EN 
ES - A wave of non-compliance comes after the pressure of Russia-NATO restrictions on supply chains.
- It will damage those who have not prepared themselves with a legal war kit.
Mexico City, April 21, 2022. "We have not yet measured the impact that the Ukraine-Russia war with NATO restrictions will have on Mexican companies," said Roberto Fernández del Valle, a partner in charge of the disputed area of the law firm Santamarina y Steta. “What is very clear is that a significant impact is taking place in the supply chains, which will be accentuated in the following weeks. The foregoing will be added to the closure of markets due to a pandemic, economic crisis, generalized global inflation, and a shortage of raw materials due to economic restrictions on both sides of Russia, Europe, and the United States. People are not going out to work, companies are without activity, ports and several ships are stranded,” he said.
The expert explained that those who receive inputs in their supply chains, such as sectors such as construction and automotive, will be immediately affected by increases in the price of steel, fuel, and many other raw materials and strategic inputs. Consequently, they will incur delays and an unexpected increase in prices. This is how a climate of non-compliance is being triggered. “It will be very harmful to those who have not prepared themselves with a legal war kit that allows them to anticipate this situation in their contracts, resolve their disputes and get ahead,” he clarified.
Roberto Fernández del Valle listed the main actions to follow so that Mexican companies can better overcome the new economic and commercial conditions in the world:
1.- Review contracts in light of the situation of potential customers, suppliers, and materials from abroad.
2.- Calculate risk scenarios in production logistics, times, and delays in the delivery of raw materials and supplies.
3.- Calculate and foresee the consequences of non-compliance in every part of the supply chain.
4.- Measure the consequences of the company itself falling into default with third parties. Calculate the cost of compensation, fines, etc.
5.- Carry out a general check-up of the company, to avoid additional domestic complications.
6. Define in detail the measures to be taken in each case and the legal means for resolving disputes.
The specialist stressed that up to now, Mexican companies, in general, have entrenched themselves and are not moving, waiting for the general business outlook to improve. However, he predicted that those who push forward and head off the legal consequences of non-compliance early on will fare the best of luck. For such purposes, he stressed that several alternative legal mechanisms avoid incurring in courts which, due to saturation, will resolve over a long period, which can be severe for everyone. Among them, he pointed to dispute resolution panels, which resolve differences on the spot, and other options, such as arbitration.
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