|The CCN Mexico Report™ is a monthly newsletter with coverage of Mexican political, business and legal topics from Cacheaux, Cavazos & Newton (CCN). Subscriptions to the CCN Mexico Report™ are free. The CCN Mexico Report™ features exclusive commentaries and views from CCN’s attorneys and professionals in both English and Spanish. CCN is an international law firm with offices in Texas and Mexico dedicated to serving clients doing business in the NAFTA region.|
JULY 2010 EDITION ARCHIVE
Legal UpdatesIs it possible to acquire insurance outside of Mexico for property casualty, life, health and medical expenses and any other type of insurance in order to cover risks or casualties arising in Mexico? This issue arises every day and has its complications and legal limitations. The general rule is that all insurable risks arising in the Mexican territory must be covered with insurance policies issued by insurance companies authorized to sell insurance in Mexico. Nevertheless, this... [Read More]
- On June 30, 2010, the decree that creates administrative improvements in the simplification of federal tax returnswas published. The highlights of such decree, effective as of July 1, 2010, are the following: 1.Taxpayers to whom the single rate business tax (IETU) applies may file, in the month that follows the end of the fiscal year, the information used as basis to determine such tax for such fiscal year, instead of filing such information on a monthly or annual basis; 2. In terms of the valued... [Read More]
- Pursuant to the General Business Associations Law, the capital of a variable capital entity that increases due to subsequent capital contributions or by admission of new partners, or that undergoes a decrease due to the withdrawal of capital, can be carried out without any formalities other than those set forth in the variable capital chapter of said law, which does not provide for the recording of such capital increases or decreases in the Public Registry of Commerce. In practice, various... [Read More]
- Mexico’s Industrial Property Law has continuously adapted in order to become more effective. There is a new cause of action that may be brought against a party claiming to have an exclusive right to a patent, as provided in a decree published on June 18, 2010, which amends and adds various articles to Mexico’s Industrial Property Law. The new cause of action can result in administrative penalties against parties holding patent or license rights and file infringement... [Read More]
Business & Politics OutlookThe assassination of Rodolfo Torre Cantu a few days before Mexico’s July 4 elections shocked Mexico. Mr. Torre was the Institutional Revolutionary Party’s (PRI) candidate for the governorship of the State of Tamaulipas. In response to Mr. Torre’s assassination, President Calderon called for dialogue and national unity. Some joined the President’s call; others took advantage to reiterate their political discourse, while others characterized the President’s... [Read More]
- Opinion polls were accurate this time since there were few surprises in the elections for twelve governorships and legislative and mayoral elections in fourteen states of Mexico. This is the first round of state and municipal elections that resulted from the constitutional reform that established the first Sunday of July as the official election date on any given year in which an election will take place. This constitutional reform intends to harmonize Mexico’s electoral calendars... [Read More]
Mexico’s Supreme Court Denies the Mexican Electrician Union’s Amparo Constitutional Lawsuit and Upholds the Dissolution of Compañía de Luz y Fuerza del CentroPresident Felipe Calderon’s administration ordered, in a Decree dated October 10, 2009, the dissolution of the state-owned Compañía de Luz y Fuerza del Centro (LFC), which provided electric power to Mexico City and various states in central Mexico. The Mexican Electrician Union (SME) adamantly opposed the dissolution and filed an amparo constitutional lawsuit before a Mexican federal court, which was finally decided by Mexico’s Supreme Court. The SME exhausted... [Read More]
The following are economic indicators as of July 8, 2010:
Pesos/Dollar Exchange Rate: $12.8232 pesos per dollar.
Mexican Stock Exchange: The Mexican Stock Exchange (BMV) closed at 31,960.64 points.
Interest Rates: The Average Interbank Interest Rate (TIEE) for a 28-day period was at 4.9299%.