Mexican Legal Framework of Business Insolvency - White & Case

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indemnification could also depend on whether accession resulted in good or bad faith
of one or both of the parties (cfr. CCF 886, et seq.).
Needless to say, an asset that has disappeared or has been destroyed cannot
be separated.
iii. Not Transferred Pursuant to Final and Irrevocable Legal Title
Title through which the assets were transferred to the debtor shall not be a final and
irrevocable legal title. Final and irrevocable legal title is that which is not subject to
inexistence, annulment, revocation or resolution actions. 31
m. Separation (continued)
The principles set forth in 15.l constitute the general principles of separation; however,
the Insolvency Law provides an illustrative list of cases under which a separation action
can be exercised [LCM 71]. These cases can be grouped as (1) assets subject
to recovery; (2) assets subject to quasi recovery; and (3) assets subject to a
restitution duty.
i. Assets Subject to Recovery
This group includes any assets that are the subject of a recovery action. A recovery
action is an in rem action that may be exercised by an owner of an asset against
someone in possession of that asset, and is directed to obtain delivery of such asset.
ii. Assets Subject to Quasi Recovery
This group includes assets under the following scenarios. Please refer to the
Appendix for a summary of the differences between real property and chattel.
31 Cfr. Zorrilla (1946), pp. 67-68.