• New Residence Requirement for Company Signatories
  • April 10, 2017
  • Law Firm: Fragomen Del Rey Bernsen Loewy LLP - New York Office
  • Effectively immediately, signatories of employment contracts submitted with Residence Permit for Highly Qualified Professionals category applications under the Entrepreneurs Act must now be legal residents in Spain.

    Signatories must demonstrate their legal residence by presenting the following documents:
    • Spanish Identity card;
    • Residence Card for third-country nationals;
    • NIE Card (Número de Identificación de Extranjero, the national identification card); or
    • EU registration certificate and a valid passport for EU nationals.
    Some employers with pending applications may need to submit a new power of attorney and execute a new employment contract in accordance with the new regulation.

    Background

    Previously, employers were required to submit the company legal representative’s power of attorney, notarized and registered in the commercial registry and confirm that the representative was appointed to act on behalf of the company.
    The Large Companies Unit in Spain has not yet fully implemented this new regulation into practice; however, some sections are already requesting documents in accordance with this regulation.

    What This Means for Employers and Foreign Nationals

    Employers should identify representatives residing in Spain to serve as signatories of employment contracts related to Residence Permit for Highly Qualified Professionals under the Entrepreneurs Act applications.
    Applicants with pending applications may be required to provide a new power of attorney reflecting a legal Spanish resident as the company legal representative. This may also require the execution of a new employment contract.