Pellerano & Herrera Represents CODOPYME in Unconstitutionality Action Against Provisions of Law 98-25

Santo Domingo, Dominican Republic. – The law firm Pellerano & Herrera represented the Dominican Confederation of Micro, Small and Medium Enterprises (CODOPYME), together with other business associations, in filing a Direct Action of Unconstitutionality before the Constitutional Court against Articles 5 and 16 of Law No. 98-25, which amends the General Law on Comprehensive Solid Waste Management and Co-processing. The claimant associations consider that these provisions impose disproportionate economic, technical, and administrative burdens that affect the sustainability and competitiveness of micro, small, and medium-sized enterprises (MSMEs).

The constitutional action was filed on behalf of CODOPYME and other business organizations representing dozens of associations and companies nationwide, seeking a declaration from the Constitutional Court that the challenged provisions are unconstitutional. The claim argues that these provisions establish obligations that are not proportionate to the companies’ contributory capacity or to the actual volume of waste generated by the affected businesses.

Among the issues raised, it was highlighted that the law introduces a special contribution calculated on companies’ gross revenues, without a direct link to the amount of waste generated, which could result in significant economic impacts, particularly for MSMEs. It was also argued that the law imposes obligations that could affect the operational viability and sustainability of companies, including those without operational activity or without effective waste generation, raising concerns from the standpoint of constitutional principles such as proportionality, tax equity, and freedom of enterprise.

Likewise, the action filed by CODOPYME, represented by Pellerano & Herrera, challenges provisions introducing new technical and administrative requirements, including audits and certifications, without evidence of economic impact studies to properly assess their effects on the national productive sector, particularly in industries largely composed of small and medium-sized enterprises.

In this proceeding, Pellerano & Herrera advised and represented CODOPYME in structuring the constitutional strategy and in preparing and filing the action before the Constitutional Court, as part of its commitment to supporting its clients in defending their rights and interests within the institutional framework. The firm’s team included attorneys Lucy Objío and Marcos Peralta, who participated in the legal analysis and the drafting of the constitutional arguments submitted.

This constitutional action seeks to promote a regulatory framework that harmonizes environmental sustainability objectives with respect for constitutional principles and the economic viability of businesses, particularly MSMEs, which constitute a key component of economic development and job creation in the Dominican Republic.