This Country Answer reflects the state of the law as of 18 July 2008. Please refer to the explanations in the chapter entitled Disclaimer and Preliminary Note.

A. The Contracting State and the New York Convention

1. Name of Contracting State (also specify jurisdiction(s), if relevant)

Mexico.

Explanatory note: Mexico is a federal republic comprising 32 federative entities (31 states and one federal district). Mexico's legal system is based on the civil law tradition.

In Mexico, power is divided between the federal government, which has legislative jurisdiction over certain matters throughout Mexico, and the governments of each internal state, which have legislative jurisdiction over certain matters within their respective territories. In certain areas, the jurisdiction of the federal government and that of the states and territories overlap. The federal government and each state have their own court systems composed of a court of first instance and a court of appeal, with final recourse to the Supreme Court of Justice of Mexico.

All Mexican governments (federal and local) have some jurisdiction over matters affected by recognition and enforcement of foreign arbitral awards. Pursuant to the Mexican Constitution and certain court decisions in this respect, international treaties take precedence over both federal and local laws. Accordingly, all Mexican jurisdictions and their respective courts must construe and apply rules concerning recognition and enforcement of foreign awards pursuant to the principles of the New York Convention (or other conventions in this regard).

In addition, the Mexican federal system of government expressly grants authority over commercial matters to the federal government while reserving civil matters for the states. Consequently, the federal Congress has issued commercial laws that include rules on commercial arbitration (the Mexican Commercial Code incorporates the UNCITRAL Model Law on International Commercial Arbitration into the Mexican system with minor modifications), while the state governments may have included arbitration rules in their individual codes of civil procedure.

Unless stated otherwise, the answers below addresses the application of the New York Convention to commercial matters only.

2. Date of entry into force of the New York Convention

13 July 1971.

Explanatory note: The New York Convention's entry into force in Mexico was the result of the following constitutional process: the Convention was signed by the Mexican government on 7 June 1957, approved by the Mexican Senate on 15 Oct. 1970, and the instrument of ratification or accession was filed with the Secretary General of United Nations on 14 Apr. 1971 and published in the Federal Official Gazette on 22 June 1971.

(Source: Decree published in Federal Official Gazette, 22 June 1971, pp. 2-4.)

3. Has any reservation been made under Art. I(3) of the New York Convention regarding:

(a) reciprocity

No.

(Source: Decrees published in Federal Official Gazette. 14 Nov. 1970 and 22 June 1971.)

(b) commercial relationships

No.

(Source: Decrees published in Federal Official Gazette, 14 Nov. 1970 and 22 June 1971.)

4. In addition to arbitral awards made in the territory of another State, the New York Convention (Art. I(1)) also applies to arbitral awards not considered as domestic awards in the State where recognition and enforcement are sought. Are there any awards rendered in your country that are not considered as domestic awards such that the New York Convention and the answers to this Questionnaire are applicable to them?

Although awards rendered in Mexico are normally considered as domestic awards, it is questionable whether awards rendered in Mexico with regard to an investment arbitration (pursuant to or deriving from a current multi- or bilateral investment treaty to which Mexico may be a party) can be considered as domestic awards under Mexican law. Under some investment treaties to which Mexico is a party, arbitral awards could be enforced through the application of the New York Convention, regardless of the fact that they were rendered in Mexico.

B. National sources of law

5. What specific sources of law are applicable to recognition and enforcement of foreign awards (e.g. statutes, regulations, codes, directives, other legal instruments)?

(i) Commercial Code, Federal Official Gazette. 7 Oct. 1889; (ii) Federal Code of Civil Procedure, Federal Official Gazette, 24 Feb. 1943; (iii) local codes of civil procedure; (iv) judge-made law.

C. Limitation periods (time limits)

6.

(a) Is there a limitation period (time limit) applicable to the commencement of legal proceedings for recognition and enforcement of foreign awards?

There is no specific limitation period applicable to recognition and enforcement of foreign awards under Mexican law. However, it may be argued that the limitation period applicable to legal commercial proceedings for enforcement of judgments under Mexican law also applies to foreign awards.

(b) If yes, what is the applicable limitation period (time limit) and when does it start running?

If the limitation period applicable to legal commercial proceedings for enforcement of judgments also applies to foreign awards, the relevant limitation period would be 10 years as from the date of notification of the award to the parties.

(Source: Mexican Commercial Code, Art. 1047.)

D. National courts and court proceedings

7. What authority or court has jurisdiction over recognition and enforcement of foreign awards?

As a general rule, federal courts have jurisdiction over all controversies that arise from the enforcement and/or the application of federal laws and international treaties (e.g. Mexican Commercial Code, including its provisions on international commercial arbitration, and the New York Convention). Consequently, the federal court of first instance (i) where the respondent is domiciled in Mexico or (ii) where the respondent's assets are located has jurisdiction over recognition and enforcement of foreign awards.

