Latin America has entered the 21st century with great promise. The region is experiencing a surge of startup companies and initial public offerings. Robust growth and increasingly sophisticated local markets are attracting foreign investors. The U.N. Economic Commission on Latin America forecasts that Latin America’s economic development will be the highest of all global regions for 2014.

But not all developments in the region are positive. In several countries, new and proposed laws to expand class actions have the potential to undermine a key precondition for economic growth — a fair civil justice system. These changes could imperil economic growth for Latin Amer­ica — an outcome that benefits no one.

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