Situated on the Pacific coast and in the heart of Central America, El Salvador is the smallest and the most densely populated country in Central America. El Salvador has a population of approximately 6,290,420 people, with nearly one-third living in the San Salvador metropolitan area.
El Salvador is a free, export-oriented market economy, located in the heart of America, tucked between the North and South continents. The country spreads over an upland coastal plain and a volcanic interior.
Over two decades ago the country took a course towards its economic transformation that today enables the country to offer its business partners:
- A free economy, among the freest in Latin America
- Proven macro-economic stability, with the US dollar as legal tender
- Opening to international commerce and investment
- Democracy and political stability
Likewise, it is the only country in Central America that has qualified as eligible on two occasions to receive funds from the Millennium Challenge Corporation. This represents an important recognition, as only those countries that meet strict requirements of good governability, investment in human resources and economic freedom qualify.
El Salvador is a country open to foreign and domestic investment. The legal framework that supports investment provides adequate legal certainty, as well as favorable tax incentives for attracting investors and giving them a competitive advantage.
Lex Mundi in El Salvador
Lex Mundi provides coverage in El Salvador through its member firm, Romero Pineda & Asociados. The firm has been built with highly qualified lawyers with experience in high posts in government and business. As a result, Romero Pineda & Asociados has been recognized one of the largest Salvadoran law firms, having experience and insight into cutting through red tape and delivering results efficiently, cost-effectively and ethically. They stand ready to provide comprehensive and complementary world-class legal services in the Central American region and beyond.
Representative Experience in El Salvador:
- Advising the Republic of Peru with the origin denomination of their national drink Pisco.
- Advising Coca Cola company in ad campaigns: “Share a Coke”
- Advising Spirit Airlines, Inc. with the authorization for a new route with 4 flights weekly Houston – El Salvador – Houston.
- Assisting ABFL Techniques which is a specialized training school for aviation technicians. The firm's advice consisted of obtaining the school's certification for El Salvador, with the objective of training specialized aviation technicians from El Salvador in technical aviation mechanics in Lithuania.
- Based on DR-CAFTA and other trade regulations, the firm assisted MARS, INC. in successfully removing a nontariff trade barrier that was restricting the import and sale of US FDA approved beef and beef based pet food to El Salvador.
- Representing Japanese client Sanrio, owner of world famous “Hello Kitty” character, in anti-counterfeiting actions in El Salvador. One of the most successful cases recently concluded was the seizure of 12,200 counterfeit goods, manufactured by a Chinese company. The infringer was sentenced to two years of prison and community work. Sanrio was entitled to a compensation for damages and the counterfeit goods were destroyed. This case sets an important precedent against counterfeiters.
- Ongoing advising for Teleperformance in the firm's Employment and Labor Unit. The firm proposed and executed a complete human resources legal strategy which includes: a) drafting of labor contracts, b) drafting of confidentiality agreements, c) drafting and registering labor internal regulations, d) Internal and external protocols regarding management of termination cases, e) periodical training, f) collective negotiations, and g) working schedules, h) training for workers, among others.
- The firm's client DEG- DEUTSCHE INVESTITIONS- UND ENTWICKLUNGSGESELLSCHAFT MBH is a subsidiary of KfW Group that promotes business initiatives in developing and emerging market countries, granted a long-term financing to BANCO LA HIPOTECARIA (Panamá) and LA HIPOTECARIA, S.A. DE C.V. (El Salvador) acting as co-debtors. Romero Pineda & Asociados acted as local legal advisors to the Creditor on the loan credit agreement signed by parties for the operation. This case also included the structuring of a pledge agreement over a mortgage loan portfolio of 30 million dollars. This transaction involved 3 jurisdictions (Germany, El Salvador and Panamá).
- Aseguradora Vivir is an insurance company recently founded by one of the strongest investment groups of Salvadoran capital (Grupo Zablah). The Group has broad commercial experience with over 90 years of operations in different companies operating in the country. Romero Pineda & Asociados advised the insurance company in various regulatory issues and since 2014 one of the lawyers of the firm's banking division has been elected as part of the Board of Directors of the Company and acts as legal advisor in corporate, regulatory, insurance, claims, and other topics.
- Romero Pineda & Asociados successfully represented and advised LAFISE EL SALVADOR in the asset securitization process for FOVIAL I and II for US$100 million to be used to improve the national road network. FOVIAL is a public institution whose main purpose is highway and road maintenance in El Salvador. LAFISE acted as representative of the security holders.