Insolvency in Argentina: concurso preventivo, APE and quiebra

Key rules

1. Legal framework

1.1 The statutes

The CCyC confirms that in universal proceedings privileges are governed by the bankruptcy law, whether or not there is cessation of payments (CCyC art. 2579), and that general privileges can only be invoked in universal proceedings (art. 2580).

1.2 Who does what

• Juez (judge). The ordinary judge of the debtor's domicile (art. 3). In the City of Buenos Aires, the national commercial courts (unconfirmed).
• Síndico (trustee). A public accountant with at least 5 years in the professional register, or an accounting firm, drawn by lot from lists formed every 4 years by the court of appeals (art. 253). In a concurso the síndico supervises and reports; in bankruptcy the síndico administers and sells (arts. 109, 203, 254). The síndico cannot refuse appointments except for serious cause (art. 255) and must act personally (art. 258).
• Comité de control (creditors' committee). First formed with the three largest unsecured creditors and one workers' representative (art. 14(13)); later reconstituted with at least one creditor per category, the largest creditor of each category and two more workers' representatives (art. 42); in the performance phase, creditors representing the majority of capital plus the workers' representatives (art. 45).
• Evaluador (valuer). Investment banks, BCRA authorised financial entities or audit firms with more than 10 years of practice value the shares in the art. 48 procedure (art. 262).
• Enajenador (seller). Auctioneers, banks or specialised intermediaries sell assets in bankruptcy; auctioneers charge commission only to the buyer (art. 261).
• ARCA. Usually a major privileged creditor and party to the plans of RG 5873/2026.
• Registro Nacional de Concursos y Quiebras. Created by art. 295; courts must report proceedings within 5 days.

2. Before filing: early warning rules in company law

2.1 Loss of capital (LGS arts. 94(5), 96 and 206)

The LGS lists "loss of the company capital" as a cause of dissolution (art. 94(5)). Dissolution does not occur if the partners agree to restore the capital in full or in part, or to increase it (art. 96). Separately, a capital reduction is mandatory when losses absorb the reserves and 50% of the capital (art. 206). Detailed mechanics, majorities and a numeric test are in the dissolution page (section 2.3 and Worked example 3).

Suspension history. The rule has been switched off several times by emergency norms, which is why many Argentine practitioners treat it with caution. The Infoleg notes to the LGS record:

On the face of the text the last suspension ended on 31 December 2020. The Infoleg notes reviewed for this page do not show a later extension (unconfirmed). The rule is therefore in force, but contested in its practical application: there is no statutory guidance on how often or on which balance sheet to test it, and inflation adjustment of financial statements affects the result (unconfirmed).

Why it matters in insolvency. Once a cause of dissolution exists, directors may only deal with urgent matters and must start the liquidation; any other operation makes them unlimitedly and jointly liable to third parties and partners (LGS art. 99). A company in liquidation can still file a concurso preventivo (LCQ art. 5).

2.2 Director duties (LGS arts. 59 and 274)

Directors and managers must act loyally and with the diligence of a "good businessman"; those who fail are unlimitedly and jointly liable for the resulting damage (art. 59). Directors of an SA are unlimitedly and jointly liable to the company, shareholders and third parties for poor performance under the art. 59 standard, for breach of law, bylaws or regulations, and for any damage caused by wilful misconduct, abuse of powers or gross negligence (art. 274). A director who protests in writing and notifies the statutory auditor before liability is claimed is exempt (art. 274). Shareholder approval of a director's management does not extinguish liability "in case of coercive or insolvency liquidation" (art. 275). In bankruptcy the action belongs to the síndico and, failing that, to creditors individually (LGS art. 278; LCQ art. 175).

2.3 Tax exposure of directors

Directors, managers and other representatives of legal entities are liable with their own assets for the company's taxes under Law 11.683 (art. 6(1)(d) and art. 8(a)) (unconfirmed). Unpaid withholdings are a classic exposure in a pre insolvency phase (unconfirmed).

3. Choosing a route

Small concursos and bankruptcies. If any one of these applies, the case is "small": liabilities below 300 SMVM, no more than 20 unsecured creditors, or no more than 20 employees (art. 288, Law 27.170). At the SMVM of ARS 398,800 from 1 November 2026 (CNEPSMVM Res. 4/2026), 300 SMVM is ARS 119,640,000 (US$76,501). Small cases skip the accountant's opinions of art. 11(3) and (5), the creditors' committees and the art. 48 cram down procedure; the síndico controls performance and earns 1% of what is paid to creditors (art. 289). Read literally, a company with large debts but 20 or fewer employees qualifies as "small", which removes the art. 48 rescue route. How courts apply the "indistinctly any of these circumstances" wording is contested (unconfirmed).

4. Concurso preventivo step by step

4.1 The petition (arts. 6, 10, 11)

The petition can be filed while bankruptcy has not been declared (art. 10). A company's legal representative files after a resolution of the board, and the shareholders' meeting must ratify the decision within 30 days with ordinary majorities, failing which the procedure ends as if withdrawn (art. 6). Formal requirements (art. 11):

1. Proof of registration, bylaws and amendments.
2. Concrete causes of the financial situation, the date when cessation of payments began and the facts that show it.
3. Detailed and valued statement of assets and liabilities at the filing date, with valuation rules, location and encumbrances, with an opinion signed by a public accountant.
4. Financial statements for the last 3 years, with directors' reports and statutory auditor reports.
5. List of creditors with domiciles, amounts, causes, due dates, co debtors and guarantors and privileges; one file per creditor with supporting documents and an accountant's opinion on consistency with the books and the absence of other creditors; list of pending lawsuits and administrative proceedings.
6. List of books with the last folio used, which are placed at the court's disposal.
7. Disclosure of any previous concurso and proof that the debtor is not within the one year bar of art. 59.
8. List of employees with domicile, category, seniority and last salary, and a statement certified by a public accountant on labour and social security debt (added by Law 26.684).

Two signed copies are required. If a well founded reason is shown, the judge grants a non extendable period of 10 days to complete the filing (art. 11, last paragraph).

Practical point. The real work is item 5: a file per creditor with documents and an accountant's report. For a company with hundreds of suppliers this takes weeks and should be prepared before the filing date.

4.2 Opening order (arts. 13, 14)

The judge decides within 5 days and must reject the petition if the debtor is not eligible, art. 11 was not met, the debtor is within the art. 59 bar or the court lacks jurisdiction (art. 13). The opening order (art. 14):

• declares the concurso open and sets a hearing to draw the síndico by lot;
• sets the deadline for creditors to file verification requests with the síndico, between 15 and 20 days after the estimated end of the publication of edicts;
• orders edicts and sets 3 days for the debtor to present its books for closing;
• orders registration of the concurso and a general inhibition over registrable assets;
• orders the debtor to deposit, within 3 days, the amount the judge sets for postage;
• fixes the dates of the individual and general reports;
• sets the informative hearing 5 days before the end of exclusivity, to be announced visibly to workers in all establishments;
• gives the síndico 10 days to report on labour liabilities and other labour claims eligible for early payment;
• requires a monthly report by the síndico on the company's evolution, liquid funds and compliance with legal and tax rules;
• constitutes the creditors' committee with the three largest unsecured creditors and one workers' representative.

