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The law applied to property relations and personal relations in Vietnam

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Vietnam Civil Code has regulations on property relations and personal relationsinvolving foreign elements. Let’s find out this issue with Lawyer X through the following situation: “Dear Lawyer! I want to aske how are property classified in Vietnam? What law shall be applied to property relations and personal relations involving foreign elements? Thanks for answering me!”

  • 2015 Vietnam Civil Code

Regulations on classification of property

The classification between moveable and immoveable property shall be made in accordance with the laws of the country in which such property is located.

Ownership rights and other property-related rights

– The establishment, exercise, operation and termination of ownership rights and other property-related rights shall be determined in accordance with the laws of the country in which the property is located, except in the cases provided in Clause 2 of Article 678

– Ownership rights with respect to moveable property in transit shall be determined in accordance with the law of the country of destination, unless otherwise agreed.

Intellectual property rights

The intellectual property rights shall be determined in accordance with the laws of the country in which the objects of the intellectual property rights are required to be protected.

Regulations on inheritance

– Inheritance must comply with the law of the country of which the person who bequeathed the assets held nationality prior to his or her death.

– The right to inherit immoveable property must comply with the law of the country where such immoveable property is located.

Regulations on wills

– The capacity to create a will, and to alter or rescind a will, must comply with the law of the country of which the testator is a citizen.

– The form of a will must comply with the law of the country in the place where the will is created. The form of a will shall be also recognized in Vietnam if it complies with the laws of any of the following countries:

+ The country in which the testator resides at the time when the will is created or the testator dies;

+ The country of which the testator holds nationality at the time when the will is created or the testator dies;

+ The country where the inheritance being immovable property is located.

Regulations on law applied to guardianship

The guardianship shall be determined in accordance with the law of the country where the ward resides.

Regulations on law applied to contracts

– Contracting parties in a contract may agree to select the applied law for the contract, other than regulations of Clauses 4, 5 and 6 of Article 68- In case the contracting parties fail to agree the applied law, the law of the country with which such contract closely associates shall apply.

– The laws of any of the following countries shall be treated as the law of the country with which such contract closely associates:

+ The law of the country where the seller being natural person resides or the seller being juridical person is established in terms of sale contracts;

+ The law of the country where the provider being natural person resides or the provider being juridical person is established in terms of service contracts;

+ The law of the country where the transferee being natural person resides or the seller being juridical person is established in terms of contracts of transferring rights to use or intellectual property rights;

The law applied to property relations and personal relations in Vietnam
The law applied to property relations and personal relations in Vietnam

+ The law of the country where employees frequently perform do jobs in terms of labor contracts. If an employee frequently does jobs in multiple countries or the country in which the employee frequently does his/her job is unidentifiable, the law of the country with which his/her labor contract closely associates shall be the law of the country where the employer being natural person resides or the employer being juridical person is established.

+ The law of the country where consumers resides in terms of consume contract.

– If there is evident that the law of a country other than the country prescribed in Clause 2 of Article 683 associates with the contract more closely than the latter, the law of the former country shall prevail.

– If the object of a contract is an immovable property, the law applied to transfer of its ownership rights and/or other property-related rights, lease of immovable property or using the immovable property as the guarantee for performance of obligations shall be the law of the country where the immovable property is located.

– If the applied law selected by contracting parties in a labor contract or a consume contract affects adversely minimum interests of employees or consumers as prescribed in the law of Vietnam, the law of Vietnam shall prevail.

– Contracting parties in a contract may agree to change the applied law provided that such change does not affect adversely lawful rights and interests of a third party before changing, otherwise agreed by the third party.

– Form of a contract shall be determined in accordance with the law applied to such type of contract. In case where the form of a contract does not comply with the form of the law applied to such contract but it comply with the form of the law of the country where the contract is entered into or the law of Vietnam, such form of contract shall be recognized in Vietnam.

Regulations on law applied to unilateral acts

The law applied to unilateral acts of a person shall be determined in accordance with the law of the country of residence with regard to natural person or the law of the country of establishment with regard to juridical person.

Obligation to refund property possessed, used or derived unlawfully

The obligation to refund property possessed, used or derived unlawfully shall be determined according to the law of the country where the property is possessed, used or derived unlawfully.

Performance of acts without authorization

Contracting parties may agree to select the law applied to the performance of acts without authorization. If the contracting parties fail to agree to select the applied law, the law of the country where the acts without authorization are performed shall prevail.

Compensation for non-contractual damage

– Contracting parties may agree to select the law applied to the compensation for non-contractual damage, except for the case prescribed in Clause 2 of Article 687. If the contracting parties fail to agree to select the applied law, the law of the country where the consequences of such acts arise shall prevail.

– Where the party causing damage and the aggrieved party being natural persons have residence or being juridical person place of establishment in the same country, the law of such country shall prevail.

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Frequently asked questions

How shall the classification between moveable and immoveable property be made?

The classification between moveable and immoveable property shall be made in accordance with the laws of the country in which such property is located.

How shall intellectual property rights be determined?

The intellectual property rights shall be determined in accordance with the laws of the country in which the objects of the intellectual property rights are required to be protected.

How shall the establishment, exercise, operation and termination of ownership rights and other property-related rights be determined?

The establishment, exercise, operation and termination of ownership rights and other property-related rights shall be determined in accordance with the laws of the country in which the property is located, except in the cases provided in Clause 2 of Article 678. Ownership rights with respect to moveable property in transit shall be determined in accordance with the law of the country of destination, unless otherwise agreed.

Conclusion: So the above is The law applied to property relations and personal relations in Vietnam. Hopefully with this article can help you in life, please always follow and read our good articles on the website: lsxlawfirm.com

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