The 2010 World Cup Golden Ball winner was at the heart of everything as Penarol went to the top of the Uruguayan Primera Division.
However it wasn't an easy start for Uruguay's biggest team as they went 1-0 down in the 27th minute when Felipe Rodriguez opened the scoring.
Forlan's class shone through in the 40th minute when he cut in from the left and curled a shot to the far post to make it 1-1.
Shortly before half-time the 2011 Copa America winner made it 2-1, before setting up Migeul Murillo twice to make it 4-1.
Forlan then completed his hat-trick with an incredible header - stretching himself as the ball curled behind him to flick it over the Defensor keeper.
Penarol is first with three wins from three games in the Clasura