In case of conflict among partners, who is responsible for the EB-5?

The EB-5 visa is an attractive path for investors who wish to obtain residency in the United States through job creation and capital investment in commercial enterprises. However, when a partnership structure is involved, the relationships among the partners may raise questions about which one assumes direct responsibility for the programˈs requirements. Initially, it is important to emphasize that the investor applying for the EB-5 is the primary party responsible before the immigration authorities for meeting all the visaˈs requirements. In other words, the documentation, proof of investment, and the expected job creation must be duly linked to the person who is listed as the investor in the immigration process. In case of conflict among partners, this responsibility does not automatically transfer to the other partners. The obligation to comply with the EB-5 terms is usually tied to the investor who formalized the capital injection and made commitments before the United States Citizenship and Immigration Services (USCIS). It is common for partnership agreements and internal company documents to detail the roles, responsibilities, and even dispute resolution mechanisms among partners. Therefore, in conflict situations, the analysis of contracts and established terms may determine whether there is any joint liability or if the responsibility rests solely on the person who made the investment. For the EB-5 investor, it is crucial that the business structure is built in a robust and clear manner, minimizing risks of conflicts that could jeopardize the immigration process. It is worth highlighting that strict compliance with immigration laws is essential to avoid complications. Any mismatch or partnership dispute may attract the attention of the US authorities, potentially harming the process. For this reason, it is always prudent to seek specialized advice and conduct thorough due diligence to ensure that all obligations and responsibilities are clearly defined and aligned with the EB-5 programˈs requirements. With attention to detail and transparency in the formation of the partnership structure, risks can be mitigated, contributing to the success of the enterprise and the immigration process. In summary, in the event of a conflict among partners, the responsibility for complying with the EB-5 requirements generally falls on the investor who formally undertook the commitment in the immigration process. Therefore, it is essential that all parties involved are well informed and guided regarding the legal and immigration implications, always seeking specialized professionals and avoiding proposals that might promise results without proper legal basis.

Victoria Harper

Editor-in-Chief

Meet the author

Leading journalism and editorial content at Visto n’ Visa, Victoria helps make immigration topics clear, trustworthy, and easy to understand. Her focus is on delivering useful, human, and relevant content for people exploring new paths abroad.