Missing the postage deposit (art. 14(8)) or the edicts (arts. 27, 28) means the debtor is deemed to have withdrawn (art. 30). Withdrawal is free until the first publication of edicts; afterwards and until exclusivity begins it needs consent of unsecured creditors holding 75% of unsecured capital (art. 31). If the petition is rejected, withdrawn or not ratified, a new one within a year is inadmissible if bankruptcy petitions are pending (art. 31).

4.3 Publicity (arts. 27 to 29)

Edicts are published for 5 days in the official gazette of the court's jurisdiction and another widely circulated newspaper chosen by the judge, at the debtor's cost, within 5 days of notification of the order (art. 27). If the debtor has establishments in other jurisdictions, edicts must also be published there within a period of up to 20 days (art. 28). The síndico sends a registered letter to each listed creditor and to the committee within 5 days of the first publication (art. 29). AFIP RG 1975/2005, art. 4, requires every edict opening a concurso or declaring bankruptcy to include the debtor's CUIT.

4.4 Effects of opening

• Management. The debtor keeps managing under the síndico's supervision (art. 15). It may not make gifts or acts that alter the position of pre filing creditors. It needs prior court authorisation, after hearing the síndico and the committee, for acts on registrable assets, sale or lease of a business, issue of secured debentures or negotiable obligations, pledges and acts beyond ordinary administration (art. 16). Breach makes the acts ineffective and can lead to the debtor's removal from management (art. 17).
• Early payment of labour claims ("pronto pago"). Within 10 days of the síndico's labour report, the judge authorises payment of wages and listed severance and indemnity items under the LCT, Law 24.013, Law 25.323 and Law 25.345, without verification or a prior labour judgment. Payment is in full if liquid funds exist; otherwise 3% of monthly gross income is allocated, under a plan in which each individual payment per distribution cannot exceed 4 SMVM (art. 16). At ARS 398,800 (November 2026) that cap is ARS 1,595,200 (US$1,020) per worker per distribution.
• Interest. Interest on pre filing unsecured claims stops; interest on claims secured by pledge or mortgage can only be collected from the proceeds of the collateral (art. 19).
• Foreign currency claims. For the purposes of computing liabilities and majorities only, foreign currency debts are calculated in pesos at the date of the síndico's individual report (art. 35); labour claims are excluded from that rule (art. 19, Law 26.684). Unlike in bankruptcy (art. 127), the concurso does not itself convert foreign currency claims, so the agreement must say how and when they will be calculated if the proposal is not a simple haircut or deferral (art. 43) (unconfirmed).
• Contracts. The debtor may continue contracts with reciprocal pending obligations with court authorisation; post filing performance by the counterparty has the art. 240 preference; the counterparty may terminate if not informed of continuation within 30 days of opening (art. 20). Utilities cannot cut supply for pre filing debts (art. 20). Contractual clauses contrary to arts. 20 and 21 are void (art. 22).
• Stay of lawsuits. From publication of edicts, patrimonial lawsuits against the debtor for pre filing causes are suspended and moved to the concurso court; no new ones may be brought. Excluded: expropriation, family law, enforcement of security interests, ordinary suits already in progress and labour suits (unless the plaintiff opts to verify), necessary co defendant cases and asset forfeiture (art. 21). Secured creditors cannot auction collateral without proving they filed for verification (art. 21), and the judge may suspend secured auctions for up to 90 days in cases of evident need (art. 24).
• Travel. Directors and the debtor must notify the court before travelling abroad for up to 40 days; longer absences need authorisation (art. 25).

4.5 Verification of claims (arts. 32 to 38)

All creditors for pre filing causes, and their guarantors, file a written verification request with the síndico, stating amount, cause and privilege, with supporting documents, two signed copies and a constituted domicile (art. 32). The request has the effect of a lawsuit and interrupts prescription. Fee: each request pays the síndico 10% of the SMVM, added to the claim; labour claims and claims of less than 3 SMVM are exempt (art. 32, Law 27.170). Bond trustees and collective representatives may verify on behalf of bondholders (art. 32 bis).

4.6 General report (arts. 39, 40)

Thirty days after the individual report, the síndico files a general report on the causes of the crisis, assets at probable realisation values (including intangibles), liabilities, books, the probable date of cessation of payments, partners' contributions and liability, acts that could be clawed back in a later bankruptcy (arts. 118, 119), an opinion on the proposed creditor classes and whether the debtor falls under the merger control rules of Chapter III of Law 25.156 (art. 39) (unconfirmed). The debtor and creditors can make observations within 10 days (art. 40).

4.7 Classes and the exclusivity period (arts. 41 to 43)

Within 10 days after the date for the art. 36 decision, the debtor proposes creditor classes based on amounts, nature, privilege or any reasonable criterion, with at least three categories: unsecured, unsecured labour (if any) and privileged; subordinated creditors form their own class (art. 41). The judge fixes the classes within 10 days after the art. 40 period and reconstitutes the committee (art. 42).

The exclusivity period is 90 days from the (deemed) notification of that decision, which the judge may extend by up to 30 days depending on the number of creditors or classes (art. 43). The proposal may be a haircut ("quita"), deferral ("espera") or both, delivery of assets, a company with the creditors, reorganisation, management for creditors, negotiable obligations, convertible bonds, third party guarantees, shares of other companies, debt for equity swaps including for labour creditors, or any other arrangement obtaining sufficient consent (art. 43). Clauses must be equal within each class; several alternatives may be offered; the proposal cannot depend on the debtor's will (art. 43).

The proposal must be filed in the court record at least 20 days before the end of exclusivity, or the debtor is declared bankrupt (except in the art. 48 cases); it can be changed until the informative hearing (art. 43).

Privileged creditors who waive their privilege join an unsecured class; the waiver cannot be less than 30% of the claim. Workers may also waive their privilege (minimum 20%), ratified in a hearing before the judge with the union, and the waived privilege revives if the agreement fails or bankruptcy follows (art. 43). Note the tension with CCyC art. 2575, which says the labour privilege is "not waivable nor subject to postponement". The LCQ rule is specific to the concurso and is generally applied, but the conflict is real (unconfirmed).

4.8 Majorities and voting (arts. 45, 45 bis)

By the last day of exclusivity, the debtor files the proposal with the consent, in writing and with signatures certified by a notary or court, of the absolute majority of creditors in each and every category, representing two thirds of computable capital in each category (art. 45). Only consents dated after the last version of the proposal count. Excluded from the count: the spouse, relatives up to the fourth degree of consanguinity and second of affinity and their assignees within the year before filing; for companies, partners, directors and creditors in that position, but not shareholder creditors unless they are controlling shareholders (art. 45).

With the proposal the debtor must also file a management regime and limitations on disposal for the performance phase, and the composition of the committee that will monitor performance (art. 45). The informative hearing takes place 5 days before the end of exclusivity with the judge, the debtor, the committee and any creditors; it is not held if the debtor has already filed sufficient consents (art. 45).

