Mexico moves to protect trademarks and industrial property

Written by: Tania Ordaz, GTM Governance Latin America

In a globalized world, obtaining legal protection on innovation and technological development is a growing priority; a necessity in order to avoid possible piracy and misuse of technological developments.

Intellectual Property (IP) is one of the essential elements of influence in promoting technology, development and innovation that reflects the efforts of enterprises to modernize, and the competitiveness of the economy of a country. IP combines a set of exclusive rights that protect both innovative activities demonstrated in new products and procedures or designs as market activity by identifying exclusive products and services offered in the market.

Free trade enables international business across borders and helps to stimulate economies, but comes with the associated risk of intellectual property infringement. This is why it’s important for the owners of technology to obtain legal protection for all new developments that will be exploited commercially abroad.

Legal reforms for protecting trademarks in customs operations.

Mexico’s Industrial Property Act is in place to protect the creators and producers of goods and services. This law is monitored by the Mexican Institute of Industrial Property (IMPI), the administrative authority responsible for the protection, prevention and combat of acts against Intellectual Property and unfair competition.

Effective July 4th, 2015, corresponding trademarks must be declared in Customs documents for goods entering Mexico, proving the legal status of the goods in the country of origin. Declarations are monitored by the Tax Administration Service (SAT) through the 49 Customs offices across Mexico. This allows for early detection of dubious products or those that may be infringing on intellectual property rights related to the brands/trademarks, based on the Marcanet master database provided by the Mexican Institute of Industrial Property.

The declaration of trademarks allows the Mexican Institute of Industrial Property to distinguish between similar products and identify possible fraudulent transactions, preventing acts against intellectual property and unfair competition. Consequences for fraudulent transactions can include administrative sanctions and the seizure of products as a precautionary measure while legal procedures are undertaken.