In case of disagreement

Stages of the contract

Arbitration

Settlement

Settlement Case

Contract

Former agreements Termination of Contract

In case of disagreement

Arbitration

Former agreements Termination of Contract

In 2014, the Supreme Court ruled in favor of the communities, ordering a peremptory solution and the restoration of their previous water supply as well as taking actions to safeguard the citizens. However, in 2015, after several meetings, assemblies and open forums between MLP and the communities, a settlement could be reached between the parties. One year later, the highest court accepted this solution, ending the trials.

The settlement obliges the company to perform, under its responsibility, a series of civil works destined to provide the local community with greater safety conditions in case of a hypothetical collapse of the dam –caused by a natural disaster or by human action–; to guarantee the natural drainage of the Pupío estuary and pollution-free water supply. It also forces the company to make a series of investments for the development of the community and its families, which shall be executed within a period of ten years, with an estimated cost of at least 40 million dollars.

It is important to mention that the settlement was reached between the mining company and the neighbors. Nevertheless, the group of 4 lawyers led by Ramón Ossa Infante, also sued the mining company in 2008, adhering to the allegations of the inhabitants, but in parallel. This lawsuit is still ongoing, but it has a termination date filed by the Supreme Court.

Source: www.semanariotiempo.cl/2016/06/03/caso-por-denuncia-de-obra-ruinosa-corte-suprema-acepto-avenimiento-y-puso-fin-definitivo-a-uno-de-los-juicios-mlp-caimanes/

In June 2008, residents of the towns of Caimanes, Pupío and Rincón, municipality of Los Vilos, filed a lawsuit against the Minera Los Pelambres, alleging "ruinous work" due to seepages from the pond of "El Mauro" tailings dam, which put at risk the areas mentioned due to water pollution of the Pupío estuary, according to the argument presented by the locals.

Source: www.lucasciencehub.com/la-importancia- de-la-confidencialidad-los-nda/

Source: www.globalnegotiator.com/blog/que-es-un-memorandum-de-entendimiento/

MOU

Memorandum of Understanding (MOU): It is a document similar to a contract, but it does not bind the parties, except when confidentiality and non-competition agreements are included. It is an agreement that, lacking a certain formality, aims to record the will of the parties to carry out, in the future, the steps necessary to make a contract that leads to a transaction or business. It is translated into a declaration of reciprocal wills with high ethical value for the parties that sign it, but without binding legal effect.

Non Disclosure Agreement (NDA): Document that seeks to regulate and avoid disclosure of confidential information related to a company or a project. By signing this contract, the parties agree not to reveal to third parties the information that, according to this agreement, is considered confidential and to use it only for the purpose that has been agreed on.

NDA

Example

Soirce: www.globalnegotiator.com/blog/que-es-un-memorandum-de-entendimiento/