Mexico: New federal courts for commercial bankruptcy proceedings (concursos mercantiles)

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In order to encourage the promotion and specialized attention of corporate restructurings and insolvency proceedings, by agreement of the Plenary of the Federal Judiciary Council of Mexico, two district courts specialized in commercial bankruptcy matters (concursos mercantiles) have been created, located in Mexico City.


Courts in Commercial Bankruptcy Matters

By means of General Agreement 4/2022 (the "Agreement") of the Plenary of the Federal Judiciary Council, published in the Official Gazette of the Federation on March 4, 2022, two courts specialized in commercial bankruptcy matters have been created. Among others, the Agreement highlights the following:

  • Similar to other international jurisdictions, the Agreement provides for the creation of the first two specialized courts for the filing, processing and attention of insolvency proceedings or concursos mercantiles requested by companies/debtors or filed by creditors throughout Mexico.
  • The courts have been designated as "First and Second District Courts in Commercial Bankruptcy Matters", and will be located in Mexico City.
  • These courts will hear first instance commercial bankruptcy proceedings (concursos mercantiles) and indirect amparo lawsuits filed against resolutions issued by other district judges in commercial bankruptcy matters. The unitary and collegiate circuit courts retain their jurisdiction to resolve appeals and indirect and direct amparo claims related to these insolvency proceedings.
  • The specialized courts will start operating as of March 7, 2022. In addition, it is relevant to note that all active insolvency proceedings that are active on other district courts throughout the country, regardless of the stage of such procedures, will be transferred to the new courts as of November 2020. Likewise, the related indirect amparo will be re-turned to them.

With the creation of these first courts specialized in insolvency proceedings, an upturn in insolvency proceedings and corporate restructuring is expected in Mexico, as finally there will be expert judges who will guarantee the timely and expeditious application of the Mexican Commercial Bankruptcy Law.


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