Bondholders vote in a meeting called by the trustee or the judge; the capital of those who accept is counted as one vote and those who reject as another; the trustee can split its vote (art. 45 bis).

Privileged creditors. A proposal to privileged creditors needs the same majorities and the unanimity of special privilege holders it covers (arts. 44, 47).

4.9 Agreement, challenge and approval (arts. 49 to 54)

Judicial cram down (art. 52(2)(b)). If the debtor did not obtain the majorities in every class, the judge may still approve and impose the agreement on all unsecured creditors if all of these are met: (i) at least one unsecured class approved; (ii) consent of at least three quarters of total unsecured capital; (iii) no discrimination against dissenting classes, who must be able to choose any proposal accepted by an approving class, and otherwise receive no less than the best one; (iv) dissenters receive a dividend not lower than what they would get in bankruptcy. The agreement can never be imposed on special privilege holders who did not accept it (art. 52(3)), and the judge will never approve an abusive proposal or one in fraud of the law (art. 52(4)). The "abusive proposal" test has no statutory formula; it is the most litigated point in Argentine restructurings (unconfirmed).

4.10 The art. 48 procedure ("salvataje" or cram down by third parties)

For SRLs, stock companies (SA, SAS (unconfirmed)), cooperatives and companies with state participation, the failure to obtain majorities in exclusivity does not lead to bankruptcy (art. 48). Instead:

If a workers' cooperative registers, the síndico calculates the workers' severance claims (LCT arts. 232, 233, 245 or more favourable terms), which they may use to participate; on approval employment contracts end and the claims become cooperative capital; the cooperative is exempt from the 25% deposit; Banco Nación and ARCA must give their consent and the most favourable refinancing terms available (art. 48 bis). ARCA RG 5873/2026 art. 2 allows the plan regime when the agreement was obtained by a third party under art. 48, provided the purchase closes on time; the conformity request must then be signed by the third party at least 10 administrative business days before the art. 48(4) deadline (art. 8(b)); ARCA may reject it if the agreement was negotiated by a person other than the one who signed the request, to protect the tax claim (art. 9).

The art. 48 procedure does not apply to small concursos (art. 289).

4.11 After approval: performance, conclusion, nullity, breach (arts. 55 to 64)

• Novation. The approved agreement novates pre filing obligations; guarantors and joint debtors remain liable (art. 55). Benefits to individual creditors beyond the agreement are void (art. 56).
• Conclusion. Once approved and the measures taken, the judge declares the concurso concluded and the síndico's role ends; the general inhibition is normally maintained for the performance period unless creditors agree otherwise (art. 59). After the judge declares performance complete, the debtor cannot file a new concurso for 1 year (art. 59).
• Nullity. Any creditor may seek nullity within 6 months of approval, only for fraud in exaggerating liabilities, creating privileges or hiding assets discovered after the art. 50 period; nullity means bankruptcy, revives waived privileges and releases the guarantor of the agreement (arts. 60 to 62).
• Breach. Non performance, including of guarantees, leads to bankruptcy on request of a creditor or the committee (art. 63), with the same judge and síndico (art. 64).

4.12 Group concursos and guarantors (arts. 65 to 68)

Members of a permanent economic group may file jointly; cessation of payments of one member suffices if it can affect the others (arts. 65, 66). The court with jurisdiction over the member with the largest assets in the last balance sheet handles all; there is one síndico and one consolidated general report (art. 67). A unified proposal is approved with art. 45 majorities, or with 75% of total voting capital across all debtors and at least 50% of capital in each class; failure means bankruptcy of all. Intra group claims acquired within 2 years before filing have no vote (art. 67). Guarantors may join within 30 days after the last edict (art. 68).

5. Acuerdo preventivo extrajudicial (APE), arts. 69 to 76

The APE (substituted by Law 25.589) is a private agreement submitted for court approval.

Differences that matter. Under the APE the majority is computed on the whole unsecured liability, not per class; there is no síndico, no verification by a síndico, no exclusivity period and no art. 48 procedure. The APE is faster and cheaper but depends on the accuracy of the accountant's lists: oppositions for omitted creditors are the main risk.

ARCA and the APE. AFIP RG 4341/2018 (BO 23 November 2018) created a payment plan after an approved APE, conditional on the agreement expressly recognising that it does not affect ARCA's individual actions for the full tax debt (capital, interest and fines) (arts. 1, 5(a)). Conditions in the reviewed text: 5% down payment (minimum ARS 1,000), up to 60 monthly instalments of at least ARS 1,000, interest at the monthly equivalent of Banco Nación's 180 day fixed term electronic rate plus 3% per year, guarantee to ARCA's satisfaction, note filed within 20 administrative business days after approval, adhesion through "Mis Facilidades" within 30 calendar days of being enabled (arts. 5 to 7). RG 5873/2026 did not abrogate RG 4341/2018 (RG 5873/2026, art. 38), but whether RG 4341/2018 is still applied in this form, and with these nominal amounts, should be checked (unconfirmed). In practice this means tax debt is outside the APE haircut.

6. Quiebra (bankruptcy)

6.1 Petition (arts. 77 to 87)

• Cases. Failure of the concurso (arts. 46, 47, 48(2) and (8), 51, 54, 61, 63), creditor petition or debtor petition (art. 77).
• Proof. Cessation of payments is shown by any fact revealing inability to pay regularly; a plurality of creditors is not required (art. 78). Revealing facts include admission, default on an obligation, absence of directors without a representative, closure of premises, sales at vile prices, fraudulent means of obtaining funds (art. 79).
• Creditor petition. Any creditor with a due claim may petition; a special privilege holder must show the collateral is insufficient, except for labour claims (art. 80). The spouse, ascendants, descendants and assignees cannot petition (art. 81). The creditor proves its claim, the revealing facts and that the debtor is eligible; the judge summons the debtor to answer within 5 days and decides; there is no pre bankruptcy trial (arts. 83, 84). Precautionary measures (general inhibition, controlled intervention) are available (art. 85).
• Debtor petition. Prevails over creditors' petitions (art. 82); requires the art. 11 documents, although omissions do not prevent the declaration (art. 86). It cannot be withdrawn unless the debtor proves before the first edict that cessation of payments has ended (art. 87).

6.2 The bankruptcy order (art. 88) and publicity (art. 89)

The order identifies the debtor, orders registration of the bankruptcy and general inhibition, orders the debtor and third parties to deliver assets to the síndico, orders delivery of books within 24 hours, prohibits payments to the debtor, orders interception of mail, requires a domicile within 48 hours, orders realisation of assets and appoints the seller, appoints an official to make an inventory within 30 days and sets the lottery for the síndico. In a direct bankruptcy it sets the verification deadline within 20 days after the estimated end of edicts (art. 88). Edicts are published for 5 days in the official gazette within 24 hours of the order, without prior payment (art. 89).

