1. What is the current legal landscape for International Arbitration in your jurisdiction?

The current legal landscape for International Arbitration in our jurisdiction is marked by a strong commitment to upholding the principles of party autonomy, procedural flexibility, and the enforceability of arbitral awards.

Ecuadorian courts generally adopt a supportive and respectful approach toward arbitration, recognizing it as a constitutionally protected mechanism for dispute resolution, as stated in article 190 of the Constitution of Ecuador. However, it is important to note that Article 422 prohibits the ceding of sovereign jurisdiction to international arbitration bodies in contractual or commercial disputes between the State and private parties, although a constitutional reform is underway that could eliminate this restriction

The Arbitration and Mediation Law (“AML”) enacted in 1997, governs all arbitration proceedings seated in Ecuador, both domestic and international arbitrations. AML determines that arbitration is international if: (i) there is a treaty to which Ecuador is a signatory, or (ii) in the absence of a treaty, if the parties have agreed that it is so, and if one of the following mandatory requirements is satisfied:

• the parties have their domicile in different states at the time of execution of the arbitration agreement.
• the award has to be executed in a different state to which one of the parties has its domicile; or
• the dispute is related to a cross-border or foreign trade transaction.

In other words, if there is no treaty (ie, a bilateral investment treaty) the determination of an arbitration as international requires the contract or subject matter to have a point of connection with a foreign jurisdiction or a case of conflict of laws.

Nevertheless, as provided by the AML, an award resulting from an international arbitration will have the same effect and will be enforceable in Ecuador in the same way as a domestic award.

While the AML is inspired by the UNCITRAL Model Law, it also contains unique provisions, including, for instance, the grounds for the annulment of an award and the method of recognition and enforcement of international arbitration awards, which is governed by the procedural law (COGEP).

On 26 August 2021, the AML Regulations were introduced to clarify and reinforce the AML’s provisions. These regulations align with several principles of the UNCITRAL Model Law, particularly regarding (i) party autonomy in procedural matters, (ii) interim relief granted by arbitral tribunals, and (iii) recognition and enforcement of awards without the need for homologation.

Institutional arbitration is increasingly prevalent, with several reputable arbitral institutions operating locally and regionally, such as those of the Chambers of Commerce of Quito and Guayaquil or the International Arbitration and Mediation Center (CIAM). These institutions offer comprehensive rules, experienced case managers, and access to panels of arbitrators with diverse expertise.

Furthermore, our jurisdiction is a signatory to the main international instruments on international arbitration since the early 20th century as follows:

• 1928 Havana Convention on Private International Law;
• 1958 United Nations Convention on Recognition and Enforcement of Foreign Arbitral Awards (‘New York Convention’) (on 19 August 1961);
• 1966 International Convention on Settlement of Investment Disputes between States and Nationals of other States (‘Washington Convention’) although on 6 July 2009 Ecuador denounced the Convention and such denunciation and withdrawal became effective on 10 January 2010;
• 1975 Inter-American Convention on International Commercial Arbitration (‘Panama Convention’) (on 6 August 1991);
• 1979 Inter-American Convention on Extraterritorial Validity of Foreign Judgments and Arbitral Awards (‘Montevideo Convention’) (on 11 May 1982); and,
• Convention on the Settlement of Investment Disputes between States and Nationals of Other States (ICSID Convention). It is important to note that Ecuador withdrew from ICSID Convention in July 2009, with the withdrawal taking effect in January 2010. However, in a shift in policy, Ecuador rejoined the ICSID Convention in June 2021.

As stated before, the judiciary in our jurisdiction is generally supportive of arbitration. Courts respect the principle of minimal intervention, intervening only in limited circumstances as prescribed by law, such as in matters of interim relief, appointment or challenge of arbitrators, and enforcement or annulment of awards. Recent case law has reinforced the finality of arbitral awards, with courts consistently upholding the principle that awards should only be set aside on narrow grounds, such as lack of due process, excess of mandate, or violation of public policy.

In recent years, there has been a noticeable increase in the use of arbitration in sectors such as construction, mining, energy and technology. The legal community, including law firms, arbitral institutions, and the judiciary, continues to invest in training and capacity-building to ensure that the arbitration ecosystem remains robust and responsive to the evolving needs of international commerce.

