Gesellschaften in Chile II

 

A)    Legal antecedents to adopt a corporate structure.

 

1.- General. In Chile there are legally no one-person companies. Both LLCs and corporations require at least two shareholders or partners, respectively, who may be either individuals or entities, national or foreign.

In Chile there are no legal requirements as to minimum capital. The interests of partners or shareholders, respectively, may be apportioned as provided in the bylaws, without any minimum interest to be held by the minority partner or shareholder. There are likewise no impediments against the partners or shareholders being mutually affiliated companies (e.g. parent and subsidiary).

 

2.- Limited liability company. An LLC is basically governed by Law 3918, defined as a partnership and limited to 50 partners, based on trust, and therefore intuito personæ. Consequently, the entry or replacement of a partner requires an assignment of rights entailing amendments to the bylaws.  So, both this aspect as well as any other amendment to the bylaws must have the unanimous approval or consent of the partners.   The requirement for unanimous consent is usually a constraint with regard to divestment when the minority partner has a nominal capacity, since it may hamper the controlling partner's freedom of action in material issues such as early termination, dissolution, contribution of assets or liabilities, merger, assignment of rights, making majority control downright illusory (unless the minority partner is an entity controlled by the majority partner). It is less relevant in administrative matters since they are usually reserved to the majority partner, who exercises management and uses the company name directly or through agents appointed by a notarized instrument.

Besides amendments to the bylaws, an LLC suffers no major hindrances and may make its business purpose very broad, regulate management as best suits its partners' interests, e.g. having the majority partner manage directly or through 

[ENDE DER VORSCHAU]




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