Mexico: Legal Environment

In this page: Business Contract | Intellectual Property | Legal Framework of Business | International Dispute Resolution

Business Contract

General Observation: A contract is considered international if the parts involved have a permanent residence or are established in different states or if the contract has objective contacts with more than one state.
Law Applicable to the Contract: Mexico is member of the Vienna Convention for the application of the International Contracts of Real Estate transactions.
Advisable Incoterms: It is advised to use the Incoterm FOB (Free on Board) or CIF (Cost, Insurance and Freight).
EXW is one of the best options for the seller but he must organise his own transportation.
Language of Domestic Contract: Spanish

Intellectual Property

National Organisations: Mexican Institute of Intellectual Property (in Spanish)
Secretaria de la Educacion Publica (in Spanish)
National Institute of Copyright (in Spanish)
Regional Organisations: World Intellectual Property Organisation
International Membership: Member of the WIPO (World Intellectual Property Organization)
Signatory to the Paris Convention For the Protection of Intellectual Property
Membership to the TRIPS agreement - Trade-Related Aspects of Intellectual Property Rights (TRIPS)

National Regulation and International Agreements

Type of property and law	Validity	International Agreements Signed
Patent Industrial Property Law	20 years	Patent Cooperation Treaty (PCT)
Trademark Industrial Property Law, Article 16	10 years	Trademark Law Treaty
Design Copyright Law	75 years after the death of the author
Copyright Copyright Law	75 years after the death of the author.	Berne convention For the Protection of Literary and Artistic Works Convention for the Protection of Producers of Phonograms Against Unauthorized Duplication of Their Phonograms Rome ConventionFor the Protection of Performers, Producers of Phonograms and Broadcasting Organizations WIPO Copyright Treaty WIPO Performances and Phonograms Treaty
Industrial Models Law of Industrial Property	20 years

Legal Framework of Business

Equity of Judgments

Equal Treatment of Nationals and Foreigners: Foreigners are entitled to impartial justice.
The Language of Justice: Spanish
Recourse to an Interpreter: Yes, as long as it is an officially certified translator.
Legal Similarities: The Political Constitution of Mexico is the basis of the Mexican legal system. The judicial system is a combination of constitutional theories and American civil rights, as well as judicial revisions of different legislative statutes. Mexico accepts compulsory jurisdiction from the International Court of Justice, but with limitations.

The Different Legal Codes

Civil Law	Federal Civil Code
Commercial Law	Commercial Code
Criminal Law	Criminal Code

Checking National Laws Online: Federal Legislation ( In spanish)
Other Useful Resources: Mexican Government website
Country Guides: Federal institution websites

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The Jurisdictions

Supreme Court of Justice	It is the maximum constitutional court and head of the Federal Judicial Power. It protects the order established by the Mexican Constitution, keeps the balance between other powers and government domains through its court rulings.
Electoral Court	It is the maximum authority jurisdictional specialized in controlling and solving disagreements on the federal elections, as well as actions and resolutions that can violate political and electoral rights of the citizens.
Circuit Collegiate Courts	It is in charge of providing direct protection against conclusive judgments or against resolutions. It is the appeal court for judgments already pronounced either by the district judges or the responsible of the superior court, as well as extradition orders dictated by the President of the Republic as a response to a petition from a foreign government.
Circuit Unitary Courts	It performs judgments of protection promoted against deeds from other circuit unitary courts. It is the appeal court for issues heard on first instance and district courts; it is the resource for a denied appeal. It qualifies impediments, excuses and rejections from district judges; etc.
District Courts	They are in charge of crimes of federal order, procedures of extradition, authorizations to interfere in private communications, and controversies between the application of federal law in administration, civil or labor subjects. Also indirectly involved in resolving crime, administrative, civil and labor issues.
Federal Judiciary Council	Manages, supervises and disciplines the judicial course of the Judicial Power of the Federation with the exception of the Supreme Court and the Electoral Court. It determines the division and competence of territories and specialization - by subject - of the Circuit Collegiate, Circuit Unitary Courts and District Courts.

Court Officials

Supreme Justice Court (in Spanish): The Supreme Court is the guardian of the Constitution, the protector of fundamental rights and the arbitrator who settles disputes.

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International Dispute Resolution

Arbitration: In Mexico, it is possible to use arbitration as a method to solve controversies.
Arbitration Law: Commercial Code
Conformity to International Commercial Arbitration Rules: Party to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards.
Appointment of Arbitrators: One to three arbitrators can be selected to represent each party.
Arbitration Procedure: The party that recurs to arbitration present its petition in written to the organisation that will manage the process. The date when this request is presented is the date when the process of arbitration is open. The other party shall eventually present its written argument as well.

The petition must contain: full name and address of all parties involved; exposition of the events which lead to the present claim; and demands and proposals regarding the place, rights and language chosen. An agreement to arbitrate and the basic contract must be included as well.

For more information, visit the Centre of Arbitration in Mexico
Permanent Arbitration Bodies: Information System of Exterior Commerce (Sectors Covered: Commercial Arbitration)

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