Quevedo & Ponce - Noticias Legales
The special emergent contract was declared unconstitutional by the Constitutional Court
- March 11th, 2025
- Quevedo & Ponce
The Constitutional Court analyzed the constitutionality of article 19 of the Organic Law of Humanitarian Support, related to the emerging special contract; and, by ruling 49-20-IN/25, determined that it violates the principle of intangibility of labor rights by allowing the employer to unilaterally terminate the contract without compensation. For this reason, it declared said provision partially unconstitutional, nullifying the possibility of finalyzing the contract before the deadline without payment of compensation.
Despite this ruling, the emergent contract remains in effect with the following characteristics:
- It can be signed for a maximum of one year, renewable once.
- It is not exclusively linked to the pandemic but can be applied to any temporary situation that justifies the need to ensure business sustainability.
- If the employer terminates the contract unilaterally before its term, compensation for unfair dismissal will be required.
- The contract becomes indefinite if the employment relationship continues after the term ends.
The Court also reminded the National Assembly to evaluate the Humanitarian Support Law and modify it if necessary, to ensure it meets its objectives. Additionally, it emphasized that the Ministry of Labor must oversee the proper use of the emergent contract to prevent violation.
At Quevedo & Ponce, we are experts in labor and constitutional law, providing effective consultancy on matters such as emergent contracts. Contact us to protect your rights and ensure successful legal solutions.
Más Artículos
Ecuador and the New Law on Intelligence: Toward a Safer or More Surveilled State?
Ecuador has taken a decisive step by enacting the new Organic Law on Intelligence, which aims to strengthen the State’s capacity to combat organized crime and threats to national sovereignty. However, the legal framework adopted raises serious concerns from a constitutional and human rights perspective.
Ecuador y la Nueva Ley Orgánica de Inteligencia: ¿Hacia un Estado más seguro o más vigilado?
Ecuador ha dado un paso decisivo al promulgar la nueva Ley Orgánica de Inteligencia, cuyo objetivo es fortalecer la capacidad del Estado para enfrentar el crimen organizado y las amenazas a la soberanía nacional. Sin embargo, el marco legal adoptado plantea serias interrogantes desde una perspectiva constitucional y de derechos humanos.
Has your company remedied the grounds for dissolution? you may request its exclusion from the massive resolution and to continue operating legally.
The Companies Act allows to request the exclusion of a company from a massive dissolution resolution if the grounds for dissolution have been remedied and the resolution has not been registered before the Mercantile Registry. This alternative avoids to initiate a reactivation process and enables the company to maintain its legal standing. This article explains the circumstances under which this option may be exercised and the requirements that must be complied.
¿Su compañía superó la causal de disolución? Puede solicitar su exclusión de la resolución masiva y seguir operando legalmente.
La Ley de Compañías permite solicitar la exclusión de una empresa de una resolución de disolución masiva si se ha superado la causal y esta no ha sido inscrita en el Registro Mercantil. Esta alternativa evita el trámite de reactivación y permite conservar la vigencia legal de la empresa. En este artículo, explicamos cuándo es posible optar por esta vía y los requisitos que deben cumplirse.
Traditional Specialties Guaranteed (ETG) in Ecuador: Protecting Tradition with Legal Recognition
Within the framework of Ecuador’s intellectual property system, Traditional Specialties Guaranteed (TSG) represents a strategic legal mechanism for the protection of agri-food products with proven cultural value and traditional heritage. This tool provides official recognition of the authenticity of traditional production methods, without requiring a specific territorial link.
