Countries › Peru › Guide › 14. Disputes › Courts, arbitration and enforcement in Peru: the arbitration law, annulment, foreign awards and judgments, the New York Convention and ICSID

Courts, arbitration and enforcement in Peru: the arbitration law, annulment, foreign awards and judgments, the New York Convention and ICSID

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Last verified: 2026-10-28 · Status: Stable

The Constitution recognises arbitration as a jurisdiction alongside the courts, and Decreto Legislativo Nº 1071 (in force since 1 September 2008) governs every arbitration seated in Peru. It keeps judges out of pending cases, and an award can only be challenged by annulment on listed grounds, filed with the Superior Court within 20 business days. Foreign awards are recognised by the Superior Court under the New York Convention (in force for Peru since 5 October 1988, with no reservations), the Panama Convention or, absent a treaty, the same law. Peru has been an ICSID Contracting State since 8 September 1993, and the Constitution lets the State arbitrate contract disputes nationally or internationally. Foreign court judgments need exequatur under the Civil Code, which applies reciprocity and eight conditions. Arbitrations with the State follow stricter rules added in 2020: institutional arbitration above 10 UIT, bank bond countersecurity and public awards.

USD figures use S/ 3.452 per US dollar, the banking system selling rate published by the Superintendencia de Banca, Seguros y AFP for 27 October 2026, from the Banco Central de Reserva del Perú statistics series PD04640PD. UIT amounts use the 2026 UIT of S/ 5,500 set by Decreto Supremo Nº 301-2025-EF, as cited in SUNAT Resolución de Superintendencia Nº 000016-2026/SUNAT. Conversions are for orientation only.

Key facts

Arbitration statute	Decreto Legislativo Nº 1071 (in force 1 September 2008; amended by DL 1231 and DU 020-2020) textDL Nº 1071, Tercera Disposición Final, as of 2026-10-28 · in force
Deadline to file annulment of an award	20 business daysDL Nº 1071 art. 64.1 and 12 c), as of 2026-10-28 · in force
Court hearing annulment	Sala Civil Subespecializada en lo Comercial (or Sala Civil) of the Superior Court of the seat textDL Nº 1071 art. 8.4, as of 2026-10-28 · in force
Annulment can be waived	Yes, if no party is Peruvian or domiciled, habitually resident or principally active in Peru textDL Nº 1071 art. 63.8, as of 2026-10-28 · in force
Annulment suspends enforcement	No, only with a guarantee (bank guarantee for the full award by default) textDL Nº 1071 art. 66, as of 2026-10-28 · in force
Time to pay after an award enforcement order	5 business daysDL Nº 1071 art. 68.2, as of 2026-10-28 · in force
Maximum amount for ad hoc arbitration with the State	10 UITDL Nº 1071 art. 7.5 (DU Nº 020-2020), as of 2026-10-28 · in force
Abandonment of a State arbitration without activity	4 monthsDL Nº 1071 art. 50-A (DU Nº 020-2020), as of 2026-10-28 · in force
Court recognising foreign awards	Sala Civil Subespecializada en lo Comercial (or Sala Civil) of the Superior Court of the respondent's domicile or where its assets are textDL Nº 1071 art. 8.5, as of 2026-10-28 · in force
New York Convention party	Yes textUNCITRAL status table, as of 2026-10-28 · in force
New York Convention entry into force	1988-10-05 dateUNCITRAL status table (accession 7 July 1988), as of 2026-10-28 · in force
New York Convention entry into force	1988-10-05 dateUNCITRAL status table, as of 2026-10-28 · in force
New York Convention reservations	None textUNCITRAL status table, as of 2026-10-28 · in force
ICSID Contracting State	Yes, in force since 8 September 1993 textICSID/3 (17 July 2026), as of 2026-10-28 · in force
ICSID Convention entry into force	1993-09-08 dateICSID/3 (17 July 2026), as of 2026-10-28 · in force
Reciprocity required for foreign judgments	Yes, unless a treaty applies textCódigo Civil art. 2102 to 2104, as of 2026-10-28 · in force
General limitation period for personal actions	10 yearsCódigo Civil art. 2001.1, as of 2026-10-28 · in force
Limitation period for tort damages	2 yearsCódigo Civil art. 2001.4 (Ley Nº 30179), as of 2026-10-28 · in force
Unidad Impositiva Tributaria 2026	5,500 PENDS Nº 301-2025-EF, as of 2026-10-28 · in force
SBS banking system selling rate, 27 October 2026	3.452 PEN per USDBCRP series PD04640PD, as of 2026-10-28 · in force

