When can an arbitration tribunal's competence be challenged?

The Constitution guarantees the administration of justice, allowing parties to resolve disputes before a judicial body. However, certain subjective rights can be waived in order to choose an alternative dispute resolution mechanism, such as commercial arbitration, provided that such rights are not rights of public order or social interest (eg, the alimony that a minor is entitled to receive).

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MEXICO: ADR

Alternative Dispute Resolution (ADR) in Mexico is encouraged by the government to relieve the pressure on the courts from the growing number of cases that need to be resolved. If you are looking to resolve a commercial dispute through ADR in Mexico, please note that significant efforts have been made to improve the professionalism of this practice. For example, a few years ago, a comprehensive training and certification program for mediators was initiated and is being implemented. The authorities, including the judiciary, inform the parties about the possibilities and advantages of using the mediation procedure and recommend resorting to it in order to resolve the conflict. However, mediation is still not a very popular method of resolving commercial disputes in Mexico. Arbitration, both domestic and international, continues to be the most popular ADR method in the United Mexican States.

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Foreign investors harmed by trade measures may find relief by bringing investment arbitration claims

A recent investor-state arbitration decision under the investment chapter of the North American Free Trade Agreement (NAFTA Chapter 11), Vento v. Mexico, demonstrates that foreign investors protected by an international investment agreement may submit arbitration claims that international trade regulatory and tariff measures breach the state's international obligations.

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