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FTAA - NEGOTIATING GROUP ON DISPUTE SETTLEMENT

QUESTIONNAIRE

PERU

1. International Agreements

a. Is the jurisdiction a party to the Convention on the Recognition and Enforcement of Foreign Arbitral Awards, done at New York on 10 June 1958 (New York Convention)? If so, are there any reservations? Name the domestic law that implements these commitments.

Peru is a party to this Convention, which was approved through Legislative Resolution 24924 of 12 May 1988 and published on 10 November 1988. No reservation of any kind was made.

These commitments were implemented under Law 26572, the General Arbitration Law (hereinafter the GAL), which was published on 5 January 1996. The GAL contains a special chapter on the recognition and enforcement of arbitral awards. It should also be noted that, in accordance with Article 55 and subsequent articles in Peru’s Constitution, agreements concluded and in force are an integral part of domestic law in Peru, and as such, do not have to be expressly acknowledged in national legislation. Consequently, at present, this Convention is acknowledged twice in Peruvian law, through constitutional provisions and the General Arbitration Law (GAL).

b. Is the jurisdiction a party to the Convention on the Settlement of Investment Disputes Between States and Nationals of Other States (ICSID Convention), done at Washington on 18 March 1965? Is there a domestic implementing law? Is the jurisdiction a party to any bilateral investment treaties providing for settlement of investment disputes between a state and a national of another state?

Peru is a party to the Convention on the Settlement of Investment Disputes Between States and Nationals of Other States (the Washington Convention) and, by extension, is a member of the International Centre for Settlement of Investment Disputes (ICSID). The Convention was signed by Peru on 4 September 1991, approved through Legislative Resolution 26210 on 2 July 1993, and published on 10 July of the same year.

The Convention was implemented under the GAL. Law 26698, which amends Article 92 of the General Arbitration Law, establishes that the Peruvian State can submit to arbitral proceedings conducted by arbitral institutions of known repute.

There are also special sectoral laws on investments that contain specific arbitration provisions. These laws include:
  • Legislative Decree 662, Regime for Legal Stability for Foreign Investment, published on 9 February 1991; and
  • Legislative Decree 757, Framework Law for the Growth of Private Investment, published on 13 November 1991.
    •

    At present, our country is party to 28 bilateral investment treaties (BITs) currently in force,1 all of which have a section on dispute settlement and distinguish between:

  • Disputes arising between Contracting Parties that deal exclusively with errors of interpretation or enforcement of agreements; and
    •
    • Disputes arising between a Contracting Party and an investor of another Contracting Party.

    c. Is the jurisdiction a party to the Inter-American Convention on International Commercial Arbitration (Panama Convention), signed at Panama on 30 January 1975? Is there a domestic implementing law?

    Peru is a party to the Inter-American Convention on International Commercial Arbitration, which it approved through Legislative Resolution 24810 and published on 25 May 1988. This Convention is implemented through Law 26572, the General Arbitration Law (GAL).

    d. Is the jurisdiction a party to any other international agreements related to international commercial arbitration?

    The arbitration treaties or conventions related to international trade to which Peru is party, in addition to those mentioned above, include the following:

    - The 1878 Treaty of Lima, approved by legislative resolution on 29 January 1879;

    - The 1889 Montevideo Treaty on International Law, approved by legislative resolution on 25 October 1889;

    - The 1911 Bolivian Convention, approved by legislative resolution on 22 October 1915;

    - The Bustamante Code, or the 1928 Code of Private International Law, approved by Legislative Resolution 6442 on 31 December 1928;

    - The 1979 Montevideo Convention on the Extraterritorial Validity of Foreign Judgments and Arbitral Awards, approved by Decree Law 22953 on 26 March 1980;

    - The Multilateral Investment Guarantee Agreement (MIGA), signed on 19 December 1991 and approved by Legislative Resolution 25312, on 2 April 1992.

    2. Arbitration

    a. What is the source of law for international commercial arbitration within your jurisdiction? Please cite.

    The General Arbitration Law in Peru is, as its name suggests, "generally applicable" to all types of disputes, including those arising from international trade, with the exception of the disputes described below in paragraph (c) of this questionnaire.

    The General Arbitration Law follows the Model Law on International Commercial Arbitration of the United Nations Commission on International Trade Law (UNCITRAL). Moreover, it is important to note the following sources in Peruvian law for international commercial arbitration: the Political Constitution of the State of Peru, the GAL, treaties related to international commercial arbitration, as well as the intent of the parties to the arbitration agreement.

    b. Does the law contain different rules for domestic and international arbitration?

