The Spanish economy includes many family businesses that require an in-depth understanding of family protocols, which are documents used to regulate issues inherent to this type of business.
Our department can advise, negotiate, draft, and publish family protocols, which are agreements signed by all or some family members regarding the family business. These pacts are drawn to regulate the relationship between family members and prevent any disputes between them and the company, to safeguard the viability and continuity of the company over time.
These family protocols, which are legally defined as “a set of agreements entered into by the shareholders among themselves or with third parties with whom they have family ties that affect an unlisted company in which they have a common interest to achieve a model of communication and consensus in decision-making to regulate the relations between family, ownership and company that affect the entity,’ they may be published on the company’s website or in the Companies Registry. Still, only one family protocol can be issued per company.
Once a family protocol has been published, the corporate agreements adopted by the company in the implementation of the family protocol must state this in the name of the public deed that contains them. The event is then entered in the Companies Register.