Combine chicken, vinegar, garlic, salt and pepper in a large bowl. Let stand for at least 30 minutes. Heat oil in a skillet over medium heat. Sauté onions and tomatoes until soft and wilted. Drain chicken reserving marinade. Add chicken pieces to the pan. Stir-fry for about 4 to 6 minutes or until chicken colors slightly.
Add reserved marinade, paprika, bay leaf and water. Bring to a boil. Reduce heat and let it simmer for 30 minutes or until chicken is tender. Adjust seasonings to your taste.
Remove from heat. Transfer to a serving dish and serve with white rice.