Chilean court annuls landmark arbitral award in Australis dispute    

The First Chamber of the Santiago Court of Appeals has granted the annulment action brought by Asesorías e Inversiones Benjamín, a company linked to Chilean businessman Isidoro Quiroga, setting aside the arbitral award that had ordered the payment of approximately US$227 million, plus interest, to Chinese company Joyvio in the dispute arising from the sale of Australis Seafoods.

The award, rendered in August 2025 by a tribunal of the Santiago Arbitration and Mediation Center (CAM Santiago) composed of Pedro Pablo Vergara Varas, Andrés Jana Linetzky and Ramón Cifuentes Ovalle, had partially upheld Joyvio’s claims in connection with its acquisition of the salmon farming company, a transaction completed in 2019 for approximately US$921 million. Including accrued interest, the award amounted to approximately US$300 million.

The Court’s decision was issued by a two-to-one majority. Justices Guillermo de la Barra and Catalina Infante voted to grant the annulment action, while Justice Fernando Valderrama dissented.

In its judgment, the Court held that the arbitral tribunal had exceeded the scope of the dispute submitted by the parties by ruling on a claim different from that pleaded and argued during the proceedings. It therefore found that the grounds for annulment under the International Commercial Arbitration Act had been met, as the award contained decisions exceeding the terms of the arbitration agreement, and set aside the award in its entirety.

Quiroga’s legal team was led by Cristóbal Eyzaguirre, partner at Claro & Cía. Joyvio was represented by Alberto Eguiguren, together with Jorge Bofill, Sebastián Oddó and Gabriel Zaliasnik. Carlos Peña also appeared on behalf of the company during the annulment proceedings before the Court of Appeals.

The ruling marks a landmark for Chilean commercial arbitration. According to sources familiar with the case who spoke to Latin Counsel, this is the first time the Santiago Court of Appeals has granted an annulment action against an arbitral award issued by the Santiago Arbitration and Mediation Center (CAM Santiago). The decision establishes a significant precedent on the limits of the arbitral mandate and the scope of judicial review of arbitral awards in Chile.