On February 9, 2021, Law 1061, Law of Amendments and Addition to Law No. 842, Law for the Protection of the Rights of Consumers and Users, entered into force in the Republic of Nicaragua; by means of which some definitions, obligations of providers, regulation of financial services and rights of users of financial services and sanctions are reformed, as well as the rights of consumers and users are added.
Among the reforms included in the definitions are included among the consumers or users, all natural or legal persons that acquire, use or enjoy goods or services as final recipient, including the State and its institutions, when they act as consumers or users.
Among the obligations of the suppliers contained in article 9), paragraphs 10) and 25) are amended, respectively, in the sense of not denying or returning the attention of requests, nor canceling contracts or transactions legitimately carried out by natural or legal public, private or mixed persons, as well as complying with the resolutions of the competent authorities regarding the defense of the Rights of Consumers and Users.
The reform regarding the regulation of financial services also includes who will be responsible for the protection of the rights of users of financial services, including the Central Bank of Nicaragua and the Ministry of Family, Community, Cooperative and Associative Economy, which are added to those already established as SIBOIF, the National Commission of Microfinance and the Ministry of Development, Industry and Commerce (MIFIC).
In relation to the rights of users of financial services, it is established that they have the right to be notified in a verifiable manner of the refusal issued by the financial entity of the contracting of products or services or the cancellation or suspension of contracts, which must be based on express law, without transcending to the affected person, who has the right to claim in the courts the possible damages or losses caused.
As for the application of sanctions for infringement of the law, regulations and other related provisions, they will be administratively sanctioned by the General Directorate for the Protection of the Rights of Consumers and Users (DIPRODEC), or the competent regulatory body, without prejudice to other corresponding criminal and civil actions.
For more information on this and other legal issues, please contact LatinAlliance Nicaragua, Abogados y Notarios, at the following email address: abarquero@latinalliance.co