6.3 Remedies (arts. 90 to 101)

• Conversion. An eligible debtor can convert the bankruptcy into a concurso preventivo within 10 days after the last edict, unless the bankruptcy follows a failed concurso or breach of an agreement, or the art. 59 bar applies (art. 90).
• Reposición. The debtor can challenge a creditor requested bankruptcy within 5 days of learning of it, only on the absence of the substantive conditions (arts. 94, 95). The judge may lift the bankruptcy immediately if the debtor deposits the claims that showed cessation of payments, plus pending petitions and costs (art. 96). A creditor who requested bankruptcy with intent or gross negligence is liable for damages (art. 99).

6.4 Effects

6.5 Extension of bankruptcy and liability (arts. 160 to 176)

• Unlimitedly liable partners go bankrupt with the company (art. 160).
• Extension to (1) anyone who acted in personal interest under the cover of the company, disposing of its assets as their own, in fraud of creditors; (2) a controlling person who improperly diverted the controlled company's interest, subjecting it to unified management for the controller or the group; (3) anyone with inseparable confusion of assets (art. 161). A group alone is not enough (art. 172). The síndico or any creditor may petition at any time after the bankruptcy order and up to 6 months after the síndico's general report, extended to 6 months after the end of exclusivity (or the art. 48(4) period) if the agreement was voted down, or 6 months after a final judgment of non approval, breach or nullity of the agreement (art. 163).
• Liability of representatives (art. 173). Representatives, directors, agents or managers who wilfully produced, facilitated, allowed or aggravated the debtor's financial situation or insolvency must compensate the damage. Third parties who wilfully took part in reducing assets or exaggerating liabilities must return assets and compensate, and lose any rights in the bankruptcy (art. 173). The action covers acts up to 1 year before the cessation date, is brought by the síndico with prior authorisation of a simple majority of verified unsecured capital, prescribes 2 years after the bankruptcy order and lapses after 6 months of inactivity (art. 174).
• Company law actions in bankruptcy. Actions against partners with limited liability, directors, statutory auditors and liquidators belong to the síndico (art. 175). These are the LGS arts. 59 and 274 actions, which require only negligence below the "good businessman" standard, whereas art. 173 requires wilful misconduct ("dolo"). Whether the síndico must choose one regime or may combine them, and whether the LCQ authorisation and time limits also apply to the LGS action, are contested points (unconfirmed).
• Precautionary measures against directors can be ordered before the action is brought, on a summary showing of plausible liability (art. 176).

6.6 Continuation of the business (arts. 189 to 199)

The síndico may continue the business immediately if interruption would cause serious harm or a production cycle can be completed, or if the business is viable; two thirds of active staff or labour creditors organised in a cooperative may also request continuation (art. 189). The síndico reports within 20 calendar days of accepting office (art. 190). The judge authorises continuation with a plan, term, staff, assets, contracts and reporting, within 10 days of that report (art. 191). Wages accruing during continuation are expenses with the art. 240 preference (art. 198; LCT art. 267). A buyer of a continued business is the successor only for workers whose contracts continued; collective bargaining agreements terminate as to the buyer (arts. 198, 199).

6.7 Verification in bankruptcy (arts. 200 to 202)

The same rules as art. 32 apply, including the 10% SMVM fee (art. 200, Law 27.170): written request to the síndico, duplicate with two signed copies, documents, constituted domicile; 10 days for observations; the síndico files the individual and general reports separately for each bankrupt. In an indirect bankruptcy (after a failed concurso), creditors already verified need not verify again and post filing creditors verify by incident (art. 202). The síndico forms the liquidation committee by majority of capital within 10 days of the art. 36 decision (art. 201).

6.8 Liquidation (arts. 203 to 217)

Realisation begins immediately unless reposición, conversion or continuation applies (art. 203). Order of preference: sale of the business as a going concern; sale of the establishment's assets together; individual sales (art. 204). A workers' cooperative may bid and request award at the appraised value and set off workers' labour claims, calculated under LCT art. 245 or more favourable rules (arts. 203 bis, 205). Secured assets in a going concern sale: the security moves to the price, which cannot be lower than the secured claims (art. 206). Individual sales are by public auction without base, with 2 to 5 days of edicts for movables and 5 to 10 days for real estate (art. 208). Secured creditors may request a separate sale ("concurso especial") (arts. 126, 209).

Deadline. Sales must be completed within 4 months from the bankruptcy order (or from when it becomes final if reposición was filed), extendable by 90 days; failure causes automatic removal of the síndico and the auctioneer and may be grounds for misconduct of the judge (art. 217). In practice liquidations commonly take much longer (unconfirmed).

6.9 Final report and distribution (arts. 218 to 224)

Ten days after the last sale is approved the síndico files a final report with accounts, results, unsold assets and a draft distribution; the judge regulates fees; edicts for 2 days; observations within 10 days; decision within 10 days after fees are final (art. 218). Reserves are kept for conditional and disputed claims (art. 220). Payments may be made by bank transfer to accounts indicated by creditors at their cost (art. 221). Creditors who appear after the draft distribution only share in later complementary distributions (art. 223). Unclaimed dividends lapse after 1 year and go to the state for public education (art. 224).

6.10 Ending the bankruptcy (arts. 225 to 233)

• Avenimiento. The debtor may obtain conclusion with the consent of all verified creditors, with certified signatures, at any time after verification and until the last sale (art. 225). It ends all patrimonial effects (art. 227). ARCA's consent requires an approved RG 5873/2026 plan with a third party guarantor (RG 5873/2026, arts. 13 to 18); ARCA's approval lapses if the avenimiento is not completed within 90 calendar days (art. 18).
• Full payment. If assets cover all verified and pending claims and costs; any surplus pays suspended interest, then goes to the debtor (art. 228).
• Closure by final distribution. The proceedings can be reopened if new assets appear; after 2 years without reopening the judge may declare the concurso concluded (arts. 230, 231).
• Closure for lack of assets carries a presumption of fraud and is reported to the criminal courts (arts. 232, 233).

6.11 Disqualification (arts. 234 to 238)

The bankrupt is disqualified from the bankruptcy date. For a company, disqualification extends to individuals who were on the management body from the cessation of payments date, without the 2 year limit of art. 116 (art. 235). It ceases automatically after 1 year, may be shortened by the judge, and is extended during criminal proceedings (art. 236). A company's disqualification is definitive unless conversion or conclusion (art. 237). Disqualified persons cannot trade, be directors, managers, statutory auditors, liquidators or founders of companies, or hold general powers (art. 238). The IGJ keeps a book of persons disqualified by bankruptcy and checks it automatically before registering director appointments (IGJ Norms, RG IGJ 15/2024, art. 114) (unconfirmed).

7. Ranking of creditors (arts. 239 to 250)

Only the privileges in the LCQ apply in a concurso (art. 239). Privileges recognised in the concurso preventivo keep their rank in a later bankruptcy (art. 239).

