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No. 6 (2023)

Artykuły

A limited liability company as a special purpose vehicle of a public university against the background of requirements for the acquisition of real estate. Legal and competence issues

  • Przemysław Malinowski
Published: 2024-02-05

Abstract

The publication addresses the issue of real estate acquisition by a limited liability company. The main points of this study have been introduced with regard to a special purpose vehicle established by a public university to implement the idea of indirect commercialization.

The publication also addresses the essence of a limited liability company as a so-called special purpose vehicle, the legal grounds for founding one, and the scope of its operations as delineated by statutory law. The principles relating to the acquisition of real estate by a limited liability company (special purpose vehicle) are also indicated.

Moreover, the article describes the scope of powers of the management board and the general meeting in connection with real estate acquisition by a limited liability company (special purpose vehicle).

In view of the above, it should be pointed out that the process of real estate acquisition itself should be based on the principles set out in the relevant regulations of the Code of Commercial Partnerships and Companies. Therefore, this process, despite the obvious link between the special purpose vehicle and the public university, is not based on specific regulations relating to higher education.

Importantly, in this process, certain formal and legal powers of the company’s governing bodies (management board, general meeting) can be distinguished.

These competences should result in achieving or working out a certain correlation between the resolution-making body, that is, the general meeting, and the body authorized to represent the company, that is, its management board. This correlation is important because its absence may result in an undesirable situation from the company’s point of view, relating, inter alia, to the effects of a legal transaction connected with the acquisition of real estate.

A public university, as a shareholder in a special purpose vehicle, however, may influence the process of real estate acquisition only indirectly, i.e., with the help of the company’s governing bodies and based on these bodies (with the help of their members). The applicable legal regulations do not give a public university any opportunity to directly influence any issues related to the functioning of a legal person separate from it, which a special purpose company undoubtedly it.

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