The National Registry Office of the Supreme Court of Justice, issued Rule No. 210420 reporting that as of April 21, 2020, the Mercantile Registries of Nicaragua will not require judicial approval of modifications to companies’ articles of incorporation and bylaws. To proceed with the registration of companies’ amendments, the Registry will request the notarized document of the shareholder agreement.

However, it excludes from the application of the said Rule No. 210420, and therefore, judicial approval should be required in the following cases:

• Modification to the company's name
• Increase in share capital
• Decrease of share capital

To obtain legal advice on this topic or any other topic regarding Nicaraguan Corporate Law, please do not hesitate to contact us.