By Guillermo Teijeiro and Leandro Passarella
I. Introduction: The New Legal Framework
A. In General
For Argentine legal purposes, a leasing is an agreement pursuant to which one party (lessor) grants to another (lessee) the right to hold, use and enjoy property for a specified term in consideration for a periodic payment of a price, with an embedded option to the lessee to purchase such property at the termination of the agreed upon lease period for a predetermined or determinable strike price. Argentina did not have specific rules dealing with leasing until January 1995, when the Leasing Contract Act (the "LCA") was enacted as Title II of Law No. 24441.1
In June 2000, the Argentine Congress passed Law No. 25248 (the "New Leasing Contract Act" or "NLCA"), which completely amended the LCA. The NLCA abrogated Title II of Law No. 24441 and set forth an expanded legal framework aimed at promoting this financial scheme, which has not quite developed in Argentina yet. NLCA
