DLA Piper Puerto Rico > San Juan, Puerto Rico > Firm Profile
DLA Piper Puerto Rico Offices

OCHOA BUILDING
500 CALLE DE LA TANCA, SUITE 401
SAN JUAN, PR 00901-1969
Puerto Rico
DLA Piper Puerto Rico > The Legal 500 Rankings
Puerto Rico > Corporate, commercial and banking Tier 2
The team at DLA Piper Puerto Rico coordinates with its US offices to advise domestic and multinational corporates and financial institutions (including UBS and Citibank) involved in high-value, cross-border transactions. The practice’s active client roster spans such sectors as energy, food and beverages, financial services, tech, construction, education, government, logistics and entertainment. The team’s full offering covers matters ranging from public-private partnerships, M&A, debt financing, bank licensing and regulatory matters to private placements, fund formation, administrative law, project finance, spin-offs and corporate reorganisations. The practice is led by Nikos Buxeda who, in addition to international transactions, assists with the organisation of local mutual funds, private equity funds and distribution agreements. Other key figures include banking regulatory expert José Sosa-Lloréns; managing partner and energy sector specialist Miriam Figueroa, who brings strength to infrastructure projects and public law matters; and associates Adriana Pérez-Rentas, Rubén Fernández Agramonte and Iván Garau González.Practice head(s):
Nikos Buxeda
Testimonials
‘DLA Puerto Rico has a team of first-rate professionals, who are also great people.’
‘They stand out for their solid knowledge and contacts in all strata necessary for the discussion and solution of problems and situations that can suddenly arise due to the dynamics of the business.’
Key clients
Luma Energy
Sunrun
Preferred Capital Management
Puerto Rico Housing Finance Authority
FV Bank International
The Roundtable
Tea
Puerto Rico Banking Association
RioBlanco Capital
Stonecrest Investment Management
Atabey Capital
Puerto Rico Supplies
UBS
Nagnoi/Ingenia Health
Citibank
University of Puerto Rico
Bacardi Corporation
Acciona Construccion
Work highlights
- Advised Luma Energy on the negotiation of vegetation management contracts in excess of $1bn to implement the preventive vegetation plan to minimise damage caused by storms and other weather events.
- Advised the Puerto Rico Housing Finance Authority on the issuance of federal tax-exempt obligations in order to issue 4% low income tax credits.
- Advised V Suarez as the investor on the negotiations of a $75m capital commitment arrangement with a PR fund manager.
Puerto Rico > Energy, natural resources and environment Tier 2
The energy and natural resources team at DLA Piper Puerto Rico brings expertise to advising regulators, the regulated, investors, developers and other key industry stakeholders, including governments, over the course of the entire project lifecycle, from inception and development to completion, operation and sale. With a client base of power generators and major multinationals across sectors ranging from utilities, energy, beverages, medical devices to telecoms, logistics, pharmaceuticals and tech, the group’s comprehensive service covers assistance with project finance, regulatory compliance, restructuring, dispute resolution and high-value, cross-border transactions. The team is led by managing partner Miriam Figueroa, who assists with negotiating power purchase agreements and private operations contracts. Of counsel Laura Rozas brings 25 years of experience in the practice area and specialises in Puerto Rico and federal environmental law and Puerto Rico energy and land use law.Practice head(s):
Miriam Figueroa
Key clients
LUMA Energy
Smitcoms
America Movil
Clean Energy Nexus
Stonecrest Investment Management
Vieques Holdings Parcel A
Banco Popular de Puerto Rico
Rio Blanco Capital
Green Isle Capital
Global Life Sciences Solutions USA
Bristol Myers Squibb
Medtronic
Work highlights
- Advising LUMA Energy on matters related to power purchase agreements and interconnection agreements, general energy regulatory matters and the establishment of new energy programmes.
- Provided Smitcoms with environmental permitting and regulatory advice and representation in connection with the repair of a submarine telecommunications cable.
Puerto Rico > Tax Tier 2
The experienced team at DLA Piper Puerto Rico brings expertise to advising insurers, domestic financial institutions and multinational corporates (including Citibank, Southwest Airlines and Air Canada) on tax planning and structuring, transfer pricing, complex financial transactions, tax audits and appeals, and tax litigation. The group’s active client base spans sectors ranging from aviation, financial services and energy to food and beverages, tech and telecoms. The team is led by Manuel López-Zambrana, an expert in tax controversies who assists clients with complex US federal and Puerto Rican income tax matters and with obtaining Puerto Rican tax incentives for manufacturing and IP licensing activities. Other key figures include of counsel Edwin Figueroa Alvarez, who provides support to start-ups and businesses on the tax aspects of local market entry.Practice head(s):
Manuel López-Zambrana
Testimonials
‘Its main strength is its deep bench and the experience of its partners.’