Three practical notes:

• Tax interest and fines are unsecured. Only the capital of taxes has the general privilege (art. 246(4)). ARCA's RG 5873/2026 nevertheless requires the debtor to include in its plan all debt including interest (art. 7) and does not accept haircuts (art. 8(b)).
• The 50% cap of art. 247 protects unsecured creditors against general privileges, but labour wage capital is outside the cap.
• LCT and LCQ overlap. The LCT also grants labour privileges (arts. 268, 273) and says the general labour privilege is preferred to any other claim except maintenance. Inside a concurso, the LCQ regime governs (LCQ art. 239; CCyC art. 2579).

8. Fees and costs

8.1 Court fee ("tasa de justicia"), national courts

ARCA may grant payment plans for the court fee in concursos of up to 10 years (Law 23.898, art. 3). Two interpretative problems: (a) whether the base is verified claims (art. 4(e)) or the definitive amount after haircuts (Law 25.972 art. 1 and Law 27.541 art. 83); and (b) Law 27.541 art. 83 links the 0.25% rate to health insurance agents ("agentes del Seguro Nacional de Salud"), while Law 23.898 art. 3 uses 0.25% for the excess over ARS 100,000,000. The interplay is contested (unconfirmed). The ARS 100,000,000 threshold dates from 2002 and has not been updated in the reviewed text. Provincial courts apply provincial court fee laws (unconfirmed).

8.2 Fees of the síndico and lawyers (arts. 265 to 272)

Local fee laws do not apply, and judges must depart from the statutory minimums when applying them would be disproportionate to the work, with explicit reasons (art. 271). Fees are appealable; in bankruptcy, the case goes to the appeals court which may reduce fees even if nobody appealed (art. 272). The síndico pays any advisers it hires (art. 257). The salary of a first instance court secretary is not in the sources (unconfirmed). As with the court fee, the ARS 100,000,000 threshold of art. 266 has not been updated since 2002, so on the face of the text almost every concurso today falls under the 1% cap; whether courts apply it literally is uncertain (unconfirmed).

8.3 Verification fee (arts. 32, 200)

10% of the SMVM per verification request, paid by the creditor to the síndico and added to the claim. Exempt: labour claims and claims below 3 SMVM.

Which SMVM date applies (filing of the request, opening order or payment) is not stated in the statute (unconfirmed).

8.4 Other costs

• Accountant's opinions required by art. 11(3), (5) and (8) and by art. 72 in an APE: professional fees, not regulated in the sources (unconfirmed).
• Edicts: 5 days in the official gazette and another newspaper, plus each other jurisdiction with establishments (arts. 27, 28, 74) (unconfirmed).
• Postage deposit set by the judge (art. 14(8)).
• Notarial certification of creditor consents (arts. 45, 70).
• Valuer's fee in art. 48 (art. 262) and edicts deposit by registrants (art. 48(1)).
• Private fee agreements with the debtor's advisers outside the court regulated fee (unconfirmed).

9. Labour claims

Contested point. Law 27.802 (BO 6 March 2026) sets IPC plus 3% updating for labour credits and, for pending suits, says its formula applies even in concurso and bankruptcy. LCQ art. 19 suspends interest in the concurso and art. 129 keeps only compensatory labour interest running in bankruptcy. How the new updating mechanism interacts with art. 19 (concurso) has not been settled in the sources (unconfirmed). For the employment termination rules on closure (severance, art. 247 LCT, crisis procedure), see the dissolution page section 7.

10. Tax claims and ARCA

10.1 The síndico's tax duties

The síndico must request ARCA's statement of the debtor's tax debts within 15 calendar days of accepting office, and at least 15 days before the verification deadline; otherwise the síndico becomes jointly liable for the taxes (Law 11.683, art. 8(b); AFIP RG 1975/2005, arts. 1, 5). The request is made online with Clave Fiscal through the "Síndicos F.735" service (RG 1975/2005, art. 2) (unconfirmed). In bankruptcy, síndicos are liable for paying the debtor's taxes from the funds they manage (Law 11.683, art. 6(1)(c)).

10.2 ARCA RG 5873/2026: the special plan for concursados and fallidos

RG 5873/2026 (BO 3 July 2026; in force 15 July 2026; replaced RG 3587 and its amendments, art. 38) sets the only route by which ARCA gives its consent to an agreement (art. 45 LCQ) or avenimiento (art. 225 LCQ). Debtors with requests pending under RG 3587 may opt into the new regime (art. 39). RG 5896/2026 (BO 16 September 2026, in force 1 October 2026) repealed the last paragraphs of arts. 25 and 28.

The compensatory interest rate itself is not in the sources. Whether the ARS amounts were already updated on 1 September 2026 by the January to June 2026 IPC variation is not shown in the sources (unconfirmed).

What this means. ARCA is typically a large privileged and unsecured creditor. Because it will not accept a haircut, a debtor cannot use ARCA's vote to help reach majorities on a haircut proposal; the plan gives time, not a discount. Excluding ARCA from the computation, or putting it in its own class, is a common structuring question (unconfirmed).

10.3 Provincial taxes

Provincial gross income tax and municipal fees are also general privilege claims for capital (art. 246(4)). Provincial plan regimes for concursados are not covered by the sources (unconfirmed).

11. Foreign creditors and cross border insolvency

11.1 Article 4: the territorial rule

• Opening. A concurso declared abroad is grounds to open one in Argentina, at the request of the debtor or of a creditor whose claim is payable in Argentina (art. 4).
• No effect against local creditors. Except as provided in international treaties, a foreign concurso cannot be invoked against creditors whose claims are payable in Argentina to dispute their rights over assets in Argentina or to annul acts they entered into with the debtor (art. 4).
• Plurality. If bankruptcy is also declared in Argentina, creditors belonging to the foreign proceeding are paid only from the surplus, after other verified creditors are paid in full (art. 4).
• Reciprocity. A creditor whose claim is payable abroad and who does not belong to a foreign proceeding can verify only if it shows that, reciprocally, a creditor whose claim is payable in Argentina could verify and collect on equal terms in a proceeding in the country where the claim is payable. Secured creditors are exempt from proving reciprocity (art. 4).
• Parity of dividends. Payments of unsecured claims collected abroad after the Argentine opening are imputed to the dividend payable to that creditor in Argentina (art. 4).
• Foreign debtors. Debtors domiciled abroad can be subject to an Argentine concurso as to assets in Argentina (art. 2(2)); the court is that of the place of administration in Argentina or the main establishment (art. 3(5)).

Treaties. Article 4 defers to international treaties. Argentina is understood to be party to the Montevideo Treaties on International Commercial Law of 1889 and 1940, which contain bankruptcy rules applicable among the contracting states (unconfirmed). No bilateral insolvency treaty is in the sources. The UNCITRAL Model Law on Cross Border Insolvency is not incorporated in the updated text of Law 24.522 reviewed for this page.

Contested points. The meaning of "payable in Argentina", the standard of proof of reciprocity, and whether the "payable abroad" test catches claims under foreign law contracts with payment in New York are long standing debates in Argentine doctrine and case law (unconfirmed). Practical implication: a foreign creditor should check the place of payment in its contract before filing.

