May 10th, 2018

Pitama Reservoir Canalists Agree on Iconic Environmental Lawsuit


Pitama Reservoir Canalists put an end to environmental lawsuit through agreement

The agreement reached ended the historic environmental damage lawsuit brought by the Asociación de Canalistas of Pitama Reservoir against Sociedad Concesionaria Rutas del Pacífico, of Grupo Abertis, after the Hon. Supreme Court - in a cassation appeal and substitute decision drafted by Minister Sergio Muñoz - ordered the latter to carry out 10 works of mitigation, declare its obligation to compensate the damages caused and pay a fine.

During the course of the compensation proceedings, an expert report was ordered, which determined the damages caused at an amount approaching US $ 80 million.

With prior agreement of the Asociación de Canalistas and negotiation of its representatives, the closing transaction was finalized with the Concessionaire in March 2018.

In so doing, the historic environmental conflict was brought to an end in which a ruling was issued that was groundbreaking in establishing that, in terms of environmental liability, formal compliance with the projected management plans is not enough, but that the operator's diligence should be extended to execute the works in a way that avoids any damage to the environment.

BSVV advised the “Asociación de Canalistas” of the Pitama Reservoir in the negotiation to end the environmental conflict with the highway concessions operator Grupo Abertis.


Francisco Varela Echaurren

Francisco Varela Echaurren
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