In Spain, there are particular products that have a specific legislation to regulate its advertisements. These products are usually in highly demand and therefore it is even more necessary for there to be regulations that control the advertisement of these goods or services.
On 10 January 2015, the European Parliament and Council’s (EU) Regulation 1215/2012 of 12 December 2012, relating to the jurisdiction, recognition, and enforcement of court orders in civil and commercial matters (hereafter: “the Regulation”) came into force. The Regulation marks a new landmark in the process of European integration in the field of Judicial Administration, governed principally by the goal of guaranteeing quick and simple recognition and enforcement of court orders issued in a Member State.
The 4th Additional Provision of Law 22/2003 of July 9, on Insolvency (the “LC”) regulates one of the principle pre-insolvency instruments existing in Spanish law: court approval of refinancing agreements between a debtor company and its creditors.
Advertising is a very useful tool for firms that want to get their good or service out in the public. However, since firms sometimes misuse their powers of advertisement, and trick potential consumers, the EU and Spain have made sure that there are laws to guarantee that consumers remain protected.
Franchise is a term, now incorporated into our vocabulary, to designate a new form of business based on the assignment of a foreign-business model, transferring rights from a franchisor to a franchisee to use the brand, distinctive signs, business model, industry secrets, and other elements that characterize the company.
In its judgement on 3 February 2016, case nº 23/2016 (hereinafter, the Judgement), the Plenary of the Civil Chamber of the Supreme Court confirmed the nullity of the purchase of shares offered in 2011 under Bankia’s IPO (Initial Public Offering), which the Appeal Court of Valencia had previously declared null.
Advertisement in Spain can be achieved in several indirect ways, each of which is regulated by different laws.
Editorial advertising is set out in Article 9 of the General Advertising Law. This law requires that mass media clearly differentiate advertising from informative material. Article 17 of Law 7/2010 of 31 March 2010 regulates another type of advertisement called product placement.
One of the primary requirements a Spanish REIT (SOCIMI) consists of being listed in a regulated market such as the stock exchange or in a multilateral trading system such as the Alternative Stock Exchange Market (MAB).
Definition of SOCIMIs (Real Estate Investment Trust)
SOCIMIs are public limited companies whose main activity is to invest, directly or indirectly, in urban real estate for leasing. It is the Spanish adaptation to vehicles known as Real Estate Investment Trusts already existing in Europe: in France, the sociétés d’investissements immobiliers cotées (SIICs); in Germany, the denominadas Immobilien-Aktienge-sellschaft mit börsennotierten Anteilen; or, the Real Estate Investment Trusts in the United Kingdom.
The idea and subsequent development of a franchise business is based on the prior operation and success of a project, which can then be exploited through a franchise model.