Foreigners Rights regarding ownership of Property in Panama

June 16, 2006

Ownership of real property and/or private investment in it, is guaranteed and protected by Panama's Constitution under Article 44. It reads:

" ... Private Property is guaranteed as long as it is acquired in accordance with the law by natural person or legal entity."

Since theCivilian Code was enacted it has stipulated that Panamanian law is applicable to both nationals and foreigners alike. This Code regulates general contracts under the principle of "autonomous of the will". The Constitution, as stated in article 18, confirms that particulars are free to act in all matters which are not prohibited by law.

Furthermore, article 3 of Law No. 13 (1993), which pertains to condominium law, specifies that the owner of real property can transfer, mortgage, or use his/her property in all types of legal acts, between living persons or by cause of death.