11.2 Procedure and evidence

• File the verification request with the síndico in writing, with supporting documents, two signed copies, and a domicile constituted within the court's jurisdiction (arts. 32, 200). Retain local counsel.
• Documents in a foreign language must be accompanied by a translation by a sworn public translator (National Civil and Commercial Procedure Code, art. 123, applicable in national courts through LCQ art. 278). Apostille or legalisation requirements are not in the sources (unconfirmed).
• Foreign law (for example, to prove reciprocity) can be established by the judge, who must interpret it as the foreign judges would, and the parties may plead and prove it; if it cannot be established, Argentine law applies (CCyC art. 2595). The party invoking foreign law bears the burden of proving it if the judge does not have the duty to know it (CPCCN art. 377).
• Foreign currency: in a concurso, foreign currency claims are converted only to compute liabilities and majorities (art. 19); in bankruptcy, they are converted to pesos at the bankruptcy date, or at the due date if earlier, at the creditor's option (art. 127). The exchange rate to be used (official BNA seller rate, MEP or another) is not specified in the LCQ (unconfirmed).
• Bondholders under foreign law indentures vote through the art. 45 bis mechanism and may verify through their trustee (art. 32 bis).

11.3 Getting the money out

Dividends are paid in pesos into a local account (art. 221). For a non resident, buying foreign currency in the MLC for transfer abroad requires prior BCRA approval, except in listed cases, none of which covers insolvency dividends (BCRA Exterior y Cambios, point 3.13.1) (unconfirmed). Under an approved concurso agreement in which the debtor itself pays a foreign financial creditor, the general rules for payments of foreign debt by residents would apply (unconfirmed). See the repatriation rules summarised in the dissolution page section 11.

Deadlines and periods (summary)

Timeline of norms

The BO date of RG 1975/2005 is 12 December 2005; it applied from the first business day of the second month after publication (art. 8).

Step by step

If step 19 fails, the art. 48 procedure starts (section 4.10).

Worked examples

Facts (hypothetical). "Metalúrgica Sur SA", an SA registered with the IGJ in the City of Buenos Aires, 45 employees, 80 unsecured creditors. It filed on 2 November 2026. Estimated assets: ARS 1,500,000,000 (US$959,141). Liabilities ARS 2,000,000,000 (US$1,278,854):

Step 1: is it a small concurso? 300 SMVM at ARS 398,800 (November 2026) is ARS 119,640,000. Liabilities exceed that, there are more than 20 unsecured creditors and more than 20 employees, so none of the three art. 288 circumstances applies. The full procedure, including committees and art. 48, applies.

Step 2: filing. The board resolves to file; the shareholders' meeting must ratify within 30 days (art. 6). The accountant certifies the statement of assets and liabilities, 80 creditor files and the labour and social security debt (art. 11(3), (5), (8)).

Step 3: verification fees (paid by creditors). Each of the 80 unsecured creditors with a claim of at least 3 SMVM (ARS 1,196,400) pays ARS 39,880 (US$25.50), which is added to its claim (art. 32). Employees pay nothing. If 70 creditors pay, the síndico receives ARS 2,791,600 (US$1,785) on account of expenses and fees.

Step 4: pronto pago. The síndico reports labour claims within 10 days (art. 14(11)). If there is no cash, 3% of monthly gross income goes to pronto pago (art. 16). With monthly gross income of ARS 150,000,000, that is ARS 4,500,000 (US$2,877) per month, distributed pro rata, each worker receiving at most ARS 1,595,200 (US$1,020) per distribution at the November 2026 SMVM.

Step 5: the proposal. Classes: (A) unsecured financial and suppliers above ARS 10,000,000; (B) unsecured below that amount; (C) unsecured labour (if any waive privilege); (D) privileged. Proposal to unsecured: 40% haircut, the remaining 60% (ARS 708,000,000 on ARS 1,180,000,000) paid in 8 annual instalments of ARS 88,500,000 (US$56,589), first instalment 12 months after approval. ARCA: request conformity through "Presentaciones Digitales" at least 20 administrative business days before exclusivity ends, with a plan of up to 120 instalments for the ARS 300,000,000 debt (RG 5873/2026, arts. 8, 21). Principal per instalment before interest: ARS 2,500,000 (US$1,599), above the ARS 50,000 minimum. Interest at 50% of the compensatory rate. The plan is below ARS 500,000,000, so no dividend lock applies (art. 8(c)), and below ARS 1,000,000,000, so the Director of Contencioso decides (art. 9(a)). The bank with the mortgage is not included unless it agrees: the agreement cannot be imposed on special privilege holders (arts. 44, 52(3)).

Step 6: majorities. In each unsecured class the debtor needs more than half the creditors by number and two thirds of capital (art. 45). If class B rejects but class A approves and overall consent reaches 75% of unsecured capital (ARS 885,000,000, US$565,893, of ARS 1,180,000,000), the judge may impose the agreement if class B can choose class A's proposal and receives at least the bankruptcy dividend (art. 52(2)(b)).

Step 7: court fee (national courts). Two readings:

For simplicity the example applies the 40% haircut to the ARCA unsecured portion as well; in reality ARCA does not accept haircuts (RG 5873/2026 art. 8(b)) and its debt goes into its own plan, so the base would differ (unconfirmed). If the 0.75% rate were applied flat to the whole base without the 0.25% band, the fee would be ARS 9,300,000 (US$5,947).

Step 8: fees of síndico and lawyers (art. 266). Assets ARS 1,500,000,000. Ordinary range 1% to 4%: ARS 15,000,000 to ARS 60,000,000 (US$9,591 to US$38,366), capped at 4% of verified liabilities (ARS 80,000,000, not binding here). Because assets exceed ARS 100,000,000, the total for all officers and the lawyers of the síndico and the debtor "may not exceed 1%": ARS 15,000,000 (US$9,591), subject to the floor of 2 monthly salaries of a court secretary (unconfirmed) and to the judge's power to depart from minimums (art. 271). Payable 90 days after approval (art. 54).

Step 9: timeline (statutory deadlines, judicial business days per art. 273(2)).

At about 20 judicial business days per month, and allowing for the January judicial recess (unconfirmed), 225 business days is roughly 11 to 12 months; with the 30 day extension, 12 to 13 months. Practice is usually slower because of appeals, review incidents and extensions (unconfirmed). If exclusivity fails and art. 48 opens: 2 + 5 days for the registry, 30 for the valuation, 5 for observations, a period for the judge to fix the value (unconfirmed), and 20 days to obtain consents, so about 62 business days plus the judge's time, roughly 3 to 4 months more.

Cost to do it (Example 1). Court fee ARS 2,360,000 to ARS 3,600,000 (US$1,509 to US$2,302); court regulated fees ARS 15,000,000 (US$9,591) on the literal 1% cap, or up to ARS 60,000,000 (US$38,366) if the cap were not applied (unconfirmed); accountant certifications, edicts, notarial certifications and private advisers (unconfirmed); no capital requirement; about 11 to 13 months to approval on statutory deadlines, plus 8 years of performance under the proposal; ARCA debt over up to 10 years.

