Split chicken in half. Skin it and remove visible fat. Rinse and dry the chicken off.
In a large skillet, heat olive oil over medium heat and sauté onions until brown. Add garlic and stir for 1 minute. Add tomatoes, bay leaves, oregano, olives, capers and jalapenos. Stir and bring to boil. Add lime juice and parsley. Cover and simmer for 10 minutes.
Soak the clay pot according to manufacturer’s directions. Layer the potatoes on the bottom. Place the chicken on top of the potatoes, breast side up. Check the seasoning in the tomato mixture then pour it over the chicken. Cover. Place clay pot into a cold oven, then turn oven on to 375°F. and bake for 1 1/2 hours.