‘Manuel López-Zambrana stands out for his reliability, responsiveness and knowledge.’
Key clients
Fundación Ángel Ramos
John Hancock
Southwest Airlines
FirstBank Puerto Rico
Air Canada
Citibank
Sunrun
Preferred Capital Management
University of Puerto Rico
FV Bank International
Tea
Puerto Rico Banking Association
RioBlanco Capital
Stonecrest Investment Management
Nagnoi/Ingenia Health
Work highlights
- Advised Fundación Ángel Ramos on securing a closing agreement with the Puerto Rican tax authorities to obtain relief from a condition that placed an unreasonable burden on its ability to assign contributions to other not-for-profit entities.
- Advised the University of Puerto Rico on the establishment of a new defined contribution retirement plan in order to close the current defined benefit retirement plan.
Puerto Rico > Dispute resolution and bankruptcy Tier 3
The dispute resolution team at DLA Piper Puerto Rico leverages a global network spanning the Americas, Europe, the Middle East, Africa and the Asia Pacific region and the bench strength of its team to assist local authorities, financial institutions, individuals, and national and multinational corporates in the energy, financial services, tech and life sciences sectors (including Luma Energy and Johnson & Johnson) in high-stakes arbitration and commercial litigation. The firm’s full offering extends to claims related to breach of contract, bidding processes, employment matters, distribution agreements, intellectual property and consumer rights. The team is led by experienced litigator and arbitrator Margarita Mercado-Echegaray, who previously served as the Solicitor General for the Commonwealth of Puerto Rico, and deputy office managing partner Nereida Melendez-Rivera, who, along with Sonia Torres-Pabón, a former Assistant United States Attorney for the District of Puerto Rico, brings expertise to white-collar crime matters. Also of note is of counsel Mariana Muñiz-Lara, who specialises in intellectual property and employment law matters.Practice head(s):
Margarita Mercado-Echegaray; Nereida Meléndez-Rivera
Testimonials
‘The DLA team was excellent. Tremendous preparation. It was evident that they understood the many technical aspects of our business, which was essential for the case they handled.’
‘Without a doubt, their preparation makes them shine. I never had a doubt that they knew the case better than the other party.’
Key clients
Luma Energy and Luma Energy ServCo
Quanta Services
Stericycle of Puerto Rico
Julio Herrera Velutini
Chiara and Victor Manuel Marcial Martinez
Ramón Conde
Johnson & Johnson
Triple-S Management
Abexus
Work highlights
- Advised Julio Herrera Velutini, who is charged with allegedly having given an illegal donation to the former governor of Puerto Rico in exchange for removing the regulator that oversaw the international banking entity under his ownership.
- Acted for Luma Energy in two class actions brought by residential and commercial customers in Puerto Rico for alleged damages suffered as a result of a major power outage.
- Represented Stericycle of Puerto Rico in a challenge to a bid award by the Puerto Rico Medical Services Administration of a contract for the hauling and destruction of regulated and non-regulated biomedical materials.
Puerto Rico > Labour and employment Tier 3
The labour and employment team at DLA Piper Puerto Rico assists national and multinational corporates across such sectors as pharmaceuticals, healthcare, chemicals, medical devices, energy, manufacturing, retail and financial services with day-to-day matters and complex litigation. The practice is headed by Latam regional practice group co-leader Janine Guzmán, who brings experience to matters related to hiring, wages and hours, statutory licences, employee benefits, discipline and dismissals, business restructurings, reductions in force and relocations, discrimination claims, employee privacy, restrictive covenants and immigration. Other key figures include of counsel Mariana Muñiz-Lara, who represents public and private entities before state and federal first-instance and appellate courts, and associate Daniel Brown-Sáenz, who handles matters involving unjust dismissal, retaliation and failure to accommodate.Practice head(s):
Janine Guzmán
Testimonials
‘Punctuality, availability, keeps the client informed about new legislation. Responses to requests within a short time.’
