Your Gate to Latin American IP

Changes in Nicaragua's Consumer Law

By Guy José Bendaña-Guerrero & Asociados - 05/02/2021

The National Assembly of Nicaragua approved a reform to the Consumer Rights and Protection Act, increasing State regulations towards companies in basic services, telephony, television, financial and other sectors. Among other changes, public regulatory entities will decide the economic fines and sanctions that they consider necessary to apply to the companies.

According to the amend, the Central Bank of Nicaragua will be merged between other regulatory entities. The reform makes the bank the regulatory body for commercial activities of remittance service providers and those designated for the sale and exchange of currencies, a function that currently is not part of its policies. The change aims to strengthen the right of users of financial services, arguing that it will provide them protection in the event of unilateral cancelation or suspension of contracts.

The reform, boosted by President Daniel Ortega, had a 74-14 vote support in the Parliament. Important private business associations such as the Council for Private Enterprise (COSEP) and the Association of Private Banks of Nicaragua (Asobanp) criticized and opposed the amendment, calling against the increased influence of public institutions in private matters and warning of a setback from international laws.

By Guy José Bendaña-Guerrero & Asociados - 05/02/2021
Subscribe to the Newsletter

Guy José Bendaña-Guerrero & Asociados

The Law Firm, specialized in the field of Intellectual Property, formerly known as Henry Caldera & Henry Caldera-Pallais, was founded in 1907 by Mr. Henry Caldera, as part of a three-way operation consisting also of the import and retail of goods. With time, these three operations became separate enterprises. That same year, and through the efforts of Mr. Caldera, Nicaragua had its first Trademark Law.

In the late 1930’s, Mr. Caldera’s older son, Henry Caldera-Pallais, after obtaining a Law degree in Nicaragua, furthered his studies in the University of Michigan, where he graduated to become a U.S. Registered Patent Agent. During his stay in the United States, he gained experience working with the New York firm of Lagner, Parry, Card and Largner. In the late 1940’s, Mr. Caldera-Pallais returned to Nicaragua to take charge of the Law Firm, which became known as Henry Caldera & Henry Caldera-Pallais.