Facts (hypothetical). A US supplier sold machinery parts to "Metalúrgica Sur SA" (Example 1). After the concurso failed and no one registered under art. 48, the court declared bankruptcy (art. 48(2)). The supplier's unpaid invoice: US$250,000, due 15 March 2026, plus US$5,000 of contractual interest accrued until the bankruptcy date. The invoice says payment is due by transfer to the supplier's bank account in New York.

Step 1: reciprocity (art. 4). The claim is payable abroad and the supplier does not belong to a foreign proceeding, so it must show that a creditor with a claim payable in Argentina could verify and collect on equal terms in a US bankruptcy. It files a legal opinion on US law, translated by a sworn translator (CPCCN art. 123). The judge establishes and interprets foreign law as US judges would (CCyC art. 2595). If the claim were secured, no reciprocity proof would be needed (art. 4). Standard of proof is contested (unconfirmed).

Step 2: conversion to pesos (art. 127). Claims in foreign currency are converted at the date of the bankruptcy order or, at the creditor's option, at the due date if earlier. The rate to use is not in the LCQ (unconfirmed). For illustration only, the example uses the 23 Oct 2026 dólar MEP rate of ARS 1,563.90 for the conversion date; the real rate will be the one the síndico and the court accept for that date.

The creditor would compare the rate on the due date (15 March 2026) and on the bankruptcy date and choose the higher peso amount (art. 127).

Step 3: filing. Written request to the síndico in duplicate with two signed copies, invoice, contract, delivery proof, translations, and a constituted domicile in the court's jurisdiction (art. 200). Deadline: the date fixed in the bankruptcy order, within 20 days after edicts end (art. 88). Late filers after the draft distribution share only in later distributions (art. 223).

Step 4: distribution (hypothetical liquidation). Assets realised: ARS 3,000,000,000 (plant ARS 800,000,000; machinery and stock ARS 700,000,000; cash and receivables ARS 1,500,000,000).

Step 5: what the supplier receives. 41.67% × ARS 398,833,620 = ARS 166,180,675, which is US$106,260 at ARS 1,563.90. Paid in pesos to a local account (art. 221). If the peso depreciates between the conversion date and payment, the dollar recovery is lower than 41.67%: the claim was fixed in pesos at the bankruptcy date (art. 127) and no interest runs after that (art. 129), unless there is a surplus (art. 228). The dividend must be collected within 1 year of approval of the distribution or it lapses (art. 224).

Step 6: transfer abroad. As a non resident, the supplier needs prior BCRA approval to buy dollars in the MLC, because insolvency dividends are not among the exceptions of point 3.13.1 of BCRA Exterior y Cambios (unconfirmed). Withholding tax on the dividend or on any interest component is not covered here (unconfirmed).

Cost to do it (Example 2). Verification fee ARS 39,120 (US$25); local counsel, sworn translation and foreign law opinion (unconfirmed); no court fee for the creditor (the 3% comes out of the estate); verification within about 20 business days of the edicts; distribution after liquidation, which by statute should take 4 months plus 90 days (art. 217), and in practice usually takes much longer (unconfirmed).

A board receives year end statements: capital ARS 200,000,000, reserves ARS 30,000,000, accumulated losses ARS 260,000,000.

1. Art. 206 test. Losses (260m) exceed reserves (30m) plus 50% of capital (100m) = 130m. Mandatory capital reduction applies.
2. Art. 94(5) test. Equity = 200 plus 30 minus 260 = minus ARS 30,000,000 (US$19,183 negative). Capital is lost: the company is in a cause of dissolution unless shareholders restore or increase capital (art. 96).
3. Consequences. From the moment the cause is verified, directors may only deal with urgent matters and must start the liquidation, or remove the cause; otherwise they are unlimitedly and jointly liable (LGS art. 99). If the company is also unable to pay its debts regularly (LCQ arts. 1, 78), a concurso or APE should be considered promptly. If bankruptcy follows, acts from 1 year before the cessation date can support an art. 173 action if wilful (art. 174), and director disqualification runs from the cessation date (art. 235).

Practical traps

1. Ratification within 30 days. A company's concurso ends automatically if the shareholders do not ratify within 30 days (art. 6). Foreign parents must plan powers of attorney and meeting logistics in advance.
2. Missing the postage deposit or edicts means the debtor is deemed to have withdrawn (art. 30), and a new petition within a year can be blocked if bankruptcy petitions are pending (art. 31).
3. The 20 day publication rule. The proposal must be in the court file 20 days before exclusivity ends, or bankruptcy follows (except art. 48 cases) (art. 43).
4. ARCA's 20 business day deadline. The conformity request to ARCA must be filed at least 20 administrative business days before exclusivity ends (RG 5873/2026, art. 8(b)). Administrative and judicial business days are counted differently.
5. ARCA does not accept haircuts. Building majorities on ARCA's vote for a haircut proposal will fail (RG 5873/2026, art. 8(b)).
6. Dividend lock. Plans above ARS 500,000,000 (IPC updated) bar dividends for the life of the plan; breach causes lapse of the plan (arts. 8(c), 29(c)). Foreign parents expecting upstream dividends must model this.
7. Small case trap. A company with 20 or fewer employees can be a "small concurso" regardless of its debt size, losing the art. 48 rescue route (arts. 288, 289) (unconfirmed).
8. Intra group claims. In group concursos, claims among members acquired within 2 years have no vote (art. 67), and in a single concurso a controlling shareholder's claims are excluded from the vote (art. 45).
9. Guarantees survive. Novation does not release guarantors (art. 55). Parent guarantees of local bank debt remain fully enforceable abroad.
10. Suspect period payments. Payments to related parties, prepayments and new security in the months before bankruptcy may be clawed back (arts. 118, 119). Repaying a parent's loan just before filing is high risk.
11. Controller extension. A parent that runs the subsidiary in the group's interest against the subsidiary's own interest risks having the bankruptcy extended to it (art. 161(2)).
12. Foreign currency claims in bankruptcy. Conversion at the bankruptcy date plus suspended interest shifts exchange risk to creditors (arts. 127, 129).
13. Reciprocity. Check whether your claim is "payable abroad" before filing; secured creditors are exempt (art. 4).
14. Dividend lapse. Unclaimed bankruptcy dividends are lost after 1 year (art. 224). Foreign creditors must keep a local account and counsel active.
15. Arbitration clauses. They stop applying on bankruptcy unless the tribunal was already constituted (art. 134).
16. Termination clauses. Ipso facto termination for breach cannot be enforced after the bankruptcy order unless already exercised (art. 145).
17. Closure for lack of assets triggers a presumption of fraud and a criminal referral (art. 233).
18. Nominal amounts. The ARS 100,000,000 thresholds in LCQ art. 266 and Law 23.898 art. 3 and the ARS 20,000 credit invoice privilege (art. 246(5)) have not been updated in the reviewed texts; applying them literally gives very different results from their original intent (unconfirmed).

Recent changes

No amendment to Law 24.522 itself after DNU 62/2019 appears in the Infoleg list of amending norms downloaded on 26 October 2026 (unconfirmed).

