International Commercial Arbitration at Chile
Here’s an overview of International Commercial Arbitration in Chile:
International Commercial Arbitration in Chile
Legal Framework:
Chile is a signatory to the 1958 New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards, ensuring international awards are generally recognized and enforceable in Chile.
Chile’s domestic arbitration law is governed primarily by Law No. 19,971 of 2004, which regulates arbitration proceedings in the country.
The Chilean arbitration law incorporates many features of the UNCITRAL Model Law on International Commercial Arbitration, promoting modern and internationally accepted arbitration practices.
Key Features:
Arbitration agreements are generally respected and enforced by Chilean courts.
Chilean law allows parties to choose the place (seat) of arbitration, the language, and the procedural rules, allowing flexibility.
Both institutional arbitration (under ICC, LCIA, or local institutions like the Chilean Arbitration Center—Centro de Arbitraje y Mediación de la Cámara de Comercio de Santiago, CAM Santiago) and ad hoc arbitration are common.
The courts have a supportive but limited role, intervening only in specific cases such as appointing arbitrators when parties fail to agree or in matters related to enforcement or annulment of awards.
Grounds for refusal to enforce an arbitral award are limited, mainly aligned with the New York Convention standards (e.g., violation of due process, invalid arbitration agreement, or public policy concerns).
Practical Considerations:
Chile is considered one of the most arbitration-friendly jurisdictions in Latin America.
It offers a reliable legal framework, modern arbitration laws, and an active arbitration community.
The Chilean Arbitration Center (CAM Santiago) is a respected institution providing institutional arbitration services.
The judiciary generally supports arbitration and respects the finality of arbitral awards.
Arbitration is widely used in sectors such as mining, energy, construction, and international trade.
If you'd like, I can provide more detailed info such as:
How to start arbitration proceedings in Chile.
Specific institutional rules used in Chile.
Notable arbitration cases or trends.
Differences between domestic and international arbitration in Chile.
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