The rule

1. Arbitration is one of only two jurisdictions (with the military one) that the Constitution allows outside the Judiciary. The State and other public law entities may submit disputes arising from contracts to tribunals set up under treaties in force, or to national or international arbitration as provided by law. Contracts of the State with domiciled foreigners must contain submission to Peruvian law and courts and a waiver of diplomatic claims, but financial contracts can be exempted from national jurisdiction.
Cost to do it: No cost in itself; it is the constitutional basis that lets investors agree on arbitration, including with the State.
Example: A concession contract between a ministry and a Peruvian subsidiary of a foreign group can validly refer disputes to international arbitration seated in Lima. / A US$50 million supply contract with a State owned company can choose arbitration instead of the Peruvian courts, because art. 63 expressly allows it.Constitución Política del Perú de 1993, Art. 63 and art. 139.1, 1993-12-30 official text · verified 2026-10-28

2. DL 1071 applies to every arbitration seated in Peru, national or international, and applies only as a default where treaties or special laws (for example public procurement rules) contain their own arbitration provisions. Disputes over matters freely disposable at law can be arbitrated. A State or State controlled company in an international arbitration cannot invoke its own law to escape the arbitration agreement. The agreement must be in writing, which includes email and an exchange of claim and defence where one side alleges it and the other does not deny it. It also binds non signatories whose active and decisive role in the negotiation, execution or termination of the contract shows consent. Unless the articles say otherwise, the general manager can sign arbitration agreements by virtue of the appointment alone. Days in the law are business days.
Cost to do it: No registration or stamp duty applies to the arbitration clause; the cost is drafting it (seat, rules, institution, number of arbitrators, language) with counsel when the contract is negotiated.
Example: A Lima distributor's general manager signs a contract with an arbitration clause by email exchange: the clause is valid in writing and binds the company without a board resolution, unless its articles restrict that power. / A US$5 million services contract between a Delaware company and a Peruvian buyer domiciled in different States is an international arbitration under art. 5, so the more favourable rules on international arbitration apply.Decreto Legislativo Nº 1071, Decreto Legislativo que norma el arbitraje (El Peruano, 28 June 2008; in force 1 September 2008), Art. 1, 2, 4, 5, 10, 12 c), 13 and 14, 2008-06-28 official text · verified 2026-10-28

3. Courts may not intervene in arbitrations except where the law allows, and only annulment can undo an award. A court action on an arbitrable matter is met with the arbitration agreement defence, and the arbitration can continue while that defence is pending. Courts assist with evidence and interim measures (the judge of the seat or of where the measure is to be enforced). Enforcement goes to the commercial or civil judge of the seat or of where the award must take effect. Annulment goes to the commercial civil chamber of the Superior Court of the seat. Recognition of foreign awards goes to the Superior Court of the respondent's domicile or, failing that, where its assets are. Filings with Peruvian courts must be in Spanish; documents issued abroad must be authenticated under the law of their country of origin and certified by a Peruvian diplomatic or consular agent, and those not in Spanish need a translation.
Cost to do it: Translation and legalisation of foreign documents is the main out of pocket cost for court assisted steps; the law sets no fixed fee.
Example: If a Peruvian counterparty sues in a Lima court despite an arbitration clause, the respondent raises the arbitration agreement defence within the procedural term, and the tribunal may continue meanwhile. / A foreign claimant seeking an asset freeze in Arequipa before the tribunal is constituted asks the judge where the measure is to be enforced, under art. 8.2.Decreto Legislativo Nº 1071, Decreto Legislativo que norma el arbitraje (El Peruano, 28 June 2008; in force 1 September 2008), Art. 3, 8, 9 and 16, 2008-06-28 official text · verified 2026-10-28

