HCMC proposes setting up property market info center

HCMC – HCMC has proposed establishing a center to store and manage data about land, homes and housing projects, heard a meeting last week.

This is one of a number of measures suggested in the city’s property market development plan in 2016-2020 with a vision towards 2030, which was the topic of discussion at the meeting.

The city expects the information center could help it build official real estate market indexes which market participants could use as references.

The plan will develop infrastructure to connect urban areas, diversify property products, boost development of condo buildings, and encourage investors to get involved in projects to build homes for low-income people.  

The city petitions the Government to establish a general department for housing development and allow it to form a housing development board under the city government.  

The plans also mentions a number of measures to ensure transparency on the market, improve the cityscape and oversee housing development.  

Tran Du Lich, former deputy head of the HCMC delegation of NA deputies, said the plan is well prepared but contains no deep analysis of market conditions. It should point out what is not transparent, and what regulations overlap, he said.

Lich said laws such as the Land Law, the Construction Law, the Housing Law and the Law on Real Estate Business have conflicting provisions which have left negative effect on the real estate market.

Le Chi Hieu, vice chairman of the HCMC Real Estate Association (HoREA), shared Lich’s view, saying many existing regulations are inconsistent, making life difficult for property companies.

High land prices and land-use fees are weighing on businesses and homebuyers, he noted, adding the State should set up a special financing mechanism, such as a housing development fund, to lure more businesses to join low-cost housing projects.

An official of the State Bank of Vietnam’s HCMC branch said the plan does not make clear the financing structure of enterprises involved in property projects. At present, a majority of investors rely heavily on bank loans to fund their projects but this source of capital would drop in the future in line with the central bank’s Circular 06 which sets out a roadmap for tightening lending to real estate projects.

To ensure sustainable development for the property market, bank loans should fall while increasing capital from other sources such as homebuyers, investment funds and corporate bonds, the central bank official said.

Source SaigonTimes

Read More

Vietnam Assembly to Hold Off Building Nuclear Power Plant

It is important for Vietnam to properly re-balance the power supply. Without nuclear power, Vietnam shall need to add additional coal-fired power plants.  Further, Vietnam will need to accelerate more renewable energy, including wind energy, solar energy projects and attract more investment in Vietnam in these energy sectors.

According to the National Assembly Office, the Parliament met the Minister of Industry and Trade on Nov 10th, 2016 whom  will present the draft draft resolution on holding off building the first nuclear power plant in Ninh Thuan, Vietnam.

Back to history, on Nov 25th, 2009, with 382 endorsed delegates (at the rate of 77.48%), the Vietnam National Assembly has decided to approve the investment policy of Ninh Thuan nuclear power plants: Ninh Thuan Phuoc Dinh 1, located in Thuan Nam and Ninh Thuan 2 located in Vinh Hai commune, Ninh Hai district with a capacity of about 2,000 MW per plant.

Key technologies of the two plants is “light water reactor technology improvements, the most modern generation furnace, with proven, guaranteed safety and economic efficiency at the time of the project”.

Recently, there has been concerns among energy experts and Vietnamese people on a number of issues in regard to legal frameworks, technology, safety and expert resources.  It appears that such concern has been listened leading to the possible decision to postpone the deadline to start the the nuclear power project.  According to the new plan, the new clear power plant could be scheduled in the year 2030.

According to energy experts in Vietnam, being cautious is necessary. In order to implement the nuclear power projects, Vietnam will need to take time to prepare.

Firstly, Vietnam will need to evaluate the project, organize international tender, and implement detailed design.  Such will need the help of foreign energy consulting firms to help appraise.

Secondly, Vietnam is sending 300-500 experts to Russia and Japan to study experience about managing the nuclear power plants.  This training period is important to ensure the proper people are well equipped with knowledge and are capable to manage the plants and this process will take time.

Thirdly, Vietnam is negotiating with Russian factories and Japanese factory to import technology in nuclear power plants and the negotiations are still on-going.

Fourthly, number of scientists and people still fear safety problems of nuclear source especially the last two incidents at Chernobyl nuclear power plant in Russia and the Fukushima plant in Japan.  Safe operation is one matter but the handling of residues is also an on-going concerns that Vietnam has to face when investing in nuclear power project.

Read More

How Lawyers Could Assist to Collect Debt

The collection of bad debt and late payment after sales are difficult and sensitive jobs. Therefore, the debt collectors should be well informed about the legal nature of the debt profile and they must have skills on debt recovery.

Depending on the nature of each case and each specific dossier, the debt collectors can be able to make suitable plans to deal accordingly.

So there will be a lot of methods and different solutions in the work of debt recovery. However, the recovery of debt will apply the following two basic methods:

– Mediation and agreement methods are ways that lawyers and legal professionals will come directly to negotiate and persuade debtor to make their debt payment schedule.

– Method to resolve through court proceeding or in coordination with the functional agencies: This method will be applied in the case that debtors are unwilling to cooperate, trying to evade responsibility, or the payment plan is delayed.

