DOMINICAN REPUBLIC Trends and Developments Contributed by: John Seibel, Fernando Henríquez, Patricio Silvestre, Cerjossy Tapia, Yeison Henríquez and Banahí Márquez, Seibel Henríquez
the evaluation must be conducted from this more stringent international standard. A mere conflict between the content of the award and procedural or substantive rules of Dominican law does not reach the required threshold. Only violations of fundamental ethical and legal principles, such as respect for the right of defence, the prohibition of arbitrariness, or outcomes manifestly incompatible with the dignity of persons, justify the refusal of exequatur on this basis. The public policy exception is often the most debated issue in exequatur proceedings. Nevertheless, Domin- ican case law has increasingly aligned with the stand- ard of “international public policy”. This means that enforcement can only be refused if the foreign deci- sion violates the fundamental ethical and legal princi- ples of the Dominican state. Disagreements over the interpretation of substantive law or minor procedural rules do not reach the threshold necessary to invoke this exception, which ensures robust protection for foreign creditors. There are procedural grounds that may result in the rejection or stay of enforceability of foreign judgments. Law 489-08, using Article V.1 (e) of the New York Convention as its basis, provides for the refusal of recognition when the award is not yet binding on the parties, or when it has been annulled or suspended by the competent authority of the country in which, or according to whose law, it was issued. This provi- sion introduces one of the most complex issues in contemporary international arbitration, and as will be explained in the following section, case law has addressed this issue. Evolution of Case Law from the Supreme Court of Justice and Constitutional Court Recent case law has reinforced the predictability and effectiveness of the Dominican international award enforcement system. Ruling No SCJ-PS-24-1517, issued by the First Chamber of the Supreme Court of Justice in its capacity as Court of Cassation on 25 July 2024, reaffirmed the supremacy of international treaties over local procedural rules. In summary, the First Chamber established that the mere existence of an annulment proceeding in the country of origin does not affect the binding force of the foreign arbitral award, nor does it constitute a valid ground to deny
exequatur. For the ground provided in subsection (e) of Article 45 of Law 489-08 and Article V.1 (e) of the New York Convention to apply, the award must have been effectively annulled or suspended by a compe- tent authority. Based on the arbitration agreement between the parties, the mere filing of an annulment action does not produce suspensive effects or entail a review of the merits of the dispute. This ruling prohibits lower courts from imposing enforcement requirements not expressly contemplat- ed in duly ratified international agreements (the New York Convention, the Inter-American Convention on International Commercial Arbitration, and DR-CAFTA), thereby limiting the use of domestic technicalities to delay compliance with foreign awards. For its part, the Constitutional Court has defined its role as guarantor of fundamental rights in exequa- tur proceedings. Through judgment TC/1067/25, the Court established that, while it lacks the power to review the merits of the commercial dispute, it is competent to ensure that the exequatur procedure respects due process, effective judicial protection, and the right of defence enshrined in Article 69 of the Constitution. Likewise, it reaffirmed that the exequa- tur procedure is a matter of public order governed by Law 489-08, such that no agreement between private parties can derogate from it or replace it, placing pub- lic policy rules above any contractual agreement that attempts to modify that procedure. This constitutional supervision protects the integrity of the Dominican legal system without compromising the autonomy of arbitration. Perspectives on the Enforcement System The Dominican Republic has consolidated a frame- work for the recognition and enforcement of foreign decisions characterised by its maturity and progres- sive alignment with international standards. The con- vergence of a Constitution that grants supra-legal status to international treaties, modern arbitration legislation modelled on the UNCITRAL Model Law, and a comprehensive treaty framework, including the New York Convention, the Panama Convention, and DR-CAFTA, has created a legally favourable environ- ment for the resolution of cross-border disputes and the protection of foreign investment.
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