Municipalities must choose between temporarily closing or fining an establishment

Municipalities must choose between temporarily closing or fining an establishment

On October 28, 2023, the Law 31914 which makes modifications to Law 28976, Operating License Framework Law, to establish in which cases municipalities may order the temporary closures of commercial establishments throughout the national territory.

This law came into effect yesterday, Sunday, October 29, 2023. Dulmer Malca, senior associate at the Miguel Mur & Abogados firm, explains that, among the multiple changes to the previous regulations, there are changes regarding the lifting and imposition of fines for temporary closure.

In the case of the temporary closurethis is lifted within 48 hours after the owner corrects the observations that motivated the measure and formally communicates it to the competent entity.

If the entity does not make a duly reasoned observation within the stated period, the closure is automatically void. The deadline runs from the time of entry of the respective documentation through the municipality’s information desk.

“If during the inspection several infractions are identified and some of them generate temporary closure and others only generate the application of fines, The municipality will not be able to condition the payment of fines as a condition for the temporary closure to be lifted.“Warns Malca.

However, the lawyer warns that, if the municipality orders the temporary closure of an establishment, it will no longer be able to impose a fine for the same infraction that generated the closure. If the municipal official does not comply, he may be sanctioned.

According to the new wording, the fine only applies if the observation that generated the clause was not corrected within the period granted by the municipality; for this, a sanctioning procedure must be followed for the administrator.

What will temporary closures be like now?

Malca explains that the temporary closures It should only be arranged by the inspection manager or whoever acts as his representative. That is, an inspector could not order or sign the temporary closure.

“The closure report must be drawn up as well as video recording or photographing the establishment or area affected by the closure,” says the specialist.

The closure act must be notified to the owner of the establishment or his representative; if notified, the closure is immediately void.

What if the closure is permanent? These will only be applied as a definitive measure after a sanctioning procedure is followed against the citizen for infractions established in municipal regulations; Likewise, it applies if the operating license is revoked.

Source: Larepublica

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