    The salient differences between national and international arbitration are as follows:

    - In the case of national arbitration, if the arbitration is institutional and the parties have agreed to ad hoc arbitration, and further if not all arbitrators have been designated, recourse must be had to a judge, depending on the case, whereas in international arbitration, there is no need for recourse to judicial authority. Instead, the procedure is to request support from any arbitral institution located in the place where the arbitration is to occur, or in Lima, at the choice of the interested party.2

    - Only in national arbitration are there conflict of interest rules for serving as arbitrator, as distinct from grounds for challenge or recusal. These rules are not contemplated in international arbitration.

    - In international arbitration between parties that are not Peruvian nationals, or are not domiciled or do not have their principal residence in Peru, the law specifically provides for the express waiver of appeal for annulment or its restriction to certain grounds. The purpose of this appeal, which is filed against awards, is to review the validity thereof, without entering into the substance of the dispute, and either uphold the validity of the award or declare it void.

    - International arbitration contains specific provisions on the recognition and enforcement of arbitral awards, including one that establishes the primacy of current multilateral or bilateral treaties vis-à-vis the provisions governing international arbitration.

    c. Are there limitations on the types of disputes that may be arbitrated?

    In principle, no limitations are placed on the ability of parties to submit to arbitration any dispute over which they have unrestricted authority and which satisfies the requirement of being determined or determinable, including those related to environmental issues. However, the following cases are exceptions:

    - Those related to the civil status or capacity of persons, or those related to assets or rights of legally incapacitated persons without prior judicial authorization.

    - Those on which a final decision has been issued, except for the economic consequences arising from its enforcement, exclusively with regard to the parties involved in the process.

    - Those related to public order or crimes and misdemeanors. However, arbitration can take place to determine the degree of civil liability, insofar as this has not been set by a final judicial decision.

    - Those directly concerning the sphere of duties or responsibilities of the State, or public officials or agencies.

    d. Does the law specify rules for arbitration or do the parties have autonomy to set their own rules?

    The General Arbitration Law can be applied at the parties’ discretion, with the exception of some mandatory, binding provisions.

    e. What is the role of the courts during arbitration? May courts intervene prior to, or during, the arbitration process?

    In principle, the Peruvian courts are barred from intervening in disputes under arbitration. Nonetheless, this does not preclude recourse to judicial authorities in certain cases for the following purposes:

    - If the parties have agreed to an national ad hoc arbitration process to resolve a dispute, but all the arbitrators have not been designated, a judge will have to be petitioned to make the corresponding appointments.

    - If one of the parties initiates legal action with regard to the matter under arbitration, the other party shall invoke an exception to the arbitration agreement by the deadline set out in the Peruvian Civil Code for the process in question, so that the national courts may refrain from hearing the dispute.

    - In the event that a motion to disqualify a sole arbitrator has been brought on the basis of the terms of the agreement, whether ad hoc or institutional, the rules of the arbitral institution, the law, or the discretional authority of arbitrators, the case shall be heard by the corresponding arbitral institution, or in the absence thereof, by the civil judge in the court of first instance in the place of arbitration.

    - The arbitral tribunal or any of the parties that have the approval of the arbitral tribunal may appeal to a judicial authority for help in producing certain evidence.

    - In the case of national arbitration, the parties may agree on the possibility of filing a judicial appeal.

    - The legal authorities may grant the relevant measures for interim relief before the arbitration proceeding begins to assist the arbitrator or the arbitration tribunal in enforcing measures they may adopt during the proceedings. Once an award has been rendered and even if a motion for appeal or annulment has been filed, the judge may be requested to take interim measures to ensure the full enforcement of the award.

    f. Can the courts grant interim relief pending the outcome of an arbitration proceeding?

    The Peruvian courts may grant interim or preventive relief before an arbitration award is rendered. There are two cases:

    - In judicial proceedings, these are interim measures that are requested of legal authorities before the arbitration process begins. However, under no circumstances may the granting of interim relief be construed as a waiver of arbitration.

    - In arbitral proceedings, once an arbitration tribunal has been established, it may, at the request of a party, ask a judge for help in enforcing the measures it has adopted.

    Under Peruvian law, protective measures are admissible, even while motions for annulment or appeal are pending before the specialized civil court judge, thus ensuring the full effectiveness of the award.

    g. Does the law require citizenship or a particular bar membership for participation in an arbitral proceeding, as arbiter or representative of a party?

