Nowadays international arbitration is the system for resolution of international trade disputes most frequently used in the world considering the complexity of cross-border business means that experts in the area must resolve conflicts arising from transactions in the shortest time possible.
Thanks to the publication in September 2004 of the Chilean International Commercial Arbitration Law (N° 19.971) based on the Model Law on International Commercial Arbitration of the United Nations Commission on International Trade Law (UNCITRAL), CAM Santiago launched in 2006 an international arbitration service.
International arbitration allows the parties to choose a “tailored” method of resolution, which translates into the possibility of choosing the governing law, the language in which the demand will be heard, and the location of arbitration, among other aspects.
International Arbitration through CAM Santiago offers:
- Rules of procedure in international arbitration: CAM Santiago international commercial arbitration rules are based on recognized international standards and govern the different stages of the procedure. Nonetheless, the autonomy of the parties will prevail if they modify by mutual consent matters as the place of arbitration, number of arbitrators, language and applicable law, among others.
- Celerity: CAM Santiago rules limit the period within which international arbitration must conclude in order to give the parties the necessary celerity in their dispute resolution.
- Confidentiality: Parties are guaranteed absolute privacy in international arbitration before CAM Santiago. The organization commits not to disclose the names of individuals and enterprises using its service.
- Fee system: The arbitral fees and administrative costs associated with international arbitration by CAM Santiago are calculated according to a pre-set fee schedule that bears a direct relationship to the amount of the dispute and may be considered by the parties at the time they negotiate their arbitration agreement.
- Binding and final arbitral award: Arbitral awards are binding upon the parties and can only be annulled for specific reasons, established by the legislation on international arbitration in effect in the state where the arbitration took place. In the case of being Chile the seat for an international arbitration, the annulment of the award will be governed by article 34 of Law N°19.971.
- International recognition of international arbitral awards: International arbitral awards are fully recognized and enforceable throughout the world under the U.N. Convention on the Recognition and Enforcement of Foreign Arbitral Awards (“New York Convention”) that has been ratified by more than 140 countries and the Inter-American Convention on International Commercial Arbitration (Panama Convention).