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EL SALVADOR | Compliance Program for Consumer Complaint Handling and Resolution Mechanisms

The Consumer Protection Agency (Defensoría del Consumidor) has launched a Regulatory Compliance Program that directly impacts every business providing goods or services in El Salvador. This is not simply a best-practices recommendation or a voluntary initiative; rather, it is the implementation of a pre-existing legal obligation established through the 2024 amendments to the Consumer Protection Law, now supported by a formal verification and enrollment mechanism.

The most recent amendments, which entered into force in June 2024, specifically Article 7(j) of the Consumer Protection Law, require every supplier of goods and services to implement formal consumer complaint handling and resolution mechanisms. While this obligation has existed for some time, its enforcement has been inconsistent. Through the launch of the Compliance Program for Consumer Complaint Handling and Resolution Mechanisms, the Consumer Protection Agency has taken a concrete step toward ensuring compliance by creating a public registry of participating businesses, clearly distinguishing those that comply from those that do not.

The program applies to businesses operating in El Salvador through both physical establishments and digital platforms, significantly expanding its scope. E-commerce, which for years operated within a regulatory gray area in consumer protection matters, is now expressly covered. Businesses selling goods or services online without a formal consumer complaint handling mechanism are not outside the scope of the law; strictly speaking, they are in violation of it.

Enrollment in the program consists of three stages. The first is the submission of a formal online application to the Consumer Protection Agency. The second involves participation in a training workshop covering the Consumer Protection Law and the self-assessment tools made available through the program. The third, and most significant from a legal standpoint, is the execution of a Letter of Commitment, formally joining the program and creating specific and enforceable obligations for the participating business.

Among the principal commitments assumed by participating businesses are appointing a liaison officer to communicate with the Consumer Protection Agency, submitting a monthly report detailing consumer complaints received and resolved, and aligning the company’s internal procedures with the program’s compliance standards. Failure to comply with these obligations may be invoked by the Consumer Protection Agency in the context of administrative enforcement proceedings, together with the corresponding legal consequences.

Businesses that join the program will receive an official Certificate of Compliance and will be included in the Consumer Protection Agency’s public registry of participating suppliers available on its website. This recognition extends well beyond symbolic value. In today’s marketplace, where consumer trust has become an increasingly valuable asset, being publicly recognized as a participating business demonstrates a clear commitment to fulfilling obligations toward consumers.

Perhaps the most significant benefit, from a legal risk perspective, is the substantial reduction in exposure to administrative enforcement proceedings. A business that has implemented a formal consumer complaint handling mechanism, registered it with the Consumer Protection Agency, and complies with its monthly reporting obligations is in a considerably stronger legal position when facing consumer claims than one that cannot demonstrate any of these compliance measures.

At Tactic Legal El Salvador, we believe the time to act is now. The program is already in effect, the public registry of participating businesses is available, and the Consumer Protection Agency now has a concrete mechanism for verifying which companies are complying with this legal requirement.

If you require legal advice, guidance, or assistance throughout the enrollment and compliance process, Tactic Legal El Salvador is ready to support your business every step of the way.

Article made by

Jesús Fernández
Attorney-at-Law

Partner

TACTIC LEGAL EL SALVADOR

Email: jfd@tactic.legal

Av. La Capilla No. 317
Colonia San Benito
San Salvador, El Salvador