Business & Politics Outlook Articles


April 7, 2015

Political Thermometer

Political Thermometer   Political Thermometer   Three years ago, when 500 representatives of Mexico’s Federal Congress took office, no one could have imagined that the Country’s political temperature would rise as much as it has three months prior to the election of the new House of Representatives. Not only will federal elections occur, but 2,159 positions will be at stake, the most notable being nine governors and 16 borough chiefs in the Federal District.  The positions in the Federal District are comparable to those of mayors. The federal election process is substantial, since nearly 1,000 mayors in 16 states and 641 local representatives will be elected this summer. Mexico’s political parties find themselves, for several reasons, in a complicated position.  … read more


April 7, 2015

The Advantages of Arbitration in Mexico

By Raymundo Vázquez Hernández

The rise of commercial arbitration as a means to resolve disputes in Mexico emerged in 1993 as a product of the amendment of the Mexican Commercial Code, which was adopted by the Model Law of the United Nations Commission on International Trade Law (UNCITRAL). From 1993 until the present, the practice of private arbitration in Mexico has become quite active and dynamic. It is increasingly becoming a preferred alternative for resolving conflicts between private parties, without the need to resort to a judicial proceeding in Mexican courts and tribunals. Some of the advantages which make commercial arbitration in Mexico a good option for resolving disputes between parties, as opposed to a court proceeding, include: 1. Judicial Saturation: Even though Article … read more


April 1, 2015

300 Words

300 PALABRAS, by Mario Melgar-Adalid   Mexico 2015: Economic Opportunities   Despite the strange political climate of the last few months, Mexico’s economic outlook points toward a considerably more optimistic view than what social indicators would have predicted. Usually, bad news on social and political behavior negatively impacts the economy; however, the outlook for the Mexican economy points to opportunities, especially for those who consider Mexico as a good option for trade and investment opportunities, or simply tourism. Controlling inflation has historically been a problem for Mexico; however, this factor has ceased to be a concern, as inflation is expected to remain at a reasonable 3% this year. In 2015, higher growth in the country’s Gross Domestic Product is expected … read more


November 18, 2014

Potential Popular Referendum on Mexico’s Energy Reform

By José María Lujambio I.

In August 2012, a decree of reforms to the Mexican Constitution on political matters was published in the Official Journal of the Federation to, among other things, recognize the right of citizens to vote in popular referendums on issues of national importance. Since then, this mechanism of direct democracy has complemented the representative democracy model shaped by Articles 39, 40 and 41of the Constitution. In terms of Article 35, section VII of the Constitution, popular referendums shall be called by Mexico’s Federal Congress at the request of the President of at least 33% of the members of each of its chambers, or the equivalent of a minimum of 2% of registered voters. Under the latter option, last April members of … read more


October 18, 2014

Recent Jurisprudence – Trademarks. Foreign Language

By Adrián Salgado

Recently, the Full Session on Administrative Matters of the First Circuit of the Supreme Court of Justice of the Nation approved legal opinion number PC.I.A. J/23 A (10a), titled: “Trademarks. The Mexican Institute of Industrial Property has the authority to translate words in a foreign language that are submitted for registration in order to determine their viability for registration.” In this legal opinion, the court resolves, by contradictory legal opinion, that the Mexican Institute of Industrial Property may translate words submitted for registration that are in a foreign language in order to determine whether such may be registered through means of the trademark examination procedure. The foregoing applies, considering that section XXII of Article 6 of the Industrial Property Law … read more


September 19, 2014

National Treatment Extended for Foreign Investors under Article 17 of Mexico’s Foreign Investment Law

By Marimar Pérez-Cacheaux

In accordance with article 17 of Mexico’s Foreign Investment Law, foreign business entities that plan to conduct business in an ongoing manner, or that plan to establish themselves in Mexico, are required to request authorization from the Mexican Department of Economy. Notwithstanding this fact, as a result of the execution of various free trade treaties, Mexico agreed to grant investors of the treaty nations treatment that is no less favorable than that which it grants to domestic Mexican investors. Therefore, in August 2012, the Department of Economy published a resolution setting forth the criteria for the applicability of article 17, which waives the requirement to obtain authorization from the Department of Economy for those business entities established in treaty nations, … read more


July 11, 2014

Intellectual Property Notes – Comparative Advertising of Trademarks

By Antonio Campero

Comparative advertising is a tool used in many countries to highlight the benefits of products recognized by the general public by means of the trademark indicated thereon, so that potential consumers can have additional information in order to make an informed decision regarding the purchase of advertised products. In Mexico, comparative advertising occurs in only rare cases, because including trademarks belonging to third parties in one’s own advertising is often considered an infringement that can give rise to penalties from Mexico’s IP authorities, based on the fact that current legislation on this issue establishes that no one “shall disparage or attempt to do so with respect to the products, services, industrial or commercial activities or the establishment of another,” and, … read more


July 10, 2014

300 words, Dr. Mario Melgar Adalid

President Enrique Peña Nieto used his second annual presidential address to announce the construction of a new airport in Mexico City.  Ten years ago, plans for this project in Mexico State town of Atenco came to a halt after violent opposition arose among residents of the area where the airport was to be constructed.  Since then, Mexico City residents have resigned themselves to not having a new airport and to enduring ongoing remodeling work.  The news of this project was the most noteworthy point of the presidential address.  The announcement was accompanied by information as to other issues that will make this enormous project viable.  The new airport will cost over 9 billion dollars and will be constructed on federal … read more


June 10, 2014

Mexican Business Law Reforms

By Marimar Pérez-Cacheaux and Raymundo Vazquez Hernández

On June 13, 2014, numerous reforms to various business laws  were published in the Official Journal of the Federation, which included, among others, the Commercial Code, the General Law of Business Associations, the Law of Investment Funds and the General Law of  Instruments and Credit Transactions. The following highlights some of the most important changes included in such reforms:   Creation of an Electronic Registry: An electronic Public Registry of Commerce has been created and shall operate with an information protocol by means of which the capture, storage, custody, security, consultation, reproduction, verification, administration and transmission of registry information will be maintained. The Department of Economy has one year from the publication of the reform to create the electronic system, … read more


May 10, 2014

CFE and PEMEX Announce Ambitious Plan for Pipelines

The Mexican energy sector is immersed in a transformative process.  The newly approved energy reform has established the basis for consolidating a new stage of energy development that will transform various aspects of the country, hopefully for the better. In any case, the transportation, storage and distribution of natural gas have been open to private investment since 1995. Therefore, independently of the energy reforms being discussed, the Department of Energy (Secretaría de Energía, SENER), the Federal Electricity Commission (Comisión Federal de Electricidad, CFE) and Petróleos Mexicanos (PEMEX) have been tasked with identifying new infrastructure projects for the transport of natural gas, an indispensable hydrocarbon for the electricity, oil, industrial, commercial and residential sectors.  The projects that have been presented for … read more