Key clients
Zen Spa Enterprises
Antilles Cleaning Services
North Janitorial Services
Terumo Puerto Rico
Nagnoi
Artifex Solutions
Electrolux
Ecolab Manufacturing
Latin America: International firms > Banking and finance
DLA Piper LLP (US) has significantly expanded its US-based Latin America team, including those in the banking and finance field. It is now a more powerful force in cross-border financing and corporate lending transactions, including cross-border secured financing, structured finance and securitisation, revolving and secured credit facilities, syndicated lending, acquisition finance, and project and infrastructure finance. New York and Miami-based Robert da Silva Ashley joined in 2023, and has brought extensive acquisition finance and project finance expertise to the team; he is a Portuguese speaker and has an impressive record in Brazil and Mexico financings. Bruno Soares, the former head of A&O Shearman‘s São Paulo office, followed in 2024, bringing further project finance expertise with a focus on Brazil and the wider region; he now leads the firm’s Sao Paulo office. The broader team now represents a range of Latin American borrowers, international lenders and a growing number of European sponsors. Private credit is another expanding area for the team, which also has an established record in large-scale debt restructurings. With deep connections in the region and an outstanding record in project finance, New York partner Margarita Oliva Sainz de Aja leads the Latin America banking and finance team. San Juan’s José Sosa-Lloréns and San Diego partner Raul Farias are also key figures.Practice head(s):
Margarita Oliva Sainz de Aja
Key clients
KUO
Banco Santander
Banco Bilbao Vizcaya Argentaria
Finanzauto
Innergex Renewable Energy
FV Bank International
Tikehau
JPMorgan Chase Bank
Goldman Sachs Lending Partners
Crédito Real, SOFOM
Work highlights
- Advised Innergex Renewable Energy on the structuring and execution of a $803m refinancing transaction for its portfolio of assets in Chile.
- Advised the lenders on a financing granted to LATAM Airlines Group, allowing it to emerge from Chapter Eleven reorganisation proceedings before the Bankruptcy Court of the Southern District of New York and continue its operations.
- Advised Crédito Real on its $2.9bn global debt restructuring encompassing six different jurisdictions and more than 45 different creditors within the capital structure of the company.
Latin America: International firms > Corporate and M&A
DLA Piper LLP (US) has significantly expanded its US-based Latin America corporate and M&A capabilities in the past few years with top-drawer senior names in New York now operating alongside leading practitioners in Miami. The firm also has an extensive network of offices across the region itself. The enlarged team has further extended its connections to large global corporates and private equity funds, while retaining its leadership in mid-market deals. The Latin America team has become more prominent on inbound and outbound Brazil transactions due to senior New York-based Brazilian partners Marcello Hallake and Bruno Soares (a new recruit who joined from A&O Shearman in February 2024); Hallake is an 'amazing lawyer' and a 'highly qualified lawyer for international deals' who is also noted for representing large French corporates in their Latin America acquisitions and investments. Another Brazilian, Amadeu Ribeiro brings additional antitrust expertise to the team in New York. A further New York-based partner Michael McGuinness is a hugely experienced Latin America M&A specialist with an active recent record in Mexico deals. Colombia is another key jurisdiction for the wider team. Miami-based Francisco Cerezo is chair of both the US-Latin America practice and the Latin America corporate and finance team; a 'pro-deal practice leader', he continues to lead a multitude of headline transactions in the region. Dividing his time between San Diego and New York, Raul Farias is another key partner, particularly in relation to energy deals in Mexico. In Puerto Rico, Nikos Buxeda is highly rated for his expertise in cross-border deals. Miami associate Joseline Rodríguez also impresses.Practice head(s):
Francisco Cerezo
Testimonials
‘My main point of contact and preferred partner is Marcello Hallake in NY. Marcello is a Brazilian lawyer who lived most of his life in Europe and in the US. He is a highly qualified lawyer for international deals, who speaks fluent English, Portuguese, French, etc. Amazing lawyer.’
‘The DLA Piper team led by Raúl Farías is very robust and knowledgeable about the energy sector in Mexico. We have worked with them in different areas (trade agreements, corporate issues, tax issues, etc.) and we feel very comfortable with the comprehensive service they offer.’
‘Raúl Farías stands out as an exceptional professional in the field of commercial law, especially in the energy sector in both Mexico and the US. He has deep legal and technical knowledge, which, complemented by his outstanding commercial skills, makes him an extremely valuable resource for any transaction. I eagerly anticipate the opportunity to continue collaborating with him throughout my professional career, as his participation in my team contributes significantly to the success of our projects.’
‘Highly qualified experience and knowledge. Practical and strategic advice. Business-oriented advice and ability to understand business needs. Permanent willingness to work and seek solutions with the client.’
‘The lawyers are very intelligent and practical minded. Helpful in finding solutions.’
