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LAW ON REAL ESTATE BUSINESS
National Assembly of the
Socialist Republic of Vietnam
Legislature XI, Session 9
Pursuant to the 1992 Constitution of the Socialist Republic of
Vietnam as amended by Resolution 51-2001- QH10 passed by Legislature
X of the National Assembly at its 10th Session on 25 December 2001;
This Law regulates real estate business activities.
CHAPTER I
General
Provisions
Article 1
Governing scope
This Law regulates real estate business activities; the rights and
obligations of organizations and individuals engaged in real estate
business, and real estate transactions related to real estate
business.
Article 2
Applicable entities:
1.
Organizations and individuals engaged in real estate business in
Vietnam.
2.
Organizations and individuals related to real estate business
activities in Vietnam.
Article 3
Applicable law
1.
Real estate business activities and their administration must comply
with the provisions of this Law and other provisions of relevant
laws.
2.
If special characteristics of real estate business activities are
governed by another law, then such other law shall apply.
3.
If an international treaty of which the Socialist Republic of
Vietnam is a member contains provisions which are different from
those in this Law, then the provisions of such international treaty
shall apply.
Article 4
Interpretation of terms
In
this Law, the following terms shall be construed as follows:
1.
Real estate business activities comprise real estate business
and real estate business services.
2.
Real estate business means spending investment capital in
order to create, to purchase, to receive an assignment of, to lease
or to hire purchase3
real estate in order to sell, assign, lease out or sublease out or
to grant a hire purchase of [such real estate] for profit-making
purposes.
3.
Real estate business services means activities assisting real
estate business and the real estate market, comprising services of
real estate brokerage, real estate valuation, real estate trading
floor, real estate consultancy, real estate auctioneering, real
estate advertising, and real estate management.
4.
Real estate transactions related to real estate business
means the purchase and sale, assignment, lease and hire purchase of
real estate between an organization or individual not engaged in
real estate business [on the one hand], and an organization or
individual engaged in real estate business [on the other hand].
5.
Real estate trading floor means a place where real estate
transactions take place and where services are provided for real
estate business.
6.
Real estate auctioneering means the public sale or assignment
of real estate in order to select a purchaser or assignee of the
real estate at the highest price in accordance with the procedures
for the auction of assets.
7.
Sale or assignment of real estate on deferred [or]
installment payments
means a purchase and sale or an assignment of real estate in which
the purchaser or assignee makes deferred or installment payments of
the purchase price or price of the assignment of the real estate
within the term agreed in the contract.
8.
Purchase and sale of a house or building5
to
be formed in the future
means the purchase and sale of a house or building which at the time
of the signing of the contract is not yet formed or is being formed
pursuant to a specific project file, design drawings of building
execution and a schedule.
9.
Real estate valuation means consultancy activity whereby the
value of a specific item of real estate on a specified date is
determined.
10.
Certificate of real estate valuation means a written document
prepared by an organization or individual engaged in he business of
providing real estate valuation services on the request of a client,
and expressing the results of valuation of real estate.
11.
Real estate management services means activities by an
organization or individual engaged in providing real estate business
services which such entity is authorized to conduct by a real estate
owner or user, and consist of preservation, maintenance,
superintending, operating and exploiting real estate pursuant to a
contract for management of real estate.
12.
Hire purchase of a house or building means the form of real
estate business whereby the lessee becomes the owner of such house
or building currently the subject of the hire purchase after the
lessee has made full payment of the lease payments under the hire
purchase contract.
Article 5
Principles on real estate business activities:
1.
All organizations and individuals engaged in real estate business
shall be equal before the law; and shall have the right to freely
reach agreement on the basis of respect for the lawful rights and
interests of parties participating in real state business
activities via a contract which is not contrary to law.
2.
Real estate made available for trading6
must satisfy the conditions stipulated by this Law and by other
provisions of relevant laws.
3.
Real estate business activities must be conducted publicly and
transparently.
Article 6
Types of real estate permitted to be made available for trading
1.
The types of real estate permitted to be made available for trading
shall comprise:
(a)
All types of houses and buildings as stipulated in the law on
construction;
(b)
Land use rights permitted to participate in the real estate market
pursuant to the law on land;
(c)
Other types of real estate stipulated by law.
2.
The Government shall provide specific regulations on a list of types
of real estate stipulated in clause 1 of this article [and]
permitted to be made available for trading, based on the
socio-economic developmental status, the real estate market and the
schedule for international economic integration.
Article 7
Conditions applicable to real estate made available for trading
1.
