What impact did the pandemic have on the Pharmaceutical and Medical Technology Industries in Mexico?

The pharmaceutical industry is among the most important sectors worldwide and is also one of the most profitable businesses in Mexico, which has the second largest pharmaceutical market in Latin America. The pandemic has aggravated the inequitable access to essential medicines in the public and private sectors of Mexico. Pandemics are a global public health concern and during the lockdown of the country, it had a massive impact and continues to do so now.

In what ways do you see the in-house legal role evolving in your region over the next few years?

The in-house legal role needs to evolve more proactively as opposed to reactively. Also, in-house counsel needs to think more analytically and act as a strategic partner to the business and provide fast solutions within compliance. The role requires more creativity to mitigate risks and liabilities, especially in a heavily regulated industry. The legal team needs to be more connected with the organisation to respond to their needs and provide proper legal advice. The role will require being disruptive by introducing innovative ways of working, with regards to negotiation and execution of contracts, data protection, anti-trust regulations, e-commerce, corporate governance, compliance and enforcement.

What are the most significant cases or transactions that your legal team has recently been involved in?

We have been involved in a major internal restructure of all legal entities from the Group because of a labor and tax reform in Mexico. This reform prohibits subcontracting of personnel and implied the implementation of a new way of working with respect to certain specialised services that are neither part of the corporate purpose nor of the economic activity of the beneficiary of such services.

The execution and implementation of this project was incredibly challenging due to the time constraints and the number of employees impacted.

Alongside, we have been working on a multi-million litigation case with respect to a claim from a talent alleging an infringement of image rights. A data protection breach complaint derived from the same case has also been part of our projects and has been subsequently resolved in our favor by the authority.

On top of that, we have also been advising the business on a wide variety of marketing launches for new infant formulas, OTC products, acquisition of new products and licensing agreements such as the new Choco Milk popsicle with Unilever. We have also secured SICO a recognition by IMPI (Mexican Patent and Trademark Office) as a notorious trademark. Additionally, we secured full implementation of a new labeling regulation for some of our products to be compliant with NOM-051 and conducted a successful seizure of counterfeited products and medicines in a heavy environment.

As we enter the next decade, what skills will a corporate legal team need to succeed in the modern in-house industry?

Excellent oral and written communication with internal and external stakeholders. It is important to act as a trusted business partner balancing risks and benefits for the business, legal research and technological skills and an excellent understanding of e-commerce.

All these skills need to be fully compliant with local laws and internal policies to be successful. This is critical behavior that will represent the legal team as a role model for other areas of the company.