RURAL LAND

Law 26,737

Regime of Protection of the National Domain on Property, Possession or Tenure of Rural Lands. Sanctioned: December 22, 2011 Enacted: December 27, 2011

The Senate and Chamber of Deputies of the Argentine Nation, meeting in Congress, etc., are sanctioned by law:

SYSTEM OF PROTECTION OF THE NATIONAL DOMAIN ON THE PROPERTY, POSSESSION OR POSSESSION OF RURAL LANDS CHAPTER I Territorial and personal law enforcement personnel

Article 1-This law governs throughout the territory of the Argentine Nation, with a public order. It should be observed according to the respective jurisdictions, by the authorities of the federal, provincial and municipal government, and will apply to all natural and legal persons who, by themselves or by person, own rural lands, be for uses or agricultural, forestry, tourism or other uses. For the purposes of this law, rural land shall be understood as all predium located outside the urban ejido, regardless of its location or destination.

CHAPTER II

Article

Article 2-Configure the object of this law: a) Determine the ownership, cadastral and dominial, of the situation of possession, under any title or situation of the fact of the rural lands, and establish the obligations that arise from the domain or possession of such land, in accordance with the provisions of this law; (b) Regular, in respect of foreign natural and legal persons, the limits to the ownership and possession of rural land, whatever their use or production.

CHAPTER III

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From the limits to foreign rule on the ownership or possession of rural lands

ARTICLE 3-For the purposes of this law, it shall be understood as foreign ownership of the property or possession of the rural lands, any acquisition, transfer, assignment of post-office rights, whatever the form, denomination that impose on the parties, and temporary extension thereof, in favour of: (a) Natural persons of foreign nationality, whether or not they have their real address in the territory of the Argentine Nation, with the exceptions provided for in Article 4 of this Law; (b) Legal persons, in accordance with the framework provided for in Article 32 of the Civil Code, formed in accordance with the laws of the Argentine or foreign countries, whose share capital, in proportion to 50% and one percent (51%), or in proportion to the majority of the social will irrespective of the share percentage, whether owned by natural or legal persons, foreign nationality, in the conditions described in the preceding paragraph. Any modification of the stock package, by public or private instrument, must be communicated by the legal person to the National Register of Rural Lands, within thirty (30) days of the act, for the purposes of the comptroller compliance with the provisions of the law. Also included in this precept are: 1. Legal persons, whatever their social typicality, who are in a position of controlled by any corporate or foreign cooperative, in accordance with the definitions In this law, in a percentage greater than twenty-five percent (25%), or have the necessary votes to form majority social will regardless of the percentage share. 2. Those foreign natural or legal persons who without formally accrediting quality of partners act in a society as if they were. 3. Companies that have issued negotiable or debenture obligations and allow their legitimate holder to abide in their holdings or to convert them into shares in a percentage greater than 25% (25%), or to be permitted to them to form majority social will regardless of the share percentage, and be foreign natural or legal persons, in accordance with the definitions laid down in this law. 4. When the property is transferred, under any of the forms provided for in the laws in force, under a trust contract and whose beneficiaries are foreign natural or legal persons in percentage greater than that authorized in the Previous paragraph. 5. Companies of accidental participation, collaboration groupings and the transitional unions of companies, according to the regulation of the Law of Societies, and any other form of business collaboration of an accidental and provisional character that is (c) Legal persons governed by public law of foreign nationality; (d) Simples associations in the terms of the law; (c) Legal persons governed by public law of foreign nationality; (d) Article 46 of the Civil Code or in fact companies, in equal conditions with respect to their capital (b) social security, as provided for in point (b) of this Article.

ARTICLE 4-Except for the application of this law, the following natural persons of foreign nationality: (a) Those who have ten (10) years of continuous, permanent and proven residence in the country; (b) Argentine children and prove a permanent, continuous and proven residence in the country of five (5) years; c) Those who are united in marriage with a citizen of Argentina/a with five (5) years prior to the constitution or transmission of the relevant rights and demonstrate continuous residence,

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permanent and proven in the country for the same term.

ARTICLE 5-The regulations shall determine the requirements that foreign natural and legal persons must observe in order to prove compliance with the provisions of this law, with the authority of enforcement being in charge of its control and execution.

Article 6-All interpositions of natural persons of Argentine nationality, or of legal persons constituted in our country, are prohibited for the purposes of configuring a national ownership figured to infringe the provisions of this law. This will be considered an illicit and fraudulent simulation.

Article 7-All legal acts that are held in violation of the provisions of this law shall be of total, absolute and insanable nullity, without the right to claim compensation for the benefit of the authors and participants of the act Legal. For the purposes of this provision, participants will be considered as participants who will give the land or grant them instruments, public or private, that will conform to the legal action, which will respond in a personal and solidarity way with their heritage. for the harmful consequences of these acts. The implementing authority is empowered to examine legal acts in accordance with their real nature, without being subject to the name imposed on them by the granting parties.

