BELIZE Law and Practice Contributed by: Nigel Ebanks and Darinka Muñoz, Barrow and Williams LLP
3. Initiating a Lawsuit 3.1 Rules on Pre-Action Conduct
Attorneys are generally prohibited from entering into partnerships or fee sharing arrangements concern- ing the practice of law with non-qualified bodies or persons. Attorneys are also prohibited from accepting any fee or reward for merely introducing a client or referring a case or client to another attorney. 2.2 Third-Party Funding: Lawsuits Given the restrictions discussed in 2.1 Third-Party Litigation Funding , this issue does not arise in this jurisdiction. 2.3 Third-Party Funding for Plaintiff and Defendant This issue does not arise in this jurisdiction. 2.4 Minimum and Maximum Amounts of Third-Party Funding This issue does not arise in this jurisdiction. 2.5 Types of Costs Considered Under Third- Party Funding This issue does not arise in this jurisdiction. 2.6 Contingency Fees Attorneys’ contingency fee agreements are expressly permitted by Section 33 of Belize’s Legal Profession Act, 2020. These agreements may be made to wholly or partly cover an attorney’s remuneration for legal business done on a client’s behalf; they must be in writing and signed by the client or their agent. These agreements may be sued on and recovered on or set aside. However, if in any suit for the recovery of such fees the agreement appears to the court to be unfair and unconscionable, the court may order that the agree- ment is cancelled or that the amount payable under it is reduced. In that sense, the fairness of these agree- ments is subject to review by Belize’s courts. 2.7 Time Limit for Obtaining Third-Party Funding This issue does not arise in this jurisdiction.
A major reform under the Senior Courts (Civil Proce- dure) Rules, 2025 is embodied in Practice Direction No 3 of 2025 (Pre-Action Protocols). These protocols formalise pre-litigation engagement across four claim categories: • claims for a specified sum of money;
• motor vehicle accidents; • defamation claims; and • administrative claims.
Compliance with these Protocols is now a manda- tory procedural step, replacing informal demand let- ters. Parties must serve a Pre-Action Protocol Letter detailing the claim and the supporting documents, and containing an invitation to discuss settlement. The opposing party must respond substantively within the prescribed timeframe. Failure to issue or respond may result in cost sanctions or adverse orders. For other types of claims, similar principles of early disclosure, good-faith engagement and proportional- ity apply, and parties are expected to follow the spirit and procedural framework of the Pre-Action Protocols to the appropriate extent. Belize joins the wider Carib- bean trend in promoting early settlement. 3.2 Statutes of Limitations The usual limitation period for actions founded in tort or contract is six years, beginning from the date when the cause of action arises. There is also a 12-year limitation period that applies with respect to matters founded on trust principles, those concerning claims made on the estates of deceased persons and some claims based on adverse possession of real property. 3.3 Jurisdictional Requirements for a Defendant The jurisdiction of the Belize High Court is based upon a person’s physical presence within the jurisdiction of Belize. In contractual claims, a Belize court will gen- erally recognise and honour the jurisdiction clause in the contract, including the parties’ choice of law and choice of dispute resolution mechanism and forum.
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