Auction and sale of “.vn” Internet domain names

After more than 5 years, a regulations on auction and sale of Internet domain names in Vietnam is finally issue last month. In 2009, the Law on Telecommunications first contemplate the ability to transfer internet domain names in Vietnam. However, due to lack of implementing regulations, few transfers have occurred. Under Decision 38/2014 of the Prime Minister. 

Auction of the rights to use Internet domain name

  • Internet domain name subject to auction are those having high demand for usage and subsequently approved by the MIC. Auction of the rights to use Internet domain name may be conducted directly or via the specific website established by the MIC for auction (“the Website”). Registrations to auction must be made via the Website.
  • Before making a bid, participating individuals and organizations are required to pay a deposit amounted from 1% - 15% of the starting price as specified in the auction invitation notification and announced on the websites of MIC and Vietnam Internet Network Information Center. Only those having paid the deposit at least 15 working days before the auction date are allowed to make a bid at the auction.
  • Payment of the winning price (after deduction of the deposit) must be paid to designated account of MIC within 15 working days from the date of notification of auction result.

Transfer of the right to use Internet domain name

  • Restrictions on transfer are applied to (i) domain names being the names of state agencies, Party organizations or other domain names relating to national interests as specified by the MIC, and (ii) domain names under disputes or temporary suspension from usage.
  • Transfer of Internet domain names are completed through relevant internet domain service providers in accordance with regulations of the MIC.
  • Transfer of Internet domain names which have been auctioned by the MIC must be approved by the MIC. 

Music or movies on-demand streaming or webcast in Vietnam

Online streaming or providing webcast of music or movies starts becoming popular in Vietnam. This could raise some interesting points from copyright law perspective. A broadcaster under the Intellectual Property Law may broadcast music without obtaining approval of the relevant right holders as long as the broadcaster pay certain royalty fees to the copyright holder. It is not clear if a provider of online streaming or webcast of music or movies could qualify as a broadcaster under the Intellectual Property Law. This is because:

  • “Broadcasting” is defined as the transmission of sound or image or both sound and image of a work, performance, audio and visual recording or broadcast to the public by wireless or landline means including satellite transmission, in such a way that the public may access such work from any place and time the public select. It is not clear if the delivery of a musical recording through the internet could qualify as the transmission of a recording by wireless or landline means. The Intellectual Property Law seems to distinguish the internet from wireless or landline means. However, Decree 100 seems to consider the internet as a part of wireless or landline means; and

  • Broadcasting organisation is defined as the organisation which initiates and carries out broadcasting. In the case of on-demand music service, it is not clear whether the service provider or the end-user could be considered as the organisation which initiates the broadcast.

Applicability of Vietnamese Internet Regulations to foreign website

An offshore website may be subject to Vietnamese internet regulations in certain cases. In particular,

  • under Decree 72/2013, foreign organizations and individuals must comply with applicable Vietnamese laws in case public information provided by such foreign organizations and individuals involve users in Vietnam or access from Vietnam.  Public information is defined as information which is stored, transmitted, collected and processed via the network and made public to all entities without the need to identify specific name or address of such entities; and
  • an offshore website which provides a platform to connect Vietnamese users or to allow Vietnamese users to share information may be subject to regulations on social network in Vietnam.