The new Penal Code establishes criminal liability for companies in

The newly established Penal Code introduces corporate criminal liability in the Dominican Republic, altering the legal landscape for local businesses. The legislative change directly impacts how corporate entities, executives, and passive stakeholders must view their involvement, compliance, and legal exposure.

In response to the new code, business analysts highlight a common misconception among corporate stakeholders who believe that remaining distant from daily management shields them from liability. The legislation challenges traditional assumptions regarding the separation between corporate entities and the personal detachment often claimed by partners and investors who do not directly manage operations.