Librería Samer Atenea
Kálamo Books
Librería Elías (Asturias)
Librería Kolima (Madrid)
Librería Proteo (Málaga)
By requiring that any branch of a 'foreign entity' be converted into a corporation organized under the laws of one of the States Parties to the OHADA Treaty no later than 2 years after its establishment, Art. 120, paragraph 1, of the AUSCGIE enshrines the temporary nature of such an establishment. This decision by the OHADA legislature compels any 'foreign' commercial entity that wishes to continue its branch’s operations after this deadline expires to transform the branch into a much more permanent form of establishment, specifically a subsidiary. The stakes are enormous. Since this obligation to convert to a subsidiary applies only to branches of 'foreign entities,' understanding this term becomes crucial. While some interpret it in relation to the entire OHADA region, the author of this paper proposes instead to define it in relation to the State Party in which the branch is located. In the absence of a legal definition applicable to the AUSCGIE and any clarification from the CCJA to date, the proposed analysis primarily draws on traditional methods of interpreting legal norms. The goal is to truly reignite the debate on this important issue.
