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Disputes in Chile: courts, arbitration, enforcing foreign judgments and awards, the New York Convention and ICSID

Last verified: 2026-10-26 · Status: Stable

Chile has two arbitration tracks. International commercial arbitration seated in Chile follows Ley Nº 19.971 of 2004, based on the UNCITRAL Model Law. Its only recourse against an award is annulment by the Court of Appeals, which must be sought within three months. Domestic arbitration follows the Código Orgánico de Tribunales, and its awards can be appealed unless the parties waive that right. Foreign court judgments and foreign arbitral awards are enforced only after the Corte Suprema grants exequatur. The application is filed with a legalised or apostilled copy (Código de Procedimiento Civil art. 242 to 251). Chile has been a party to the New York Convention since 1975 and has made no reservations. Chile ratified the ICSID Convention in 1991, but an investor can only use ICSID where Chile has consented in writing, usually in an investment treaty. Basic limitation periods are 5 years for ordinary civil actions, 3 years for executive actions and 4 years for commercial contract actions, so delay can extinguish a claim.

USD figures use the Central Bank exchange rate of CLP 986.58 per US dollar published in the Diario Oficial for 23 October 2026 (CVE 2891564). Conversions are for orientation only. ICSID fees are set in US dollars.

Key facts

Deadline to seek annulment of an international arbitral award seated in Chile	3 monthsLey Nº 19.971 art. 34 Nº 3, as of 2026-10-26 · in force
Default deadline for a domestic arbitral award when the parties set none	2 yearsCódigo Orgánico de Tribunales art. 235, as of 2026-10-26 · in force
New York Convention in force in Chile (promulgating decree date)	1975-10-02 dateDecreto Nº 664 of 1975, Ministerio de Relaciones Exteriores, as of 2026-10-26 · in force
Reservations or declarations made by Chile under the New York Convention	None Decreto Nº 664 of 1975, as of 2026-10-26 · in force
Party to the ICSID Convention	Yes, in force since 24 October 1991 Decreto Supremo Nº 1.304 of 1991, Ministerio de Relaciones Exteriores, as of 2026-10-26 · in force
ICSID lodging fee for a request for arbitration or annulment	25000 USDICSID Schedule of Fees (2023), effective 1 July 2023, as of 2026-10-26 · in force
ICSID annual administrative charge per case	52000 USDICSID Schedule of Fees (2023), effective 1 July 2023, as of 2026-10-26 · in force
Court that recognizes foreign judgments and awards	Corte Suprema Código de Procedimiento Civil art. 246 and art. 247, as of 2026-10-26 · in force
General limitation period for ordinary civil actions	5 yearsCódigo Civil art. 2515, as of 2026-10-26 · in force
Limitation period for an executive action on an enforceable title	3 yearsCódigo Civil art. 2515, as of 2026-10-26 · in force
Limitation period for actions on commercial obligations with no special period	4 yearsCódigo de Comercio art. 822, as of 2026-10-26 · in force
Deadline for a debtor to oppose an executive claim served within the court's territory	8 business daysCódigo de Procedimiento Civil art. 459, as of 2026-10-26 · in force
Deadline for an employee to challenge a dismissal in court	60 business daysCódigo del Trabajo art. 168, as of 2026-10-26 · in force