Houses and buildings must satisfy the following conditions before
they are made available for trading:
(a)
They fall within the category of objects in which business is
permitted to be conducted;
(b)
New houses and buildings must satisfy the quality requirements
stipulated in the law on construction; with regard to second-hand
houses and buildings, the requirements on quality shall be as agreed
by the parties in the contract;
(c)
There is no ownership dispute;
(d)
The property is not the subject of attachment in order to enforce a
judgment or administrative decision of a competent State body;
(dd)
The property does not lie within an area in which construction is
prohibited pursuant to the law on construction;
(e)
In the case of an existing house or building there must be a file
which includes a certificate of ownership of the house or building
and a land use right certificate or lawful documentation proving
ownership or use right in accordance with law. In the case of a
house or building in the course of construction, there must be a
building permit or an approved project file with design drawings of
building execution. In the case of a house or building belonging to
a new urban zone project, residential zone project or industrial
zone technical infrastructure project which does not yet have a
certificate of ownership or a certificate of use right, there must
be design drawings of building execution, a file of the completed
works and minutes of handover and commissioning for use of the house
or building. In the case of a house or building to be formed in the
future, there must be an approved project file, design drawings of
building execution and construction schedule.
2.
Land use rights must satisfy the following conditions before they
are made available for trading:
(a)
They fall within the category of objects in which business is
permitted to be conducted;
(b)
There is a lawful document in accordance with law proving the land
use right;
(c)
There is no dispute;
(d)
The duration of land use has not expired;
(dd)
The property is not the subject of attachment in order to enforce a
judgment or administrative decision of a competent State body;
(e)
In a case of assignment or lease out of a land use right belonging
to a new urban zone project, residential zone project or industrial
zone technical infrastructure project, there must be existing
infrastructure corresponding to the approved contents and schedule
of the project.
3.
Other types of real estate stipulated in clause 1(c) of article 6 of
this Law must satisfy conditions stipulated in regulations of the
Government before they are made available for trading.
Article 8
Conditions applicable to organizations and individuals engaged in
real estate business
1.
Any organization or individual conducting real estate business must
establish an enterprise or cooperative, must have legal capital, and
must be registered for real estate business in accordance with law.
2.
Any organization or individual providing real estate business
services must establish an enterprise or co-operative, and must be
registered for real estate business services in accordance with law
except for the case stipulated in clause 3 of this article.
Any
organization or individual providing real estate brokerage services
must have at least one person with a real estate broker's
certificate; any organization or individual conducting real estate
valuation services must have at least two people with real estate
valuer's certificates; and any organization or individual conducting
real estate trading floor services must have at least two people
with real estate broker's certificates, and if providing real estate
valuation services must have at least two people with real estate
valuer's certificates.
3.
An individual providing independent real estate brokerage business
services must have business registration in accordance with law and
must have a real estate broker's certificate.
Article 9
Permitted scope of real estate business activities applicable to
domestic organizations and individuals
1.
Domestic organizations and individuals shall be permitted to conduct
real estate business within the following scope:
(a) To invest in the construction of houses and buildings for sale,
lease out or grant of hire purchase;
(b)
To purchase houses and buildings for sale, lease out or grant of
hire purchase;
(c)
To lease houses and buildings for sub-letting out;
(d)
To invest in upgrading leased land and to invest in infrastructure
works on the leased land in order to lease out land with completed
infrastructure;
(dd)
To receive an assignment of a land use right [and] to invest in
infrastructure works in order to assign or lease out; to lease a
land use right of land with infrastructure for sub-letting out.
2.
Domestic organizations and individuals shall be permitted to conduct
property business services within the following scope:
(a)
Real estate brokerage services;
(b)
Real estate valuation services;
(c)
Real estate trading floor services;
(d)
Real estate consultancy services;
(dd)
Real estate auctioning services;
(e)
Real estate advertising services;
(g)
Real estate management services.
Article 10
Permitted scope of real estate business activities applicable to
foreign organizations and individuals and to Vietnamese residing
overseas
1.
Foreign organizations and individuals and Vietnamese residing
overseas shall be permitted to conduct real estate business and real
estate business services within the following scope:
(a)
To invest in the creation of houses and buildings for sale, lease
out or grant of hire purchase;
(b)
To invest in upgrading land and to invest in infrastructure works on
the leased land in order to lease out land with completed
infrastructure;
(c)
To provide real estate business services pursuant to clause 2 of
article 9 of this Law.
2.
In addition to the scope stipulated in clause 1 of this article, and
based on the provisions of this Law, the Law on Land, the
Law on Residential Housing, the Law on Investment and
other relevant legal instruments, the Government shall provide
regulations on other permitted real estate business activities
applicable to foreign organizations and individuals and to
Vietnamese residing overseas, consistent with the socio-economic
conditions from time to time and the schedule for international
economic integration.
Article 11
Publicity of information about real estate which is made available
for trading
1.
Organizations and individuals conducting real estate business shall
be responsible to make public information on real estate which is
made available for trading.
