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Arbitration in Spain: Heniam can get your dispute resolved
A faster, private route to resolve disputes without going to court
When a dispute arises, court proceedings can be slow, public and expensive. Arbitration offers an alternative: you and the other party agree to appoint an independent third party (the arbitrator) to decide the dispute. The process is voluntary and based on a written agreement between the parties, but the outcome, called an arbitral award (laudo), is binding and can be enforced in Spain.
Heniam & Associates can assist you in assessing whether arbitration is the right solution for your dispute, drafting or reviewing arbitration clauses, representing you throughout arbitration proceedings, and supporting the enforcement of any arbitral award.
In addition, Emily Smith, with over 10 years’ experience as a mediator in the UK and a strong track record working alongside local counsel in Surrey, can also act as your independent arbitrator, offering a practical, experienced and balanced approach to dispute resolution.
What is arbitration?
Arbitration is a legal mechanism where two or more parties agree that a neutral third party will resolve disputes related to a specific legal relationship instead of the courts. It is widely used in commercial matters, contracts, property and business disputes, and other areas where the subject matter is disposable (i.e., parties can legally settle it by agreement).
The law that governs arbitration in Spain
Arbitration in Spain is governed principally by Law 60/2003 of Arbitration (Ley 60/2003, de Arbitraje), amended in 2011 and revised in 2015.
This law sets out:
- The arbitration agreement (how it is made and its effects)
- The appointment and duties of arbitrators
- How the procedure works (written submissions, hearings, evidence)
- The arbitral award and its legal effects (binding nature / res judicata)
- The limited court control through an annulment action
- Enforcement of awards through the civil courts
Voluntary submission, binding result
Arbitration is voluntary because it requires an arbitration agreement (convenio arbitral). This agreement can be:
- A clause inside a contract, or
- A separate agreement signed later, once a dispute has arisen
Once validly agreed, it has two key effects:
- Positive effect: either party can initiate arbitration when a dispute arises.
- Negative effect: courts should not hear the dispute if the other party objects (typically through a jurisdictional objection/declinatoria).
Importantly, while arbitration is private and contractual in origin, the award is binding and has effects similar to a final judgment (cosa juzgada).
How the arbitration process works
While procedures can vary (and parties can agree a procedure), the typical stages are:
1. Arbitration agreement confirmed
We verify the cause/agreement and define what disputes are included.
2. Appointment of the arbitrator(s)
Parties may appoint:
- A sole arbitrator, or
- A tribunal of three arbitrators (always an odd number).
Arbitrators must be independent and impartial, and can be challenged (recusal) if a conflict exists.
3. Submissions and evidence
The claimant submits a claim; the respondent replies. Evidence can be documentary, witness, expert: procedurally flexible.
4. Hearing (if needed)
Some arbitrations are document-only; others include oral hearings.
5. Arbitral award (laudo)
The arbitrator(s) issue a written award, which can be one final award or partial awards. By default, the award is issued within a set timeframe and must be notified to the parties.
6. Post-award clarifications (limited)
Parties may request correction/clarification within a short period after notification.
Types of arbitration (what you can choose)
Depending on your case, arbitration may be:
- Institutional arbitration: administered by an institution (e.g., chambers of commerce, consumer arbitration bodies, professional associations).
- Ad hoc arbitration: arranged directly by the parties without an administering institution.
- Arbitration in law (de Derecho): decided strictly on legal rules.
- Arbitration in equity (de Equidad): decided on fairness—only if expressly agreed.
Benefits of arbitration
Arbitration is often chosen because it can offer:
- Speed: Generally faster than court litigation
- Cost-efficiency: Reduced time and procedural complexity often lowers total cost
- Privacy: Proceedings are not necessarily public
- Expert decision-makers: Parties can appoint arbitrators with specialist knowledge
- Business continuity: Promotes workable outcomes and preserves relationships
- Finality: Awards are binding, with only narrow grounds to challenge
Is the result enforceable?
Yes. An arbitral award is enforceable in Spain through the civil courts under the Civil Procedure framework and arbitration law provisions.
Even if the losing party tries to challenge the award, the award can still be enforceable, although the opposing party may request a stay of enforcement in limited circumstances and typically by providing security.
Can an award be appealed?
In general, no, the award is not appealable on the merits.
However, Spanish law allows a limited annulment action (acción de anulación) on specific procedural/legal grounds (for example: invalid arbitration agreement, lack of proper notice/defence, decision beyond the scope of arbitration, non-arbitrable subject matter, or public policy).
Can the courts grant urgent measures?
Yes. The arbitration agreement does not prevent either party from requesting interim measures from the courts before or during the arbitration, where appropriate.
How Heniam can help as your arbitrator
Heniam & Associates offers a structured, impartial and professional arbitration service designed to help parties resolve disputes efficiently while avoiding the time, cost and stress of court proceedings.
When acting as your arbitrator, Heniam provides:
Independent and neutral decision-making
Heniam acts as a strictly impartial third party, ensuring that both sides are treated equally, heard fully and given a fair opportunity to present their case. The process is conducted with independence, transparency and procedural integrity.
Clear, structured arbitration process
They establish a clear procedural framework from the outset, including:
- Scope of the dispute and applicable law
- Timetables for submissions and evidence
- Hearing format (written, oral or hybrid)
- Confidentiality and procedural rules
This clarity allows parties to engage confidently and constructively.
Experienced dispute resolution leadership
With extensive experience in dispute resolution and mediation, Heniam brings a pragmatic, solution-focused approach to arbitration. Where appropriate, issues are narrowed and clarified early, helping avoid unnecessary complexity and cost.
Binding and enforceable outcomes
As arbitrator, Heniam issues a reasoned arbitral award that is:
- Legally binding on the parties
- Enforceable under Spanish law
- Final, with only limited grounds for challenge
This provides certainty and closure, allowing parties to move forward.
Confidentiality and discretion
All arbitration proceedings are handled with strict confidentiality, protecting commercial interests, personal matters and professional relationships.
Cross-border understanding
Heniam is particularly well placed to act in disputes involving international or expatriate parties, offering sensitivity to different legal cultures while applying Spanish arbitration law correctly.
Choosing Heniam as your arbitrator means choosing neutrality, efficiency and legal certainty.
If you are seeking a trusted professional to resolve your dispute fairly and decisively, Heniam can guide the process from start to binding conclusion.