4. Awards are final and binding from notification and have res judicata effect. The only recourse is annulment, which must be filed with the competent Superior Court within 20 business days of notification of the award or of the last decision on correction or interpretation. The grounds are listed: an invalid agreement, lack of notice or inability to present the case, a tribunal or procedure contrary to the agreement, a decision beyond the submission, a non arbitrable matter, public policy in international cases, or an award out of time. The first four only count if they were raised before the tribunal. The court cannot review the merits or the reasoning. Where no party is Peruvian or domiciled, habitually resident or principally active in Peru, the parties may expressly waive annulment or limit its grounds. The court rules on admission within 10 business days, gives the other side 20 business days, holds the hearing within 20 and decides within 20 more. Cassation to the Supreme Court is only available where the award was annulled in whole or in part.
Cost to do it: The statutory steps add up to about 70 business days from filing to decision if the court keeps to its terms, plus the guarantee in the next rule if the losing party wants to stop enforcement.
Example: An award notified on Monday 2 November 2026 must be challenged within 20 business days, so by early December 2026 once public holidays are counted, or it becomes unchallengeable. / Two foreign investors arbitrating a US$30 million shareholder dispute in Lima, neither of them Peruvian or active in Peru, can waive annulment in the clause and go straight to enforcement.Decreto Legislativo Nº 1071, Decreto Legislativo que norma el arbitraje (El Peruano, 28 June 2008; in force 1 September 2008), Art. 59, 62, 63 and 64, 2008-06-28 official text · verified 2026-10-28

5. Filing for annulment does not suspend the award. The award debtor only obtains a suspension by giving the guarantee agreed by the parties or the institution's rules or, failing that, a joint, unconditional, automatically payable bank guarantee for the full amount of the award, valid for at least six months and renewed while the challenge lasts. If annulment is rejected, the court hands the guarantee to the winning party. Enforcement is requested from the competent judge with a copy of the award. The judge orders payment within 5 business days under penalty of forced execution, and the debtor can only object by proving payment or a suspension. Judges may not admit appeals that obstruct enforcement.
Cost to do it: Bank guarantee fees on 100 percent of the award for as long as the annulment lasts; the commission is set by the issuing bank.
Example: To suspend an award of S/ 3,452,000, the debtor must post a bank guarantee of S/ 3,452,000, renewed every six months while the Superior Court decides. / An award of US$1,000,000 requires a US$1,000,000 equivalent bank guarantee to stop enforcement; otherwise the creditor can demand payment within 5 business days of the enforcement order.Decreto Legislativo Nº 1071, Decreto Legislativo que norma el arbitraje (El Peruano, 28 June 2008; in force 1 September 2008), Art. 66 and art. 68, 2008-06-28 official text · verified 2026-10-28

6. Where the Peruvian State is a party, stricter rules apply. Arbitration must be institutional, and ad hoc is only allowed where the amount in dispute does not exceed 10 UIT. It must be decided at law, except that technical disputes in public private partnership projects may go to equity arbitration. If the State is affected by an interim measure, the claimant must give a joint, unconditional, automatically payable bank or patrimonial bond for no less than the performance guarantee. A State arbitration is declared abandoned after four months without any step that moves it forward. After the case ends, the proceedings and the award are public. No fines or similar penalties may be imposed in the award. After an annulment on lack of notice, either side may replace its arbitrator.
Cost to do it: Countersecurity for interim measures against the State at no less than the contract's performance guarantee (usually a percentage of the contract price set in the contract), plus institutional fees, which are mandatory above 10 UIT.
Example: 10 UIT is S/ 55,000 at the 2026 UIT, so a claim against a municipality for S/ 200,000 must go to an arbitral institution, not an ad hoc tribunal. / The ad hoc ceiling is about US$15,930; any larger claim against a Peruvian public entity needs an arbitral institution.Decreto de Urgencia Nº 020-2020, que modifica el Decreto Legislativo Nº 1071 (El Peruano, 24 January 2020), Art. 2 (DL 1071 art. 7.5, 8.2, 21, 29 e), 50-A, 51.3, 56.2 and 65.1 b)), 2020-01-24 official text · verified 2026-10-28 · changed: Decreto de Urgencia Nº 020-2020 (24 January 2020) added the State party rules to DL 1071: institutional arbitration above 10 UIT, bank bond countersecurity against the State, four month abandonment, publicity of awards and a ban on fines.

