Public Registry of Commerce Repeals General Resolutions Requiring Gender Parity in the Boards of Directors and Supervisory Committees

General Resolution 13/2024 of the Public Registry of Commerce (IGJ), which became effective on April 11, 2024, repeals General Resolutions IGJ 34/2020, 25/2020, 42/2020, and 12/2021. These had provided that civil associations, simple associations, certain corporations included in article 299 of Law 19550 (LGS), foundations with a Board of Directors of temporary and elective integration, and state companies (Law 20705) had to include in their Board of Directors and—if applicable—in their Supervisory Committees a composition that respected gender diversity.

The grounds of Resolution 13/2024 make special emphasis on the fact that the repealed resolutions had been appealed more than once. In such proceedings, the Courts of Appeals declared the invalidity of the challenged regulations, sustaining the IGJ’s lack of competence to issue mandatory rules on this matter.

The IGJ understands that the repealed resolutions were invalidated by the Courts of Appeals’ rulings, which upheld the IGJ’s lack of competence and overreach. Thus, the IGJ considers that it is reasonable to repeal them.

Consequently, as from April 11, 2024, civil associations, simple associations, certain corporations included in article 299 of Law 19550 (LGS), foundations with a Board of Directors of temporary and elective integration, and state companies (Law 20705) have full freedom to decide the composition of their administrative and supervisory bodies regarding gender diversity.

Following the repeal, it will not be mandatory to include a description of the gender policy applied to the management body in the Annual Report (Memoria).