However, if the controversy affects only the interests of private parties (i.e. does not involve a State or a public entity), the applicant may, at its own discretion, choose between the federal or state court of first instance where the respondent is domiciled or where its assets are located.

(Sources: Mexican Political Constitution, Art. 104.I; Mexican Commercial Code, Art. 1422.)

8. What requirements, if any, must be met for the authority or court to accept jurisdiction over recognition and enforcement of foreign awards (e.g. domicile or assets of respondent in the jurisdiction, etc.)?

The respondent must have its domicile or assets (e.g. goods or property) within the jurisdiction of the court in which the applicant is requesting recognition and enforcement of a foreign award.

(Source: Mexican Commercial Code, Art. 1422.)

9. Is the first decision granting or denying recognition and enforcement obtained through ex parte or inter partes proceedings?

The first decision granting or denying recognition and/or enforcement must be obtained through inter partes proceedings.

(Sources: Mexican Commercial Code, Art. 1463; Federal Code of Civil Procedure, Art. 360; corresponding articles in local codes of civil procedure.)

10.

(a) Is the first decision granting or denying recognition and enforcement subject to any form of appeal or recourse?

In general no, but the party against whom the award was made can appeal against its recognition by way of a constitutional remedy known as amparo.

(b) How many levels of appeal or recourse are available against this decision?

One-the amparo constitutional procedure. In very general terms, the purpose of the amparo procedure is to challenge the validity of an act of authority (only acts of authorities, including judicial decisions, can be so challenged) on grounds of illegality due to a violation of fundamental rights established in the Mexican Constitution. It is common practice to allege a violation of Arts. 14 and 16 of the Mexican Constitution, requiring an 'exact application of the law'. In general, the claimant in the amparo procedure will allege that the act of authority did not apply the law correctly. In practice, the amparo has become an 'appeal' in which the procedure and the merits of the case are reviewed. However, it is important to bear in mind that no new arguments or evidence can be filed in an amparo.

According to Mexican law and the Supreme Court of Mexico, an amparo indirecto can be filed against a ruling made on an application to set aside an award. The peculiarity of this type of amparo (as opposed to the amparo directo) is that it is in two stages. First, it must be filed in a civil district court (Juzgado de Distrito), which has jurisdiction over both commercial and constitutional (amparo) matters. A revision appeal may then be brought against the district court's ruling in the collegiate courts, whose decision will be final.

(Source: Article 1463 of the Mexican Commercial Code.)

As to the recognition and/or enforcement of non-commercial awards, the decision of the federal or state court of first instance can be appealed.

(Source: Article 574 of the Federal Code of Civil Procedure.)

11. What is the earliest stage in legal proceedings for enforcement of foreign arbitral awards at which a party can obtain execution against assets (i.e. party actually obtains possession of assets as opposed to simply freezing assets)?

The judgment recognizing and/or enforcing an award may be executed against assets immediately after the second-instance decision in the amparo procedure has been issued.

E. Evidence required

12.

(a) What evidence must be supplied for recognition and enforcement of foreign awards (e.g. arbitral award, contract containing the arbitration clause, affidavits, witness statements, etc.)?

The following evidence must be supplied: (i) the arbitral award and (ii) the arbitration agreement.

(Source: Mexican Commercial Code, Art. 1461.)

(b) Is it necessary to provide the entire document or only certain parts (e.g. entire contract or only arbitration clause)?

It is necessary to supply: (i) the award in its entirety and (ii) the whole arbitration agreement or the relevant pages of the document containing the complete arbitration clause.

(c) Are originals or duly certified copies required?

The following are required: (i) an original or a certified copy of the award and (ii) an original or a certified copy of the arbitration clause.

(Source: Mexican Commercial Code, Art. 1461.)

(d) How many originals or duly certified copies are required?

The following are required: (i) at least one original or one certified copy of the award and (ii) at least the original or one certified copy of the arbitration clause.

(e) Does the authority or court keep the originals that are filed?

It is possible to submit to the court a written and reasoned request for the return of the original.

13.

(a) Is it necessary to provide a translation of the documents supplied?

Yes.

(Sources: Mexican Commercial Code, Art. 1461; Federal Code of Civil Procedure, Arts. 271 and 572.III.)

(b) If yes, into what language?

Spanish.

(Sources: Mexican Commercial Code, Art. 1461; Federal Code of Civil Procedure, Arts. 271 and 572.III.)

(c) Is it necessary for the translations to be certified and, if yes, by whom (official or sworn translator, diplomatic or consular agent (of which country?) or some other person)?

An award rendered outside Mexico must be translated by a translator registered on the list of experts with either federal or local courts.

(Source: Mexican Commercial Code, Art. 1461.)

