If using whole chicken, divide the chicken into small pieces, splitting the thighs and breasts. Discard any trimmings like wing tips. Sprinkle with salt and pepper and set aside.
In a large (~15 in.) flameproof casserole dish, preferably a cazuela, heat 3 tablespoons of oil over medium heat and sauté the garlic until golden. Do not allow garlic to burn or it will become bitter. Remove garlic and reserve.
Sear the chicken in hot oil until well browned on all sides and almost done, about 15 minutes.
Add the jamón, sherry, bay leaf, rosemary and/or thyme, parsley, reserved garlic and paprika. Squash the garlic lightly to release its flavor. Simmer, stirring occasionally, for 10 minutes or until sherry is reduced by half. Add the chicken broth, carefully scraping the bottom of the pan to loosen any browned bits. Cover and simmer for an additional 10 minutes.