Litigation in Uruguay
The “guays” of South America, Paraguay and Uruguay, both named after rivers, are both reputed to have great natural beauty. The latter is known for its elegant beaches, a commitment to peace, and the birthplace of tango singer Carlos Gardel, who is also adopted by Argentina. I recently had a chance to speak with José Miguel Algorta, partner at Estudio Algorta & Asociados in Montevideo, who was kind enough to talk with me about his litigation work.
Why should you continue reading this post about litigation in Uruguay?
You’re torn between admiring Uruguay’s electric grid that’s nearly entirely from renewable energy and its ratio of cows to people.
You’re wondering whether hosting the World Cup helps a country win it.
Incan emperor Atahualpa’s ire “inspires” you to read more.
José Miguel Algorta.
photo credit: Estudio Algorta & Asoc.
José Miguel Algorta is a partner at Estudio Algorta & Asociados law firm in Montevideo. This interview was lightly edited.
Can you tell me about the kinds of disputes you handle in your legal practice?
I handle civil, commercial, family, and labor law disputes.
What type of clients do you generally represent in disputes?
My clients include private individuals, small and medium business, financial companies (not banks), and real estate developers.
Besides Microsoft Office, what software do you use in your practice?
The Office suite for Mac does what I need for document comparison with tracked changes, billing hours, and other work. I also use Adobe.
What books and websites do you use for legal research?
For legal research, I usually use a judicial database called Base de Jurisprudencia Nacional. Court decisions may not establish common case law, but it’s still helpful to see what kind of judgments have been consistent for cases like yours. If a judgment is eventually more creative than this baseline, the Court of Appeals would have to review and approve it for this particular case.
Do you electronically file pleadings with the court? Or must you send paper copies to the courthouse?
For litigation, you must send paper copies to the courthouse and have the documents signed by the agent, or court clerk.
Administrative disputes can be filed electronically, however. This “recurso administrativo” is when you file a complaint against a regulation or a ministerial resolution.
How many pages are the initial pleadings, usually?
That depends on the subject matter and complexity of the case. I have filed complaints of 20 to 30 pages and an inheritance proceeding of 2 pages.
How long does it take for a case to go from complaint to judgment?
In “ordinary” proceedings that are not complex and do not have much evidence involved, it may take between 12 and 18 months.
Palacio Piria, seat of Uruguay's Supreme Court, Montevideo, 2009.
photo credit: Monte San Savino, Suprema Corte de Justicia - Palacio Piria, CC BY-SA 3.0,
via Wikimedia Commons
Does Uruguay have specialized courts that only hear commercial cases?
In Uruguay, there are no courts specializing in commercial matters. However, for the Montevideo District there are specialized courts for Bankruptcy or Labor proceedings, which cases would be heard in common Civil courts outside the district. We also have specialized Criminal courts throughout the country, of course.
Who decides the facts in a commercial case—a judge or a jury?
Judges decide all cases. Uruguay does not have jury trials.
How is evidence exchanged between the parties before trial? Do you get to interview opposing witnesses before the trial?
The plaintiff’s counsel must present all evidence, documentary and witnesses, when filing the claim. The defendant’s counsel must deliver all his/her evidence when responding.
Many South American countries have “amparo” (protection or refuge) proceedings arising from commercial disputes. Is that true in Uruguay and, if so, how do they work?
Commercial disputes don’t include amparo to check for vulnerable rights in question. If you have commercial dispute where central rights may be affected, you could start a second proceeding to see if an action violated the constitution. Amparo proceedings look at risks to human rights, life, liberty, security, or health. It’s exceptional and specific.
Does the losing party in a litigation pay the legal fees of the winning party?
Unlike common-law systems where paying the other party’s legal fees helps limit unnecessary litigation, each party pays its own legal fees here. There are two exceptions: enforcement proceedings and egregious behavior.
In proceedings for the enforcement of judgments ordering payment, the legal fees of the claimant’s solicitor are added to the amount awarded in the proceedings and paid by the defendant.
If a judge rules that the losing party’s behavior was egregious, that is, their conduct amounts to reckless malice, or they present a distorted account of the facts or present “facts” they cannot prove, a judge may order that party to pay the winning party’s legal fees. We have a duty to prove our claims, conduct litigation truthfully and with respect for the process, and act in good faith.
Are Uruguayan courts open to the public?
Yes, ordinary people may watch commercial trials.
Do Uruguayan courts have a strength for resolving commercial disputes?
The length of time a commercial or civil dispute takes can be a deterrent to over-litigation. I’m reluctant to go to court to address minor disputes because of this.
What are their weaknesses?
There are no specialized commercial courts that only hear commercial disputes. It would be better if we had judges and courts who only focused on those.
How often do you go to the courthouse? When you are there, do you need to wear a special robe or wig?
I go to the courthouse once a month when attending a hearing, and I do not need to wear a special robe or wig. Suit and tie are expected in court, especially in the District of Montevideo.