MEXICO CITY — The Mexican banking sector is calling on the Supreme Court of Justice (SCJN) to expedite the establishment of specialized financial courts to handle the recovery of guarantees on defaulted loans. The move aims to resolve a massive backlog of litigation that has stalled for years due to a lack of judicial specialization.
According to the president of the Association of Mexican Banks (ABM), while a new judicial system has begun to emerge, only two specialized commercial courts for the financial sector currently exist at the local level. However, significant progress remains needed to reconfigure courts and judges at the federal level.
The sector faces a daunting challenge: over 55,000 pending lawsuits primarily involve the recovery of guarantees for mortgages that have fallen into default. While average litigation for mortgage guarantees typically takes one to two years, the current lack of specialists can cause these cases to drag on for much longer periods.
The Need for Structured Court Expansion
Legal experts emphasize that the creation of these specialized courts depends on the approval of the Judicial Administration Body. Moisés Padilla, an associate at the law firm Pérez Correa González, noted that the existing two specialized courts are quickly saturated.
“The goal is to implement new commercial courts in a structured manner,” Padilla stated. “We need to ensure that when they begin operations, they are not immediately overwhelmed, which would prevent them from delivering prompt, efficient, and technically sound resolutions.”
Currently, because specialized courts are scarce, the workload exceeds the capacity of generalist judges. This creates significant friction between the public and banking institutions, as the system struggles to clear the backlog of disputes ranging from trust fund issues to unrecognized charges.
A Demand for Technologically Savvy Judges
The banking sector also highlights a growing need for judges who understand modern financial technology. Teodoro Serralde, director of Serralde Consultores, argues that the modernization of banking—including electronic systems and digital contracts—requires a level of expertise that many current judges lack.
“Modernization has not been fully integrated into the judicial system,” Serralde explained. “Many judges sometimes do not understand the very financial instruments or contracts they are tasked with adjudicating. We need people capable of understanding both the specific law and the use of information and communication technologies, including personal data protection.”
The Judiciary’s Open Door
Despite these challenges, the ABM maintains a collaborative stance with the judiciary. Emilio Romano, president of the ABM, recently highlighted the importance of judicial training and specialization as the cornerstone of the ongoing judicial reform.
“The judiciary is advancing in training and specialization schemes, which the entire sector is closely watching and ready to support,” Romano said. He also noted that the Supreme Court has shown a willingness to engage with the banking sector through working tables.
“Justice shouldn’t be seen as something that only favors the banks or our clients,” Romano added. “The priority is to achieve prompt and efficient justice that protects those who need it.”