Mexico: Contracts and Commercial Law

An arbitral tribunal ruled that investment managers Cyrus Capital Partners and Contrarian Capital Management lacked standing to bring NAFTA claims against Mexico because their management authority over offshore funds did not constitute treaty-level ownership or control of debt securities. The tribunal also held that investments acquired after NAFTA's termination could not qualify as legacy investments under USMCA Annex 14-C, even if the underlying securities were issued while NAFTA was in force.

The Mexican legal framework governing customs and foreign trade has evolved toward a stricter and more controlled compliance model.

Mexico's customs and foreign trade legal framework has evolved into a substance-based compliance model. Authorities now expect importers to demonstrate not only what was imported, but also why, under what legal relationship, and under what economic terms the transaction took place.