‘Nikos Buxeda is highly intelligent, has great experience and is a valued adviser. His experience working in NYC is helpful for mainland companies looking to understand and navigate working on the island of Puerto Rico.’
‘They have a very large team with excellent knowledge of each Latin American country. They have formed a great team really led by Francisco Cerezo.’
‘Francisco Cerezo is a super pragmatic, pro-deal practice leader, with great knowledge of the region. He is very intelligent and has all our trust.’
Key clients
Banco Itau Uruguay
SGP BioEnergy Holdings
American Tower Corporation
Work highlights
- Advised Banco Itau Uruguay on the acquisition of the minority stakes in two Uruguayan fintech companies, Prex and Paigo.
- Advised SGP BioEnergy Holdings on the acquisition of two terminal facilities in Panama, as well as the acquisition of other ancillary operating entities required for the project.
- Represented ATC on the sale of its local fibre optics subsidiary redIT to Mexican digital infrastructure provider Flō Networks.
Latin America: International firms > Projects and energy
DLA Piper LLP (US)'s rapid growth of its US-based Latin America practice is bringing significant rewards. It now has prominent talent across multiple practices, including energy and infrastructure. Partners and associates in its New York, Washington DC, Los Angeles, San Diego, Houston and Miami offices, now frequently work alongside colleagues in Argentina, Chile, Colombia, Mexico, Peru and Puerto Rico, as well as in Brazil (through Campos Mello Advogados in cooperation with DLA Piper). Many in the Latin America team are natives of countries in the region, or are native Spanish or Portuguese speakers. Margarita Oliva Sainz de Aja is head of Latin America banking and finance, and is based in New York after spending many years as a partner in Argentina; she is an experienced project finance specialist with an established client base of multilateral agencies, ECAs, commercial financial institutions, sponsors and project companies. Miriam Figueroa splits her time between New York and Puerto Rico, and has extensive expertise in infrastructure, power purchase agreements and public-private partnership contracts; much of her practice centres on Puerto Rico. New York partner Marcello Hallake is a prominent name in energy M&A, especially in Brazil-related deals; while Diego Peña is a key partner in Santiago. Bruno Soares joined the firm from what is now A&O Shearman in February 2024 and has subsequently become managing partner of the new Sao Paulo office.Practice head(s):
Margarita Oliva Sainz de Aja; Miriam Figueroa
Key clients
LUMA Energy
Innergex Renewable Energy
America Movil
Puerto Rico Public-Private Partnership Authority
Sunrun
CarbonFree Technology
SUSI Partners
San Pedro BioEnergy
Work highlights
- Advised LUMA Energy on energy regulatory matters affecting the operations of the company, including representing it before the Puerto Rico Energy Bureau in various regulatory issues.
- Advised Innergex Renewable Energy, as borrower, in the structuring and execution of a $803m refinancing transaction for its portfolio of assets in Chile.
- Advised Innergex Renewable Energy, as borrower, in connection with a $49m financing for the construction of a 35MW/175MWh battery energy storage system (BESS) in Atacama, Chile.
DLA Piper Puerto Rico > Firm Profile
DLA Piper Latin America’s Team offers full-service business legal counsel to domestic and multinational companies with interests in and operations throughout the region. Our integrated approach to serving clients combines local knowledge with the resources of the DLA Piper global platform. With over 400 lawyers practicing throughout Argentina, Brazil, Chile, Mexico, Peru, and Puerto Rico, our teams frequently work with our professionals throughout the LatAm region, Iberian Peninsula, and around the globe to ensure our clients receive the depth of service they require to meet their legal and business objectives.
DLA Piper assists with business transactions and cross-border disputes throughout Latin America. We handle matters in every country in the region and across every industry sector in which our clients operate. As the level of sophisticated cross-border activity continues to grow throughout the entire region, DLA Piper continues to expand services to clients with a Latin America presence through our cooperation with Campos Mello Advogados in Rio de Janeiro and São Paulo, Brazil and with our DLA Piper multi-disciplinary practice with offices in:
- Buenos Aires, Argentina
- Lima, Peru
- Mexico City, Mexico
- Rio de Janeiro and São Paulo, Brazil (Campos Mello Advogados in cooperation with DLA Piper)
- San Juan, Puerto Rico
- Santiago, Chile
Our experience in Latin America includes assisting companies from inside and outside the region with the full range of business, legal and commercial services that DLA Piper provides worldwide:
- Capital markets
- Compliance and investigations
- Energy, mining and natural resources
- Family groups
- Franchise and distribution
- Hospitality management agreements
- Inbound and outbound capital investments
- Insurance and reinsurance
- Intellectual property and technology transfer, registration
- International arbitration
- Labor and employment, immigration
- Litigation
- M&A
- Market entry
- Privacy and data security, e-commerce
- Private equity and debt financing
- Project finance and public-private partnerships
- Real estate investment
- Tax structuring, transfer pricing, imports and market access issues
- Telecommunications, media, and entertainment regulation and licensing
A number of our lawyers were born or raised and educated in the region and are fluent in Spanish and/or Portuguese. Many have also practiced law in both the US and Latin America and are intimately familiar with civil law systems and with the cultural and legal nuances required to successfully do business in the region. Our strategic relationships on the ground throughout Latin America enhance our understanding of the region and enable us to provide our clients practical, meaningful legal advice. DLA Piper’s global platform of 90+ offices in more than 40 countries enables us to serve all of our clients’ legal needs, whether they are based in Latin America or wish to do business there.
