Proposed changes to Mexico’s Consumer Protection Law

Hogan Lovells

Below is a brief summary of two proposed changes to Mexico’s Consumer Protection Law.

Project of new Regulations to the Federal Consumer Protection Law

A proposal for new regulations to the Federal Consumer Protection Law was published by Mexico’s National Commission of Regulatory Improvement (CONAMER) on July 16, 2019. This Project of new Regulations is aimed to abrogate the current regulations.

The most relevant changes proposed under the draft bill are: (i) the creation of the Consumers’ Public Registry, which will allow consumers to opt out from receiving advertisement for products and/or services; (ii) Registry of Compensation Policies for Flights' Delays attributable to Concessionaries and Air Transportation Permit Holders, which allows for the compensations and indemnities to be granted to passengers subject of flight delays; (iii) the possibility for suppliers to use results of investigations, surveys, and monitoring of the Consumers Agency in order to perform comparative advertising; and (iv) for establishing the possibility for suppliers to carry out voluntary review (copy-advice) of products and/or services advertising before the Consumer Protection Bureau (PROFECO).

This Project of new Regulations is currently in public consultation, but expect that it could be approved in the following months.

Draft amendment to the Federal Consumer Protection Law

The current governing political party (Movimiento Ciudadano) submitted a legislative initiative on August 14, 2019, to amend the Federal Consumer Protection Law.

The amendment is aimed to expressly contemplate an indemnification and compensation to passengers for flight delays or cancellations, and for sanctioning Concessionaries and Air Transport Permit Holders that do not indemnify and compensate passengers. This draft bill is in the process of discussion at the Chamber of Deputies’ Treasury Commission. We will follow the process, as it may have an impact with air transportation concessionaries operating in Mexico.

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DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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