Alto Palermo S.A. (APSA)

CER for commercial leases;
• from October 1, 2002 and until March 31, 2004 for residential leases, the obligations where the
tenant is an individual and the dwelling is used as the family residence of permanent use were to
be paid in Pesos at the exchange rate of Ps.1.00 = US$1.00 plus the CVS;
• if because of the application of these provisions, the amount of the installment were higher or
lower than the amount at the moment of the payment, any of the parties could require an equitable
adjustment of the price. If the parties did not reach an agreement, the judicial courts could decide
about the difference in each particular case; and
• pursuant to Decree No. 117/2004 and Law No. 25,796 that amends Law No. 25,713, the CVS
became unenforceable since April 1, 2004.
Other Regulations
Consumer Protection Act .Consumer Protection Law No. 24,240, as amended, regulates several issues
concerning the protection of consumers in the arrangement and execution of contracts. The Consumer
Protection Law purports to prevent potential abuses deriving from the strong bargaining position of sellers of
goods and services in a mass-market economy where standard form contracts are widespread. As a result, the
Consumer Protection Law deems void and unenforceable certain contractual provisions in consumer contracts,
including those which:
• warranty and liability disclaimers;
• waiver of consumer rights;
• extension of seller rights; and
• shifting of the burden of proof against consumers.
In addition, the Consumer Protection Law imposes penalties ranging from fines to closing down of
establishments in order to induce compliance from sellers.
The Consumer Protection Law defines consumers or users, as the individuals or legal entities that
contract for a price for final use or that of their own benefit or their family or social group:
• the acquisition or rental of movable property;
• the supply of services; and
• the acquisition of new real estate intended for housing, including plots of land acquired with the
same purpose, when the offer is public and directed to undetermined persons.
It also establishes that those who acquire, store, utilize or consume goods or services to integrate them
into a production, transformation, commercialization or supplying to third parties process will not be
considered consumers or users.
In addition, the Consumer Protection Law defines the suppliers of goods and services as the individuals
or legal entities, either public or private that in a professional way, even occasionally, produce, import,
distribute or commercialize goods or supply services to consumers or users.
The following are excluded from the application of the Consumer Protection Law:
• services supplied by professionals that require a college degree and registration in officially
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