7. Awards made outside Peru are foreign awards. They are recognised and enforced under the New York Convention (Peru acceded on 7 July 1988 and it entered into force on 5 October 1988, with no declarations or reservations), the Panama Inter American Convention of 30 January 1975, or any other treaty, and the treaty most favourable to the applicant applies. Without a treaty, DL 1071 applies, and it lists the same refusal grounds as the Convention. Where DL 1071 is more favourable, the applicant can rely on it under Convention art. VII. The original or a copy of the award is filed with the Superior Court in a non contentious procedure; the other side has 20 business days to answer and the court rules within 20 business days of the hearing. Cassation is only available against a refusal. Once recognised, the award is enforced like a domestic award.
Cost to do it: Translation into Spanish and legalisation or apostille of the award and the agreement, plus local counsel; the law sets no court fee schedule.
Example: A Miami ICC award against a Lima company is filed with the Superior Court of Lima; the debtor has 20 business days to object, and the grounds are only those of art. 75. / A US$2 million award from a New York seat is recognised under the Convention without any reciprocity or commercial reservation, because Peru made none.Decreto Legislativo Nº 1071, Decreto Legislativo que norma el arbitraje (El Peruano, 28 June 2008; in force 1 September 2008); New York Convention of 10 June 1958 (UNCITRAL status table), DL 1071 art. 74, 75, 76, 77 and 78, 2008-06-28 official text · verified 2026-10-28

8. Peru signed the ICSID Convention on 4 September 1991, deposited its ratification on 9 August 1993, and the Convention entered into force for Peru on 8 September 1993. Investors from countries with an investment treaty or contract that gives ICSID consent can bring claims against the State; ICSID awards are binding and enforced as if they were final judgments of the courts of each Contracting State.
Cost to do it: ICSID claims carry the Centre's lodging fee and administrative charges plus tribunal fees, in US dollars, under the ICSID schedule of fees in force at filing.
Example: A Peruvian subsidiary's parent with treaty protection can bring a claim against the State over measures affecting its investment, in addition to any contract arbitration the subsidiary has. / A US$100 million investment protected by a treaty with ICSID consent can be defended through ICSID, and the award binds Peru like a final local judgment.Convention on the Settlement of Investment Disputes between States and Nationals of Other States (Washington, 18 March 1965); ICSID/3 list of Contracting States as of 17 July 2026, Convention art. 25, 53 and 54; ICSID/3 entry for Peru, 1993-09-08 official text · verified 2026-10-28

9. Foreign court judgments have the force given by treaty. Without a treaty, they get the same force the country of origin gives Peruvian judgments, and none if that country does not enforce Peruvian judgments or reviews them on the merits. To be recognised they must also not decide matters of exclusive Peruvian jurisdiction, come from a court competent under its own private international law rules, follow proper service with a reasonable time and guarantees to defend, be res judicata, not clash with an earlier Peruvian case or an earlier recognisable judgment, respect public policy and good morals, and the applicant must prove reciprocity. The request needs the full judgment, legalised and officially translated into Spanish. Once declared enforceable, the judgment has the same force as a Peruvian one. Legalised foreign judgments are evidence without exequatur, and arbitral awards are governed only by the arbitration law.
Cost to do it: Official translation of the full judgment, legalisation or apostille, proof of the foreign law on reciprocity, and local counsel for the exequatur procedure.
Example: A New York money judgment against a Peruvian debtor must first pass exequatur; the creditor has to show that New York courts enforce Peruvian judgments without reviewing their merits. / For a US$500,000 claim, choosing arbitration in the contract avoids the reciprocity proof that a foreign court judgment would need.Código Civil, Decreto Legislativo Nº 295 (Libro X, Título IV), MINJUS official edition of August 2014 (published 25 July 1984; in force 14 November 1984), Art. 2102, 2103, 2104, 2106, 2107, 2108, 2109, 2110 and 2111, 1984-07-25 official text · verified 2026-10-28

10. Limitation periods can only be set by law. Unless a law provides otherwise, personal actions (including contract claims), real actions, actions to enforce a final judgment and actions for nullity of a legal act lapse after ten years. Actions for voidability, revocatory actions, tort damages and claims against representatives of incapable persons lapse after two years, under the inciso as amended in 2014. The limitation of personal actions is governed by the law that governs the obligation.
Cost to do it: No cost; missing the period loses the claim.
Example: An unpaid contract debt of S/ 100,000 falling due in November 2026 is a personal action, so the general ten year period applies unless a special law sets another one. / A US$29,000 tort claim (about S/ 100,000) for damage caused outside a contract must be brought within two years.Código Civil, Decreto Legislativo Nº 295, as amended by Ley Nº 30179 (El Peruano, 6 April 2014), Art. 2000, 2001 (incisos 1 and 4) and 2099, 2014-04-06 official text · verified 2026-10-28 · changed: Ley Nº 30179 (6 April 2014) amended art. 2001 inciso 4 and added the alimony period; the ten year rule for personal actions is unchanged.

