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14. Disputes: Paraguay

Argentina. For full detail on Argentina, go to The Argentine Thread.

Disputes in Paraguay: how arbitration works under the new Ley 7561/2025, how domestic awards are annulled or enforced, how foreign arbitral awards and foreign court judgments are recognized, what the New York Convention, ICSID and the Mercosur arbitration agreement mean for investors, and what litigation costs under the loser pays rule and the statutory lawyer fee scale, each tied to the official text. For counterparties in Argentina, the regional and New York Convention routes are described here at a high level; the Argentine side is in The Argentine Thread guide.

Investor view. A modern arbitration law that keeps courts out of pending cases, single instance annulment and recognition with no appeal, and New York Convention membership without reservations give investors in Paraguay a fast, predictable route to enforce their contracts.

Courts, arbitration and enforcement in Paraguay: the 2025 arbitration law, foreign awards and judgments, the New York Convention and ICSIDParaguay replaced its 2002 arbitration law with Ley 7561/2025, a statute published on 23 December 2025 that bars courts from suspending arbitrations, sends annulment and foreign award recognition stra