1. THE DEVELOPMENT OF COSTA RICAN LAW
Costa Rica’s legal system is based on Greco-Roman law. After the French Revolution in 1796, jurists adopted as the foundation of their republic the organization established by the Roman Empire. This led to the creation of the Napoleonic System, whose influence was evident during the reign of King Joseph I, Napoleon Bonaparte’s brother.
The Spanish conquerors introduced the Napoleonic system in Costa Rica. As a result, we have codes that regulate different systems: Civil Code, Criminal Code and Commercial Code, among others.
Since its independence in 1821, Costa Rica has tried to remain a peaceful country and its efforts have not been in vain. Costa Ricans have always believed in faith, democracy, freedom and peace. The nation based its political and legal structures on the Kelsenian system, a pyramidal organization in which the Political Constitution is at the base, and the laws, decrees and jurisprudence derive from it.
The country’s current Political Constitution was established in 1949, after the constitutional convention approved it, based on the fundamental rights and liberties that rule our legal system, such as the rights of foreigners, property rights, rights to associate, and consumer’s rights, all of which are essential elements in real estate matters.
2. SOME CONSTITUTIONAL RIGHTS
2.1 Foreigners
Article 19 – Foreigners have the same individual and social rights and duties as Costa Ricans do, with the exceptions and limitations established by this Constitution and the law.
They cannot participate in the country’s political affairs and shall submit to the jurisdiction of the courts of justice and of the Republic’s authorities. They cannot resort to diplomatic means, unless provided for by international agreements.
2.2 Individual Rights and Guarantees
Article 25 – The inhabitants of the Republic have the right to associate for lawful purposes. Nobody can be forced to be part of any association.
Article 26 – Everyone has the right to gather peacefully and unarmed, either for private business or to discuss political affairs and examine the public behaviour of the officials.
Article 45 – Property is inviolable; nobody can be deprived from his, unless legally proven to be of public interest and with prior compensation according to the law. In case of war or internal commotion, previous compensation is not required. Nevertheless, the payment shall be made no later than two years after the emergency has ended.
For reasons of public necessity, the Congress may impose limitations of social interest on property through the vote of two-thirds of its full membership.
Article 46 – Even if created by a law, private monopolies and any other act which menaces or restricts freedom of trade, agriculture or industry, are prohibited.
Any action carried out by the State and aimed at the prevention of any monopolistic practices or tendencies is of public interest.
Companies organized as de facto monopolies shall submit to a special legislation.
The establishment of new monopolies favoring the State or the Municipalities requires the approval of two-thirds of the full membership of the Congress.
Consumers and users have the right to protect their health, environment, safety and financial interests, to receive adequate and truthful information, to exercise their freedom of choice and to receive equal treatment. The State will support any organization created to defend their rights and the law will regulate those matters.
2.3 Social Rights and Guarantees
ARTICLE 50. The State will look after all the inhabitants by organizing and encouraging the production and most adequate distribution of wealth. Every person has the right to a healthy and ecologically balanced environment. As a result, he is entitled to denounce any acts infringing that right and claim rectification for the damage caused.
The State will guarantee, defend and preserve that right.
The Law will establish the corresponding responsibilities and penalties.
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This article was prepared by attorney Andres Montejo. His law firm specializes in Costa Rica real estate law and has offices in San Jose and Guanacaste (Do It Center, near Liberia Airport).
Lic. Andrés Montejo
Andrés Montejo was born in San José, Costa Rica, on January 23, 1966. In 1989, he graduated from the University of Costa Rica as attorney and notary public. He also studied in Tulane University, Louisiana. Besides being a successful professional, he has also participated actively in the country’s public administration. He was first member and then president of the National Consumer’s Commission, an important institution within the Ministry of Economy, Industry and Commerce. He was designated vice-president and then president of the National Institute of Housing and Urban Planning, where he also worked as an external notary public for several years. In addition, Mr. Montejo was legal advisor to the Board of Directors and assistant advisor to the President of the Institute of Municipal Promotion and Advisory. At the same time, he was part of a specialized group of attorneys who provided notary services for one of the national banks, the Banco Popular y de Desarrollo Comunal (BPDC).
Montejo has had a great deal of academic experience. Since 1994, he has been professor of property law in the University Of Costa Rica School Of Law, where he is the general coordinator, and he has also taught courses in the master’s degree program in Notary and Registration Law. He has led various seminars about property law and related topics and has published many articles in well-known magazines. Currently, he is teaching special courses about real estate and offers them at least four times a year in Guanacaste. Recently, he received a special distinction as Honorary Professor and vice-rector for Foreign Affairs in the Central American University of Entrepreneurial Sciences (UCEM) (Managua, Nicaragua). Andrés Montejo is considered an expert in real estate matters and is entirely devoted to this field of study.
