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Agriculture, Construction, & Food Industry
Agriculture, Construction, & Food Industry
Daniel Frazee avatar
Written by Daniel Frazee
Updated over a week ago

If the Agriculture, Construction or Food Industry legal entities and natural person principals (who apply independent, professional or expert judgment; not ministerial servants) directly or through controlled affiliates have a staff of at least 10 personnel or gross revenues in excess of $1 million, then:

  1. Such Agriculture, Construction or Food Industry legal entities and natural person principals (who apply independent, professional or expert judgment; not ministerial servants) must elect to conduct their respective Agriculture, Construction, or Food Industry operations AND/OR a specific project under any of:

    1. The liability framework of U.S. common law with liability for injuries enhanced by 3x compensatory damages and personal liability for officers, directors and owners to the extent of their equity investment or past year’s compensation;

    2. good faith compliance with the applicable national and subnational Agriculture, Construction or Food Industry regulations, respectively, of any of Honduras or a Best Practice Peer Country (as if the legal entity and natural person principal were operating and/or the project were located therein; notice of election must also be propagated in all contractual documents); or

    3. a self-designed regulatory framework proposed in the form of a petition for consideration and adoption by Próspera ZEDE Resolution, which can be made applicable to all similarly situated legal entities and natural person principals if they so elect.

  2. Legal entities and natural person principals (who apply independent, professional or expert judgment; not ministerial servants) in the Agriculture, Construction or Food Industry must comply with the Personal Financial Responsibility Statute by obtaining regulated industry insurance from a Qualified Insurer with annual loss limits of $60,000.00 USD/1,489,500 Lempira covering liability for final awards of the default Arbitration Service Provider. If such insurance is provided by the GSP as insurer of last resort, then the annual premium must not exceed $780.00 USD/18,000 Lempira. Further, if the GSP is required to provide such insurance as the insurer of last resort, mandatory insurance terms may be adjusted by transparent negotiation and agreement; and thereafter made available to all insurers and insurers.

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