2. What three essential pieces of advice would you give to clients involved in International Arbitration matters?

a) Prioritize the drafting of a clear and comprehensive arbitration agreement. The arbitration agreement is the foundation of any arbitral process, so clients should ensure that the agreement specifies the seat of arbitration, the applicable law, the language of proceedings, and the arbitral institution (if any). Ambiguities or omissions in the arbitration clause can lead to costly and time-consuming jurisdictional disputes, or even render the agreement unenforceable. It is advisable to seek legal counsel when drafting or reviewing arbitration clauses, particularly in complex or high-value transactions.

b) Select arbitrators with the right expertise and independence. The choice of arbitrators can significantly influence the outcome of the dispute. In this sense, clients should consider not only the technical and legal expertise of potential arbitrators but also their experience in international proceedings, familiarity with the relevant industry, and reputation for impartiality. Many arbitral institutions provide lists or panels of qualified arbitrators, but parties may also propose their own candidates; for which conducting due diligence on potential arbitrators, including reviewing their prior awards and publications, can help ensure a fair and effective tribunal.

c) Maintain meticulous records and proactive case management. From the outset of a dispute, clients should keep comprehensive records of all relevant communications, contracts, and evidence. This documentation will be critical not only during the arbitration itself but also in any subsequent enforcement or challenge proceedings. Proactive case management, including early identification of key issues, timely submission of evidence, and clear communication with counsel, can help streamline the process and avoid unnecessary delays or surprises.

In addition to these core recommendations, clients should be aware of the importance of cost management, the potential for interim relief, and the need to consider enforcement strategies at an early stage. Engaging experienced counsel with a track record in international arbitration can provide invaluable guidance throughout the process.

3. What are the greatest threats and opportunities in International Arbitration law in the next 12 months?

Threats:

One of the most significant threats facing international arbitration is the rising complexity and cost of proceedings. As arbitrations become more document-intensive and parties increasingly rely on extensive expert evidence, the time and expense involved can rival or exceed those of traditional litigation. This trend risks undermining one of the key advantages of arbitration—its efficiency and cost-effectiveness.

Geopolitical tensions and the proliferation of sanctions regimes present another challenge, as parties from certain jurisdictions may face difficulties in appointing arbitrators, transferring funds, or enforcing awards due to international sanctions or political instability. This can affect the perceived neutrality and reliability of certain arbitral seats and institutions.

Finally, concerns surrounding transparency and legitimacy, particularly within the context of investor–state dispute settlement (ISDS), continue to provoke intense debate. Critics argue that the traditionally confidential nature of arbitration proceedings is ill-suited to disputes involving public interests and state measures, where transparency is essential to ensuring democratic accountability and public trust. Calls for greater openness, publication of awards, and third-party participation are prompting reforms, but also creating uncertainty about the future direction of the field.

Opportunities:

On the positive side, technological innovation, particularly artificial intelligence, is creating new opportunities to enhance the efficiency and accessibility of arbitration. The widespread adoption of virtual hearings, electronic document management, and online case platforms has accelerated in response to the COVID-19 pandemic and is now becoming standard practice. These tools reduce costs, increase flexibility, and enable parties and arbitrators from around the world to participate without the need for travel.

There is also a growing emphasis on diversity and inclusion in the appointment of arbitrators, with institutions and parties increasingly seeking to broaden the pool of arbitrators in terms of gender, ethnicity, and professional background. This trend enhances the legitimacy and quality of arbitral decision-making.

Furthermore, the continued expansion of arbitration into new sectors—such as technology, data privacy, and environmental disputes—offers opportunities for practitioners and clients alike. As businesses become more global and complex, the demand for specialized dispute resolution mechanisms will only increase.

Finally, the current wave of institutional and regulatory reform represents another key opportunity. Efforts by bodies such as UNCITRAL, ICSID, and leading arbitral institutions to modernize procedural rules, promote transparency, and harmonize standards across jurisdictions are helping to make arbitration more predictable, accountable, and user-friendly. These initiatives strengthen confidence in the arbitral process and ensure that international arbitration remains at the forefront of global dispute resolution in an evolving geopolitical and economic landscape.

In summary, while international arbitration faces challenges related to cost, complexity, and legitimacy, it is also evolving rapidly to meet the needs of a changing global economy. Clients who stay informed and adapt to these developments will be well-positioned to benefit from the opportunities that lie ahead.