The rule

1. Ley Nº 19.971 governs international commercial arbitration and yields to any treaty in force in Chile. An arbitration is international if, when the agreement is made, the parties have their places of business in different States. It is also international if the seat, the main place of performance or the place most closely connected with the dispute is outside the State where the parties have their places of business, or if the parties expressly agree that the dispute relates to more than one State. Most of the law applies only when the seat is in Chile. Articles 8, 9, 35 and 36 also apply to foreign seated arbitrations. The arbitration agreement must be in writing, which includes an exchange of letters or other telecommunications that record it (art. 7). A Chilean court must refer the parties to arbitration if a party asks no later than its first submission on the merits (art. 8). Courts can still grant interim measures (art. 9). Nationality is no bar to being an arbitrator, and if the parties set no number there are three (art. 10 and 11). The tribunal rules on its own jurisdiction. Within 30 days of a preliminary ruling that it has jurisdiction, a party can ask the President of the Court of Appeals to decide the point (art. 16). Parties choose the law that governs the merits (art. 28). The only recourse against an award is an annulment petition to the Court of Appeals of the seat, on the limited Model Law grounds. These include invalid agreement, lack of notice, excess of mandate, irregular composition or procedure, non arbitrability and breach of Chilean public order. The petition must be filed within three months of receipt of the award (art. 34).
Cost to do it: The law sets no State fee. The costs are the arbitral institution's administrative fee, the arbitrators' fees and counsel, all agreed by contract or set by the chosen institution's rules. An annulment petition adds the cost of Court of Appeals proceedings, which the law requires to be heard with priority (art. 34 Nº 5).
Example: A Chilean SpA owned by a US parent signs a CLP 493,290,000 supply contract with a Peruvian buyer, with a Santiago seat. The arbitration is international because the parties' places of business are in different States. If the award is received on 1 March, the losing party's last day to seek annulment is 1 June. After that, only the art. 36 grounds can be raised against recognition. / The same contract is worth about US$500,000. Arbitrating it under Ley Nº 19.971 keeps the award open to annulment on Model Law grounds only. A domestic arbitration with appeal rights not waived opens it to a full appeal (Código Orgánico de Tribunales art. 239).Ley Nº 19.971 on international commercial arbitration (Ministerio de Justicia), Diario Oficial 29 September 2004, Art. 1, art. 6, art. 7, art. 8, art. 9, art. 10, art. 11, art. 16, art. 28 and art. 34, 2004-09-29 official text · verified 2026-10-26

2. Chile accepted the 1958 New York Convention on the recognition and enforcement of foreign arbitral awards. Approval was given by Decreto Ley Nº 1.095 of 31 July 1975, the instrument of accession was deposited on 4 September 1975, and Decreto Nº 664 of 2 October 1975, published on 30 October 1975, gave it the force of law. UNCITRAL's status table shows the Convention in force for Chile since 3 December 1975 with no declarations or reservations, so Chile applies it to awards made in any State. Ley Nº 19.971 repeats the Convention's approach for any award, wherever it was made. The award is recognised as binding on written application and is enforced on presentation of the authenticated original or a certified copy of the award and of the arbitration agreement, with a certified translation into Spanish if needed (art. 35). Recognition can be refused only on the closed list in art. 36. Those grounds are an incapable party or invalid agreement, lack of proper notice, excess of mandate, irregular composition or procedure, an award not yet binding or set aside at the seat, non arbitrability under Chilean law, or breach of Chilean public order.
Cost to do it: Translation and certification of the award and agreement where they are not in Spanish (Ley Nº 19.971 art. 35 Nº 2), legalisation or apostille of the copies (Código de Procedimiento Civil art. 247), and local counsel for the Supreme Court exequatur.
Example: A London seated award orders a Chilean company to pay CLP 493,290,000. Because Chile made no reciprocity reservation, the award's origin in a Convention State does not matter. The creditor files the apostilled award and arbitration clause with certified Spanish translations at the Corte Suprema, and the debtor can only invoke the art. 36 grounds. / The same award is for US$500,000. Once exequatur is granted, the creditor enforces it like a domestic judgment before the court that would have heard the case in Chile (Código de Procedimiento Civil art. 251).Decreto Nº 664 of 1975 (Ministerio de Relaciones Exteriores) promulgating the New York Convention; Ley Nº 19.971, Decreto Nº 664, sole operative paragraph; Convention art. I to VII; Ley Nº 19.971 art. 35 and art. 36, 1975-10-30 official text · verified 2026-10-26

