ECUADOR Law and Practice Contributed by: Oswaldo Santos Dávalos and Bernarda Haro Aillón, Santos Burbano de Lara
1. General 1.1 Prevalence of Arbitration
In 2025, five international arbitrations concluded with an outcome favourable to the state. The PGE reported that, taken together, those outcomes avoided 94% of the total amount claimed. 1.3 Arbitration Institutions In disputes involving the state, the International Cen - tre for Settlement of Investment Disputes (ICSID) predominates in investment matters, and the Inter - national Chamber of Commerce (ICC) in international commercial arbitration. Domestically, the most active centres are the Arbitra - tion and Mediation Centre of the Quito Chamber of Commerce (CAM CCQ) and the Arbitration and Medi - ation Centre of the Ecuadorian-American Chamber of Commerce (CAM AMCHAM). We understand no new arbitral institutions have been established in the last twelve months. 1.4 National Courts There are no courts specialised in arbitration. Jurisdic - tion is divided between the provincial courts and the Constitutional Court. The presidents of provincial courts hear applications to set aside awards rendered in arbitrations seated in Ecuador, pursuant to Article 31 of the Arbitration and Mediation Law (LAM). The Constitutional Court hears extraordinary protec - tion actions (EPAs) against awards. In its judgment 323-13-EP/19, the Court said that awards can be challenged via EPAs when constitutional rights have been affected and the challenge does not fall within a ground for annulment. On the scope of both forms of review, see 11.1 Grounds for Appeal and 11.3 Standard of Judicial Review .
Arbitration has had constitutional recognition in Ecua - dor since 1998. Article 190 of the 2008 Constitution recognises it as a method of resolving disputes in mat - ters capable of settlement (c ontroversias susceptibles de transacción ). Its use has grown steadily at both the domestic and international levels due to its speed, confidentiality and the flexibility of the procedure. At an international level, arbitration is the usual mech - anism for solving disputes between the state and foreign investors. In 2025, the Office of the Attorney General (PGE) recorded 78 active international pro - ceedings: 11 commercial arbitrations, five investment arbitrations, eight proceedings before foreign courts, 47 notices of dispute and seven proceedings before international tribunals and dispute boards. Domestically, the PGE was notified of 23 arbitral pro - ceedings commenced in 2025. Outside the public sector, the ordinary courts remain the predominant avenue for resolving disputes, as they are free of charge by constitutional mandate. 1.2 Key Industries Arbitral activity in the mining and hydrocarbons indus - tries is common, particularly in disputes in which the state is a party. Both industries involve large-scale investments, long- term projects and contractual relationships subject to constant interaction with the state. Those conditions generate disputes in response to regulatory changes, shifts in the economic conditions of projects or disa - greements over the performance of contractual obli - gations. In mining, the trend is also linked to the state’s interest in developing the country’s mining potential. The matters that concentrate the state’s international disputes are taxes, public procurement, hydrocarbons and other non-renewable resources, the environment, public infrastructure and electricity.
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