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Resolution of commercial disputes at the Court.

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 Commercial disputes are inevitable issues in the daily business operations of enterprises. When disputes between the parties cannot be resolved through mediation and require resolution, the Court is usually the authority to examine and resolve these disputes.
Thus, what are the legal provisions governing the procedures for resolving business and commercial disputes at the Court between the parties? What are the steps involved? What is the statute of limitations for filing a lawsuit? All the above content will be specifically explained by BKC Law Company as follows:
 

Resolution of commercial disputes at the Court.

I. Legal Basis

  • Civil Procedure Code 2015 No. 92/2015/QH13
  • Commercial Law 2005 No. 36/2005/QH11
  • Enterprise Law 2020 No. 59/2020/QH14

 

II. Commercial and Business Disputes under the Jurisdiction of the Court

Pursuant to Article 30 of the Civil Procedure Code 2015:
Article 30. Business and Commercial Disputes under the Jurisdiction of the Court
1. Disputes arising in business and commercial activities between individuals and organizations with business registration, all having profit-making purposes.
2. Disputes over intellectual property rights and technology transfer between individuals and organizations, all having profit-making purposes.
3. Disputes between a person who is not yet a member of the company but has a transaction for transfer of capital contribution with the company or company members.
4. Disputes between the company and its members; disputes between the company and its managers in limited liability companies or members of the Board of Directors, Director, General Director in joint-stock companies, between members of the company with each other related to the establishment, operation, dissolution, merger, consolidation, division, separation, asset transfer of the company, transformation of the company’s organizational form.
5. Other disputes over business and commerce, except cases falling under the jurisdiction of other agencies or organizations as prescribed by law.
According to the above regulations, if the dispute between the parties falls under one of the above cases, a lawsuit petition and accompanying dossier may be submitted to request the competent court to resolve it in accordance with the regulations.
 

III. Statute of Limitations for Filing a Lawsuit

Pursuant to Clause 3, Article 150 of the Civil Code 2015:
“The statute of limitations for filing a lawsuit in business and commercial cases is the period during which the party (subject) has the right to file a lawsuit requesting the court to resolve the case. If that period expires, the party wishing to file a lawsuit loses the right to file a lawsuit, except where the law provides otherwise”.
The statute of limitations for filing a lawsuit in business and commercial cases is 02 (two) years in cases where the law does not provide for a statute of limitations for filing a lawsuit. The statute of limitations for filing a lawsuit in business and commercial cases is calculated from the date the plaintiff knew or should have known that their legitimate rights and interests were infringed.
According to the above regulations, if the law does not provide for a statute of limitations, business and commercial cases have a statute of limitations for filing a lawsuit of 02 (two) years. Therefore, the plaintiff must file the lawsuit in business and commercial cases within 02 (two) years from the date they knew or should have known that their rights and interests were infringed.
 

IV. Lawsuit Dossier

The lawsuit dossier at the Court includes the following documents and papers:

  • Petition for lawsuit (according to the Court’s form)
  • Personal papers, legal documents on the legal status of the plaintiff and other parties such as the defendant, persons with related rights and obligations, including the following documents: Investment license, Business registration license, Company charter, appointment decision or designation of the enterprise’s representative, power of attorney for the person participating in the proceedings (if any) … (Note: These documents need to be certified copies as prescribed to submit to the Court).
  • Agreements, Transaction Contracts, Emails or other documents equivalent to commercial contracts, Meeting minutes, Contract appendices (if any) …
  • Documents and vouchers related to contract performance such as guarantee contracts, mortgages at banks, pledges (if any), goods delivery and receipt minutes, acceptance minutes, payment vouchers, Debt confirmation minutes, meeting minutes of the parties and contract liquidation minutes (if any) …
  • Other transaction documents that the parties still hold (if any) …

 

