Claims Over Dividend Prescription by Distribuidora Avícola del Norte
C. 01161-2017-00194 • Eleventh Civil Court • Guatemala
Claims Over Dividend Prescription by Distribuidora Avícola del Norte
This is an ordinary civil lawsuit. The original plaintiff, Distribuidora Avícola del Norte, S.A. (later merged into Administradora de Restaurantes, S.A.), sued Lisa, S.A., seeking a declaration that Lisa’s right to collect dividends had prescribed. Lisa raised several preliminary exceptions, including incompetence, defective claim, lack of standing, failure of condition, and expiration of the legal term.
Decisions
Whether Lisa’s preliminary exceptions barred the lawsuit for prescription of dividends.
The court upheld Lisa’s exception of incompetence, finding that the dispute was subject to arbitration under the corporate bylaws of Distribuidora Avícola del Norte.
The court declined jurisdiction, directing the parties to resolve the matter in arbitration. No costs were imposed.
Court referred dividend claim to arbitration by Distribuidora Avícola del Norte
Administradora de Restaurantes, S.A. (as successor of Distribuidora Avícola del Norte) appealed, arguing that the trial court erred in sustaining Lisa’s incompetence exception.
The Court of Appeals refused to hear the appeal, holding that the appellant failed to clearly state its grievances as required by law.
The trial court’s decision stood and became final, confirming that the dispute must proceed in arbitration.
Court of Appeals rejected appeal by Administradora
Conclusion
The Guatemalan courts upheld Lisa’s defense that the dispute over alleged dividend prescription could not be litigated in ordinary courts because the company’s bylaws required arbitration. After the merger, Administradora de Restaurantes, S.A. continued the lawsuit and filed the appeal, but it was rejected for lack of proper grievances. The first instance ruling stood, leaving the matter to arbitration.