Despite increasing border tensions since the 1840s, both countries fought together against Spain in the Chincha Islands War (1864–65) and resolved the question under the Governments of Mariano Melgarejo in Bolivia and José Joaquín Pérez in Chile.

This was termed in[clarification needed] Uti possidetis of 1810, a formula devised mainly to prevent European nations from setting foot in America, on the plea that between one heritage and another there were vacant regions susceptible of being title of res nullius.

In particular, remote regions, sparsely-populated or uninhabited areas, inhospitable climate, and sparse local vegetation caused a lack of geographical knowledge and hence administrative determination of the borders.

Since uncertainty characterized the demarcation of frontiers according to the uti possidetis 1810, several long-running border conflicts arose in America after independence throughout the 19th century.

In 1842, the Chilean government of Manuel Bulnes declared the 23° South parallel of latitude (near Mejillones) as the northern frontier of Chile it was then impossible to foresee the enormous importance of guano and nitrate.

The Lindsay-Corral Protocol gave Chile the right to appoint customs officers to work alongside their Bolivian counterparts in the condominium zone; stipulated that tax rates could not be modified unilaterally; confirmed Bolivian acceptance of nitrates and borax as products included in the terms of the 1866 treaty; agreed that Bolivia would make a separate account of the amount to be received for taxes not derived from the common zone; and stated that the eastern limits of the common zone would be fixed by experts of both countries and, in case of disagreement, by a third nominated by the Emperor of Brazil.

The Peruvian government saw the Lindsay-Corral Protocol as an increase in the regional influence of Chile and urged Bolivia to reject it, and on May 19, 1873, the Bolivian Assembly postponed approval to 1874.