The United States, specifically New York and Florida, has deep economic and cultural ties to Latin America. After many decades of being at the center of the most complex cross-border matters related to Latin America, New York law is firmly established as the most widely accepted applicable/governing law on cross-border transactions related to Latin America.
Our US based team of Latin America practitioners regularly acts as lead counsel on a wide range of cross-border matters in Latin America, ranging from complex capital markets, finance and M&A matters to public private partnerships and market entry and establishment issues. For more information, visit https://www.dlapiper.com/en/latinamerica/
Main Contacts
Department | Name | Telephone | |
---|---|---|---|
Corporate | Miriam Figueroa, Managing Partner | [email protected] | +1 787.930.9494 |
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Harmonizing leaves of absence – top points for employers
The Interaction between different statutory leaves of absence and whether a duty to accommodate is warranted after job reinstatement.
By: Janine Guzmán
Introduction
Puerto Rico is a commonwealth of the United States, and due to its political affiliation with the mainland, most federal employment legislation applies on the island along with local laws. The legal scheme becomes even more complex as we consider that Puerto Rico is a highly regulated jurisdiction in the employment context.
For example, there are approximately 19 statutory leaves of absence[1], of which several are health related. Add to this the federal Family Medical Leave Act (FMLA) which also applies to Puerto Rico – and voluntary leaves of absences typically provided by employers, such as bereavement and paternity leaves[2] and paid holidays. Human resources leaders are tasked with harmonizing leaves of absence that may apply simultaneously and maintain an accurate administration of the benefits provided by the different leaves.
In this article, we will address the challenge of reasonable accommodation requests made by employees returning from health-related leaves of absence and whether there is indeed a duty to accommodate.
The occupational disability leave of absence[3]
Puerto Rico differs from the continental United States in that Workers Compensation is a mandatory governmental policy. The State Insurance Fund Corporation (SIF), a public corporation, issues policies and administers claims under the statute. Coverage must be secured with the agency prior to or simultaneously with the employment of employees. This law covers exempt and non-exempt employees. Securing policies with the SIF has further benefits for employers, as they become immune from claims by employees for work related accidents, so long as they comply with timely payment of the policy premiums[4].
An employee who suffers a work-related accident or illness is entitled to certain statutory benefits under the Workers’ Compensation Act, including rehabilitative medical treatment, diets, and compensation for permanent total or partial disability. The cost of all of these benefits is covered by the SIF, again, so long as the employer complies with timely payment of the policy premiums.
Additionally, employers are required to reserve the employee’s position for one year (equivalent to 12 months or 360 days) from the onset of the injury if the employee is placed on rest – meaning that they are unable to perform the duties of their position while recovering from the work-related accident.
The employer must reinstate the employee upon recovery if (i) the employee requests reinstatement within the 12 month period from the date of the inception of the disability and within 15 days from receiving medical discharge from the SIF; (ii) at the time of the request, the employee is mentally and physically able to perform their duties; and (iii) the employee’s job has not been eliminated at the time of the request.
It is worth noting that employers have an affirmative duty to inform the employee about the leave benefits. If the employer refuses to refer the employee to the SIF for medical treatment or terminates the employee during such time without cause, the employee can bring a claim for back pay, reinstatement, and damages. However, the law provides that, once the employment reserve period has expired and the employee has not returned to work, the employer may terminate the employment relationship without need to compensate the employee.
