Issue 111–April 2013



April 10, 2013

Recent Case Decision – Requirements for the Operation of Supplemental Laws

By Adrián Salgado

Recently, the Second Chamber of Mexico’s Supreme Court of Justice (Suprema Corte de Justicia de la Nación or SCJN) approved judicial decision number 2a. /J. 34/2013 (10a.) under the heading, “Supplementary Laws. Requirements for Their Operation.” In such case decision, the Second Chamber of the SCJN held that the use of supplementary laws may be proper to satisfy an omission in the law or to interpret its provisions and integrate such with other rules or general rules of principles contained in other laws. Based on the forgoing, the court held that in order for such a supplementary law to apply, the following is necessary: (i) that the law serving to supplement another law expressly establishes such possibility, indicating the law … read more


April 19, 2013

Initiative for Constitutional Reform to Allow Foreigners to Acquire Residences in the Border and Coastal Zones of Mexico

By Iker Dieguez

On April 3, 2013, Federal Congresswoman Gloria Elizabeth Núñez Sánchez and Federal Congressman Manlio Fabio Beltrones Rivera of the Institutional Revolutionary Party (PRI) submitted the initiative to Congress, along with the draft decree to amend section I of article 27 of the Constitution of the United Mexican States. This initiative is the first attempt to reform the constitutional provision dating from 1917 which prohibits foreigners from directly acquiring ownership of real property located within the “restricted zone,” consisting of a strip of land that covers 100 kilometers along Mexico’s land borders and 50 kilometers along the country’s coastlines. The initiative seeks to allow foreigners to acquire direct ownership of real property located within the restricted zone, so long as the … read more


Employee Participation in Profit Sharing Payments (PTU)
By Pablo Sáenz

All Mexican employers, whether individuals or entities, are required to calculate and pay mandatory profit sharing payments to employees within 60 days following the filing of their annual Mexican tax return, so PTU payments are due on May 30, 2013 for entities and June 30, 2013 for individuals . The obligation for employers to make such payments is based on the legal provisions in Section IX of Article 123 of the Political Constitution of the United Mexican States, which establishes that employees shall have the right to participate in their employer’s profits in the amount of 10% of such employer’s taxable income. As such, the following types of employees have the right to receive profit sharing payments: a).- permanent employees … read more


Real Estate Law – The Professionalization of Realtors in Mexico
By Jorge Ojeda

In many countries, the provision of real estate services consists of the promotion and marketing of real estate, and it is required that such services be provided by individuals or companies that have gone through an accreditation process with an authority or a certifying association. Such process exists in order to professionalize the quality of service, training and updating of realtors and verify that they act ethically and are penalized for actions that do not conform to required minimum standards. The lack of regulation of realtors, or real estate brokers, in Mexico has led to a market that ranges from global companies with high quality and ethical standards to firms that, because of a lack of employment opportunities in the … read more