Legal Newsletter Issue No.12| December 2020

Dear Valued Clients and Partners,

GV Lawyers would like to introduce our Legal Newsletter Issue No. 12, November 2020 – the last isue of 2020 with the following main contents:

In the “Notable News” section, we will keep you updated about some notable novelties of the Law on Vietnamese guest workers under contract; novelties on the retirement age pursuant to Decree 135/2020/ND-CP; regulations on prudential criteria for securities trading institutions that fail to meet such criteria; novelties on the list of Vietnamese occupations used in the statistical work on Vietnamese employees and as a basis for their management by the occupation; and it is worth noting that the guidance for implementing the EVFTA agreement on trade remedies will be applied from January 11, 2021.

Next, in the section “Article“, we would like to introduce the article of Lawyer Tran Huu Tien titled “Sharing economy – 4.0 economic revolution or labour squeezing business” posted on Vietnam Online Lawyer on 10 December 2020. The article points out shortcomings that greatly affect the interests of workers in the 4.0 economy sharing technology application.

Besides, you will get information about the Tan Suu Lunar New Year holidays in the “Reading for you” section.

In the section “Legal Guidance“, we update the latest instructions to resolve enquiries about (i) Declaring personal income tax and keeping accounts of value added taxes; (ii) How to calculate environmental protection tax on grease products; (iii) Value added tax in case of customers re-selling resort reservations to the Company; and (iv) Importing gold wires to manufacture electronic components.

The last part of the Legal Newsletter is, as usual, the list of selected legal documents issued in November 2020.

We hope this Legal Newsletter will keep you updated about useful information. To read the full Legal Newsletter, please click DOWNLOAD.

The post Legal Newsletter Issue No.12| December 2020 appeared first on Global Vietnam Lawyers.

source https://gvlawyers.com.vn/legal-newsletter-issue-no-11-november-2020-2/

Vietnam company Law

Vietnam company law has eased considerably in recent years. Foreign investors can now quickly create limited liability companies.

What are the types of companies in Vietnam?

A Vietnam company is the same as many other countries. It’s registered as a corporation that has its own name, which has property, which has a head office and is registered in accordance with the law, in order to carry out business activities. Foreign investors generally favour companies whose shareholders’ liability is limited to their contribution. Vietnam company law has mainly three forms:

Private limited liability company (LLC)

• Number of partners: The multi-member limited liability company has a minimum of 2 partners and a maximum of 50 partners. This form of company may include only one member, but it will then be a one-man limited liability.
• Capital: The capital of the company is not divided into shares, but contributions of members, releasable for a maximum of 3 months from the date of issuance of the ERC of the company. The partners have a right of first refusal on disposal of capital which can be exercised within 30 days following the offer to sell.
• Quorum: The quorum for convening the first members’ council’s meeting is 65%.
• Votes: The voting threshold with respect to passing resolutions by way of written opinions is 65%.
• Company management: The LLC is formed of the members’ council/board of directors, a chairman, a general manager and an inspection committee for companies with more than 11 members.

Shareholding Company

• Number of shareholders: The company must have at least 3 shareholders
• Capital: The capital of the company is divided into shares, aspiring to be listed, which should be released a maximum of three months from the date of issuance of ERC of the company. In principle, any shareholder is free to sell its shares except as provided by law or in the articles of association.
• Company management:  The SC has a general meeting of shareholders (GMS), board of management, chairman of board of management, general director and inspection committee. The quorum for a convening GMS for the first is 51% and the second is 33% of the total number of the voting slips.
• Votes: The voting threshold for GMS to pass resolutions is 51% for general matter and 65% for certain specific matters.

General partnership

The General partnership under Vietnamese law is a business where:

• Associates: Vietnam company law states that there are at least two general partners and possibly associates who provide the funds. The general partner is a natural person who meets any social debts indefinitely with his personal property. The associated donors are responsible for the debts of the company in proportion to their contributions.
• Company management: The Manager of the general partnership must be a natural person. Any change of manager requires the approval of the competent authority and the amendment of the establishment of the company certificate.
• Issuance of shares: The general partnership cannot issue any shares.

How to form a company in Vietnam?

The law of 2014 on investment and 2014 Law on Enterprises unified the registration procedure for domestic companies and foreign companies. Now, all companies will be subject to the same procedure for matters relating to company law itself and must obtain an ERC or “Enterprise registration certificate” in order to be registered.

However, foreign investors who choose to start a business in Vietnam must first obtain an investment certificate or IRC, called an “investment registration certificate.”

GVLAWYERS can advise you from A to Z on how to invest and start a business in Vietnam.

The post Vietnam company Law appeared first on Global Vietnam Lawyers.

source https://gvlawyers.com.vn/vietnam-company-law/

Managing Partner of GV Lawyers – Lawyer Nguyen Gia Huy Chuong is honored to become the Vice President of Young Businesspeople Association – HCMC-YBA, term XI (2020 – 2023)

In the most recent sharing with the Investment Bridge Magazine (nhipdautu.vn), Mr. Nguyen Gia Huy Chuong, Managing Partner of GV Lawyers proudly expressed the primary reasons that persuaded him and GV Lawyers to choose to join the Young Businesspeople Association – YBA of Ho Chi Minh City (YBA-HCMC).

Specifically, Mr. Chuong said that YBA-HCMC is one of the oldest business associations in Ho Chi Minh City and up to now, YBA-HCMC has passed the 26th year, with many talented, dynamic and creative business members. When choosing to join and accompany YBA-HCMC, Mr. Chuong was really impressed with YBA Talks and YBA Shares – A new beginning for connections and shares. Not only by the name of these programs but also by the succinct content that YBA-HCMC aims to achieve and share with the business community in particular and the society in general the values ​​of YBA-HCMC.

Moreover, at the end of November 2020, Mr.  Chuong was also honored to obtain the trusted recognition from the Congress of Delegates and the Executive Committee of YBA-HCMC under the term XI, which appoints him to the position of Vice President of the Executive Committee of YBA-HCMC under the term XI (2020-2023), with the slogan “Commitment – Breakthrough – Reverberating” coupled with three action goals, including: Focusing on developing business of members; Strengthening social and community work; Bringing positive values ​​to each member as well as improving the value of happiness for the whole society.

Amid the economic context where Vietnam in general and Ho Chi Minh City in particular is now seeing multi[le changes and unpredictable developments in the past and coming time, Mr Chuong under the new role will implement many important missions, which are both pride and challenge to motivate him with a willingness to commit and contribute his strength and profound legal knowledge to embark on training activities, enhance the management and leadership capacity of members, especially the sustainable development of enterprises, from the perspective of legal experts, risk management through legal information topics, seminars of the YBA-HCMC; participate directly and/or make a particular financial contribution to support the running of the social responsibility activities – other charity programs that YBA-HCMC wants to send to our community.

 

Please see more information at: https://nhipcaudautu.vn/ceo/yba-hcm-qua-chia-se-cua-luat-su-nguyen-gia-huy-chuong-3338345/

The post Managing Partner of GV Lawyers – Lawyer Nguyen Gia Huy Chuong is honored to become the Vice President of Young Businesspeople Association – HCMC-YBA, term XI (2020 – 2023) appeared first on Global Vietnam Lawyers.

source https://gvlawyers.com.vn/managing-partner-of-gv-lawyers-lawyer-nguyen-gia-huy-chuong-is-honored-to-become-the-vice-president-of-young-businesspeople-association-hcmc-yba-term-xi-2020-2023/