The franchise agreement in Argentina has recently undergone major changes. Argentina approved a new Civil and Commercial Code by Law Number 26,994, effective as from 1 August 2015.

Argentina is the second largest country in South America, with a well educated and principally urban population of over 40 million.

On August 1, 2015, the Civil and Commercial Code (hereinafter "CCC") entered into force, introducing specific legal regulation on the franchise contract from Sections 1512 to 1524.

Under Argentine Law, franchise agreements are governed by the Civil and Commercial Code of the Nation (Código Civil y Comercial de la Nación, or CCCN by its Spanish acronym).

According to Article 1,517 of the CCCN, franchises are exclusive for both parties, unless the parties stipulate otherwise limiting or excluding exclusivity.

The Civil and Commercial Code of Argentina (Código Civil y Comercial de la Nación or CCCN) imperatively determines as a general principle that the minimum term of the franchise agreement must be four years.

Under the abrogated Codes, franchise agreements were not statutorily regulated.