Settlements to change under Mexican collective action law

Author: | Published: 22 Mar 2012

Public companies could be vulnerable under shareholder law suits following Mexico’s collective action law enacted on March 1, lawyers have said. But much remains unclear regarding the potential costs to companies.

Though it’s difficult to impact the precise impact of the legislation, Ritch Mueller attorney Andrés Alcántara said insurance premiums and other operational costs of Mexican companies may increase.

Companies will try to have class actions dismissed to avoid litigation...