12 31 2010

Vietnam is believed to belong to the top five countries with largest gold reserve. The gold market remains, however, very unstable and vulnerable to the ups and downs of the world's gold market. In an effort to tame the country's gold market, change the people's habit of storing gold and reducing the relevant risks in gold transactions,  the State Bank of Vietnam issued Circular No. 22/2010/TT-NHNN ("Circular 22"). Signed and immediately taking effect from 29 October 2010, Circular 22 regulates the capital deposit and lending in gold at credit institutions, by introducing stronger restrictions.

11 24 2010

Just a baby with first ten years of its life, Vietnam's security market has developed miraculously more than expected. To date, Vietnam has two stock exchanges and an UPCoM market, with nearly 600 listed stock codes, 105 securities companies and nearly one million trading accounts of which it is about 25% from foreign investors. 

11 24 2010

On 1 October 2010, Vietnam Government issued Decree No. 102/2010/ND-CP ("Decree 102"). Replacing Decree No. 139/2007/ND-CP, the new Decree clarifies quite a number of corporate and investment grey areas which have been controversial for years. As the way is clearer, Decree 102 is hoped to attract more investment into the country. Below are some highlights about the key changes.

11 15 2010

On 6 May 2010 the Government issued Decree 47/2010/ND-CP ("Decree 47") regulating administrative sanctions in the labour sector.  Effective and replacing Decree No. 113/2004/ND-CP from 25 June 2010, Decree 47 imposes administrative sanctions that appear more severe on employers.

11 03 2010

Under Vietnamese law, a company is represented by a person called the legal representative. Any action by the company must be done either directly by the company's legal representative or via his or her authorisation. The legal representative acts on behalf of, and creates legal rights and obligations for, the company.

10 12 2010

On 23 June 2010, the Government issued Decree No. 71/2010/ND-CP guiding the implementation of the Law on Residential Housing ("Decree 71"). Effective and superseding Decree No. 90/2006/ND-CP dated 6 September 2006, from 8 August 2010 Decree 71 addresses a number of persistent problems with current residential development projects.

09 10 2010

On 17 June 2010, Vietnam's National Assembly passed the Commercial Arbitration Law No. 54/2010/QH12 ("Arbitration Law"), which from 1 January 2011 replaces the 2003 Ordinance on Commercial Arbitration.

08 24 2010

For this August 2010, Indochine Counsel contributes two articles and one interview to Doanh Nhan & Phap Luat (Entrepreneur and Law), one of the most read magazines by the local business circle.

08 10 2010

The Vietnamese Government recently issued Decree No. 48/2010/ND-CP dated 7 May 2010 (Decree 48) setting forth new rules on contracts involving construction activities (Construction Contracts).

07 26 2010

Managing Partner Dang The Duc and Foreign Consultant Steve Jacob recently contributed a chapter regarding the corporate governance and directors' duties within Vietnam to the Practical Law Company's Cross-Border Handbook 2010 which was published in July 2010.

06 28 2010

On 15 April 2010, the Vietnamese Government issued Decree No. 43/2010/ND-CP on enterprise registration (Decree 43) replacing Decree No. 88/2006/ND-CP dated 29 August 2006. Decree 43 provides a more investor-friendly enterprise registration procedure, supplements the rules for naming companies, and lays the foundations for a business registration database that will be accessible and consistent nationwide.

05 31 2010

The current Pharmaceutical Law requires registration with the Drug Administration of Vietnam (DAV) before a drug can be distributed in the territory. There are three pertinent IP-related rights in the drug registration process: trademark, patent and data security.

04 30 2010

The State Bank of Vietnam ("SBV") issued Circular 04/2010/TT-NHNN ("Circular 04") on 11 February 2010. Circular 04 regulates the merger, consolidation or acquisition of credit institutions including commercial banks, finance companies, finance leasing companies, and associated credit institutions.

03 30 2010

In many investment certificates issued to foreign investors in Vietnam's service sector, the recently licensed project terms tend to fall in the range of 5 to 20 years.  This is usually shorter than the term requested by the investor and far shorter than the maximum term of 50 years stipulated under law. This increasingly common practice raises questions of WTO compliance, mainly, whether this failure to approve the requested project terms may be viewed as a breach of the National Treatment rule under the General Agreement on Trade in Services ("GATS").

03 24 2010

Under Viet Nam's WTO commitments in the area of services, foreign investment in many sectors is limited to joint ventures with domestic investors. The commitments provide additional restrictions on who can act as the domestic partner in a joint venture, but there are also sectors as to which the services commitments are silent. If domestic law provides restrictions, but Viet Nam's Schedule of Specific Commitments in Services is silent, will domestic law pre-empt the schedule?

02 27 2010

Under the Schedule of Specific Commitments in Services ("Service Schedule"), one of the commitments Vietnam made in acceding to the WTO, foreign investment in many sectors is limited to joint ventures ("JV") with domestic investors. In many instances the Service Schedule provides additional restrictions on who can act as the domestic partner in a JV, but there are also sectors in which the Service Schedule is silent.  To determine what restrictions apply to domestic investors there remains one potent conflict: if domestic law provides restrictions, and the Service Schedule is silent, will domestic law preempt the Service Schedule's silence? The Service Schedule itself provides no clarification on this issue.

Contact Us | Legal Notice | Site Map | © 2006 – 2023 Indochine Counsel. All Rights Reserved.