    Any adult who is not barred from serving and is in full exercise of his civil rights may be appointed arbitrator, regardless of nationality. If a legal person is appointed arbitrator, it shall be understood that it will serve as an appointing body. In addition, in the case of de jure arbitration, the person appointed as arbitrator must be a lawyer.

    h. Does the law require that the proceedings be conducted in a particular language?

    The only mention of language is in the GAL, which stipulates that for international arbitration, the parties may agree on the language(s) to be used in arbitration proceedings, unless otherwise agreed.

    i. Does the law have mandatory choice of law provisions?

    Compliance with most of the provisions in the General Arbitration Law is not mandatory. Therefore, the possibility exists for the parties to agree to a procedure not set out in the Law. However, compliance is mandatory with certain aspects, such as:

    - Form of the arbitration agreement

    - Separability of the arbitration agreement

    - Number of arbitrators in a national arbitration procedure

    - Arbitral award requirements

    - Content of awards resulting from de jure and equitable arbitration procedures

    - Incontestability of decisions during the award enforcement phase

    j. Does the arbitration law prescribe rules for decision making by the arbiters and the form of an arbitration award?

    While national legislation, through the General Arbitration Law, defines certain arbitral institutions, its main focus is on establishing the procedural rules to be applied during arbitration. It does not contain substantive provisions to resolve the substance of the dispute. Moreover, this law only establishes the requirements and deadlines that must be considered in order for arbitral awards to be valid and effective and does not contain substantive rules governing the content thereof.

    In the case of international arbitration, the rules set forth in the GAL are applied, without prejudice to any multilateral or bilateral treaty in force.

    k. Is the confidentiality of arbitral proceedings and awards protected by law?

    The General Arbitration Law does not expressly set out the principle of confidentiality, but rather addresses, in Article 34.7, the issue of privacy. However, the principle of confidentiality is embodied in Peruvian legislation in the Code of Civil Procedure.

    l. On what grounds will the courts set aside or decline to enforce an award?

    Peruvian courts may refuse to recognize and enforce an arbitral award on the grounds set out in Article 129 of the General Arbitration Law, which coincide with those contained in the New York Convention and the Panama Convention. Thus, if a party has so requested, Peruvian courts shall abstain from recognizing and enforcing an award, regardless of the country in which it was made, when it has been proven that:

    - One of the parties to the arbitral agreement was under some incapacity, or said agreement is not valid under the law to which the parties have subjected it or, failing any indication thereon, under the law of the country where the award was made; or

    - The party against whom the award is invoked was not given proper notice of the appointment of an arbitrator or of the arbitral proceedings or was otherwise unable to exercise its rights; or

    - The award deals with a difference not contemplated by or not falling within the terms of the arbitration agreement, provided that, if the decisions on matters submitted to arbitration can be separated from those not so submitted, that part of the award which contains decisions on matters submitted to arbitration may be recognized and enforced; or

    - The composition of the arbitral authority or the arbitral procedure was not in accordance with the agreement of the parties, or, failing such agreement, was not in accordance with the law of the country where the arbitration took place; or

    - The award has not yet become binding on the parties, or has been set aside or suspended by a court of the country in which, or under the law of which, that award was made.

    The intermediate court of appeals [Corte Superior] may also refuse to recognize and enforce an award if it finds that the matter under dispute is not arbitrable under Peruvian law or that the award is contrary to with international public order.

    m. What is the procedure for the enforcement of an award?

    The procedure for enforcing an arbitral award is as follows:

    - In the case of national arbitration, once the deadline for filing motions for appeal or annulment expires, the award shall be enforced by the arbitrators or by the corresponding arbitral institution, as in the case of a decision handed down by a Peruvian court. If this is not possible, the judge of the court of first instance in the place where the arbitration took place shall be responsible for enforcement and shall apply the same procedures as those used for enforcing judicial decisions.

    In case of noncompliance with the award decision, the provisions set out in Article 83 of the General Arbitration Law (compulsory enforcement before a judge) shall be applied.

    - In the case of international arbitration, the applicable rules are the same as those established for the recognition of foreign judicial judgments, except for certain special rules in the General Arbitration Law on the recognition of foreign awards.