3. Foreign court judgments, and under art. 246 decisions of arbitrators, have the force in Chile that treaties give them (art. 242). Where there is no treaty, they get the same force that the issuing country gives to Chilean judgments (art. 243). They have no force if that country does not enforce Chilean judgments (art. 244). If none of those rules applies, a foreign judgment is enforced if it contains nothing contrary to Chilean law, does not conflict with Chilean jurisdiction, was duly notified to the defendant and is final in its country of origin (art. 245). The judgment is presented to the Corte Suprema in a legalised or apostilled copy (art. 247, as amended by Ley Nº 20.711 of 2 January 2014). In contested cases, the other party is given the same term as for answering a claim, and the court hears the fiscal judicial before deciding (art. 248). Once enforcement is ordered, execution is sought before the court that would have heard the case at first instance in Chile (art. 251).
Cost to do it: No statutory fee for the exequatur was confirmed in this review. The costs are an apostilled or legalised copy of the judgment, a translation where needed and local counsel. The court may also open an evidence period before deciding (art. 250), which adds time and cost.
Example: A New York judgment for CLP 493,290,000 against a Chilean debtor is apostilled and filed at the Corte Suprema. The debtor answers. After the fiscal judicial is heard, the Court grants exequatur and the creditor starts execution before the competent Santiago civil court. / The same judgment is for about US$500,000. For contracts with Chilean counterparties, an arbitration clause usually gives a clearer enforcement path than a foreign court clause, because the New York Convention and Ley Nº 19.971 art. 36 set closed refusal grounds.Código de Procedimiento Civil (Ley Nº 1.552 of 1902), Title XIX of Book I, Art. 242, art. 243, art. 244, art. 245, art. 246, art. 247, art. 248, art. 250 and art. 251, 1902-08-30 official text · verified 2026-10-26

4. Domestic arbitration is governed by the Código Orgánico de Tribunales. Arbitrators may decide according to law (árbitro de derecho), as amiable compositors deciding by equity (arbitrador), or in a mixed form (art. 223). If the agreement does not say which, the arbitrator decides according to law. If no seat is set, the seat is where the agreement was made, and if no time limit is set, the award is due within two years of acceptance (art. 235). Some matters must go to arbitration, including disputes between shareholders of a sociedad anónima and accounts of managers or liquidators of commercial companies (art. 227). Outside those cases, nobody can be forced to arbitrate (art. 228). Criminal cases, local police matters, maintenance claims and cases in which the fiscal judicial must be heard cannot be arbitrated (art. 229 and 230). Appeal and cassation lie against an award of an árbitro de derecho as if it were a court judgment, unless the parties waived them or submitted them to arbitration (art. 239).
Cost to do it: Arbitrator and institutional fees are set by agreement or by the institution's schedule. The Código Orgánico de Tribunales sets no tariff. Leaving appeal rights in place can add a Court of Appeals stage and, for awards of árbitros de derecho, a cassation stage.
Example: Two shareholders of a Chilean S.A. disagree over a CLP 493,290,000 dividend policy. The dispute must go to arbitration (art. 227 Nº 4). If the bylaws name an arbitrator but set no time limit, the award is due within two years of acceptance. / The same dispute is worth about US$500,000. Waiving appeal and cassation in the bylaws or the arbitration clause, which art. 239 allows for parties with free disposal of their assets, keeps the award final.Código Orgánico de Tribunales (Ley Nº 7.421 of 1943), Art. 222, art. 223, art. 227, art. 228, art. 229, art. 230, art. 235 and art. 239, 1943-07-09 official text · verified 2026-10-26

5. Chile signed the ICSID Convention on 25 January 1991, incorporated it through Decreto Supremo Nº 1.304 of 1991 of the Ministerio de Relaciones Exteriores, and it entered into force on 24 October 1991. ICSID has jurisdiction over legal disputes arising directly from an investment between Chile and a national of another Contracting State only where Chile has also consented in writing, typically in a bilateral investment treaty or a free trade agreement chapter. A 2016 interministerial committee, created by Decreto Supremo Nº 125, coordinates the State's defence. The Diario Oficial of 3 September 2026 published Decreto Nº 89 of 29 April 2026, approving the settlement that ended ICSID case ARB/21/40, which had been brought under the Chile France investment treaty. Under ICSID's 2023 schedule, in effect from 1 July 2023, the party requesting arbitration or annulment pays a non refundable lodging fee of US$25,000. ICSID also charges an administrative fee of US$52,000 at registration and every year after, usually split equally between the parties.
Cost to do it: Lodging fee US$25,000, about CLP 24,664,500. Administrative charge US$52,000 a year, about CLP 51,302,160, usually US$26,000 per side. Arbitrators are paid US$500 an hour (about CLP 493,290), plus travel and per diems under ICSID's schedule, before counsel and expert costs.
Example: Over a three year case, the ICSID charges alone come to about CLP 24,664,500 for lodging plus about CLP 153,906,480 in administrative charges, before arbitrator, counsel and expert fees. / The same case costs US$25,000 for lodging plus US$156,000 in administrative charges over three years, about US$78,000 per side, before arbitrator fees at US$500 an hour per member.Decreto Supremo Nº 1.304 of 1991 (Ministerio de Relaciones Exteriores) promulgating the ICSID Convention, as recited in Decreto Nº 89 of 2026 (Diario Oficial 3 September 2026, CVE 2862930); ICSID Schedule of Fees (2023), ICSID Convention art. 25 (consent in writing), as recited in recitals 7 and 8 of Decreto Nº 89 of 2026, 1991-10-24 official text · verified 2026-10-26

