MEXICO Law and Practice Contributed by: Carlos Fernando Portilla Robertson and Ricardo Valdivia González, Portilla Ruy-Diaz y Aguilar
in Mexican law, the government has authorised some permit holders to offer these games in Mexico. This indicates that, while not explicitly outlined in the Gam- ing Law or the Gaming Regulations, these games can still be permitted under the regulatory oversight of SEGOB, allowing for broader gaming activities within the country. With regard to social gaming activities, the Gaming Regulations exclude certain games from requiring authorisation. Specifically, games involving betting that are played without profit, within a private home, solely for fun or as an occasional pastime are exempt from regulation. These games must not be conducted regularly and should involve only individuals who are associated with – or the owners or residents of – the location where the games take place, with participants being admitted by these individuals. This exemption creates a distinction between casual social gaming and regulated gambling activities. In Mexico, any gambling or gaming matters are gov- erned by the Gaming Law and the Gaming Regula- tions. The Gaming Law and the Gaming Regulations are federal legislation and therefore apply all over Mexico. According to Article 1 of the Gaming Law, gambling is generally forbidden in Mexico. The only exceptions are games and raffles in Article 2 of the Gaming Law explicitly authorised by the Gambling and Raffles Bureau ( Dirección General de Juegos y Sorteos , or the “Bureau”), which is the sole authority empowered to grant gambling and raffle permits. 3. Legislative Framework 3.1 Key Legislation Article 7 of the Gaming Regulations stipulates that games involving betting and raffles may only be con- ducted, operated or organised with prior written per- mission from the Bureau. While the Gaming Regulations have expanded upon the restrictive vision of the Gaming Law to include gaming, betting and lotteries, they still lack compre- hensive updates and details. For instance, “online
gaming activities” are not fully described or regulated, leaving much of the related oversight to the Bureau’s discretion. Additionally, although gaming activities are under fed- eral jurisdiction, local governments and their legisla- tion play a significant role in casino gaming, particular- ly through property law. Local authorisation is required to open casino establishments. In some states, such as Baja California Sur, restrictions are placed on the opening of new land-based casinos, often due to local constitutional provisions. Other states, including Coa- huila, Guanajuato, Nuevo Leon and Tlaxcala, have enacted similar (non-retroactive) restrictions or pro- hibitions regarding the establishment of new casinos. 3.2 Definition of Gambling Under the Gaming Regulations, there is no distinc- tion between gambling and betting. The Regulations define a “bet” as the amount, in local currency, risked in a game permitted under Article 2 of the Gambling Law and regulated by the Regulations. The total prize amount, when added to the amount risked, must exceed the initial amount risked. 3.3 Definition of Land-Based Gambling Land-based gambling is defined as any open or closed place in which games involving betting or raf- fles are carried out with the permission of the Bureau in accordance with the Gaming Law and the Gaming Regulations. 3.4 Definition of Online Gambling As mentioned in 2.2 Land-Based Gambling , the Gam - ing Regulations do not refer specifically to online gam- ing; therefore, the law does not have a formal defini- tion. 3.5 Key Offences According to Article 151 of the Gaming Regulations, the following – among others – are classified as seri- ous offences: • failure by the permit holder to comply with any term or condition established in the permit or in law; • the information or documentation provided to the Bureau to obtain a permit is false;
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