Constitutional law · The foundation

Article 27: The One Constitutional Article Every Foreign Buyer in Mexico Lives Under

Ejidos, beaches, water, minerals, the restricted zone, expropriation — one article distributes it all.

Every article we've published — on ejido land, on the fideicomiso, on water concessions, on the Bacalar case, on who owns the beach — has been, without saying so, an article about a single provision: Article 27 of the Mexican Constitution of 1917. It is one of the longest constitutional articles in the world, it was written in the middle of a revolution fought substantially over land, and it is the operating system underneath every property decision you will ever make in Mexico.

This piece maps it — clause by clause, in plain English — and shows how each clause becomes the Agrarian Law rules we apply every week. If you read only one technical article on this site, make it this one.

The founding move: the Nation owns first

Article 27 opens with the sentence that makes Mexican property law unlike Anglo-American property law:

Art. 27, first paragraph: "Ownership of the lands and waters within the boundaries of the national territory is vested originally in the Nation, which has had, and has, the right to transmit dominion of them to private persons, thereby constituting private property." (unofficial translation)

Read the sequence: the Nation owns first; private property derives from it. Your title — anyone's title — is not a natural fact the State recognizes; it is a transmission the Nation made and can condition. Everything else in the article is the working-out of that premise:

Fraction I: why the fideicomiso exists

The article then descends into numbered fractions. The first is the one every foreign reader has already met, knowingly or not:

Art. 27, fraction I: Only Mexicans by birth or naturalization and Mexican companies have the right to acquire dominion over lands and waters. The State may grant the same right to foreigners who agree before the Foreign Ministry to consider themselves as nationals with respect to such property and not to invoke the protection of their governments (the "Calvo Clause") — but under no circumstances may foreigners acquire direct dominion over lands and waters within a strip of 100 kilometers along the borders and 50 along the coasts. (paraphrased)

That final sentence is the restricted zone — and the reason the fideicomiso was engineered: a Mexican bank holds title inside the strip, the foreigner holds every beneficial right. Not a loophole; the constitutional design working as intended.

Fraction VII: the agrarian heart

Now the fraction that our practice lives in — and that the Bacalar buyers never heard about:

Art. 27, fraction VII: "The legal personality of ejido and communal population nuclei is recognized, and their ownership of land is protected, both for human settlement and for productive activities. … The law shall protect the integrity of the lands of indigenous groups. … considering the respect for and strengthening of the community life of ejidos and communities, the law shall protect the land for human settlement and shall regulate the exploitation of lands, woods and waters of common use …" (unofficial translation, excerpts)

Unpack what that constitutional language does:

  1. The ejido is a legal person. Not a cooperative, not a neighborhood — a constitutional subject that owns its land. Individual members hold derived rights; the community holds the land.
  2. Its land is constitutionally protected — which is why the Agrarian Law's Article 74 can make common-use land inalienable, imprescriptible and unattachable, and why a private contract "selling" it isn't merely risky but void: the statute is executing a constitutional protection.
  3. The asamblea's supremacy and the internal organs (comisariado, vigilance council) flow from this fraction's mandate that the law respect and strengthen community life — the reason no individual member, however friendly, can sell what belongs to the body.

Fraction VII is also where the 1992 reform — the most important agrarian event since 1917 — did its work. Before 1992, ejido land was untouchable, full stop, and the State was obligated to keep distributing land (the reparto agrario). The 1992 amendment ended the reparto, and authorized — under strict community procedures — what had been unthinkable: ejidos adopting dominio pleno (converting parcels to private property, today's Agrarian Law Articles 81–82) and associating with private capital, including contributing common-use land to companies (today's Article 75). Every legitimate route from ejido land to private ownership that we describe in The Ejido Trap was born in that reform — and every fraudulent shortcut pretends the reform said more than it did.

Fractions XV and XIX: the guardrails and the courts

Two more fractions complete the system a buyer actually touches:

The map, in one table

You encounter…Constitutional rootStatutory expression
Fideicomiso / restricted zoneArt. 27, fr. IForeign Investment Law arts. 10–14
Ejido land can't be "bought" from a memberArt. 27, fr. VIIAgrarian Law arts. 74 (uso común), 80 (cesiones between members)
Dominio pleno conversionsArt. 27, fr. VII (1992 reform)Agrarian Law arts. 81–82
Ejido-company structuresArt. 27, fr. VIIAgrarian Law art. 75
Water concessions / 2026 windowArt. 27, ¶5National Waters Law arts. 20, 24; 2026 CONAGUA agreement
Beach = national propertyArt. 27, ¶1General Law of National Assets arts. 7–8, 127, 154
INSUS regularizationArt. 27, ¶2Agrarian Law arts. 93 fr. V, 94
Seller's maximum lawful holdingsArt. 27, fr. XVAgrarian Law arts. 117–124
Agrarian courtsArt. 27, fr. XIXAgrarian Tribunals framework

Why this matters to you (the honest close)

Foreign buyers get hurt in Mexico when they assume property is a universal language. It isn't. Mexican property law starts from a different first principle — the Nation owns first — and one century-old article distributes everything downstream from it: who may own, where, how much, what can never be owned at all, and which court hears the fight. None of the rules that surprise foreigners are improvisations. They are Article 27, executing.

Which is exactly why they can be navigated. The article is long, but it is written down — and a deal checked against it holds. That check is our work.

Facing a land decision that touches any row of that table?

Twenty minutes, free, in English — bring the deal, leave with its constitutional map.

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Sources: Constitución Política de los Estados Unidos Mexicanos — Cámara de Diputados (current consolidated text) · Agrarian Law (Ley Agraria) arts. 74–75, 80–82, 93–94, 117–124 · DOF Oct 28, 2025 decree (official quotation of Art. 27 ¶¶5–6 on national waters).

Constitutional and statutory quotations are unofficial translations with excerpts; the Spanish originals control. This article provides legal information, not legal advice; no attorney-client relationship is created by reading it. © 2026 Terra Firma Attorneys at Law · terrafirma.law