The Association of Real Estate Developers warned that the amendments to the Amparo Law could limit developers’ legal defenses, generate legal uncertainty, and hinder the influx of capital into the Mexican real estate sector.
Limiting the scope of amparo jeopardizes legal certainty and the country’s economic development.
The Association of Real Estate Developers (ADI) expressed concern about the proposed amendments to the Amparo Law, believing they could weaken investors’ legal protections and jeopardize the development of new projects in the country.
According to the organization, the reforms would limit the possibility of obtaining suspensions in response to acts of authority and reduce the scope of court rulings, leaving developers without an effective tool to defend themselves against discretionary decisions regarding permits, land use, or environmental regulations.
One of the most sensitive issues, the ADI warned, is the inclusion of a transitional article with retroactive effect, which would affect companies currently facing amparo lawsuits. This change, the association emphasized, violates the constitutional principle of non-retroactivity of the law and could have direct repercussions on already committed investments.
The real estate sector, the ADI recalled, is particularly sensitive to legal certainty. If the new provisions were applied immediately, projects would face higher costs, delays, and adjustments to their planning, which would even require renegotiating contracts with investors or clients. Such conditions would increase financial risks and, eventually, final prices for consumers.
Finally, the ADI reiterated its willingness to collaborate with public authorities and civil society to strengthen legal certainty, protect investment, and ensure that the real estate sector continues to be a key driver of economic growth, job creation, and housing creation in the country.
Source: realstatemarket