The non-occupational short-term disability leave of absence[5]
The Non-Occupational Short Term Disability Act[6], known by its Spanish acronym as SINOT, mandates employers to provide insurance coverage for all exempt and non-exempt employees for non-occupational illnesses or accidents. The employer has an option of securing coverage under a government administered plan or with a private insurance carrier. For the latter, the private plan must be approved by the Secretary of Labor of Puerto Rico. During the first six months of the leave, the employee is entitled to temporary disability benefits ranging from $12.00 to $113.00 weekly for up to 26 weeks within a 52-week period. During the rest period, the employee receives medical treatment from their private physician.
As with the SIF, (i) the employee is entitled to an employment reserve of one year (equivalent to 12 months or 360 days) from the onset of the accident or injury; (ii) employers must inform the employee about the leave benefit; (iii) failure to reinstate the employee shall lead to a claim for back pay, reinstatement, and damages; and (iv) the employer may dismiss the employee after the expiration of the employment reserve.
The principle of reasonable accommodation. How is it defined?
We have examined to two sources of definition to assess what constitutes a reasonable accommodation: (i) the definition established by the applicable federal statute, Americans with Disabilities Act (ADA)[7] and the Puerto Rico’s Disability Discrimination Act[8], and (ii) the definition of the term according to Merriam Webster’s Dictionary.
ADA
The ADA was established to counteract discrimination by prohibiting any actions that disadvantage individuals based on (i) a physical or mental impairment that “substantially limits” a major life activity,[9] or (ii) a history or record of such an impairment, or (iii) a perception by others as having such an impairment. Pursuant to the ADA Amendments Act of 2008 (ADAAA), “substantially limiting” is defined as “materially restricting,” a standard that is easier to meet, since an impairment does not have to prevent or significantly restrict a major life activity to meet the burden of a disability under the law[10].
Additionally, both the Equal Employment Opportunity Commission (EEOC) and the US Department of Justice have stated that a medical condition does not need to be long-term, permanent, or severe to be substantially limiting. In addition, if symptoms come and go, what matters is how limiting the symptoms are when they are active[11].
Employers must consider requests for reasonable accommodations made by disabled employees as part of the protections afforded by ADA. This is commonly referred to as “the duty to accommodate.” A reasonable accommodation is defined by ADA as “any change in the work environment or in the way things are customarily done that enables an individual with a disability to enjoy equal employment opportunities.”[12]
The employer must engage in an interactive process with the employee to meet the duty to accommodate. This is a collaborative effort to identify a suitable accommodation for the individual. This interactive process should involve the employee, designated officials, and relevant committees, as the case might be, and should aim to determine the most appropriate and effective reasonable accommodation for the employee. Open communication throughout the process is encouraged, especially in situations where (i) the specific limitations or challenges faced by the individual are unclear, (ii) identifying an effective accommodation requires further exploration, (iii) different accommodation options are being considered, and (iv) the current accommodation is no longer effective, necessitating a new solution.
Failure to accommodate claims have increased in recent years. According to a study conducted in 2019, out of the 22.8 percent of all working age adults, 47 to 58 percent of accommodation sensitive individuals lack accommodation[13].
Merriam Webster’s Dictionary
According to Merriam Webster’s Dictionary, a reasonable accommodation is something done to accommodate a disabled person that does not jeopardize safety or pose an undue hardship for the party (as an employer or landlord) doing it.[14]
The undue hardship exception
Whenever an accommodation poses a significant burden, the employer is not obligated to provide it[15]. Different factors are considered, such as, size of the business, financial resources, and/or impact on the business’s normal operation[16].
When is an employer required to provide reasonable accommodation upon an employee’s return to work from workers’ compensation or short-term non-occupational disability?
While SIF and SINOT are temporary disability programs, it is reasonable to infer that medical conditions or injuries necessitating these leaves of absence may constitute short-term disabilities distinguishable from a disability protected by ADA and PR Act 44 that trigger the employer’s duty to accommodate. However, there is a growing trend of employees requesting reasonable accommodations upon returning to work after utilizing these leave programs.
It is worth noting that the SIF has the faculty to determine partial or total disability of the injured employee after completion of the medical treatment and the employee has the right to receive compensation based on the percentage of the disability that is granted. The compensation amounts to 66 2/3 percent of the wages[17]. In the case of partial disability, compensation is paid for a number of weeks, whereas an employee with total disability will receive the compensation for life. This in itself implies an impairment. Aside from this, the SIF has demonstrated a pattern of incorporating job adjustment recommendations into its administrative or medical decisions, effectively placing an implicit burden on employers to consider implementing these recommendations. Similarly, private healthcare providers under SINOT may also issue such recommendations.