    When the award is fully or partially recognized, enforcement shall be the responsibility of the specialized civil law judge presiding on the date of submission of the request in the jurisdiction where the party complained against is domiciled, or, if the party complained against is not domiciled in Peru, the competent judge in the place where the party owns property. The written request for judicial enforcement shall be accompanied by the original award and arbitral agreement, or, if the originals are unavailable, copies thereof. A copy of the judicial resolution supporting the request for recognition of the arbitral award shall also be attached.

    n. Please list any institutions available within your jurisdiction that provide international commercial arbitration services. Provide Internet addresses, where available.

    The following are the most important arbitral institutions in Peru:

    - El Centro de Conciliación y Arbitraje Nacional e Internacional de la Cámara de Comercio de Lima, e-mail address: elcentro@camaralima.org.pe. Webpage: http://www.camaralima.org.pe/arbitraje

    - El Centro de Arbitraje y Conciliación (CEARCO)

    - Instituto Peruano de Resolución de Conflictos, Negociación y Mediación (IPRECONM), e-mail address: ipreconm@terra.com.pe

    - Centro de Conciliación y Arbitraje de la Pontificia Universidad Católica del Perú, e-mail address: Concilia@pucp.edu.pe

    3. Alternative Dispute Resolution (ADR)

    a. Are other forms of alternative dispute resolution (mediation, conciliation) available for the resolution of commercial disputes within your jurisdiction?

    Peru has alternative dispute resolution mechanisms. Although these are not exclusively applicable to commercial disputes, nothing prevents them from being applied thereto. The following are some of Peru’s alternative dispute resolution mechanisms:

    - Law 26872 of 13 November 1997, which regulates extrajudicial conciliation. For cases that the law classifies as resolvable through conciliation, extrajudicial conciliation must be pursued before judicial recourse can be had.

    - The section of the Peruvian Civil Code on obligations establishes a compromise mechanism in which the parties make reciprocal concessions to decide a dubious or contentious issue, thereby avoiding litigation or bringing litigation already in progress to a close.

    - In addition, there are diverse entities that work in specialized areas, such as OSINEG, OSIPTEL, OSITRAN, SUNPASS, and SEPS.

    b. Does the law or do the courts mandate or encourage the use of ADR in commercial disputes? Are there any legal impediments to using ADR for the resolution of commercial disputes?

    Law 26872 of 13 November 1997, the Conciliation Law, and its regulations, contained in Supreme Decree 001-98-JUS of 14 January 1998, regulate extrajudicial conciliation, which is required before judicial action can be taken in cases covered by said Law. This alternative dispute settlement mechanism also applies, but not exclusively, to commercial disputes, as noted above. Law 27398 defers obligatory entry into force of the Conciliation Law until 1 March 2001 in the districts of Lima and Callao, with matters relating to family and labor law being temporarily excluded. The other conciliation districts and excluded areas will be gradually incorporated via Ministerial Resolution on the Courts.

    The General Arbitration Law promotes conciliation and negotiated settlement that arbitrators must encourage parties to a dispute to use before rendering an award. The Peruvian Code of Civil Procedure also encourages conciliation during any phase of the judicial process, provided that a court of second instance has not issued a decision. Hence, the Peruvian State promotes the use of ADR mechanisms to resolve disputes arising in the commercial sphere and elsewhere.

    Peruvian legislation does not contain any legal restrictions on the use of ADR in settling commercial disputes.

    c. Can courts enforce agreements to mediate or use other forms of non-binding dispute resolution in commercial disputes?

    National courts cannot enforce agreements to use mediation mechanisms, since these are voluntary.

    d. Are there any organizations that specialize in ADR for commercial disputes not already mentioned?

    The following are among the most important organizations:

  • Conciliation centers established at the national level

    •

    e. What rules govern confidentiality and admissibility of evidence in other proceedings?

    One of the articles of the Extrajudicial Conciliation Law establishes the principle of confidentiality, whereby the parties participating in conciliation must keep all proceedings confidential. Nothing that is said or proposed has probative value. This law does not contain any provision on the presentation of evidence. The Code of Civil Procedure also covers this principle.

    4. Legal Sources and References

    In addition to the references above, is there an authorized or official Internet site containing up-to-date information on dispute resolution facilities in this jurisdiction?

    More detailed information on extrajudicial conciliation is available on the Ministry of Justice’s website, at http://minjus.gob.pe.

    5. Bibliography

    Please list respected reference works relating to arbitration and ADR in your jurisdiction.

    References on arbitration and ADR include the following:

    I. - Books:

    - Academia Diplomática del Perú. El Arbitraje de días de Aguiar y el Testimonio Mac Bride. Lima. 1996 pp. 7.