6. Chile and Argentina signed a bilateral investment treaty on 2 August 1991. Chile promulgated it by Decreto Nº 1.822 of 5 December 1994, published on 27 February 1995. It entered into force one month after ratifications were exchanged on 2 December 1994. An investment dispute between a host State and an investor of the other State first goes to friendly consultations. After six months, the investor can take it either to the host State's courts or to international arbitration, including ICSID, and that choice is final (art. 10). Investors with Argentine and Chilean exposure should read the Argentine side in The Argentine Thread guide.
Cost to do it: Six months of consultations come before any claim. If ICSID is chosen, the ICSID fees in the rule above apply.
Example: An Argentine investor in a Chilean concession that sues in the Chilean courts loses the treaty arbitration route for that dispute, because the choice is final under art. 10 Nº 2. / Where a claim might reach ICSID, the US$25,000 lodging fee and US$52,000 annual charge are small next to the value of keeping the arbitration option open. Choose the forum before filing anything.Decreto Nº 1.822 of 1994 (Ministerio de Relaciones Exteriores) promulgating the Chile Argentina treaty on the reciprocal promotion and protection of investments, Treaty art. 10, 1995-02-27 official text · verified 2026-10-26

7. Limitation periods are short and run from when the obligation became due. Ordinary civil actions expire after 5 years and executive actions after 3. An executive action becomes an ordinary action after 3 years and then lasts only 2 more (Código Civil art. 2514 and 2515). The debtor's acknowledgment or a court claim interrupts the period (art. 2518). Actions on commercial obligations in Book II of the Código de Comercio expire after 4 years unless a special period applies (art. 822). A creditor holding an executive title, such as a final judgment, a public deed or a notarised promissory note, cheque or bill of exchange, can use the summary executive procedure (Código de Procedimiento Civil art. 434). The debtor then has 8 business days from service to oppose (art. 459). Since Ley Nº 20.886 of 18 December 2015, claims and filings are made electronically through the Judiciary's system (art. 5).
Cost to do it: Executive collection is the cheapest route for a debt backed by an executive title, because the court can order attachment of assets at the outset (Código de Procedimiento Civil art. 443).
Example: An unpaid invoice of CLP 49,329,000 that became due on 1 November 2026 under a commercial supply contract should be sued on before 1 November 2030 (4 years, Código de Comercio art. 822). If it is backed by a notarised pagaré, an executive claim can be filed and the debtor has 8 business days after service to oppose. / The same invoice is about US$50,000. Missing the deadline extinguishes the claim regardless of its merits.Código Civil (DFL Nº 1 of 2000, Ministerio de Justicia); Código de Comercio; Código de Procedimiento Civil; Ley Nº 20.886, Código Civil art. 2514, art. 2515 and art. 2518; Código de Comercio art. 822; Código de Procedimiento Civil art. 434 and art. 459; Ley Nº 20.886 art. 5, 2000-05-30 official text · verified 2026-10-26

Forum	Governing rules	Review of the decision	Enforcement in Chile	Enforcement abroad
International arbitration seated in Chile	Ley Nº 19.971 (UNCITRAL Model Law)	Annulment only, Court of Appeals, within 3 months (art. 34)	Directly, as a Chilean award	New York Convention in 172 States per UNCITRAL
International arbitration seated abroad	Rules of the seat; Ley Nº 19.971 art. 35 and 36 on recognition	Courts of the seat	Corte Suprema exequatur, closed refusal grounds (art. 36)	New York Convention
Domestic arbitration	Código Orgánico de Tribunales art. 222 to 243	Appeal and cassation unless waived (art. 239)	Directly	New York Convention, through the courts of the State of enforcement
Chilean courts	Código de Procedimiento Civil; electronic filing under Ley Nº 20.886	Ordinary appeals	Directly; executive procedure for executive titles (art. 434)	Depends on the State of enforcement
Foreign courts	Law of the forum	Courts of the forum	Corte Suprema exequatur under treaty, reciprocity or art. 245 conditions	Not applicable
ICSID (investor against the State)	ICSID Convention via Decreto Nº 1.304 of 1991 and the applicable treaty	ICSID annulment committee	Under the ICSID Convention	Under the ICSID Convention

Choosing a forum for a contract with a Chilean counterparty (sources in the rules above).

