Issue 102–June 2012

June 1, 2012

New Federal Anti-Corruption Law in Public Procurement

The Federal Anti-Corruption Law in Public Procurement was published in the Official Journal of the Federation on June 11, 2012. Its purpose is to establish the liability and sanctions to which individuals and entities of Mexican or foreign nationality would be subject as a result of violations stemming from their participation in federal public procurement projects, as well as those sanctions that should be applied to individuals and entities of Mexican nationality for violations in international commercial transactions. Such law became effective on June 12, 2012 and establishes a procedure to investigate and punish individuals and companies involved in acts of corruption at any level of Mexico’s federal public procurement system, and imposes serious economic sanctions on offenders, including a … read more

June 1, 2012

Do Mechanic’s Liens Exist in Mexico?

By Jorge Ojeda

In the U.S., a mechanic’s lien is a lien on land, buildings and other improvements that generally arises by state statute and assists to secure payment to those who supply labor and/or materials for construction projects. Mechanic’s liens basically help guarantee payment to contractors and/or subcontractors for labor and/or materials provided for land or a building. The concept of a mechanic’s lien, as understood in the U.S., does not exist in Mexican law, where the performance of certain formalities and proceedings is always required in order to obtain a security interest in real property and its improvements. To begin with, in Mexico, all improvements constructed on a tract of land form a part thereof, and the legal presumption is that … read more

Minimum Requirements for Hiring Personnel
By Pablo Sáenz

It is very important for companies to understand the minimum requirements with which they must comply when hiring Mexican or foreign personnel. The minimum rights held by employees working in Mexico are provided for in Article 123 of the Constitution of the United Mexican States and its regulatory law, the Federal Labor Law (LFT, for its acronym in Spanish), the Social Security Law, which guarantees the right to health, medical assistance and retirement and pensions for employees, and the National Workers’ Housing Fund law, which regulates the housing needs of employees. When hiring personnel of Mexican nationality, companies should: (i) ask the potential candidate to complete an employment application in the format used by the company for such purposes, which … read more

Trademarks and the Internet
By Antonio Campero

The Internet has become the most sought after means of all communication media, or at least the medium that allows immediate access to the content of products and ideas on a global scale. Today, it is common for products and services to be offered to a vast array of countries and regions. As far as trademarks are concerned, once such are displayed on the Internet, they are available to anyone, which may result in the following consequences, among others: i) the imminent risk that the trademark may not only be imitated or reproduced in other countries, but also registered by third parties; and ii) the additional risk that anyone who advertises through the Internet (and therefore on a global scale) … read more