New Company Constitution Law Problem?

SteveS · #1 06-26-2009, 05:44 PM

As this law is only a week or so old I don't know how many people even have experience of this yet. Anyhow...

Went to visit our Lawyer this morning (who is constituting our latest company), and obviously due to the timing we waited to go down the SRL route.

However, our issue is, under the new law, we are required to deposit RD$x in the bank in favor of the company, but the bank won't let us deposit anything without the RNC.... which we don't get until the company is constituted...........which they won't do without the deposit........

Is someone wrong in this process, is the bank wrong about not taking the deposit without the RNC?

Has the lawyer missed a trick somewhere in something they should have done?

Or is this correct, and another fine example of great planning in the DR...!!!

Lawyer informed me today (after I'd provided further certified bank documents with the amounts deposited in personal names), that she's off to argue it further again with them, to try and talk some common sense into them about this issue.

Help!

Castellamonte · #2 06-26-2009, 06:39 PM

This doesn't surprise me very much and I don't know the right answer but I'll definitely watch this thread to learn what Fabio has to say. Funny as heck (although I'm sure not to you).

MikeFisher · #3 06-27-2009, 01:26 AM

a case from a few years back as an example, i would not know that the system/way to do did change til today, but open to corrections of course.
when with the constitution of the company at the point to get the bank receipt about the deposit:
i opened the bank account in the company's name, the new company's name. i told the bank that the company is a new one and the RNC still not given out b/c the deposit receipt is needed for that, they opened the account, i got the receipt, around a week later i provided the bank with the receipt RNC number, all ben fine.

if your 'lawyer' can not do that,
get a new lawyer i think.
Mike

Fabio J. Guzman · #4 06-28-2009, 04:37 PM

The bank should give you the receipt without an RNC number. That's the law. If they don't, go to another bank.

MikeFisher · #5 06-28-2009, 05:47 PM

right Fabio,
and the used lawyer should know about that, he he.
thanks for the update from the professional's side,
like always very appreciated.
Mike

SteveS · #6 06-28-2009, 10:28 PM

Quote:

Originally Posted by Fabio J. Guzman

The bank should give you the receipt without an RNC number. That's the law. If they don't, go to another bank.

Thanks for the response. I assumed as much, that it wasn't just me and that someone in the chain had got it wrong somewhere...

seems it was everyone! The bank and our "account manager" not understanding what we needed. The lawyer for not being able to explain properly.... or the govt for not explaining to them...

all in all, we'll get there in the end I'm sure.

Mike, yes I know and would love to use Sr Guzman to do all my work, but when the Wife's cousin says she'll do it for free..... I can't refuse can I really? even if we have to half the job for her?! For the real work, that won't be going on the pro-bono prima.....

Last question for Sr Guzman however, (or whoever knows), are equivalent deposits in USD acceptable or do they have to be in DOP?

MrMike · #7 06-29-2009, 10:00 AM

I have heard of many people using their cedula number to do business as a sort of temporary RNC while waiting for the RNC to be issued.

MikeFisher · #8 06-29-2009, 12:11 PM

Steve's,
Fabio is giving the best advice here AND it's free, so i see no advance of using the "free" cousin which may finally come out not to be free, b/c delays and mistakes for leak of professionalismn can in some cases easily cost more than a 'expensive' lawyer would have cost.
last company constitution done for a friend costed 20.000.- pesos including the lawyers fee, that been a friendship rate, done by my steady lawyer. i guess it still costs no more than 30.000.- to do it the right way and be sure to have the real papaers in hand. to run a business i assume a lil $850.- invest is not the big deal running a business into the ground from the beginning.
we had such 2 years back when separating the titles of a 1500tareas family finca. several family members said it will be done by a lady which is a cousin and she is a lawyer, i did disagree with some papers my wife got presented to sign, so she refused to sign, family got mad at first, we met to talk and what came out?
the big family lawyer lady been a freshly finished law student with 0.00% experience on property transactions/landtitles aso.
heck, she could have set some many millions to hell.
si i told her to be off and not try again to present any kind of legal papers to my wife. some family members got really mad, but who cares? they see some money and would be ready to sign everything for the dream to get it.
those landtitles are still not finished/done.
i suspect more than before, that the "mad" part of the family which are parents aso from that lady lawyer, been up to some dirty game.
good luck with your business start
Mike

Fabio J. Guzman · #9 07-01-2009, 12:45 PM

The new law allows the paid-in capital of a company to be in any currency. Therefore, if it is paid in pesos, you should deposit pesos in the bank; if in dollars, dollars.