Closure of the CCSN Arbitration Center in Nicaragua

On Monday, March 6, 2023, was published in La Gaceta Diario Oficial Number Forty-one (41), the Ministerial Agreement Number twenty-seven scripts two thousand and twenty-three scripts OSFL (27-2023-OSFL) of the Ministry of Government of Nicaragua cancelling eighteen (18) non-profit organizations. Among the organizations whose legal personality was cancelled was the Chamber of Commerce and Services of Nicaragua (CCSN).

 The cancellation of the legal personality of the Chamber of Commerce and Services of Nicaragua has as collateral effect the disappearance of the Mediation and Arbitration Center Antonio Leiva Perez, without independent legal personality, which operated within the Chamber of Commerce and Services of Nicaragua. Already on March 8, 2023, the Dirección Alterna de Resolución de Conflictos (DIRAC), the governing body of the mediation centers, issued a resolution in which it “revokes the accreditation issued on April 22 of the year two thousand twenty-two to the Mediation and Arbitration Center “Antonio Leiva Perez” administered by the Chamber of Commerce and Services of Nicaragua” ; The resolution also definitively closes said center, disqualifies it from administering mediation and arbitration and finally orders that it be removed from the lists of authorized centers in the DIRAC’s records.  The closing of the “Antonio Leiva Perez” Mediation and Arbitration Center creates several situations that must be addressed, including the fate of arbitration proceedings already initiated, the validity of the arbitration clauses designating the Center as the entity administering arbitration proceedings, as well as the situation created by the disappearance of the only Center that functionally administered institutional arbitration in Nicaragua.