SEPTEMBER 2009 EDITION ARCHIVE
Legal Updates
PRACTIQUE LEGAL - Theft or Misconduct by Employees in the Workplace
by Rene Cacheaux Editor's Note: Beginning this month, the CCN Mexico Report will feature a brief article written by CCN attorney and co-founder Rene Cacheaux containing practical legal information for general use. We hope readers find this new monthly note both helpful and interesting. What can a business person do when an employee steals company property or illegally diverts company funds? One of the first reactions is to interrogate the employee who allegedly committed the... [Read More]300 PALABRAS - 2009 Presidential Address
Opinion by Dr. Mario Melgar-Adalid Mexico's annual presidential address was an opportunity for Mexico's President to showcase his power. With democracy and political openness, such address now sets the stage for political confrontation and intolerance. The modified format of the presidential address now requires the President to submit a written report to Mexico's Congress without the need to appear in person before Congress. Both Chambers of Mexico's Congress have the right to request... [Read More]Constitutional Amendments Regarding Maximum Salaries of Public Servants
After much discussion, amendments to articles 75, 115, 116, 122, 123 and 127 of the Political Constitution of the United Mexican States were published on August 24th, which establish, without limitation, that no federal, state or municipal public official may receive compensation in excess of the amount paid to Mexico's president, and that no public servant may earn a salary that is equal to or greater than that of their immediate supervisor. Note that the reform contains an exception in cases... [Read More]New Rules for Registry of Real Property Guaranties in the Public Registry of Commerce
On August 27, 2009 reforms and additions to various provisions of Mexico's Commerce Code (Código de Comercio) were published creating a new "Real Property Guaranty Single Registry" as an additional section within the Public Registry of Commerce. The Real Property Guaranty Single Registry will allow for the registration of all types of guaranties and encumbrances affecting real property, as well as decisions from commercial law cases through which such guaranties may be created... [Read More]New Regulations to the Law of Renewable Energy
On September 2, 2009 Regulations to the Law of Usage of Renewable Energy and Financing of Energy Transition were published in the Official Journal of the Federation. The new Regulations establish criteria under which the Department of Energy will promote the utilization of various sources of renewable energy, as well as promote research and development of clean energy technology. In addition, the Regulations call for the integration and operation of a Consultative Council for Renewable Energy and... [Read More]Mexico Invites Public Comment on Proposed Amendments to Rules of Origin Provisions of Numerous Free Trade Agreements Signed By Mexico
All Free Trade Agreements (FTA's) executed by Mexico provide the mechanics for determining the origin of multiple products through compliance with Specific Rules of Origin (SRO). These SRO's are determined by the parties as part of the execution of any FTA, and over long periods of time often remain unchanged, typically until dynamics in the market or supply chain change in the region comprising the countries signing such FTA's. The FTA's executed by Mexico foresee groups or technical... [Read More]Draft Modifications to Mexican Standards on Air Emissions
The Department of the Environment and Natural Resources (SEMARNAT) published draft modifications to official Mexican NOM-05-SEMARNAT-1994 to initiate a review and discussion of such draft by interested industry sectors and public groups. In general terms, the changes contemplate: a) eliminating specifications related to direct heating equipment, so long as such function in accordance with applicable regulations, and the norm applies solely to sulfur dioxide from those sources that emit sulfur from... [Read More]Business & Politics Outlook
Political Thermometer
The political temperature in Mexico has risen in September. The month began with the president sending his annual report to Mexico's Congress for analysis and possible calling of top governmental officials to appear and provide further information. The president raised the political tone in calling for greater change in the country. His address, delivered at the National Palace, without the pressure of parliamentary protests in Congress, was unusual in that the he accepted that he had not been... [Read More]Fiscal Reaction to the Current Economic Crisis - Proposed New Taxes
According to almost all economic indicators, Mexico is one of the countries that has suffered most from the worldwide economic contraction. The options available to President Felipe Calderon as he begins the second half of his presidency are much more difficult given the current complicated political situation in Mexico and the arrival of a new opposition majority in the lower house of Congress. It is evident that the federal government's revenues will be significantly lower based on the decrease... [Read More]Economic Indicators
Peso/Dollar Exchange Rate
The quoted exchange rate as of September 10, 2009 was $13.4582 pesos per dollar.Mexican Stock Exchange
The Mexican Stock Exchange (BMV) closed on September 10, 2009 at 29,318.42 points.Interest Rates
On September 10, 2009, the Average Interbank Interest Rate (TIEE) for a 28-day period was at 4.9225%.Mexico IP Info
Descriptive Trademarks
All trademarks, whether such be word or design in nature, consist of a design, three dimensional figure, etc. that is subject to registration, but provisions in article 90 of the Mexican Industrial Property law prohibit registration of some distinctive marks. Among others, "denominations, figures or three dimensional forms which, considered along with their other characteristics, are descriptive of the products or services they seek to protect are prohibited from registration. These include... [Read More]