Mexico Business Opportunities And Legal Framework


What follows is the Table of Contents for a detailed "Doing Business" guide prepared by the law firm Goodrich, Riquelme and Associates.

 

This guide has been written for those business people who believe that, above all, there are profitable opportunities for their companies in Mexico. Business people familiar with doing business outside of their home country know that preparation and planning for entry into international markets is essential. This guide will alert those who approach the Mexican market, and their legal counsel, to the existing legal and regulatory framework.


Although the guide is accurate at the time of its completion, June 30, 1995, it is important to bear in mind that reforms to the legal and regulatory systems are on-going and, thus, users of this guide are urged to ensure that regulations are current and, therefore at the time of decision making, to obtain competent legal advice.

The structure of this document followed a general outline of the main Section headings prepared for Lex Mundi for "Doing Business" Guides, which has been, as of this date, used by more than 50 member law firms and supplemented by Sections XIX through Conclusion added by the Editor.


Click on one of the following links
to access more detailed information
for that topic heading.


FOREWORD

MACRO-ECONOMIC FRAMEWORK (by Roberto Salinas León)
TABLE OF CONTENTS 
  1.     THE COUNTRY AT A GLANCE
    

    1. INTRODUCTION

    2. GEOGRAPHY

    3. POPULATION

    4. LANGUAGE

    5. TIME ZONES

    6. CULTURE
    

  1.     INVESTMENT - GENERAL CONSIDERATIONS
    

    1. POLITICAL SYSTEM

    2. LEGAL SYSTEM

    3. ECONOMIC SYSTEM

    4. COURT SYSTEM

    5. FINANCIAL SYSTEM
    

  1.     INVESTMENT FRAMEWORK
    

    1. NEW FOREIGN INVESTMENT LAW

    2. NAFTA

    3. PRIVATIZATION

    4. INVESTMENT OPPORTUNITIES
    

  1.     SENSITIVE AREAS
    

    1. ZONING

    2. ENVIRONMENTAL REGULATION

    3. COMPETITION LAW

    4. CONSUMER PROTECTION
    

  1.     DIRECT SALES
    

    1. NOMS

    2. HEALTH

    3. LABELING

    4. GENERAL IMPORT REGIME

    5. TAXATION OF DIRECT SALES

    6. TEMPORARY IMPORTS

    7. TRANSFER PRICING

    8. THE VIENNA CONVENTION

    9. TRADE DISPUTES UNDER MEXICAN LAW

    10. TRADE DISPUTES UNDER NAFTA
    

  1.     EXPORTS FROM MEXICO
    

    1. TEMPORARY IMPORT PROGRAM FOR EXPORT (PITEX)

    2. FOREIGN TRADE COMPANIES (ECEX)

    3. HIGHLY EXPORTING COMPANIES (ALTEX)

    4. IMPORT TAXES DRAW-BACK PROGRAM

    5. MAQUILADORA PROGRAM (IN-BOND PROGRAM)
    

  1.     REPRESENTATIVES, DISTRIBUTORS, FRANCHISEES
    

    1. REPRESENTATIVES

    2. DISTRIBUTORS

    3. FRANCHISEES

    4. CONSIDERATIONS
    

  1.     INTELLECTUAL PROPERTY. LICENSING
    

    1. PATENTS

    2. UTILITY MODELS

    3. INDUSTRIAL DESIGNS

    4. INDUSTRIAL SECRETS

    5. TRADEMARKS AND SERVICE MARKS

    6. COLLECTIVE TRADEMARKS

    7. COMMERCIAL SLOGANS

    8. TRADE NAMES

    9. APPELLATIONS OF ORIGIN

    10. ROYALTY PAYMENTS

    11. TRADEMARK LICENSE AGREEMENTS

    12. COMPARATIVE ADVERTISING

    13. PARALLEL IMPORTS

    14. COPYRIGHTS INCLUDING SOFTWARE

    15. FRANCHISES
    

  1.     DIRECT INVESTMENT
    

    1. COMMON FORMS

    2. GENERAL COMMENTS
    

  1.     PURCHASE BY FOREIGN CORPORATIONS OF A BUSINESS IN MEXICO
    

    1. COMMENTS

    2. TAXES IMPOSED ON TRANSFER OF ASSETS OR STOCK
    

  1.     BRANCHES
    

    1. GENERAL STATUS OF BRANCHES

    2. APPROVAL REQUIREMENTS

    3. TAXES
    

  1.     SUBSIDIARIES AND COMPANIES
    

    1. TYPES OF MERCANTILE COMPANIES
    

  1.     EXCHANGE CONTROLS
    

    1. EXCHANGE CONTROL REGIME

    2. CAPITALIZATION AND PAYMENT OF DIVIDENDS
    

  1.     THE TAX SYSTEM
    

    1. GENERAL COMMENTS

    2. ADMINISTRATION

    3. INCOME TAX

    4. PERMANENT ESTABLISHMENT AND FIXED BASE

    5. OTHER TAXES ON CAPITAL AND TRANSACTIONS

    6. MEXICO'S TAX TREATIES
    

  1.     LABOR
    

    1. UNIONS

    2. LOCAL EMPLOYEE REQUIREMENTS

    3. GENERAL LABOR REGULATIONS

    4. LABOR REGULATIONS AND FOREIGN EMPLOYEES

    5. EMPLOYMENT CONTRACTS AND TERMINATION
    

  1.     DISSOLUTION OF BUSINESS ENTITIES
    

    1. DISSOLUTION AND LIQUIDATION

    2. MERGER AND TRANSFORMATION

    3. SPLIT-OFF

    4. SUSPENSION OF PAYMENTS AND BANKRUPTCY
    

  1.     INTERNATIONAL RELATIONSHIPS
    

    1. GATT AND THE WORLD TRADE ORGANIZATION

    2. NAFTA AND OTHER FREE TRADE AGREEMENTS

    3. ASIA-PACIFIC ECONOMIC COOPERATION MECHANISM

    4. ORGANIZATION FOR ECONOMIC COOPERATION AND DEVELOPMENT

    5. OTHER INTERNATIONAL CONVENTIONS
    

  1.     DISPUTE RESOLUTION
    

    1. COURT PROCEEDINGS

    2. ARBITRATION

    3. EXECUTION OF FOREIGN JUDGMENTS AND ARBITRAL AWARDS
    

  1.     REAL ESTATE
    

    1. ACQUISITION OF REAL ESTATE BY FOREIGNERS

    2. AGRICULTURAL, LIVESTOCK AND TIMBERLAND

    3. FORMALITIES CONCERNING THE TRANSFER OF PROPERTY

    4. TAXES
    

  1.     SECURING TRANSACTIONS
    

    1. MORTGAGES/LIENS

    2. PLEDGES

    3. GUARANTY

    4. CONDITIONAL SALES - RESERVATION OF TITLE

    5. TRUSTS

    6. LETTERS OF CREDIT

    7. LEASES
    

  1.     GOVERNMENT SALES AND CONTRACTING
    

    1. RELEVANT LAW SOURCES

    2. GRANTING OF CONTRACTS

    3. FOREIGN PARTICIPATION
    

  1.     IMMIGRATION
    

    1. NON-IMMIGRANT

    2. IMMIGRANT

    3. PERMANENT RESIDENT

    4. GENERAL COMMENTS

    5. TEMPORARY ENTRY OF BUSINESS PERSONS UNDER NAFTA

    6. NATURALIZATION
    

  1.      HUMAN RIGHTS


         CONCLUSION