The Latin American Lawyer September 2018 LATAM MAGAZINE SEPT18 | Page 10

News
Lawyers benefitting from investment in Panama’s tourism and
energy sectors despite Mossack Fonseca scandal
Panamanian firms handling
an increasing amount of
inbound legal work for
Central American banks, as
well as energy sector clients,
but most investment coming
from Colombia, Mexico, the
US, Europe and Asia
The Panamanian tourism and
energy sectors offer significant
opportunities for Central
American lawyers, though there
is an acknowledgement that the
country’s reputation has suffered
damage as a result of the scandal
that enveloped law firm Mossack
Fonseca.
The hotel, energy,
communications and logistics
sectors in Panama and other
Central American countries are
generating substantial amounts
of work, according to Alida
Benedetti, partner at Central
Law, a firm with offices in
Panama, Guatemala, El Salvador,
8
Honduras, Nicaragua, Costa
Rica and Dominican Republic.
Benedetti, who was founding
partner of a Panamanian law firm
that joined Central Law sees a
growing number of opportunities
in Central America in general.
“Over 10 years ago we saw the
potential of Central America for
Panamanian law firms, and that´s
why we joined Central Law,” she
says.
More inbound work
Panamanian lawyers are handling
an increasing amount of inbound
legal work for Central American
banks such as BAC and Lafise,
as well as energy sector clients,
according to Jaime Alemán,
senior partner at Panama law
firm Alemán, Cordero, Galindo
& Lee. The potential for energy-
related work was highlighted
earlier this year when Alemán,
Cordero, Galindo & Lee advised
Alternegy on a $320 million bond
offering. Alemán adds that the
• THE LATIN AMERICAN LAWYER • September 2018
“bulk of investment” in Panama
comes from Colombia, Mexico, the
US, Europe and Asia. However,
it is not anticipated that other
regional or global law firms will
set up offices in Panama any time
soon. “The market is already well
served and the Central American
firms that have launched offices
in Panama have had moderate
success,” says Alemán.
The ‘Panama Papers’ scandal,
which implicated the law firm
Mossack Fonseca, has posed
a problem for law firms in the
country. As one lawyer remarks:
“Panama does not have the best
reputation, because of the Panama
Papers, although the country is
doing its best to clean up these
issues and cooperate fully with the
OECD (Organisation for Economic
Co-operation and Development).”
In March this year, Mossack
Fonseca announced it would be
closing due to the “irreparable
damage” its reputation had
suffered.
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