(d) Is it necessary to provide a full translation of the documents or only a translation of certain parts (e.g. entire award or only part setting forth the decisions; entire contract or only arbitration clause)?

It is necessary to provide a full translation of the award and the arbitration clause. There is no need to provide a translation of the entire contract containing the arbitration clause.

F. Stay of enforcement

14.

(a) Can the authority or court stay legal proceedings for recognition and enforcement pending the outcome of an application to set aside or suspend the foreign award before the competent authority referred to in Art. V(1)(e) of the New York Convention?

Yes. If an application to set aside or suspend an award has been made to a court of the country in which, or under the law of which, the award was made, the court to which recognition or enforcement is requested may adjourn its decision, if it considers this proper.

(Source: Mexican Commercial Code, Arts. 1462(I)(e) and 1463.)

(b) On what other grounds, if any, can the authority or court stay legal proceedings for recognition and enforcement (e.g. forum non conveniens)?

There are no other grounds under Mexican arbitration law for staying legal proceedings for recognition and enforcement.

(c) Is the granting of a stay of legal proceedings for recognition and enforcement conditional on the provision of security?

No. However, if the court considers it proper, it may, at the request of the applicant, order the respondent to provide sufficient security.

(Source: Mexican Commercial Code, Art. 1463.)

G. Confidentiality

15.

(a) Do the documents filed in legal proceedings for recognition and enforcement form part of the public record? If yes, can any steps be taken to preserve the confidentiality of such documents?

Access to documents and information filed in legal proceedings for recognition and enforcement is restricted to persons having a legal interest that is accredited by the court.

The confidentiality of documents can be preserved by the courts provided that the party filing them indicates that such documents contain confidential information and that such party is entitled to preserve the confidentiality of such information according to the Federal Transparency Law.

(Source: Federal Transparency Law, Arts. 14(4), 18 and 19.)

(b) If there are hearings on recognition and enforcement, are such hearings confidential? If not, can steps be taken to maintain the confidentiality of the legal proceedings?

As a general rule, hearings held in legal proceedings for recognition and enforcement are public, unless the court considers that such hearings should be confidential.

(Sources: Mexican Commercial Code, Art. 1080(I); Federal Code of Civil Procedures, Art. 274.)

(c) Are judgments on recognition and enforcement published? If yes, can steps be taken to remove the names of the parties or avoid publication of confidential information (such as business or State secrets)?

Final judgements on recognition and enforcement, like final judgements in general, are considered as public information, although the parties involved can object to the publication of their personal data.

(Source: Transparency Law, Art. 8.)

H. Other issues

16. When, if ever, can a party obtain recognition and enforcement of interim or partial foreign awards?

Only final awards are subject to recognition and enforcement. Partial and interim awards, provided they are final, may thus be recognized and enforced.

17. When, if ever, can a party obtain recognition and enforcement of non-monetary relief in foreign arbitral awards (e.g. order requiring a party to deliver up share certificates or other property)?

When the recognition and enforcement procedure has been concluded and an enforceable resolution has been issued in such enforcement procedure (see answers to Q.10 and Q.11 above).

18. When, if ever, can a party obtain recognition and enforcement of only part of the relief granted in foreign awards?

In general, a court only grants or refuses recognition and enforcement of an award as a whole. Nonetheless, the applicant may request and obtain recognition and/or enforcement of only part of the relief granted in the award. The applicant may later request recognition and enforcement of the other parts of the award provided he/she is not time-barred from doing so.

It is possible to obtain enforcement of part of an award if the other part of that award is found to (i) exceed the jurisdiction of the arbitral tribunal (where part of the award deals with a dispute not contemplated by or not falling within the terms of the arbitration agreement, or if the award contains decisions on matters beyond the scope of the arbitration agreement), or (ii) violate international public policy in Mexico, and provided that other part of the award is separable from the rest of the award.

Since awards may be partially set aside by Mexican courts, it is possible to obtain partial enforcement of such awards.

(Source: Mexican Commercial Code, Arts. 1457(I)(c) and 1462(I)(c).)

19. When, if ever, can a party obtain recognition and enforcement of foreign awards which have been set aside by the competent authority referred to in Art. V(1)(e) of the New York Convention?

Pursuant to Mexican statutory law, recognition or enforcement of an arbitral award, irrespective of the country in which it was made, may be refused when the award has been set aside or suspended by the courts of the country under the law of which that award was made. Nonetheless, there is no case law addressing this issue directly.

(Source: Mexican Commerce Code, Art. 1462(I)(e).)

20. Are there any other procedural or practical requirements relating to recognition and enforcement of foreign awards which are worth mentioning (e.g. unusually high court costs, filing fees, stamp duties, obligation to post security as a condition for seeking recognition and enforcement, obligation to identify the assets that will be the object of enforcement, etc.)?

No.

Country Rapporteur: Claus von Wobeser.