Colombian Commercial Code - Decree 410 of 1971 - Book II - Of Corporations - Title IX - Fact Trading Company - From: Section 498 By: Art 506

COLOMBIAN COMMERCIAL CODE

TITLE IX

THE TRADING COMPANY IN FACT

Article 498 .- The trading company will indeed when set up on the deed. Its existence may be proved by any means of proof recognized by law.

Article 499 .- The company is in fact not a legal person. Therefore, the rights acquired and obligations contracted for the social enterprise, shall be purchased or contracted for or in charge of all de facto partners.

The stipulations agreed to by the associated effects occur between them.

Article 500 .- Repealed. Decree 2155 of 1992.

Article 501 .- In society, in fact every one of the partners jointly and unlimitedly liable for the transactions. The provisions intended to limit this liability shall be deemed not written.

Third parties may assert their rights and fulfill their obligations by or on behalf of all partners or in fact any of them.

Article 502 .- Judicial declaration of nullity does not affect the rights of bona fide third parties that have contracted with it.

No third party may claim as an action or an exception that society is in fact to exonerate the fulfillment of their obligations. Nor may invoke the nullity of the constitutive act or its amendments.

Article 503 .- The administration of social enterprise will be as valid partners agree, without prejudice to Article 501 in respect of third parties.

Article 504 .- Property for the development of the social order will be particularly affected by the payment of obligations incurred in the interest of society in fact, subject to credit enjoying special privilege or priority for payment. Accordingly, such property shall be preferred creditors other creditors social common partners.

Article 505 .- Each partner may at any time to make the liquidation of the company and in fact is settled and pay his share in it and other partners will be obliged to proceed with the liquidation.

Article 506 .- The liquidation of the company in fact may be made by all partners, as appropriate giving effect to the principles of Chapter IX, Title I of this Book. They may also appoint a liquidator, and if so, is presumed to be president of all and each of them, with powers of representation.