The facts of the case concern the limitations on the right to property of the Salvador Chiriboga brothers, imposed by the Municipal Council of Quito. In May 1991, the Municipal Council declared an estate of 60 hectares to be of public utility, with the objective of expropriation and urgent occupation.

The IA Court carried out an analysis regarding the restrictions to private property in a democratic society. The Court then established guiding criteria for said restrictions, which ensure the minimum possible interference with the effective exercise of rights. These criteria include public utility, social interest, and the payment of fair, adequate, prompt, and effective compensation.