A legal thesis published on July 11, 2025, by the Second Collegiate Labor Court of the Seventh Circuit confirms a critical point for employers in Mexico: when entering into an individual employment contract for a specific project or fixed term, the employer is required to present the documents that justify the temporary nature of the employment, even if such documents contain confidential or strategic business information.
What did the Court decide?
In the case analyzed, the employer argued that it could not submit client contracts or purchase orders supporting the project-based employment, as they were confidential. However, the Court ruled that confidentiality does not exempt the employer from its burden of proof, and that the legal system provides mechanisms to protect sensitive information during litigation, including:
- Requesting that documents be treated as confidential by the court.
- Submitting redacted public versions.
- Restricting access to judges, parties, and authorized attorneys.
Why does this matter for employers?
Project-based or fixed-term contracts are only valid when the nature of the work justifies the temporary arrangement. The burden to prove this objective cause lies entirely with the employer. If the justification relies on purchase orders, client contracts, or project documents, they must be properly included in the employee’s file and made available for trial purposes.
At Vega, Guerrero & Asociados, we assist our clients in properly documenting the objective cause in temporary contracts—building a solid defense from the outset of the employment relationship.
Are your project-based or fixed-term contracts properly supported? Contact us for a preventive review.
