In a technology company, the main asset is the code, and Mexican law protects it as copyright, not as an invention. That difference determines what a competitor can and cannot be prevented from doing, and which documents the company needs to do so.
What the law requires
Software is a work. Under Article 101 of the Federal Copyright Law (Ley Federal del Derecho de Autor), a computer program is the original expression, in any language or code, of a set of instructions for a computer to perform a task. It is protected on the same terms as a literary work, in source code and object code, including artificial intelligence programs, under the amendment published on May 14, 2026 (Article 102). By contrast, the Federal Law for the Protection of Industrial Property (Ley Federal de Protección a la Propiedad Industrial) expressly excludes computer programs from the concept of invention (Article 47), so that, as a general rule, code is not patented.
What it protects and what it does not. Copyright protects the expression (the specific code, its structure and its documentation), but not the idea, the method or the functionality in themselves. Thus, a competitor who writes from scratch a program that does the same thing does not infringe for that reason alone; one who copies or adapts the code does.
The owner’s rights. The owner may authorize or prohibit the reproduction of the program, its translation, adaptation or modification, its distribution, its decompilation, reverse engineering and disassembly, and its communication to the public (Article 106). The legitimate user may make the copies authorized by the license or a single backup copy (Article 105).
Databases. Databases that, by reason of the selection or arrangement of their contents, constitute intellectual creations are protected as compilations, although the protection does not extend to the data themselves (Article 107). Those that are not original are protected for the exclusive use of whoever compiled them for five years (Article 108).
Who owns it. The author is the natural person who created the work (Article 12). If the program was created by employees in the performance of their duties, the economic rights belong to the employer, unless otherwise agreed (Article 103). If an outside party created it, a work-for-hire agreement (obra por encargo) or a written assignment is required (Articles 30 and 83).
Written form of licenses. Contracts transferring economic rights and use licenses must always be executed in writing, or they are null and void by operation of law (Article 30). In the software business, where licenses are accepted online, that requirement is met, under Article 93 of the Commercial Code (Código de Comercio), with a data message that remains intact and accessible for later consultation. For that reason, it is advisable to keep, for each customer, the exact version of the license it accepted and the evidence of its acceptance.
Registration. Protection exists from the moment the work is fixed in a medium, even if it is not registered (Articles 5o. and 162). The Public Copyright Registry (Registro Público del Derecho de Autor) provides legal certainty and public notice for works and acts (Article 162), and assignments must be recorded to be effective against third parties (Article 32). For the company, registration provides evidence of authorship and date, and recording the chain of title allows it to show that the code belongs to it.
What to do and by when
- Identify the software components that generate value for your company and determine whether they were created by employees, outside parties or founders.
- Verify that each outside party has signed a work-for-hire agreement or a written assignment.
- Register the main versions of your software and its documentation with the National Copyright Institute (INDAUTOR).
- Record the relevant assignments so that they are effective against third parties.
- Review your customer licenses to specify which copies, modifications and uses they authorize and which they prohibit, including reverse engineering.
- If your business model depends on databases, document their selection process and structure, which is what the law protects.
- Protect as a trade secret (secreto industrial) whatever should not be disclosed in a registration, such as algorithms or parameters, through confidentiality measures.
Recommendations to mitigate risk
Without a documented chain of title, the company may be unable to prove that the software is its own before a third party, an investor or a buyer. To act against anyone who copies its code, the law provides an administrative route: using, reproducing or exploiting a computer program without the owner’s consent, for profit, is an infringement in commercial matters (Article 231, section VII), which the Mexican Institute of Industrial Property (IMPI) punishes with a fine of five thousand to forty thousand days of minimum wage (Article 232, section I). Under the constitutional de-indexation amendment published on January 27, 2016, that unit is understood to refer to the Unit of Measurement and Update (UMA), meaning 5,000 to 40,000 UMA (MXN 586,550 to MXN 4,692,400). The company, however, can enforce that penalty against an infringer only if it first proves that it is the owner.
Self-assessment
Answer yes or no about your own company.
- Do you know who wrote each relevant component of your software?
- Do you have signed work-for-hire or assignment agreements with all outside developers?
- Have you registered the main versions with the National Copyright Institute?
- Have you recorded the assignments of rights you acquired?
- Do your customer licenses expressly prohibit reverse engineering and modification?
- Do you protect as a trade secret what should not be registered?
How we approach it at LEXURE
We design your company’s software protection strategy by combining copyright, trade secrets and contracts: what to register, what to keep confidential, how to document ownership and how to draft licenses that allow you to defend it. We deliver a chain-of-title file ready for an investment review or a claim.
If code is your company’s main asset, schedule a diagnostic meeting with us and let’s review how it is protected.
Legal basis
- Federal Copyright Law, last amended DOF May 14, 2026, Articles 5o., 12, 30, 32, 83, 101, 102, 103, 105, 106, 107, 108, 162, 231, section VII, and 232, section I. Current text (opens in a new tab)
- Federal Law for the Protection of Industrial Property, Article 47. Current text (opens in a new tab)
- Commercial Code, Article 93. Current text (opens in a new tab)
- Political Constitution of the United Mexican States, decree DOF January 27, 2016, third transitory article. Current text (opens in a new tab)
- Value of the Unit of Measurement and Update 2026, INEGI. Official publication (opens in a new tab)
This note is for information only and describes the law in force on the verification date. It is not legal advice on a specific matter. It is a translation of the Spanish original: Mexican law is published in Spanish, and the official Spanish texts prevail.