    - Aramburú Menchaca, Andrés A. “El Arbitraje Comercial en el Perú.” In Homenaje a Mario Alzamora Valdez.

    - Caivano, Roque J. Negociación, Conciliación y Arbitraje: Mecanismos Alternativos para la Resolución de Conflictos. Lima 1988. APENAC. pp. 414.

    - Cantuarias Salaverry Fernando and Aramburú Izaga, Manuel Diego. El Arbitraje en el Perú: Desarrollo Actual y Perspectivas Futuras. Lima 1994. Fundación M.S. Bustamante de la Fuente. pp. 660.

    - Cantuarias Salaverry, Fernando. “El Convenio Arbitral: se encuentra presente en las disposiciones sobre arbitraje doméstico de la Ley General de Arbitraje?,” Lima. 1995. In Nuevas Tendencias del Derecho Contractual, by Grupo Peruano de la Asociación Henri Capitant. Nuevas Tendencias del Derecho Contractual.

    - Cantuarias Salaverry, Fernando. “Arbitraje.” In Invirtiendo en el Perú, by Boza Dibós, Beatriz.

    - Centro de Arbitraje y Conciliación Comercial. Sistema de Arbitraje y Conciliación, Estatuto de Funcionamiento del Tribunal Arbitral y Reglamento de Arbitraje y Conciliación. Lima 1986. CEARCO. pp. 59.

    - Centro de Arbitraje y Conciliación Comercial. Cláusula Modelo del Centro de Arbitraje y Consolidación Comercial del Perú (CEARCO - Perú). 1993. Lima CEARCO.

    - Ledesma Narvaez, Marianella. El Procedimiento Conciliatorio: un enfoque teórico normativo. Lima. 2000. Gaceta Jurídica. pp. 374.

    - Lohmann Luca de Tena, Juan Guillermo. El Arbitraje. Colección para leer el Código Civil V. Lima 1988. PUC. pp. 203.

    - Martinez Coco, Elvira. “Consideraciones Generales en torno de la Conciliación Extrajudicial.” In Homenaje a Mario Alzamora Valdez, by Pedro Patrón Faura. Lima 1998.

    - Montoya Alberti, Ulises. El Arbitraje Comercial. 1988. Lima Ed. Cultural. Cuzco. pp. 505.

    - Montoya Manfredi, Ulises. “Empresas del Estado y Arbitraje Comercial.” In Homenaje a Ulises Montoya Manfredi. Lima 1989.

    - Ormachea Choque, Iván. Manual de Conciliación. 1999. Lima. Instituto Peruano de Resolución de Conflictos: Negociación y Mediación. pp. 162.

    - Ormachea Choque, Ivan. Análisis de la Ley de Conciliación Extrajudicial. Segunda Edición. Lima 1998. Cultural Cuzco. pp. 273.

    - Osorio Ruiz, Zaida. El Arbitraje Comercial, Doctrina, Legislación, Modelos. Lima 1988. pp. 380.

    - Peña Gonzales, Oscar. Conciliación Extrajudicial. 1999 Lima. Asociación Peruana de Conciliación. Segunda Edición. pp. 425.

    - Perez Vargas, Victor. “El Contrato de Arbitraje en el Comercio Internacional.” In Homenaje a Ulises Montoya Manfredi. Lima, 1989.

    - Revoredo Marsano, Delia. Leyes Aplicables a la Validez del Acuerdo Arbitral y al Fondo de la Controversia en el Arbitraje Comercial Internacional. XIII Congreso del Instituto Hispano Luso Americano de Derecho Internacional, Lima, 1982.

    - Sagástegui Urteaga, Pedro. La Conciliación Judicial y Extrajudicial, Doctrina, Legislación, Modelos de Invitación y Actas de Conciliación, Guía de Conciliación. INTERNET. Forenses. Lima 1998. pp. 406.

    II. - Journals:

    - Cantuarias Salaverry, Fernando. “Comentario acerca de algunas disposiciones sobre Arbitraje Internacional contenidas en la Ley General de Arbitraje.” In IUS ET VERITAS. Lima, June 1994 No. 8, pp. 69 - 74.

    - Cantuarias Salaverry, Fernando. “Los Arbitros en la Ley General de Arbitraje: Algunas Reflexiones.” In Revista del Foro. Lima, July - December 1993, No. 2 pp. 75 - 74.