Article 8-15% (15%) of the limit to any ownership of the domain or possession of rural lands in the national territory, with respect to the persons and assumptions regulated by this chapter. This percentage shall also be counted on the territory of the province, municipality, or equivalent administrative entity in which the rural property is situated.

ARTICLE 9º-In no case shall the natural or legal persons, of the same foreign nationality, exceed thirty percent (30%) of the percentage assigned in the article preceding the foreign ownership or possession on rural lands.

ARTICLE 10. -The rural lands of the same foreign owner will not be able to exceed 1,000 hectares (1,000 ha) in the nucleus zone, or equivalent area, according to the territorial location. This equivalent area shall be determined by the Inter-Ministerial Council for Rural Lands provided for in Article 16 of this Law, taking into account the following parameters: (a) The location of rural land and its share of the land (b) The capacity and quality of rural land for use and exploitation. The implementing authority shall, for the purposes of granting the certificate of entitlement, control the amount of rural land held by the acquiring person. Likewise, the ownership or possession of the following buildings by foreign persons as defined in Article 3 of this Law shall be prohibited: 1. Those that contain or are riparian bodies of large and permanent water bodies. 2. The buildings located in border security zones with the exceptions and procedures established by Decree Law 15.385/44 as amended by Law 23,554.

ARTICLE 11. -For the purposes of this law and in accordance with the Bilateral Investment Treaties (TBI) signed by the Argentine Republic and which are in force at the date of entry into force of this law, the acquisition of land shall not be understood as investment rural, as a natural resource is not

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renewable which the recipient country brings.

ARTICLE 12. -The owners or holders of rural lands, natural or legal persons, who invite the status of foreigners, must within one hundred and eighty (180) days, counted from the date of entry into force of the regulations of the This law shall make the complaint to the National Register of Rural Lands, provided for in Article 14, of the existence of such ownership or possession.

ARTICLE 13. -For the acquisition of a rural property located in a security zone by a person included in this law, prior consent of the Ministry of the Interior is required.

CHAPTER IV

From the National Register of Rural Lands

ARTICLE 14. -Create the National Register of Rural Lands in the field of the Ministry of Justice and Human Rights, with the integration of the Ministry of Agriculture, Livestock and Fisheries of the Nation, which will be the implementing authority with the following functions specific: (a) To record the data concerning the rural land of ownership or foreign possession in the terms of this law; (b) Require the competent provincial agencies to register, register and register persons (c) Exorder the certificates of entitlement of any act by which property rights or possession on rural land are transferred in the cases covered by the law; law. The certificates of qualification shall be governed by the rules of this law and shall be dealt with by the public writer or the intervener judicial authority; d) Exercise the control of compliance with this law, with active legitimation in order to prevent the acts prohibited by this law from administrative headquarters, or to claim the nullity in judicial offices.

ARTICLE 15. -A cadastral, dominial and registration survey of legal persons is available to determine the ownership and possession of the rural lands, in accordance with the provisions of this law, which shall be carried out within the term One hundred and eighty (180) days of the creation and implementation of the National Register of Rural Lands.

CHAPTER V

From The Inter-ministerial Council for Rural Lands

ARTICLE 16. -Create the Inter-Ministerial Council of Rural Lands, which will be chaired by the Ministry of Justice and Human Rights and formed by the Ministry of Agriculture, Livestock and Fisheries, by the Secretariat of Environment and Sustainable Development of the Head of the Cabinet of Ministers, the Ministry of Defense and the Ministry of the Interior, with the representatives of the provinces, who will have the following functions: (a) To direct the actions for the fulfillment of this law; Implement national policy on rural land;

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(c) to seek the collaboration of bodies from the centralised and decentralised administration of the national State and the provinces; d) to determine the equivalence of areas of the national territory referred to in Article 10 of this Regulation; law, on the basis of the technical instruments drawn up by the competent official bodies.

ARTICLE 17. -This law does not affect acquired rights and its provisions shall enter into force on the day following that of its publication.

ARTICLE 18. -Transitional clause: any acquisition, transfer, transfer of post-office rights, whatever form, denomination and temporary extension imposed by the parties, in favour of foreign natural or legal persons in the terms of the Article 3, which is carried out in the period between the entry into force of the law and its regulation by the national executive branch, is reached by the provisions of this law and subject to the consequences provided for in the Article 7 °.

ARTICLE 19. -Contact the national executive branch. GIVEN IN THE SESSION HALL OF THE ARGENTINE CONGRESS, IN BUENOS AIRES, AT THE TWENTY-TWO DAYS OF DECEMBER OF THE YEAR TWO THOUSAND ELEVEN. -REGISTERED UNDER NO. 26.737-AMADO BOUDOU. -JULIAN A. DOMINGUEZ. -Gervasio Bozzano. -Juan H. Estrada.

Date of publication: 28/12/2011

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