Smaller Firms Deliver on Details to Ensure SuccessFri, 02/01/2019 - 10:43
Q: Why should companies choose CLG Abogados over any other legal consultancy?
A: Our specialists have strong expertise in the areas of acquisitions, customs, litigation and administrative law. Thanks to this range of expertise we can help almost any company involved in the energy industry. We have advised companies operating in the electricity arena, with qualified suppliers, and with natural gas projects. In terms of litigation, we have not yet worked with energy companies but we expect to do so soon as companies will require this service. The lack of litigation in the energy industry is mostly due to the newness of the market.
Q: What is the advantage of being a small law firm compared with major or international law firms?
A: There may be bigger law firms but we have found that due to their size and the variety of projects they cover, which pertain to many areas of specialization, these firms stop paying attention to critical details that can make a big difference when developing a project. Our size allows us to closely interact with the client and to accelerate timelines to ensure a successful project.
Q: In what project was CLG Abogados the differentiating factor between a successful and a failed project?
A: We cannot reveal details about specific projects but in one instance where we worked with a large company, it was interesting to see how the biggest problem it faced was communication. One of the company’s divisions needed an energy generation permit to continue working and it thought that another division was responsible for that permit. The second division did not know this. Both parties, including the law firm that was working with them, noticed this problem only when the project was at an advanced development stage. The company then came to us and we had to solve this critical problem in a short time to avoid delaying or stopping operations.
Small problems like these tend to happen when a big law firm oversees the operations of a client that has many divisions. Both are so big and have such a broad vision of the market that they can easily get lost in the small details. This does not happen with CLG Abogados. Nevertheless, while we are very successful in solving emergency situations, we always prefer to use our abilities to accompany clients from the beginning of a project to avoid these situations emerging in the first place. We can make sure that the opportunities in the market become a reality.
Q: What aspects pertaining to customs do companies need to know before importing to or exporting from Mexico?
A: The Energy Reform resulted in changes in this area. When that happened, we found ourselves in a privileged position when consulting for any company that had to deal with imports or exports. We are strongly specialized in this area and have seen the variety of problems resulting from the import of PV panels. This is critical because depending on the scheme under which the panels are imported, different tariffs are implemented, which can greatly affect balance sheets. Negative situations could have been avoided if companies had selected the appropriate import scheme from the beginning. We could have helped companies that are now struggling with paperwork if they had consulted us from the very beginning, but it is common for companies to act according to how they believe things should be done, rather than the way that things must be done.
Q: What other aspect of the regulation is becoming a headache for companies involved in the energy industry?
A: When the Telecommunications Reform took place, a clear problem arose because the law did not properly state which institution, IFT or COFECE, should oversee problems related to competition. It took a long time to decide which institution should be in charge of solving problems of that kind. We are now suffering the same issue in the energy industry because it is not clear if problems related to competition should be solved by CRE or by COFECE. This is a problem we are constantly facing with our clients.