March 18, 2020
News and Insights
Relevant Information On The Covid-19
Relevant Information On The Covid-19
In Cannizzo, the health and safety of our employees, clients and business partners is a priority, so we actively monitor the COVID-19 pandemic scenario and its possible consequences in Mexico. In this sense, we have implemented the recommendations of national and international health authorities, creating a business continuity plan for preventing infection and foreseeing a possible declaration of health contingency by the Mexican authorities.
As part of this business continuity plan, Cannizzo has implemented safety measures to help preserve the health of our clients, employees and community: (i) social distancing is mandatory within our offices and professional meetings have been restricted to the minimum necessary that do not involve any risk; (ii) all international trips of our partners and associates have been cancelled and national trips have been reduced to the minimum necessary; and (iii) a remote work program has been implemented alternating between Cannizzo’s collaborators and staff in order to reduce the physical presence in our offices and thus reduce to the minimum the probability of COVID-19 infection.
Cannizzo has the technology and systems to implement a Smart Working scheme that will ensure the continuity of our services in a timely manner and with the same quality, allowing all our collaborators, partners, associates and back office staff to reach the maximum level of professional performance.
All our staff is prepared to work remotely, and our IT and systems team has a close collaboration with Cannizzo’s staff to ensure uninterrupted access to all our systems and guarantee the provision of excellent legal services to all our clients.
As a result of the above, our clients and business partners will be able to contact our lawyers and staff via telephone, e-mail, video conferencing and other technologies, on a regular basis.
We will put attention to the evolution of the measures that, from time to time, are decreed by the responsible authorities in order to implement them efficiently and quickly and to communicate you the relevant legal implications of such measures.
The Cannizzo team reiterates its commitment and insists on its willingness to remain loyal to the values and guiding principles that have characterized us over the past 40 years, emphasizing that we will continue to provide our services regularly and efficiently.
We wish that all of you and your families are doing well. Please find below the recommendations of the World Health Organization with which we will be able to face the historical episode in which we find ourselves together and we include below a brief summary of some of the legal effects in Mexico as a consequence of COVID-19.
SOME LEGAL EFFECTS OF COVID-19 IN MEXICO
a. Litigation. (i) the Supreme Court of Justice has decided to suspend jurisdictional activities from March 18 to April 19, 2020, during which time no sessions, hearings, or procedural deadlines will be held; (ii) the Federal Judiciary Council announced the suspension of judicial terms and work in federal courts and tribunals from March 18 to April 19 2020; (iii) the Mexico City Judiciary Council has determined the suspension of constitutional terms from March 18 to April 20, 2020; (iv) the Federal Court of Administrative Justice will suspend activities from March 18 to April 19, 2020; (v) the Mexico City Court of Administrative Justice has decreed the suspension of terms from March 18 to April 17, 2020; and (vi) the Federal Conciliation and Arbitration Board has determined to suspend activities from March 19 to April 19, 2020 (with some exceptions related to collective bargaining agreements).
b. Employment Agreements.
b.1. Joint Commission on Safety and Hygiene. In accordance with the provisions of Article 475 Bis of the Federal Labor Law, the employer is responsible for safety and hygiene. This is done through the health and safety commissions that shall exist in each company or establishment.
b.2. Medical examinations. Employees shall submit to the medical examinations provided for in the internal regulations and other rules in force in the company or establishment, to verify that they do not suffer from any contagious disease.
b.3. Employees with COVID-19. If any employee has COVID-19, the Mexican Social Security Institute (IMSS) must issue a certificate of disability and the employer may pay the salary in full for the first three days of the disability. As of the fourth day, the IMSS shall pay a daily subsidy equivalent to 60% of the salary reported to the Institute and the employer shall not pay 40% of the remaining salary.
b.4. Health Contingency. In case the competent authority issues a declaration of health contingency that implies the suspension of work, the employer shall only be obliged to pay its workers an indemnity equivalent to one day of the general minimum wage in force, for each day that the suspension lasts, without exceeding one month.
c. Contractual Liability. In certain cases the COVID-19 pandemic could represent an Act of God, which, in terms of the provisions of the Federal Civil Code (remember that the civil matter is local so each state is authorized to legislate on such matters), could generate cases of exemption from compliance with contractual obligations. In the event that our clients are unable to comply with their contractual obligations due to a direct consequence of the COVID-19 pandemic, it will be important to analyze the specific case and the agreement from which the obligation derives to determine the possibility of suspending compliance or, if applicable, the need to notify the relevant Act of God.
Sincerely