Notification procedures for assignments of credit rights to third parties and the registration procedure of publicly offered financial trusts

On August 30, 2018, the Argentine Securities and Exchange Commission (the “CNV” after its Spanish acronym) issued General Resolution No. 760 (the “Resolution”), introducing into the CNV Rules (2013 Text, as amended) certain amendments set forth in Law No. 27,440 of Productive Financing, related to the duty to notify the assignment of credit rights to assigned debtors and the duty to register financial trust agreements.

The aim of the Resolution is to update the assigned debtor’s notification for the assignment of rights to third parties and the registration procedure of financial publicly offered trust agreements, by introducing into CNV Rules (2013 Text, as amended) (i) the legal regime applicable to the assignment of rights comprising a loan portfolio of present or future credits in the cases set forth in Articles 70 and 72 of Law No. 24,441, and in the absence of contractual provisions contemplating the possibility of assignment without giving notice; and (ii) the procedure to follow to deem the duty to register the financial trust agreements fulfilled with the public offering authorization given by the CNV. 

The Resolution states that for the notification to the assigned debtor to be deemed authentic (i) it must be published on the CNV website through the Financial Information Highway (the “AIF”, after its Spanish acronym) pursuant to the model set forth in the CNV Rules (2013 Text, as amended), identifying the assigned debtor, providing its Identity Document Number or Individual Taxpayer Identification Number (the “CUIT”, after its Spanish acronym) and specifying the transaction; (ii) serving the purpose set forth in Article 70 of Law No. 24,441, as amended, and (iii) the securities to be issued by the financial trust must be publicly offered.

Finally, regarding the registration, the Resolution includes the duty to publish financial trusts agreements on the CNV website through the AIF, once the public offering of the relevant trust securities has been authorized and no later than one business day as of the date of its signing to attain the publicity of financial trusts agreement to make them enforceable against third parties.