V. Jurisdiction of the Court

1. District-level People’s Courts have jurisdiction to resolve the following business and commercial cases:

Pursuant to Clauses 1, 2, 3, Article 35 of the Civil Procedure Code 2015 on the jurisdiction of District-level People’s Courts:
”1. District-level People’s Courts have jurisdiction to resolve according to first-instance procedures the following disputes:
[…]
b) Business and commercial disputes stipulated in Clause 1, Article 30 of this Code;
[…]
2. District-level People’s Courts have jurisdiction to resolve the following requests:
[…]
c) Business and commercial requests stipulated in Clauses 1 and 6, Article 31 of this Code;
[…]
3. Disputes and requests stipulated in Clauses 1 and 2 of this Article involving foreign parties or assets abroad or requiring judicial entrustment to representative agencies of the Socialist Republic of Vietnam abroad, to foreign courts or competent authorities shall not fall under the jurisdiction of District-level People’s Courts, except for cases stipulated in Clause 4 of this Article.
[…]”

2. Provincial-level People’s Courts have jurisdiction to resolve the following business and commercial cases:

Pursuant to Clauses 1, 2, 3, Article 35 of the Civil Procedure Code 2015 on the jurisdiction of District-level People’s Courts:
”Article 37. Jurisdiction of Provincial-level People’s Courts
1. Provincial-level People’s Courts have jurisdiction to resolve according to first-instance procedures the following cases:
a) Civil, marriage and family, business and commercial, labor disputes stipulated in Articles 26, 28, 30 and 32 of this Code, except disputes falling under the jurisdiction of District-level People’s Courts as stipulated in Clauses 1 and 4, Article 35 of this Code;
b) Civil, marriage and family, business and commercial, labor requests stipulated in Articles 27, 29, 31 and 33 of this Code, except requests falling under the jurisdiction of District-level People’s Courts as stipulated in Clause 2 and Clause 4, Article 35 of this Code;
c) Disputes and requests stipulated in Clause 3, Article 35 of this Code.
2. Provincial-level People’s Courts have jurisdiction to resolve according to first-instance procedures civil cases falling under the jurisdiction of District-level People’s Courts as stipulated in Article 35 of this Code when the Provincial-level People’s Court takes up the case on its own when deemed necessary or at the proposal of the District-level People’s Court”.
 

VI. Time Limit for Resolving Business and Commercial Cases

Pursuant to Article 203 of the Civil Procedure Code 2015 on the time limit for resolving business and commercial cases:
“Article 203. Trial Preparation Period
1. The trial preparation period for various types of cases, except cases resolved under summary procedures or cases involving foreign elements, is prescribed as follows:
[…]
b) For cases stipulated in Articles 30 and 32 of this Code, the period is 02 months from the date of case acceptance.
For cases of a complex nature or due to force majeure events or objective obstacles, the Chief Justice of the Court may decide to extend the trial preparation period, but not exceeding 02 months for cases under point a of this clause and not exceeding 01 month for cases under point b of this clause.
Where a decision is issued to temporarily suspend resolution of the case, the trial preparation period shall be recalculated from the effective date of the Court’s decision to resume resolution of the case.
[…]
4. Within 01 month from the date of the decision to bring the case to trial, the Court must open the trial session; in cases with justifiable reasons, this period is 02 months”.
According to the above regulations, the Court’s trial preparation period is 02 (two) months from the date of case acceptance. For cases of a complex nature or due to force majeure events or objective obstacles, the Court may extend the trial preparation period by 01 (one) month. The time limit for opening the trial session is 01 (one) month from the date the Court issues the decision to bring the case to first-instance trial. In cases with justifiable reasons, this period is 02 months.
 

VII. Court Fees and Charges for Commercial Disputes

Court fees are the charges for resolving business and commercial cases that the parties must pay to the competent authority to have the case examined and resolved. Court fees include first-instance court fees and appellate court fees:
The levels of court fees and charges are promulgated as follows:

A. LIST OF COURT FEES

No.

Name of court fee

Amount

I

Criminal court fees

1

First-instance criminal court fee

VND 200,000

2

Appellate criminal court fee

VND 200,000

II

Civil court fees

1

First-instance civil court fees

1.1

For civil, marriage and family, labor disputes without valuation

VND 300,000

1.2

For business and commercial disputes without valuation

VND 3,000,000

1.3

For civil, marriage and family disputes with valuation

a

Up to VND 6,000,000

VND 300,000

b

From over VND 6,000,000 to VND 400,000,000 5% of the disputed asset value

c

From over VND 400,000,000 to VND 800,000,000 VND 20,000,000 + 4% of the disputed asset value exceeding VND 400,000,000

d

From over VND 800,000,000 to VND 2,000,000,000 VND 36,000,000 + 3% of the disputed asset value exceeding VND 800,000,000

đ

From over VND 2,000,000,000 to VND 4,000,000,000 VND 72,000,000 + 2% of the disputed asset value exceeding VND 2,000,000,000

e

From over VND 4,000,000,000 VND 112,000,000 + 0.1% of the disputed asset value exceeding VND 4,000,000,000.