Pending changes

• Bankruptcy law reform. No bill or government project to reform Law 24.522 is in the sources (unconfirmed).
• Cross border insolvency. Argentina has not incorporated the UNCITRAL Model Law in the reviewed text; any adoption would require a law (unconfirmed).
• Nominal thresholds. The ARS 100,000,000 thresholds for fees (art. 266) and court fees (Law 23.898 art. 3) and the ARS 20,000 credit invoice privilege remain at 2002 or 1997 values (unconfirmed).
• RG 4341/2018 (APE plans). Not abrogated by RG 5873/2026, but with nominal amounts of ARS 1,000; a replacement or update is possible (unconfirmed).
• Interaction of Law 27.802 with LCQ art. 19. Implementing regulations or case law may clarify updating of labour claims in a concurso (unconfirmed).

FAQ

1. Can a foreign parent file a concurso for its Argentine subsidiary? The subsidiary files itself through its legal representative, after a board resolution, and its shareholders' meeting (where the parent votes) must ratify within 30 days (LCQ art. 6). The parent cannot file on the subsidiary's behalf, but as a creditor it may request the subsidiary's bankruptcy (art. 80), subject to art. 45 rules on voting by controlling shareholders.

2. Is there a balance sheet insolvency test? Not in the Bankruptcy Law, which uses cessation of payments (arts. 1, 78). Company law adds the loss of capital as a cause of dissolution (LGS art. 94(5)), avoidable by restoring or increasing capital (art. 96). The APE is also open to debtors in "general economic or financial difficulties" without cessation of payments (LCQ art. 69).

3. How long does a concurso preventivo take? On statutory deadlines, about 11 to 13 months from filing to approval (Worked example 1), plus 3 to 4 months if art. 48 opens. Real cases often take longer (unconfirmed). Performance of the agreement then runs for the agreed term.

4. Can secured creditors enforce during a concurso? Yes, enforcement of security interests is excluded from the stay (art. 21(1)), but they cannot auction without having requested verification (art. 21), and the judge can suspend auctions for up to 90 days in evident need (art. 24). An agreement cannot be imposed on special privilege holders who did not accept it (art. 52(3)).

5. Does ARCA vote and can it accept a haircut? ARCA gives its consent through the RG 5873/2026 plan, which cannot contain haircuts or extra deferrals (art. 8(b)). Its tax capital is privileged (LCQ art. 246(4)); interest and fines are unsecured. Plans run up to 120 instalments at 50% of the compensatory rate (art. 21).

6. What happens to employees? In a concurso, employment continues; listed labour claims can be paid early ("pronto pago") without verification (art. 16). In bankruptcy, contracts are suspended for 60 days and then terminated at the bankruptcy date if the business does not continue (art. 196). Labour claims have special and general privileges (arts. 241(2), 246(1)), and workers' cooperatives have preferential routes to acquire the business (arts. 48 bis, 189, 203 bis).

7. Are directors personally liable if the company goes bankrupt? They can be. Under the LCQ, if they wilfully caused, facilitated, allowed or aggravated insolvency (art. 173), for acts up to 1 year before the cessation date (art. 174). Under company law, for negligent breach of the good businessman standard (LGS arts. 59, 274), with the action exercised by the síndico (art. 175; LGS art. 278). Directors since the cessation date are disqualified for at least 1 year (arts. 235, 236). The síndico can obtain precautionary measures before suing (art. 176).

8. Can a foreign bankruptcy order be recognised in Argentina? Article 4 does not provide recognition in the Model Law sense. A foreign concurso is grounds to open an Argentine one, but it cannot be invoked against creditors whose claims are payable in Argentina, and foreign estate creditors are paid only from the surplus of a parallel Argentine bankruptcy (art. 4). Treaties may provide otherwise (unconfirmed).

9. My claim is in US dollars. In what currency will I be paid? In bankruptcy, the claim is converted to pesos at the bankruptcy date, or the earlier due date at your option (art. 127), and paid in pesos. In a concurso, conversion is only for computing majorities (art. 19); the agreement must state how foreign currency debts will be calculated if it is not a simple haircut or deferral (art. 43).

10. How much does it cost a creditor to verify a claim? 10% of the SMVM per request, ARS 39,880 (US$25.50) from 1 November 2026, added to the claim; labour claims and claims below 3 SMVM are exempt (arts. 32, 200; CNEPSMVM Res. 4/2026). Local counsel and translations are additional.

11. What is the difference between "cram down" under art. 48 and under art. 52? Article 48 is a takeover procedure: if the company fails in exclusivity, third parties, creditors or a workers' cooperative can win the company's shares by obtaining the majorities. Article 52(2)(b) is a judicial imposition: the judge imposes an agreement that failed in some classes if one class approved, 75% of unsecured capital consented, there is no discrimination and dissenters get no less than in bankruptcy.

12. Can a company in bankruptcy be saved? Yes, by conversion into a concurso within 10 days of the last edict (art. 90), by avenimiento with all verified creditors (art. 225), by full payment (art. 228), or by sale as a going concern (arts. 204, 205), possibly to a workers' cooperative (art. 203 bis).

Primary sources

• Law 24.522, Bankruptcy Law, Infoleg updated text (arts. 1 to 297 as cited
• Infoleg, list of norms amending or complementing Law 24.522
• Law 26.684, BO 30 June 2011
• Law 27.170, BO 8 September 2015 (arts. 1 to 3
• Law 26.086, BO 11 April 2006
• Law 25.589, BO 16 May 2002
• ARCA RG 5873/2026, BO 3 July 2026, Infoleg updated text (arts. 1 to 40 and Annexes I to III
• AFIP RG 4341/2018, BO 23 November 2018, updated text (and amendments list
• AFIP RG 1975/2005, BO 12 December 2005
• AFIP RG 745/1999 and RG 970/2001
• Law 19.550, General Companies Law, t.o. 1984, Infoleg updated text (arts. 59, 94, 96, 99, 206, 274 to 279 and Infoleg notes
• Law 27.541, BO 23 December 2019 (arts. 1, 59, 83
• Civil and Commercial Code, Law 26.994 (arts. 2573 to 2582, 2595
• Labour Contract Law 20.744, t.o. 1976 (arts. 261 to 274
• Law 27.802, Labour Modernisation Law, BO 6 March 2026 (arts. 54, 55, 149
• Law 23.898, court fees, Infoleg updated text (arts. 1, 3, 4(e), 9(b)
• Law 11.683, Tax Procedure Law, t.o. 1998 (arts. 6(1)(c) and (d), 8(b), and the provision on plans for concursados
• National Civil and Commercial Procedure Code, Law 17.454 (arts. 123, 377
• CNEPSMVM Res. 4/2026 (art. 1
• IGJ, Resolución General 15/2024, IGJ Norms (arts. 80, 114, 162

Related pages

• Dissolving and liquidating a company in Argentina
• Repatriating capital and leaving Argentina: getting your money out
• Selling shares in an Argentine company as a foreign seller: capital gains tax, withholding, payment via ARCA, registration and repatriating the proceeds
• How long does it take to close a company in Argentina?
• How do I take money out of Argentina after selling property?