FOREIGN ELEMENTS OF CIVIL RELATIONS IN VIETNAM

Civil relations involving foreign elements are an indispensable part of the global economic system. As a result of economic development, the number of civil relations involving foreign elements has greatly increased in Vietnam. 

Dr. Nguyen Ho Bich Hang

- HCMC University of Law -

For that reason, in order to accommodate civil relations involving foreign elements, Vietnamese Civil code 2005 regulates such interactions.

Civil relations involving foreign elements is defined as civil relations in which at least one of the participating parties is a foreign body, organization, or individual, is a Vietnamese expatriate is a foreign body, organization, or individual, is a civil relations between Vietnamese parties but the basis for the establishment, modification, or termination of such relation was the law of a foreign country. When solving the masters that arise from civil relation involving foreign elements, it should be noted that the civil code is only applied generally. However, in case where an international treaty of which Vietnam is a member provides differently than the Civil Code 2005, that international treaty shall applied.

Furthermore, foreign laws and international practices are also applied in the circumstances provided at Article 759. Accordingly, in cases where the Code, another legal instrument of Vietnam, or an international treaty of which Vietnam is a member provides for the application of foreign law, then the law of such foreign country shall apply if its application or the consequences of its application are not inconsistent with the fundamental principles of the law of Vietnam; if such foreign law refers back to the law of Vietnam, the law of Vietnam shall apply. A foreign law may also apply where the parties so agree in a contract, provide that such agreement does not conflict with this Code or any other legal instruments of Vietnam.

Where Civil relations involving foreign elements are not governed by the Civil code 2005, any other legal instrument of Vietnam, any international treaty of which Vietnam is a member, or any civil contract signed between the parties, international customary practice shall be applied, provide that such application or the consequence thereof is not contrary to the basic principles of the law of Vietnam.

Foreigners must have the capacity for civil acts according to the law of their original countries, and also according to the laws of Vietnam. Likewise, with respect to foreign entities, in order establish and perform civil transactions legally in Vietnam, their civil legal capacity will be determined in accordance with the laws of Vietnam.

Source: Introduction to Vietnamese Law, Editor: Mai Hồng Quỳ, Hồng Đức Publishing house.