Route	Legal basis	Competent body	Key deadlines	Review available	Cost markers
Arbitration seated in Peru	DL Nº 1071	Tribunal; courts only for support, annulment and enforcement	Annulment within 20 days; payment within 5 days of the enforcement order	Annulment on listed grounds; cassation only if annulled	Arbitrator and institution fees; bank guarantee for the full award to suspend
Arbitration with the Peruvian State	DL Nº 1071 as amended by DU Nº 020-2020; Constitution art. 63	Arbitral institution (ad hoc only up to 10 UIT)	Abandonment after 4 months without activity	As above; award public after the case ends	Bond against interim measures, at least the performance guarantee
Foreign arbitral award	New York and Panama Conventions; DL Nº 1071 art. 74 to 78	Superior Court of the respondent's domicile or assets	Answer within 20 days; decision within 20 days of the hearing	Cassation only against refusal	Translation, authentication of foreign documents, counsel
Investment treaty claim	ICSID Convention (in force for Peru 8 September 1993)	ICSID tribunal	Under the treaty and ICSID rules	ICSID annulment committee only	ICSID lodging fee and charges in US dollars
Foreign court judgment	Código Civil art. 2102 to 2111	Peruvian court via exequatur	Under the procedural code	Under the procedural code	Official translation, legalisation, proof of reciprocity

Peru dispute routes at a glance (business days unless stated)

Worked example

A US company wins a US$1,000,000 (S/ 3,452,000) award in an arbitration seated in Lima against a Peruvian buyer. It asks the commercial judge of Lima for enforcement with a copy of the award; the judge orders payment within 5 business days. The buyer files for annulment within 20 business days but, to stop enforcement, must post a bank guarantee for the full S/ 3,452,000, valid for six months and renewable. If the Superior Court rejects annulment, the guarantee goes to the US company; cassation is not available against a rejection.
The same company also has a US$1,000,000 judgment from a New York court against another Peruvian debtor. To enforce it in Peru it needs exequatur: an officially translated and duly legalised copy of the full judgment, proof that it is final, that the debtor was properly served, and that New York courts enforce Peruvian judgments without reviewing their merits. An award would have avoided the reciprocity test, because Peru applies the New York Convention without reservations.

Step by step

When drafting, choose arbitration with a seat, institution, rules, number of arbitrators and language; if no party is Peruvian or active in Peru and you want finality, consider an express waiver of annulment under art. 63.8 of DL Nº 1071.
If a counterparty sues in court despite the clause, raise the arbitration agreement defence within the term of the court procedure (art. 16); the arbitration can go on meanwhile.
For urgent protection before the tribunal is formed, ask the judge where the measure must be enforced (art. 8.2); against the State, budget a bank bond at least equal to the performance guarantee.
On receiving an award, diary 15 business days for correction or interpretation requests (art. 58) and 20 business days for annulment (art. 64); if you are the debtor and want to suspend enforcement, line up a bank guarantee for the full amount.
To enforce a foreign award, file the award (authenticated as art. 9 of DL Nº 1071 requires and translated into Spanish) with the Superior Court of the debtor's domicile or asset location, then enforce the recognised award before the competent judge (art. 76 and 77).
To enforce a foreign judgment, collect the full judgment, proof of finality and service, an official Spanish translation and evidence of reciprocity before filing for exequatur (Civil Code art. 2104 and 2107).

Common traps

Annulment grounds a to d of art. 63.1 are lost if they were not raised before the tribunal at the time, so object in the arbitration, not afterwards.
Filing annulment does not suspend the award; without a full value bank guarantee the creditor can enforce while the challenge runs.
Arbitrations with the Peruvian State follow special rules: ad hoc is only allowed up to 10 UIT (S/ 55,000 in 2026), the award becomes public, and four months of inactivity ends the case and bars refiling for six months.
Special laws, notably public procurement and public private partnership rules, can override DL Nº 1071, which then applies only as a default; check the special regime before relying on general rules.
Foreign court judgments face a reciprocity test and can be refused if the foreign country reviews Peruvian judgments on the merits; arbitration avoids that risk.
Under art. 63 of the Constitution, State contracts with domiciled foreigners carry submission to Peruvian law and courts unless the dispute goes to a treaty tribunal or to arbitration as the law provides, or the contract is financial; so put an express arbitration clause in any State contract.

Sources

← Environmental enforcement in Peru: OEFA supervision, strict liability, corrective measures and fines up to 30,000 UITCommercial arbitration in Peru: tribunal, challenges, interim measures, confidentiality, awards and costs under Decreto Legislativo Nº 1071 →

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