Worked example

A US company sells equipment worth US$500,000 (about CLP 493,290,000) to a Chilean mining contractor. It chooses arbitration seated in Santiago under Ley Nº 19.971, three arbitrators and English language proceedings. The places of business are in different States, so the arbitration is international (art. 1 Nº 3 a).
The contractor sues in a Santiago civil court instead. The US company asks the court, no later than its first submission on the merits, to refer the parties to arbitration, and the court must do so (art. 8).
The tribunal rules for the US company. The contractor has three months from receipt of the award to seek annulment at the Santiago Court of Appeals, on the closed grounds of art. 34 only. If it does not, the award is final and enforceable in Chile.
If instead the seat had been New York, the US company would file the apostilled award and clause, with certified Spanish translations, at the Corte Suprema for exequatur (Código de Procedimiento Civil art. 247; Ley Nº 19.971 art. 35). Execution would then go to the competent civil court (art. 251).

Step by step

1. In every contract with a Chilean counterparty, choose the seat, the institution, the number of arbitrators, the language and the governing law. The arbitration agreement must be in writing (Ley Nº 19.971 art. 7 and 28).
2. For domestic arbitration clauses, state whether the arbitrator decides according to law or by equity, set a time limit, and expressly waive appeal and cassation if you want a final award (Código Orgánico de Tribunales art. 223, 235 and 239).
3. Take payment security that counts as an executive title, such as a notarised pagaré or a public deed, so collection can use the executive procedure (Código de Procedimiento Civil art. 434).
4. Diarise limitation dates when each obligation falls due: 3 years for executive actions, 4 years for commercial contract actions and 5 years for ordinary civil actions (Código Civil art. 2515; Código de Comercio art. 822).
5. If sued in court despite an arbitration clause, ask for referral to arbitration in or before your first submission on the merits (Ley Nº 19.971 art. 8).
6. To enforce a foreign award or judgment, obtain an apostilled or legalised copy and a certified Spanish translation, then file for exequatur at the Corte Suprema. After it is granted, enforce before the competent first instance court (Código de Procedimiento Civil art. 247 and 251; Ley Nº 19.971 art. 35).
7. Investors with a treaty claim against the State should check which treaty applies, follow its consultation period, and choose the forum before filing anything locally (Decreto Nº 1.822 of 1994, art. 10).

Common traps

Missing the three month window: an international award seated in Chile can be annulled only if the petition is filed within three months of receipt (Ley Nº 19.971 art. 34 Nº 3).
Answering on the merits first: a party that files a merits submission before asking for referral to arbitration loses the right under art. 8 of Ley Nº 19.971.
Leaving appeal rights open by default in domestic arbitration: unless waived, appeal and cassation lie against an award of an árbitro de derecho (Código Orgánico de Tribunales art. 239).
Expecting a foreign court judgment to be enforced like an award: absent a treaty, the Corte Suprema applies reciprocity, and judgments from a State that does not enforce Chilean judgments have no force (Código de Procedimiento Civil art. 243 and 244).
Arbitrating matters that cannot be arbitrated: criminal matters and cases in which the fiscal judicial must be heard are excluded (Código Orgánico de Tribunales art. 230). Disputes between shareholders of an S.A. must be arbitrated (art. 227).
Letting an executive title go stale: after 3 years the executive action becomes an ordinary action, which lasts only 2 more years (Código Civil art. 2515).
Treating ICSID as automatic: Chile's ICSID membership is not consent. A claim needs Chile's written consent, usually in an investment treaty, and under the Chile Argentina treaty choosing local courts is final (Decreto Nº 1.822 of 1994, art. 10).
Missing employee claim deadlines on the employer side: a dismissed employee has 60 business days from separation to sue, and unjustified dismissals carry surcharges of 30 to 100 percent on severance (Código del Trabajo art. 168).

Sources

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