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What is the legal consequence of a discrepancy between the agreed-upon amount transferred as a capital contribution in a company and the actual value recorded for that contribution in the Articles of Association?

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The existence of a discrepancy between the agreed-upon amount transferred as a capital contribution in a company and the actual value recorded for that contribution in the Articles of Association results in an obligation on the party who received the amount to settle the difference or return it, unless a...

The existence of a discrepancy between the agreed-upon amount transferred as a capital contribution in a company and the actual value recorded for that contribution in the Articles of Association results in an obligation on the party who received the amount to settle the difference or return it, unless a valid alternative agreement justifying this discrepancy is proven.
Source: Radiif.com (رديف) · Saudi Legal AI Platform

Legal References & Citations

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