1.4

For business and commercial disputes with valuation

a

Up to VND 60,000,000

VND 3,000,000

b

From over VND 60,000,000 to VND 400,000,000 5% of the disputed value

c

From over VND 400,000,000 to VND 800,000,000 VND 20,000,000 + 4% of the disputed value exceeding VND 400,000,000

d

From over VND 800,000,000 to VND 2,000,000,000 VND 36,000,000 + 3% of the disputed value exceeding VND 800,000,000

đ

From over VND 2,000,000,000 to VND 4,000,000,000 VND 72,000,000 + 2% of the disputed value exceeding VND 2,000,000,000

e

From over VND 4,000,000,000 VND 112,000,000 + 0.1% of the disputed value exceeding VND 4,000,000,000

1.5

For labor disputes with valuation

a

Up to VND 6,000,000

VND 300,000

b

From over VND 6,000,000 to VND 400,000,000 3% of the disputed value, but not less than VND 300,000

c

From over VND 400,000,000 to VND 2,000,000,000 VND 12,000,000 + 2% of the disputed value exceeding VND 400,000,000

d

From over VND 2,000,000,000 VND 44,000,000 + 0.1% of the disputed value exceeding VND 2,000,000,000

2

Appellate civil court fees

2.1

For civil, marriage and family, labor disputes

VND 300,000

2.2

For business and commercial disputes

VND 2,000,000

III

Administrative court fees

1

First-instance administrative court fee

VND 300,000

2

Appellate administrative court fee

VND 300,000

 

B. LIST OF COURT CHARGES

No.

Name of charge

Amount

I

Charges for resolving civil matters

1

First-instance charge for requests regarding civil, marriage and family, business and commercial, labor matters

VND 300,000

2

Appellate charge for requests regarding civil, marriage and family, business and commercial, labor matters

VND 300,000

II

Other court charges

1

Charge for requesting recognition and enforcement in Vietnam of foreign court judgments and decisions; foreign arbitral awards

a

Charge for recognition and enforcement in Vietnam of foreign court judgments and decisions; foreign arbitral awards

VND 3,000,000

b

Charge for appeal against the Court’s decision on recognition and enforcement in Vietnam of foreign court judgments and decisions; foreign arbitral awards

VND 300,000

2

Charge for requests related to Vietnamese commercial arbitration resolving disputes in accordance with commercial arbitration law

a

Charge for requesting the Court to appoint or replace an arbitrator

VND 300,000

b

Charge for requesting the Court to review the arbitral tribunal’s award on the arbitration agreement, on the arbitral tribunal’s jurisdiction to resolve the dispute; registration of ad hoc arbitral awards

VND 500,000

c

Charge for requesting the Court to apply, change, cancel provisional emergency measures related to arbitration; requesting the Court to collect evidence, summon witnesses

VND 800,000

d

Charge for appeal against the Court’s decision related to arbitration

VND 500,000

3

Charge for filing a petition to open bankruptcy procedures

VND 1,500,000

4

Charge for examining the legality of a strike

VND 1,500,000

5

Charge for arresting seagoing vessels

VND 8,000,000

6

Charge for arresting aircraft

VND 8,000,000

7

Charge for performing judicial entrustment of foreign courts in Vietnam

VND 1,000,000

8

Charge for judicial entrustment abroad

VND 200,000

9

Charge for issuing copies of documents, photocopying documents at the Court

VND 1,500 per A4 page

 
The above is BKC Law Company’s article on the procedures and steps for resolving commercial disputes at the Court. To receive support, consultation, and quick implementation of procedures to protect the legitimate rights and interests of enterprises, please contact our Attorneys immediately.

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