Contratos internacionales y su efectiva aplicación y ejecución en el Ecuador.

Abstract

The lack of clear stipulations regarding the applicable law and competent jurisdiction in international contracts in Ecuador can lead to serious legal complications, affecting the legal certainty and predictability necessary for international trade and foreign investment. When a contract does not specify these clauses, conflicts of laws can arise, resulting in prolonged disputes and contradictory judicial decisions. This uncertainty discourages foreign companies from investing in the country due to the lack of clarity on the rules governing their rights and obligations. Additionally, the absence of clear stipulations can lead to significant issues in determining the competent jurisdiction. Without specific clauses, parties may file lawsuits in different jurisdictions, resulting in costly and prolonged legal processes with contradictory rulings. Ecuadorian judges may face difficulties in applying foreign norms, adding complexity and legal insecurity to corporate operations and potentially limiting growth opportunities in the country. To mitigate these issues, it is recommended to include detailed clauses in contracts that define the applicable law and competent jurisdiction, promote legal harmonization and international cooperation, and strengthen training in private international law. These actions will contribute to improving predictability and stability in international contractual relations, creating a more favorable environment for investment and trade.