With the new administration of President Andrés Manuel
Lopez Obrador, Mexico is currently facing numerous political and
economic changes. These changes will have a direct impact on
business activities in Mexico including the manufacturing industry.
From a legal perspective, we have identified some "hot
topics" that should be taken into consideration by foreign
companies doing business in Mexico, particularly in the
manufacturing sector.
Piercing of Corporate Veil
Mexican law and Courts have always respected the corporate veil,
which separates the legal personality of an entity or company from
its shareholders. This means that foreign investors doing business
in Mexico through Mexican subsidiaries have traditionally been
protected from liability for the Mexican subsidiary's debts or
obligations. Although the piercing of the corporate veil in certain
cases is something that is commonly seen in other jurisdictions,
until recently Mexican Courts had been reluctant to