Time limit for settling the debt collection:

Time limit for settling the debt collection is influenced by many different factors but the two most important factors are the legality of the documents and the payment capability of debtors.

There are debtors, after being explained the consequences and losses of non-payment, late payment by lawyers and legal experts, they were aware of and make plans to pay debts.

But there are debtors that the creditors require the support and intervention of the functional agencies, and then the debtors accept to pay. Therefore, the duration of the case will be prolonged.

Read More

Circular 11/2016/TT-BKH on EPC Bidding Documents

Application of EPC bidding document form.

According to Circular 11/2016, EPC is applicable to complicated projects that have technical requirements, high technology and strictly comply with the synchronism, consistency from the design stage to the equipment supply stage, construction, training, technology transfer, warranty and long-term maintenance.

EPC is not applicable in the cases that the bidding package are separated into separate bidding packages in order to create conditions for domestic businesses to participate in the bidding and execution of bidding package.

The bidding document form includes 3 parts: bidding procedure, requirement on the biding package and contract conditions. In the process of formulation, appraisal and approval of EPC bidding document in the form of public bidding, limited international bidding, Circular 11/2016 regulates that it is required to apply EPC bidding document form.

When applying the EPC bidding document form, the investor and the procuring entity need to amend and supplement the content of the chapter of the bidding document form in order to fit the nature and size of each bidding package and the time to organize the bidding.

For EPC bidding package that apply the form of public bidding and limited domestic bidding, the appointment of contractors should be based on the size and nature of the bidding package to edit the accordingly bidding document form.

The mixed bidding package includes design and supply of goods, design and installing, supply of goods and installing, project planning, design, supply of goods and installing (turnkey), based on the size and nature of the bidding package to edit accordingly.

For mixed bidding package that apply the two phases method, the investor can edit accordingly.

Contract

Circular 11/2016 stipulates that the bidding document must include contract agreement form, article and clause as a basis for the contractors to bid, and for the parties to negotiate, complete, sign and implement the agreement.

The contract signed between the investor and the contractor must comply with the contract agreement form, the contractual terms in the bidding documents, adjustments, supplements proposed by the contractor and approved by the investor but not contrary to the law on procurement and related legislation.

In addition, the contractor’s bid price must include all the necessary costs to implement the bidding package, which includes all taxes, charges and fees (if any).

Circular 11/2016/TT-BKH entered into force on October 1st 2016.

ANT Lawyers is Vietnam exclusive member of Prae Legal, an international law firm network, providing full ranges of legal services in Vietnam

For Vietnam legal matters or services, the clients could reach ANT Lawyers, the exclusive Vietnam law firm members via email at ant@antlawyers.vn or call the telephone at +848 35202779.

Read More

Circular 140/2016/TT-BTC on Working License Fee on Holiday to Australia and New Zealand Citizens

On September 19th 2016, the Ministry of Finance issued Circular 140/2016/TT-BTC prescribing the rate, regime of collection and payment of license fee to work on holiday for New Zealand and Australia citizens.

Accordingly, the license fee rate to work on holiday for New Zealand and Australia citizens is 600,000 VND/time/person, applicable for new issuance and 600,000 VND/time/person for reissue.

The license fee shall be collected in Vietnam dong; the collection of fee must be submitted 100% to the state budget.

This Circular replaces Circular 97/2012/TT-BTC on June 18th 2012 and takes effect from January 1st 2017.

ANT Lawyers is Vietnam exclusive member of Prae Legal, an international law firm network, providing full ranges of legal services in Vietnam

For Vietnam legal matters or services, the clients could reach ANT Lawyers, the exclusive Vietnam law firm members via email at ant@antlawyers.vn or call the telephone at +848 35202779.

Circular 140/2016/TT-BTC, License Fee on Holiday

Read More

Cases Are Rejected When Get Married with Foreign Element

The law of Vietnam prescribed quite detail about the marriage with foreign elements.

The registration of marriage with foreign elements will be rejected in the following cases:

– One or both parties are not old enough to get married under the laws of Vietnam

– The foreign applicant is not old enough to get married under the laws of the country of which he/she is a citizen or permanent resident (for stateless persons)

– The marriage between men and women is not due to a voluntary decision

– There is deception, coercion in the marriage

– One or both parties had husband or wife

– One or both parties had lost their capacity for civil acts

– The parties have the same direct blood line or relative within three generations

– The parties are or have been the adoptive parents and adopted children, father in law and daughter in law, mother in law and son in law, stepfather and his wife’s stepchild, stepmother and her husband’s stepchild

– The parties of the same sex (men marrying men, women marrying women)

– The marriage registration will also be rejected if the results of the interview, and verification showed that the marriage through illegal brokerage; sham marriage that is not intended to build prosperous, equal, progressive, happy and sustainable family; marriage is inconsistent with the fine traditions of the nation; taking advantage of marriage to trafficking of women, sexual abuse against women or for other self-seeking purposes.

Please contact ANT Lawyers via email ant@antlawyers.vn or call our Hotline +84 8 3520 2779 for advices.

Read More