    - Carrillo Calle, Martín. “La Solución de Conflictos Económicos mediante Conciliación y Mediación, Comentarios a Propósito del Proyecto de la Nueva Ley de Conciliación Extrajudicial.” In Asesoría Laboral. Lima, December 1997, No. 84 pp. 11-23.

    - “Conciliando el Modelo y la Realidad.” 1994. In Deshaciendo Entuertos. Lima, January 1994, No 2 pp. 4-6.

    - Cremades, Bernardo M. “Nuevas Reglas de Arbitraje en la Cámara de Comercio Internacional.” In Revista del Foro. Lima, January - May, No. 1, pp. 79 - 91.

    - García Calderón Moreyra, Gonzalo. “El Arbitraje como Medio Alternativo de Administración de Justicia.” In Mercurio Peruano. Lima, January - December 1992, No. 505 - 506, p. 47.

    - Kundmuller Caminitti, Franz. “Notes on General Arbitration Law 26572.” In Advocatus Revista de los Alumnos de la Facultad de Derecho de la Universidad de Lima, May 2001, No. 4, pp.121-130.

    - Kundmuller Caminitti, Franz. “Conciliación, siete motivos de reflexión.” In Revista Jurídica del Perú, Setiembre 2001, No. 26, p. 13 - 25.

    - Kundmuller Caminitti, Franz. “Obligatoriedad del Arbitraje y otros temas de Gestión de Conflictos en la Ley de Contrataciones y Adquisiciones del Estado y su Reglamento.” In Themis Revista de Derecho, Segunda Epoca, 1999, No. 39, pp. 213 - 221

    - Ledesma Narvaez, Marianella. “La Conciliación en Equidad.” In Gaceta Jurídica. Lima, August 1999, No. 69B, pp. 13- 22.

    - Leturia Lopez, Eduardo and Morey Estremadoyro, Luis Alfonso. “Análisis de la Ley de Conciliación Extrajudicial y su Reglamento.” In IUS ET PRAXIS. Lima, January - December 1998, No. 29, pp. 89 - 103.

    - Moane Drago, Eduardo. “Vías Alternativas para la Solución Pacífica de Conflictos.” In Pauta. Lima, September - October 1993. No. 1, p. 7.

    - Monroy Cabra, Marco Gerardo. “Medios Alternos de Solución de Conflictos.” In IUS ET PRAXIS, Lima, December 1994, No. 24, p. 28 - 44.

    - Montoya Alberti, Ulises. “El Arbitraje Comercial.” 1991. In Revista Peruana de Derecho de la Empresa. Lima, April 1991, No. 39, p. 167.

    - Ortiz Nishihara, Freddy. “Una Visión Especializada de la Conciliación Extrajudicial.” In Revista Bibliotecal, Lima, July 2000, No. 1, p. 295 - 301.

    - Sole Riera, Jaume. “El Proceso Arbitral.” 1999. In Antekirtta, Piura, April 1999, No. 1, pp. 55 - 72.

    1 Peru has BITs with the following countries: Argentina, Australia, Bolivia, Chile, China, Colombia, Cuba, the Czech Republic, Denmark, Ecuador, El Salvador, Finland, France, Germany, Italy, Malaysia, Netherlands, Norway, Paraguay, Portugal, Romania, South Korea, Spain, Sweden, Switzerland, Thailand, the United Kingdom, and Venezuela.

    2 Importantly, there is no need for recourse to a judge in all cases to appoint arbitrators, and even less so when the case is submitted to an arbitral institution, since the rules of that institution will apply. In addition, arbitration in Peru is regulated in a multilayered way, meaning that each feature has a counterpart in the General Arbitration Law. As a result, the arbitration agreement is the determining factor, since the provisions they set out enable the parties to a dispute to agree to ad hoc or institutional (or administered) arbitral proceedings, as long as the principle of equality between parties (Article 14 of the GAL) is observed. Moreover, the “judicial assistance” mechanism can make arbitration viable (by, for example, in the compulsory production of evidence, enforcing awards, appointing arbitrators for ad hoc proceedings, and in the event of noncompliance by one of the parties).

    Another important aspect of the GAL is the primacy given to the rules of arbitral institutions. If the parties to a dispute have agreed to submit to a set of rules (in an arbitration agreement), the entire arbitral process will be governed by those rules. Hence, no limitations are placed on international arbitration in Peru. Situations that are subject to international arbitration are duly described in the corresponding section of the GAL (Article 91), which stipulates when an arbitration must be classified as international, as established in the New York Convention.
     
     
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