Vietnam Business Law is a website managed by lawyers of Venture North Law Limited (VNLaw). Venture North Law Limited (VNLaw) is a Vietnamese commercial law firm. We won the Rising Law Firm of the Year Award at the Southeast Asia Law Awards for the years 2020 and 2021 held by The Legal 500. Very few Vietnamese law firms have achieved a similar regional recognition.
The Government often encourages a foreign investor to acquire shares in a wholly State-owned enterprise to become a foreign strategic investor. It would be a huge PR success for a State-owned enterprise to successfully sell shares to a foreign investor during its equitisation. However, an equitisation investment is actually not ideal for a foreign investor from a legal or deal execution perspective.
On 12 January 2015, the Government issued Decree 5/2015 implementing various provisions of the Labour Code 2012 in many different areas of the Labour Code 2012. Below are some important points introduced by Decree 5/2015. This post is contributed by Tran Thanh Tra, a VILAF associate.
Set out below are the cases where the Enterprise Law 2014 allows piercing corporate veil (i.e. making a shareholder/member of a company liable for the liabilities of the company). This post is prepared by VILAF legal staffs, Nguyen Bich Ngoc and Ha Kieu Anh.
If a company in which the State has voting control (e.g. having 51% or more of the voting rights) conducts a private placement of shares, the following issues may arise from the regulations on management of State capital in companies: