Monthly Archives: April 2009

Finally Finality

Most people in the United States have never heard of the Chaco War, a three-year battle waged between Bolivia and Paraguay from 1932 to 1935 for control of the Gran Chaco region in central South America.  But for the peoples of Bolivia and Paraguay, it has been a source of tension for decades.  On April 28, however, Bolivian President Evo Morales and his counterpart in Paraguay, Fernando Lugo, finally agreed on an international boundary.  The occasion was marked by much rhetoric about a new beginning for relations between Bolivia and Paraguay, whose leaders seemed genuinely enthused. 

-NF

Hat Tip: Latin American Herald Tribune

Ecuador Re-elects Correa

See the full story here.

The Debate over Transparency in International Investment Arbitration

The Economist explores the arguments here.

Towards an Anglo-American Approach in Mexico

One of the most intimidating things for lawyers engaged in transnational litigation must surely be the presence of varying legal regimes.  For instance, even if a U.S.-trained attorney with Latin American clients brings her cases in U.S. courts, she needs to be familiar with Latin American legal systems (think forum non conveniens analysis, weighing the costs and benefits of competing fora, etc.).  And that’s on top of the fact that one might want to practice in multiple nations.  Ideally, a lawyer with Latin American clients would have the ability and know-how to litigate in the U.S., international tribunals, and tribunals in every Latin American nation.  At the moment, that’s probably unrealistic–there is just too much to know–but things may be different in the future.  

Today’s Times has this story about Mexico’s shift towards a U.S.-like criminal justice system.  Here’s an excerpt:

In what experts say is nothing short of a revolution, Mexico is gradually abandoning its centuries-old Napoleonic system of closed-door, written inquisitions — largely a legacy of Spanish colonial rule — that had long been criticized as rife with corruption, opaque decisions, abuse of defendants and red tape that bogged down cases for years.

Instead, for the first time, defendants will be presumed innocent until proved guilty, instead of the other way around, as they are now. The police will use more forensics and meticulous fact-gathering. Plea bargains, mediation and probation, never tried before in Mexico, will become standard.

And, in what many consider one of the biggest leaps, courtroom doors will be thrown open to the public for oral trials before a trio of judges where victims and the accused can confront one another and evidence will be laid out in the open.  

To facilitate this shift, Mexican prosecutors are training with their U.S. counterparts. 

Similar changes are occurring in other Latin American legal systems.  If the trend continues–and especially if it bleeds over to the civil side–it should be a boon to U.S.-trained lawyers who wish to practice in the region. 

-NF

From Michigan to Mexico

Allow me to stray just a touch from the geographical boundaries of this blog.  We are seeing more and more U.S. law firms open offices in Latin America; Mexico just gained another.  According to this story from the National Law Journal, Detroit-based Miller, Canfield, Paddock & Stone is opening a branch in Monterrey.  That follows Jones Day’s decision earlier this year to open an office in Mexico City.  Apparently the instability from the drug wars isn’t quite the deterrent some would expect.   

-NF 

P.S. — See this related post on the largest referral markets for U.S. law firms.

Export Goods from the U.S.?

If so, you may want to attend this conference, sponsored by the U.S. Department of Treasury’s Office of Foreign Assets Control (OFAC).  OFAC is the U.S. body responsible for administering and enforcing international trade sanctions.  Much of OFAC’s activity seems focused on only a few nations, but this free conference (assuming there is space left) looks broad in scope.  It is “designed to provide the international trade community with insight and perspective from top officials on compliance, enforcement and licensing issues related to U.S. export controls.”

-NF

Mystery in Santa Cruz

Last Thursday, Bolivian police shot and killed three men during a firefight in a Santa Cruz hotel.  According to President Evo Morales, the men–a unique cast of characters including an Irishman, a citizen of Romania, and a Bolivian-born resident of Hungary–were plotting to take his life.  But a recently-released video recorded by the last of these men before he travelled to Santa Cruz casts some doubt on that.

In the recording, Eduardo Rózsa Flores stated that he was returning to Santa Cruz to form an armed force to defend the city and province of his birth.  For those not up on Bolivian politics, the country is deeply divided–both ideologically and geographically.  On the one hand, Evo Morales enjoys the support of the majority of Bolivians, finding his strongest support among indigenous peoples and others living in the western highlands.  On the other hand, he is loathed by many in the eastern lowlands, the so-called “Media Luna,” where Santa Cruz leads the charge for the opposition.  Ideologically, the split is driven by Evo’s agenda of socialist reform, which includes greater rights for the indigenous and the nationalization of energy resources concentrated in the Media Luna.  Given all this, it’s not that surprising to see extremists in Santa Cruz plotting an armed struggle (though, in this case, the inclusion of folks from Ireland and Romania is puzzling).   

But Rózsa specifically said in the recording that he did not intend to oust (let alone assassinate) Morales.  Here’s what he planned (courtesy of the The Wall Street Journal): 

“I am not going there to organize the attack of La Paz and chase away the president, that doesn’t even cross the easterners’ minds,” he said in the interview, which aired Tuesday on Hungarian station MTV1. “We are ready, within a few months in case co-existence doesn’t work under autonomy, to proclaim independence and create a new country,” Mr. Rózsa said.      

