TL Insights
Back to TL Insights
Strengthening and challenge of Intellectual Property in El Salvador following the new agreement with the U.S.
How does this agreement affect Salvadoran companies, their intangible assets, and digital commerce?
The recent trade agreement signed between El Salvador and the United States is not limited to tariffs or market access. Although that is usually the initial focus, the text incorporates provisions that directly affect digital commerce and intellectual property — two areas that are now key for any company, regardless of its size.
On the digital front, the agreement establishes that El Salvador must allow the transfer of data to the United States and recognize certain mechanisms that facilitate that flow of information. In practice, this is relevant for companies that use cloud services, technology platforms, or international providers. It is not about imposing new obligations on companies, but about providing greater legal certainty when data is processed or stored outside the country.
It also includes a provision prohibiting any requirement to hand over technology, source code, or algorithms as a condition for operating in the national territory, except in formal investigations and under guarantees of confidentiality. This type of requirement is not common in our environment, but its express inclusion in the treaty reinforces legal certainty for companies that develop their own technological solutions.
Likewise, the agreement reaffirms that customs duties may not be imposed on electronic transmissions, such as software downloads or digital content, consolidating a rule that already existed under CAFTA-DR.
As for intellectual property, the treaty does not create new rights. El Salvador already has administrative, civil, and criminal systems, as well as border measures, to protect trademarks, copyrights, and other intangible assets. However, the agreement requires these mechanisms to be effective and to prioritize enforcement, including in the online environment.
Additionally, the commitment to file for accession to certain international treaties on industrial designs, patents, trademarks, and plant varieties could entail technical adjustments in the future. These changes are not immediate, but they are part of the commitments undertaken that could lead to technical adjustments in the medium term.
In today's economy, a company's value often lies not in what is visible, but in what is unseen: the software it develops, the information it manages, the brand it has built, the knowledge it has accumulated. The new agreement does not transform the legal system overnight, but it does strengthen the protection of those assets and provides greater clarity in the relationship with a market that concentrates much of the technological infrastructure our companies use.
For companies that operate with international infrastructure, use cloud services, process payments through global platforms, or have operations and partners abroad, these provisions are not merely formal. They influence the way information flows, how technology is protected, and the level of legal certainty with which they can project themselves.
For those in the process of expansion, protecting the intangible stops being a mere formality and becomes part of the business strategy.
Next articles in this category

August 2026
CNAD Circular No. 008-2026: New Data Protection Compliance Requirements
The National Commission of Digital Assets (CNAD) issued Circular No. 008-2026, addressed to Digital Asset Service Providers and Certifiers, through which it communicates the Guidelines for Personal Data Protection Delegates issued by the State Cybersecurity Agency (ACE).

August 2026
Personal Data Protection Law in El Salvador: Everything You Need to Know About the CNAD’s New Provisions
Digital Asset Service Providers and Certifiers overseen by the National Digital Assets Commission (CNAD) must review the designation, profile, and registration of their Personal Data Protection Delegate, as well as establish an institutional communication channel with the State Cybersecurity Agency (ACE), in accordance with the new personal data protection provisions in El Salvador.

August 2026
Personal Data Protection: The State Cybersecurity Agency (ACE) Strengthens the Supervision and Compliance Framework
Personal data protection in El Salvador is entering a phase of greater operational development and oversight. The Law protects all information that allows a natural person to be identified or identifiable, including information that, by its nature, requires a higher level of protection. With the publication of the new Guidelines for the Data Protection Officer and the Regulations for the Development of Administrative Sanctioning Proceedings, the State Cybersecurity Agency (ACE) establishes key aspects regarding who may serve as a Data Protection Officer, how their appointment must be formalized and registered, and how the Agency may investigate and sanction potential non-compliance. Both provisions were published in the Official Gazette on August 11, 2026, and entered into force on August 19, 2026.

July 2026
Eleven ideas with an owner: the (with lawyers) history of the world's biggest sport
This article was born at the precise moment when the fever for the biggest sporting event in the world began to take over everyone this year. It was born from a conversation between someone who loves soccer from the memory of their grandfather, a physical education teacher, and someone who loves intellectual property because they deeply believe that ideas also deserve history, care, and ownership. Coco sees soccer as one who recognizes a family heritage. I see it from another place, perhaps less evident but just as exciting: from the brands, patents, contracts, image rights, and all those invisible creations that make the world's greatest sport also one of the most powerful industries on the planet.

