On June 8, 2023, the Plenary of the Supreme Court of Justice of the Nation (hereinafter, “SCJN”) decided on the constitutional dispute 94/2021 filed by the Federal Economic Competition Commission (hereinafter, “COFECE” – Mexican Antitrust/Competition Authority), to challenge the validity of the Decree issuing the Law for Transparency, Prevention, and Combating of Improper Practices in Advertising Contracting (hereinafter, the “Advertising Contracting Law”), published on June 3, 2021, in the Mexican Official Gazette (hereinafter referred to as the “DOF”).
According to the press release 202/2023 published by the SCJN itself (hereinafter, the “Press Release”), the decision, which was supported by a majority of 8 votes out of its 11 members, was issued declaring the invalidity of the Advertising Contracting Law due to various violations of the legislative process, particularly the principle of informed and democratic deliberation and the rights of parliamentary minorities, as set forth in articles 71 and 72 of the Federal Constitution. As a result of the above, the decision will have general effects throughout the national territory, pursuant to Article 42 of the Regulatory Law of Sections I and II of Article 105 of the Political Constitution of the United Mexican States (hereinafter, the “Regulatory Law”).
It is important to highlight that the SCJN, through the decision, only addressed the violations committed during the legislative procedure as set forth in the federal Constitution, excluding from its analysis the scope and constitutional basis of the substantive subject matter regulated by the Advertising Contracting Law.
In the coming days, the decision will be published in the Mexican Official Gazette as well as in the Judicial Gazette, which will allow a more detailed analysis of the reasoning employed by the SCJN to invalidate the Advertising Contracting Law. Based on the contents of the judgment, it will be important to observe how the Mexican Congress, as the authority that issued the Advertising Contracting Law, will comply with the decision of the SCJN.
As soon as the judgment is published, we will provide a more detailed analysis of the key aspects and implications that the sentence will have on the advertising ecosystem in Mexico.
If you require further information regarding the contents of this document or any legal assistance, please contact:
Luis López Linaldi – Partner
LUIS.LINALDI@S-L.MX
Phone: +52 55 50015409
Alan Osorio Aragón – Associate
ALAN.OSORIO@S-L.MX
Phone: +52 55 50620074