If we take Rózsa’s word for it, then, he was not in Bolivia as an assassin but as someone who was preparing for an armed struggle in the name of autonomy.  Now, there are probably good reasons to doubt Flores’s word (and, unfortunately, there is no opportunity for interrogation).  Yet it seems to me that Morales may be acting too quickly on all this.  By labeling it an assassination attempt, Morales gains the benefit of playing the victim, but he also adds fuel to the fire that is dividing the country in two.  And I fear I see a pattern developing:  Morales is quick to make grave accusations–which may be true–yet slow to back them up with evidence.  Morales booted U.S. diplomats from Bolivia last year over allegations of meddling in his country’s affairs, and now he has suggested that the U.S. Embassy in La Paz may have backed this latest plot.  If Evo has hard evidence to support these accusations, then he should come forward with it.  If not, then he should keep these hypotheses to himself.  If Evo wants to play on the world stage, he has to start looking after his credibility.   

-N. Fromherz   

Hat Tip: The Wall Street Journal(p://online.wsj.com/article/SB124035994232641427.html#mod%3Dfox_australian%26articleTabs%3Darticle)U

UPDATE: The April 27 edition of The New York Times contains an article entitled “Plot Foiled?  In Bolivia, Truth is Elusive.”  As the title implies, the article follows up on the theme of this post.  But it also includes some new facts–evidence that there was not a firefight, for instance–that undermine Evo’s take on the matter.  That’s not to say there was no assassination plot; we just don’t know, and the sources close to the scene–both in La Paz and Santa Cruz–are far from disinterested.    

 


Obama Ruffles Feathers

Wrapping up the Summit of the Americas conference today, President Obama defended himself against criticism–not from leftist leaders in Latin America, as one might expect, but from Republican members of the U.S. Congress.   Senator John Ensign summed up the basic sentiment.  He said Obama was “irresponsible” for laughing and joking publicly with “one of the most anti-American leaders in the entire world.”   

Is that so?  I agree with Senator Ensign that Chavez is a dangerous man.  (Though the fact that he is “anti-American” is, in my opinion, somewhat beside the point–what’s troubling is that he is anti-democratic, a virtual dictator who squashes dissent violently.)  But I thoroughly disagree that it is “irresponsible” for President Obama to seek to bridge the chasm  between the U.S. and Venezuela, and to employ social niceties in that effort.  At some point, political figures can become so outrageously evil–think Hitler, Pol Pot, etc.–that our leaders do us a disservice by greeting them with anything less than disdain.  Chavez does not fall into this category.  He may be a demagogue and a negative force in global politics, but he is not (at least based upon what I know) so beyond the pale that it is at once futile and reckless to try to find common ground.  There is a basis for hope, and Obama is not “irresponsible” for trying to leverage that into improved relations.  And if the U.S. can convince Chavez that it is not a country bent on neo-imperialism–that it sees Latin American nations as potential partners rather than subordinates–the benefits will be exponential.  At a minimum, improved relations with Venezuela would lead to improved relations with Bolivia and Ecuador.  Of course, Obama cannot ignore the very real defects possessed by Chavez–but sharing a handshake and a smile does not suggest that he is.        

-N. Fromherz

Hat Tip:  The New York Times (http://www.nytimes.com/2009/04/20/world/americas/20prexy.html?_r=1&ref=global-home)

A Warm Opening at the Summit of the Americas

President Obama calls for a “new beginning with Cuba,” shares a handshake and a smile with Hugo Chavez.  Just some of the highlights from the opening day at the Summit of the Americas in Trinidad and Tobago.

-N. Fromherz

Hat Tip: The New York Times (http://www.nytimes.com/2009/04/18/world/americas/18prexy.html?_r=1&ref=global-home)

Another Blow to Monroe

The Monroe Doctrine, named after the U.S. President who first announced the policy in 1823, has evolved over the years but nevertheless remained true to its central purpose–protecting U.S. interests throughout the Americas.  (History buffs, forgive the oversimplification.)  U.S. policymakers would probably say the doctrine is dead, but that’s a matter of perspective.  Certainly the doctrine informed U.S. policy towards Latin America during the Cold War and, at a minimum, the ghost of Monroe can be seen in U.S. policy to this day.  We still take a special interest in Latin America, almost assuming–largely due to geography–that we are entitled to a greater say in the region than the other nations of the world.   

The merits of the Monroe Doctrine can be debated all day long, but let’s put that to the side for now.  I mention the doctrine only to provide context to an article in today’s New York Times (http://www.nytimes.com/2009/04/16/world/16chinaloan.html?ref=global-home).  China is stepping up its influence in Latin America in a major way, seizing the opportunity provided by the financial crisis to fund projects and lend money when many nations in the region find themselves strapped for cash.  In the meantime, U.S. influence seems to be waning.  Expect the China question–and the future of Monroe–to loom in the background when Obama meets with Latin American leaders this weekend.

-N. Fromherz