The North American Free Trade Agreement and the Mexican system of products liability: Harmonization and reform of Mexican tort law

The increased trade and contact among nationals of Canada, Mexico, and the United States since NAFTA was enacted requires greater uniformity in the laws of each country. Products liability legislation in the three countries is no exception. While each country's laws do address civil liability for product defects, they approach this regulation in different ways. Mexico's laws in this area lag far behind those of the United States and Canada in offering consumer protection. As a result, Canadian and U.S. manufacturers and distributors face much less of a risk of liability when they introduce inferior products into the Mexican market than Mexican manufacturers and distributors encounter in the Canadian and U.S. markets. Mexico's producer-friendly laws encourage manufacturers in all three countries to produce poor-quality products for the Mexican consumer.;Another problem that emerges from this lack of integration of the three countries' products liability laws is the ability of Mexican manufacturer's to escape liability under judgments issued against them in the United States and Canada. Through the use of the "Amparo" in Mexico, Mexican manufacturers can prevent Mexican courts from enforcing these foreign judgments. "Amparo" is a constitutional instrument that protects the guaranties of freedom, equality, property, and security. A party that is held liable for a product defect may use this legal instrument by arguing that the execution of a judgment against it goes against the public order and therefore affects its constitutional guarantees. The amparo typically would be used when a foreign court requires a Mexican manufacturer to pay punitive damages. The concept of punitive damages is not contemplated in Mexican law; therefore, the manufacturer could show that enforcing the judgment would violate its constitutional rights.;This Dissertation argues for the improvement of Mexican products liability laws to bring these laws more in line with those of the other NAFTA countries. These proposed improvements to Mexican law are based on a study of the products liability laws in place in the civil law system (Continental Law) of Spain. This Dissertation also proposes certain legal reforms that need to be made within the Mexican legal system so that products liability judgments dictated in the United States and Canada may be executed with the assistance of Mexican courts, without violating the constitutional guarantees of the affected parties. This Dissertation is addressed to readers who are familiar with the legal system for products liability in the United States. Therefore, while an overview of Mexico's and Canada's laws in this area will be presented, this Dissertation does not include an overview of the corresponding U.S. laws.