Landmark CCJ Decision Strengthens Belize’s Financial Services Rules
In a landmark ruling with major implications for Belize’s business sector, the Caribbean Court of Justice has sided with the Financial Services Commission and the Attorney General, finding that Belize’s requirement for certain companies to use local registered agents does not violate CARICOM trade rules. The case, brought by businessman Anwar Barrow and seven Belizean companies, argued that the regulations unfairly disadvantaged firms with CARICOM-linked shareholders or directors by imposing additional costs and requirements. But in the first referral matter in the CCJ’s history, the regional court ruled that Article 177 of the Revised Treaty of Chaguaramas targets anti-competitive conduct by businesses, not regulations enacted by governments. The judgment effectively clears the way for Belize to continue enforcing rules that require foreign-linked companies to maintain and file documents through local agents. President of the CCJ, Justice Winston Anderson delivered the ruling today.
Winston Anderson
Justice Winston Anderson, President, Caribbean Court of Justice
“The court held that Article 117 is concerned with the conduct of enterprises, not regulatory measures of the state. Applying this interpretation, the court concluded that the requirements imposed in the instant matter are regulatory matters enacted by the state and do not arise from the business conduct of an enterprise, while acknowledging that state measuring capable of distorting competition might be scrutinized under other provisions of the RTC, the court emphasizes that the request does not require interpretative assistance in relation to those other provisions.”
FSC was represented by Senior Counsels Eamon Courtenay and Pricilla Banner, while Samantha Matute and Alea Gomez represented the Attorney General. The Claimants were represented by Senior Counsel Godfrey Smith, Hector Guerra and Edgar Lord.
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