Venezuela Legal Profile

The Venezuelan legal system is one of civil law based upon the Spanish Civil Code. There is a hierarchy of law: The Constitution forms the supreme national law. Organic law is subsequent, followed by ordinary law, enabling law and Presidential decrees.

The judiciary’s independence is guaranteed by Article 254 of the Constitution and the court system consists of the High Tribunal of Justice, high courts, first-instance courts and municipality courts.

Nevertheless, the courts are not independent. They are highly politicised and packed with President Maduro’s loyalists. This has led to extremely high levels of impunity and over 90% of all crimes go unpunished. For example, of 200 official investigations for corruption during the 2014 protests, only five led to charges being pressed. Judges, often fearing political or physical retaliation against them overwhelming rule in favour of the state in cases that involve the government.

This widespread impunity occurred alongside 2100 extrajudicial killings by security forces over the period 2012-2014, a trend which has continued. Even though Venezuela is a signatory to the 1958 New York Convention, the legal framework for settling disputes or challenging regulation is extremely inefficient and the corrupt judiciary creates further issues.

Corruption extends from the judiciary to all government offices. Venezuelan Anti-Corruption Law criminalises a number of corrupt practices including extortion, bribery and abuses of office and the receiving of gifts in return for providing undue advantage. This law also extends to third parties. However, there are no legal provisions criminalising the bribery of foreign officials. Furthermore, the above practices are systemic throughout the state and judiciary owing to weak enforcement of the law, inefficient legal systems and a corrupt judiciary.

The Venezuelan Civil Code 1982, is based upon the Spanish Civil Code. The scope of the code is extremely broad, covering torts, property, obligations, personal and family law. Title Three, Chapter One, Section One, beginning at Article 1133, regulates contract law, including defining contracts, differing types and consent.

Particularly crucial to doing business in Venezuela is the Commercial Code 1955 which regulates commercial entities, negotiations, insolvency and business entities.

For matters that the Commercial Code cannot solve, the Civil Code is referred to.

The principal legal framework that regulates Venezuela’s oil industry is the Hydrocarbons Law 2001, amended 2006, as well as a number of mandates, presidential decrees and resolutions.

Venezuela is a signatory to a number of international treaties including the Geneva Conventions, including Protocol I and II, United Nations Convention Against Corruption and the United Nations Framework Convention on Climate Change.

Venezuela is also a member of numerous multilateral organisations including the Organisation of Petroleum Exporting Countries, World Trade Organisation and the International Monetary Fund.

Venezuela’s adherence to international law is questionable, largely owing to a lack of implementation and enforcement rather than regulation. Thus, the international community does not view Venezuela as a credible international partner.