2024-03-14 17:43:53
The Federal Chamber of San Martín confirmed the precautionary measure that suspends articles 335 and 345 of the Decree of Necessity and Urgency (DNU) 70/23 of the Government of Javier Milei that allowed the transformation of civil associations into sports corporations (SAD).
The precautionary measure had been ordered by the judge of the Federal Court of Mercedes, Elpidio Portocarrero Tezanos Pintoafter being requested by the Salto Football League.
In that first instance, the magistrate ruled that the articles of the DNU that enable the formation of the SAD “alter the state of affairs of a social impact group such as sports entities, because it prevents them from developing their associative life.” Now, judges Juan Pablo Salas, Marcos Moran and Marcelo Darío Fernández confirmed the measure and warned that There is no need or urgency and there is no indication of the impossibility of this issue being discussed in Congress..
The Chamber closes the ruling concluding that “the extremes required by the regulations and jurisprudence cited for the issuance of the questioned DNU – in the matter in question – are not verified, at least in this preliminary stage of the case, as it is not evident nor does it explain a situation of exceptionality or necessity that justifies the adoption of the measures analyzed here. Nor is it noted that it is impossible to choose a less burdensome decision (parliamentary procedure), nor that the advantages of the chosen path are greater than the disadvantages noted. “.
What are SADs?
Sports Public Limited Companies are a form of legal organization in which club owners are shareholders and investors. In Argentina, the law and statutes of sports entities establish that clubs are non-profit associations whose owners are the partners who, for example, have the right to vote for their authorities.
SADs are companies in which the partners cannot vote for the leadership. Furthermore, since they have a profit motive, they are not obliged to reinvest the money obtained, so that The owners can share the profits. In the country, the former president Mauricio Macri has been one of the great promoters of this update for years, although so far it has not been successful.