Thus, even if a medical condition – at face value – does not seem to be a qualified impairment under the ADA or PR Act 44 and the SIF’s recommendations are consistent with this assessment, Puerto Rico employers are faced with the predicament of having to evaluate every request for accommodation made by an employee. This responsibility is particularly relevant considering the simpler standard set by the ADAAA regarding the term disability and how such a disability affects major life activities.
It is important to note that the US Department of Labor has clarified that a health condition need not be long-term to be considered protected[18]. In addition, a federal district court case, for the District of Puerto Rico, highlighted that extending a SIF leave beyond the reserve of employment period could be considered a reasonable accommodation that the employer should consider, especially where the additional leave requested is not expected to be prolonged or perpetual[19].
Moreover, employers must not lose sight of the statutory right of eligible non-exempt employees to request temporary changes in work schedules or locations, as an accommodation for health-related or non-health-related legitimate reasons under Puerto Rico law. Employers must consider the request and respond within a period of time. The employer’s response may approve or deny the request made by the employee, but a denial must indicate the legitimate business reasons for not granting the request[20].
Conclusion
When an employee requests an accommodation, out of an abundance of caution, the employer is encouraged to engage in the interactive process to determine whether the employee qualifies as a disabled individual and whether there is a duty to accommodate. The challenge lies in properly evaluating the employee’s medical condition to assess whether it has become an impairment protected by disability discrimination laws.
Note:
Bianca Perez-Lugo assisted in the preparation of this article.
Footnotes
[1] The applicability of a few of them depend on the employer’s size and certain eligibility requirements.
[2] Paternity leave is not regulated in the private sector in Puerto Rico.
[3] Some exceptions exist, seeing as only four states rely on entirely state-run programs for workers’ compensation: North Dakota, Ohio, Washington, and Wyoming. These four states are referred to as monopolistic states as they require their employers to purchase workers’ compensation from a government-operated fund. Workers’ Compensation Law – State by State Comparison (archive.org); Workers’ Compensation Insurance in Monopolistic States (thebalancemoney.com)
[4] “Occupational Accident Compensation Act”, Act No. 45 of April 18, 1935, as amended11 L.P.R.A. § 1 et. seq.
[5] Other statutory non-occupational short-term disability leaves of absence exists, such as (1) the Automobile Accident Social Protection Act, Act No. 138 0f June 26, 1968, as amended, known by its Spanish acronym as “ACAA”, applicable to non-occupational automobile accidents. The reserve of employment is six months or 180 days; and (2) the Social Security for Chauffeurs Act, Act No. 428 of May 15, 1950, that applies to non-exempt employees who must drive a motor vehicle (finger lifts included) to perform job duties. The purpose is to provide (i) illness and disability benefits, (ii) a bonus after reaching the age of 65, and (iii) compensation to surviving spouses and children under 15 years of age, in the event of the death of the insured. The reserve of employment is 12 months or 360 days. The illness, disability or death need not be work-related. If the employee is covered by this insurance, SINOT coverage is not required. On the other hand, if the employee is compensated under the SIF, the Social Security for Chauffeurs monetary benefit does not apply unless the compensation is less than what the worker would receive under the Chauffeurs’ Insurance Fund, the difference will be paid by the Chauffeurs’ Insurance Fund. 29 L.P.R.A. §§ 681 – 695. The employee is entitled to the same remedies provided by SIF and SINOT in the event of a refusal to reinstate upon returning from these leaves.
[6] Act No. 139 of June 26, 1968, as amended.
[7] Americans with Disabilities Act of 1990, Pub. L. No. 101-336, 104 Stat. 328 (1990).
[8] Puerto Rico Act No. 44 of July 2,1985, as amended (PR Act 44). This statute mirrors ADA.
[9] E.g., walking, talking, seeing, hearing, or learning, or operation of a major bodily function, such as brain, musculoskeletal, respiratory, circulatory, or endocrine function. Americans with Disabilities Act, § 2(a) (42 U.S.C. 12101) (1990).
[10] ADA, Rehabilitation Act, 29 CFR Part 1630, 29 CFR Part 1614
[11] United States Department of Labor, Reasonable Accommodations for Employees and Applicants with Disabilities | U.S. Department of Labor (dol.gov), Accommodations | U.S. Department of Labor (dol.gov); United States Department of Justice, Civil Rights Division Introduction to the Americans with Disabilities Act | ADA.gov, Employees & Job Applicants | U.S. Equal Employment Opportunity Commission (eeoc.gov).
[12] Americans with Disabilities Act, § 2(a) (42 U.S.C. 12101) (1990).
