Venezuela - Baker and McKenzie International Arbitration Yearbook 2014-2015
Originally from Baker and McKenzie International Arbitration Yearbook 2014-2015
A. LEGISLATION, TRENDS AND TENDENCIES
Commercial arbitration in Venezuela continues to be governed by the Law on Commercial Arbitration (“LCA”) (April 7, 1998; Official Gazette No. 36.530) based on the UNCITRAL Model Law. The LCA governs domestic and international arbitration.
Foreign arbitral awards continue to be enforceable in Venezuela without need for an exequatur. Enforcement may only be denied for the reasons provided for in Article 49 of the LCA.
Venezuela is a party to the following treaties relating to arbitration: the New York Convention; the Inter-American Convention on Extraterritorial Validity of Foreign Judgments and Arbitral Awards and the Panama Convention.
Venezuela became a member of Mercosur in August 12, 2012. On July 30, 2012, the National Assembly passed the Law Approving the Amendment of the Los Olivos Protocol for the Settlement of Disputes signed in Brasilia on January 19, 2007. According to the provisions of the Protocol in force, the State of Venezuela and its individuals, through the procedures established, can access this mechanism for the settlement of disputes arising in the interpretation and application of the Mercosur rules.
In relation to investment arbitration, Venezuela withdrew from ICSID on July 24, 2012. However, ICSID arbitration is still applicable for: (a) those contracts in which the parties expressly agreed to that remedy; and (b) cases concerning BITs that specify the ICSID for the resolution of investment disputes.