|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.|
APRIL 2012 EDITION ARCHIVE
Legal UpdatesFollowing up on the article published in the previous edition on Economic Complementation Agreement No. 55 between MERCOSUR and Mexico ("ACE 55"), we reported that Mexico decided to agree to a renegotiation with Brazil. As a result, on March 19, 2012, Brazil and Mexico signed the Fourth Additional Protocol to Appendix II "On Commerce in the Automotive Sector between Brazil and Mexico" to ACE 55, agreeing to establish maximum quotas or limits on annual... [Read More]
- Recently, the First Chamber of the Supreme Court of Justice of the Nation (SCJN, for its acronym in Spanish) published the legal decision, pursuant to conflicting court opinions, number 1a./J. 85/2011 (9a.) titled, "Promissory note with successive and accelerated maturity. Payable as of the business day following the date of the payment installment that was not covered by the obligor" in the Weekly Federal Court Gazette. In such opinion, the First Chamber... [Read More]
Real Estate Law – Real Property Owner Required to Comply with Social Security Contributions for Employees of their Construction ContractorReal property owners must constantly enter into agreements for the construction of improvements, including buildings, warehouses, offices, etc., in which case the work is carried out by contractors, through their employees or sub-contractors. By law, such contractors are responsible for compliance with the employee-employer obligations related to their contracted personnel and employees arising from the corresponding project. In addition to the real property owner's... [Read More]
- Any company that hires Mexican employees or foreigners in Mexico should be cautious with the implementation of necessary documentation related to such hiring. To begin with, it is important to take into consideration that Mexican labor laws are designed to protect the rights of Mexican workers, regardless of whether such workers are of Mexican or foreign nationality and the problems that may result. Article 123 of the Constitution of the United Mexican States and... [Read More]
- These days it is hard to think of a company that is not somehow linked to intellectual property rights. Even the smallest companies can identify a link to intellectual property rights in some manner, either through their use of a trademark to identify their products or services, or because, over the passage of time, they have developed their own technologies that will eventually be the source of new inventions. In any case, it is always a good idea to adopt measures... [Read More]
Business & Politics OutlookAfter the mandatory mid-campaign electoral break ended, political campaigns took off simultaneously with the commencement of Holy Week, the second most important celebration in Mexico after Christmas. Polls show that Enrique Peña Nieto has a significant lead that remains stable (PRI, 52%), followed by Josefina Vazquez Mota, down in the polls (PAN, 26%), Andres Lopez Obrador, rising in the polls to third place (PRD, 21%), and Gabriel Quadri, at a distant fourth... [Read More]
The following are economic indicators as of April 25, 2012:
Peso/Dollar Exchange Rate: $13.1667 pesos per dollar.
Mexican Stock Exchange: The Mexican Stock Exchange (BMV) closed at 39,066.01 points.
Interest Rates: The Average Interbank Interest Rate (TIIE) for a 28-day period was at 4.7250%.
Feature WebsiteWith this anniversary edition, Cacheaux, Cavazos & Newton (CCN) is proud to present its 100th edition of the CCN MexicoReportTM. The publication of this report developed as a means to provide clients and friends of the firm with information on current events in Mexico involving politics, the economy and business. It also serves as a permanent source of legal updates, particularly on subjects that have the greatest impact on foreign investors in Mexico. ... [Read More]
- There are many circumstances and industrial manufacturing models pursuant to which industrial equipment owned by a foreign company is delivered to a Mexican company as a necessary means to provide manufacturing or assembly services in Mexico. The most common case is that of bailment or consignment of industrial equipment agreements, which serve to supplement a maquiladora, assembly or manufacturing services agreement. Such case is more common today given the globalization... [Read More]
- The ongoing political campaigns in Mexico have focused on Mexico's domestic problems. Mexico's presidential candidates have not expressed any views or proposed any plans concerning future relations between Mexico and the U.S. The candidates seem to be more preoccupied with opinion polls than matters concerning bilateral relations with the U.S., although they have already designated their respective campaign experts on foreign policy... [Read More]