Land Law 2024 – Some Takeaways For Vietnamese Residing Overseas

From 1 January 2025, under the new Land Law 2024, Vietnamese who reside overseas and still hold Vietnamese nationality (Vietnamese citizens) will be treated as Vietnamese individuals residing in Vietnam in the matters relating to land use rights in Vietnam, while the land use scheme applicable to persons having Vietnamese origin (người gốc Việt Nam) remains as same as to the one applicable to overseas Vietnamese under the Land Law 2013. This is one of the key changes under the Land Law 2024 relating to Vietnamese residing overseas. This article provides some highlights of the land use scheme applicable to these two groups of land users: (i) Vietnamese citizens and (ii) persons of Vietnamese origin.

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Written by Nguyen Quang Vu On In ,

Requirement For Pricing Information In The Application For An M&A Approval Could Cause Troubles To Investors

From February 2024, companies and foreign investors applying for a contribution of capital or purchase of share/capital contribution by the foreign investor (M&A Approval) must state the actual price of proposed transfer, instead of the estimated transfer price as previously. This is one critical change in the new template for the application for an M&A Approval under Circular 25/2023 of Ministry of Planning and Investment (MPI).

The change may have an adverse effect on relevant parties, especially the foreign investor, particularly:

  • The parties of an M&A transaction may find it difficult to declare an “actual transfer price” since the M&A Approval will be issued well in advance of the closing of the transaction.

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Written by Nguyen Quang Vu On In ,

Significant Amendments to Regulations on Management of Foreign Employees in Vietnam

On 18 September 2023, the Government issued Decree 70 (Decree 70/2023) to amend various regulations on management of foreign employees under current Decree 152/2020. Decree 70/2023 took effect immediately upon its issuance. Below is our discussion on notable changes introduced under Decree 70/2023.

1)         Easing requirements for engagement of foreign employees

  • Under Decree 70/2023, a foreign employee is no longer required to have educational background to be relevant to his/her work experience and proposed job in Vietnam. Instead, the law now only requires the employee to have a minimum work experience suitable for the proposed jobs;

  • Decree 70/2023 now expands the type of documents that can be used to demonstrate educational background and work experience of foreign employees being expert and technician. In particular, previous work permits or exemption certificates can also be used as evidence for foreign employee’s experience; and

  • A foreign employees now can use passport copy which has been certified by their Vietnam-based employer to apply for work permit or renew its work permit, this would facilitate employees’ application for work permits from abroad. Previously, the employees had to provide their original passport for notarization in Vietnam.

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Written by Nguyen Quang Vu On In ,

Comments on Draft on Law on Real Estate Business – Part 1

Please download the pdf version here.

In May 2023, Ministry of Construction and VCCI jointly held a Seminar on Draft of new Law on Real Estate Business (Draft Real Estate Business Law) to collect opinions and comments from enterprise community and experts. The Draft Real Estate Business Law appears to be the latest version having been published before it is submitted to the National Assembly. The new Law on Real Estate Business is scheduled to be adopted by the National Assembly in November 2023. We will try to highlight some notable changes introduced by the Draft Real Estate Business Law in this post and subsequent posts.

This post is written by Nguyen Hoang Duong and Nguyen Quang Vu.

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Written by Nguyen Quang Vu On In ,