How
to Resolve Disputes Settlement through Arbitration in Vietnam?
Arbitration, mediation,
negotiation, and litigation are all methods of dispute resolution. In order to
resolve disputes, a litigation dispute law firm in
Vietnam needs dispute lawyers who have the expertise and
experience necessary to resolve complex cross-border, commercial, and civil
disputes.
Most business agreements
could include a provision stating that disputes must be resolved through
arbitration in the current business environment. A valid written arbitration
agreement, either as an arbitration clause in a contract or a separate
agreement, is required for a dispute to be referred to arbitration. The
arbitration clause is treated as independent if it is included in a contract,
and the arbitration clause's validity is unaffected by contract modifications,
extensions, or terminations. As long as the parties clearly state their
intention to resolve any dispute through arbitration, Vietnamese law permits a
written arbitration agreement to take any form. The residing court is required
to drop the case if a dispute falls within the scope of a valid arbitration
agreement and a party attempts to initiate court proceedings. Additionally, the
arbitration organization authorized to resolve disputes without supplemental
agreement is not required to be specified in an arbitration agreement. Even if
there is a valid arbitration agreement, the Vietnamese Arbitration Law states
that a dispute must also fall into one of three categories before it can be
arbitrated:
(1) disputes arising from
“commercial activities”;
(2) disputes where at
least one party is engaged in commercial activities;
(3) other disputes where
the law stipulates that arbitration is a permissible means of resolution.
The definition of the
term "commercial activity" in category (1) can be found in Commercial
Law No. “activity for profit-making purposes comprising the purchase and sale
of goods, provision of services, investment, commercial enhancement, and other
activities for profit-making purposes,” according to 36-2005-QH11 (31 December
2005). Noncommercial disputes, such as civil disputes, in which at least one
party is engaged in commercial activities, frequently fall into the second
category. However, disputes between consumers and providers of goods or
services do not fall under this category. The law stipulates that the party may
select arbitration or litigation in this instance. The dispute cannot be
arbitrated without the consent of the consumer, even if the agreement includes
a standard arbitration clause in the contract for the supply of goods or
services. Legislators have complete discretion over whether or not to expand or
maintain the categories of disputes that can be resolved through arbitration. A
dispute arising from investment activities governed by the Law on Investment is
an illustration of a dispute in category (3).
Due to the fact that many
businesses would rather avoid the high costs of litigation, arbitration has
grown in popularity.
Arbitration lawyers in Vietnam at
ANT Lawyers - a Vietnam law firm with accreditation in
national and international arbitration practice can assist in providing clients
with legal advice and guidance throughout the process of resolving disputes.
The intervention attorneys could likewise exhort the clients on different issues
from decision of authority, decision of assertion rules, specially appointed or
institutional discretion, spot of mediation, implementation of arbitral honor.
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