[13] Nicole Maestas, Kathleen J. Mullen, Stephanie Rennane, Unmet Need for Workplace Accommodation WILEYONLINELIBRARY, (16 may 2019), https://doi.org/10.1002/pam.22148, (Last visit: June 21, 2024.)
[14] Reasonable accommodation Definition & Meaning | Merriam-Webster Legal.
[15] ADA, Rehabilitation Act, 29 CFR Part 1630, 29 CFR Part 1614
[16] The ADA: Your Responsibilities as an Employer | U.S. Equal Employment Opportunity Commission (eeoc.gov)
[17] Act No. 45 of 18 April 1935, as amended.
[18] Disability Discrimination and Employment Decisions | U.S. Equal Employment Opportunity Commission (eeoc.gov); Reasonable Accommodations for Employees and Applicants with Disabilities | U.S. Department of Labor (dol.gov)
[19] Criado v. IBM Corp., 145 F.3d 437; Edwin R. García Díaz, Demandante y Recurrente v. Darex Puerto Rico, Inc.; W.R. Grace & Company, Demandado y Recurridos, 148 D.P.R. 364; Pérez Rosario v. Aut. de Acueductos y Alcantarillados de P.R., 2022 PR App. LEXIS 1787.
[20] Article 8 of Act No. 379 of May 15, 1948.
Comparative Guides
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The Netherlands: Class Actions
Published: June 2024
Authors: Marnix Holtzer Tom Hautvast
This country-specific Q&A provides an overview of Class Actions laws and regulations applicable in The Netherlands.
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United Kingdom: Class Actions
Published: June 2024
Authors: Jeremy SherHui Ying Chee
This country-specific Q&A provides an overview of Class Actions laws and regulations applicable in United Kingdom.
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Mauritius: Enforcement of Judgments in Civil and Commercial Matters
Published: September 2024
Authors: Roobesh S. RamanjoolooIngrid Lecordier
This country-specific Q&A provides an overview of Enforcement of Judgments in Civil and Commercial Matters laws and regulations applicable in Mauritius.
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Tunisia: International Arbitration
Published: November 2024
Authors: Lotfi El AjeriMohamed Abragh Yosra Baccar
This country-specific Q&A provides an overview of International Arbitration laws and regulations applicable in Tunisia.
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Tunisia: Real Estate
Published: December 2024
Authors: Monia Sfaxi
This country-specific Q&A provides an overview of Real Estate laws and regulations applicable in Tunisia.
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Morocco: Project Finance
Published: January 2025
Authors: Gaëlle Bouriau Laëtitia Badjoko
This country-specific Q&A provides an overview of Project Finance laws and regulations applicable in Morocco.
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Denmark: Restructuring & Insolvency
Published: July 2024
Authors: Henrik SjørslevPer Astrup MadsenPeter Hedegaard KnudsenHenrik Lund-Koefoed
This country-specific Q&A provides an overview of Restructuring & Insolvency laws and regulations applicable in Denmark.
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Spain: Securitisation
Published: March 2025
Authors: Andrés LorrioDiego Sánchez
This country-specific Q&A provides an overview of Securitisation laws and regulations applicable in Spain.
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Morocco: Doing Business In
Published: April 2025
Authors: Adil Mouline Léa Attias
This country-specific Q&A provides an overview of Doing Business In laws and regulations applicable in Morocco.
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Brazil: Mergers & Acquisitions
Published: April 2025
Authors: Fabiano GalloCarolina Sant’Angelo Rafaella ChiachioAdriana Pagés Anna Luiza PiragibeBreno Cintra
This country-specific Q&A provides an overview of Mergers & Acquisitions laws and regulations applicable in Brazil.
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Sweden: Banking & Finance
Published: March 2025
Authors: Carl Schwieler Joel Montin Bodil Stein Philip Berglund Lovisa Åberg
This country-specific Q&A provides an overview of Banking & Finance laws and regulations applicable in Sweden.
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Scotland: Class Actions
Published: June 2024
Authors: Stuart Murdoch Paddy Fulton
This country-specific Q&A provides an overview of Class Actions laws and regulations applicable in Scotland.
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Mexico: Enforcement of Judgments in Civil and Commercial Matters
Published: September 2024
Authors: Daniel Gonzalez EstradaFernando Osawa EstevezKate Brown de VejarAdolfo Suarez Romo
This country-specific Q&A provides an overview of Enforcement of Judgments in Civil and Commercial Matters laws and regulations applicable in Mexico.
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United States: Project Finance
Published: January 2025
Authors: Robert da Silva Ashley, Esq.
This country-specific Q&A provides an overview of Project Finance laws and regulations applicable in United States.