/derecho-corporativo
- What is Corporate Law? (2022, November 22). Euroinnova Bussines School. https://www.euroinnova.co/blog/que-es-el-derecho-corporativo