4. How do you ensure high client satisfaction levels are maintained by your practice?

Maintaining high client satisfaction is a core value of our practice and is achieved through a combination of strategic advice, transparent communication, and a commitment to excellence at every stage of the arbitration process.

Strategic and tailored advice:

We begin by understanding each client’s business objectives and the specific context of their dispute, which allows us to develop a tailored strategy that aligns with the client’s goals, whether that means seeking a swift settlement, pursuing a full hearing, or focusing on enforcement. We provide clear, practical advice on the strengths and weaknesses of the case, the likely costs and timelines, and the potential risks and outcomes.

Transparent and regular communication:

We prioritize open and regular communication with our clients, providing timely updates on case developments, explaining procedural steps, and being available to answer questions or address concerns. We use secure digital platforms to share documents and information, ensuring that clients have real-time access to their case files.

Cost-effective solutions:

We are committed to delivering value for money, meaning that we provide realistic cost estimates at the outset, offering alternative fee arrangements where appropriate, and avoiding unnecessary work or duplication of effort. We believe that transparency in billing builds trust and helps clients manage their budgets effectively.

Proactive case management:

Our team employs proactive case management techniques to ensure that each arbitration proceeds efficiently and strategically, including the early identification of key legal and factual issues, meticulous organization of evidence, and the integration of technology to streamline procedural workflows. We collaborate closely with clients to prepare thoroughly for hearings, select and brief expert witnesses, and craft persuasive arguments tailored to the tribunal and the applicable legal framework. By anticipating challenges and maintaining procedural discipline, we help clients stay ahead of the curve and maximize their position throughout the arbitration process.

Post-award support and long-term relationship building:

Client satisfaction does not end with the issuance of an arbitral award, which means we provide comprehensive post-award support, including the development and execution of enforcement strategies across jurisdictions. Our team monitors compliance with the award, advises on potential challenges or annulment proceedings, and conducts post-arbitration risk assessments to mitigate future exposure. Maintaining a proactive and collaborative approach ensure that clients not only secure favourable outcomes but also realize their value in practice. This long-term commitment positions us as a trusted advisor beyond the resolution of a single dispute.

By combining these elements, we strive to exceed client expectations and maintain our reputation as a leading practice in international arbitration.

5. What technological advancements are reshaping International Arbitration law and how can clients benefit from them?

Technological advancements are fundamentally transforming the practice of international arbitration, making it more efficient, accessible, and secure. The most significant developments include:

• Artificial intelligence and data analytics: Artificial intelligence is significantly reshaping international arbitration by enhancing efficiency, accuracy, and strategic insight. AI-powered tools streamline document review, automate legal research, and analyse vast datasets to identify patterns in arbitral awards. These technologies also support predictive analytics, helping clients assess the likelihood of success and make informed decisions. While AI does not replace human judgment, it empowers legal teams to prepare cases more effectively, reduce costs, and respond swiftly to complex procedural demands—ultimately improving the quality and speed of arbitration outcomes.
• Virtual hearings and remote participation: The adoption of virtual hearings has become widespread, allowing parties, arbitrators, and witnesses to participate from anywhere in the world. This reduces travel costs, minimizes scheduling conflicts, and enables greater flexibility in organizing proceedings. Virtual hearings also make it easier to involve experts and interpreters as needed.
• Electronic document management: Secure online platforms for document exchange and case management have streamlined the handling of evidence and submissions. These platforms enable parties to upload, organize, and access documents in real time, reducing the risk of lost or misplaced evidence. Moreover, E-discovery tools, powered by artificial intelligence, can quickly identify relevant documents from large data sets, saving time and reducing costs.
• Cybersecurity and data protection: With the increased use of digital platforms comes the need for robust cybersecurity measures. Arbitral institutions and law firms are investing in secure communication channels, encryption, and data protection protocols to safeguard sensitive information.

Clients benefit from these technological advancements through reduced costs, faster resolution of disputes, and greater convenience. The ability to participate remotely and access case information online makes arbitration more accessible, particularly for clients with global operations. Enhanced data security and the use of AI tools also contribute to more effective and informed decision-making.

In conclusion, technology is reshaping international arbitration in ways that enhance efficiency, transparency, and client satisfaction. By embracing these innovations, clients can achieve better outcomes and maximize the value of the arbitration process.