2.
Information about real estate shall be made public on the real
estate trading floor and on the mass media.
3.
The contents of information about real estate shall comprise:
(a)
The type of real estate;
(b)
The position of the real estate;
(c)
Information about the master plan relevant to the real estate;
(d)
The scale and land area of the real estate;
(dd)
The special characteristics, nature, use function and quality of the
real estate;
(e)
The status quo of infrastructure works and of technical and social
services related to the real estate;
(g)
The legal status of the real estate including the file and
documentation on ownership and use right, documentation on the
formation of the real estate; the history of ownership and use of
the real estate;
(h)
Any restrictions on ownership or use right of the real estate;
(i)
The price of the sale, assignment, lease or hire purchase of the
real estate;
(k)
The rights and interests of any related third parties;
(l)
Other information.
Article 12
Policy on investment in real estate business
1.
The State encourages organizations and individuals from every
economic sector to invest in real estate business consistent with
the socio-economic development objectives of Vietnam from time to
time and each locality.
2.
The State encourages, and has a policy to provide, assistance to
organizations and individuals engaged in real estate business to
invest in the establishment of Residential Housing Funds to sell on
deferred [or] installment payments, to lease out or to grant hire
purchase to people with achievements, to poor people and to low
income earners; and to invest in industrial zone infrastructure in
order to lease out land surfaces servicing production.
Article 13
Responsibilities for State administration of real estate business
activities
1.
The Government shall exercise uniform State administration of real
estate business activities.
2.
The Ministry of Construction shall be responsible before the
Government to exercise State administration of real estate business
activities.
3.
Ministries and ministerial equivalent bodies shall, within the scope
of their respective duties and powers, co-ordinate with the Ministry
of Construction to exercise State administration of real estate
business activities in accordance with duties assigned to them by
the Government.
4.
People's committees at all levels shall exercise State
administration of real estate business activities within their
localities in accordance with duties assigned to them by the
Government.
Article 14
Purchase and sale or assignment of real estate in the form of
advance payment, or deferred [or] installment payments
1.
The investor of a real estate business project and a client may
reach agreement in a contract of purchase and sale in the form of
advance payment for a house or building to be formed in the future,
and they must ensure the following principles:
(a)
Advance payments may be made on a number of occasions, but the
initial payment may only be made when the investor has completed
construction of infrastructure servicing the real estate in
accordance with the approved contents and schedule of the project;
and subsequent occasions of raising capital must be consistent with
the schedule for implementing the investment creating the real
estate;
(b)
An investor must use advance payments from clients for the correct
objective of investing in the creation of the real estate;
(c)
Any client making an advance payment shall be entitled to the price
for the purchase or assignment of the real estate at the time of
signing the contract, unless the parties otherwise agree;
(d)
If an investor hands over the real estate later than the schedule
recorded in the contract, the investor shall be contractually liable
to the client and must pay the client interest on the advance
payment for the period of delay calculated at the commercial bank
loan interest rate at the time of handover of the real estate;
(dd)
If a client fails to correctly implement its contractual undertaking
to make advance payment, then the client shall be contractually
liable to the investor and must pay the investor interest on late
payment for the period of delay calculated at the commercial bank
loan interest rate at the time of payment;
(e)
The selection of the commercial bank loan interest rate stipulated
in sub-clauses (d) and (dd) of this clause must be an agreement in
the contract.
2.
The parties may agree in a contract of purchase and sale or
assignment of real estate to apply the form of deferred [or]
installment payments, and must comply with the following principles:
(a)
The amount of the deferred payment [or] of the installments, and the
time-limit for making payment of such deferred payment or
installments must be agreed in the contract;
(b) The seller or assignor must preserve its ownership of the real
estate or land use right until the purchaser or assignee has made
payment in full and discharged other contractual obligations, unless
the parties agree otherwise;
(c)
The purchaser or assignee of the real estate shall be entitled to
use the real estate and shall own the real estate or have the land
use right after having made payment in full and after having
discharged other contractual obligations, unless the parties agree
otherwise.
Article 15
Real Estate Association
1.
A Real Estate Association shall be established on the basis of
voluntary participation by organizations and individuals engaged in
real estate business. The Real Estate Association shall protect the
lawful rights and interests of its members, shall participate in
formulation and dissemination of the law on real estate business,
and shall contribute to the development of a fair real estate
market.
2.
The organization and operation of the Real Estate Association shall
be implemented in accordance with the law on associations.
Article 16
Prohibited conduct:
1.
Conducting real estate business without having business
registration; providing real estate brokerage or valuation services
without having the certificates required by this Law.
2.
Supplying untruthful information about real estate.
3.
Conducting fraudulent acts and cheating in real estate business
activities.
4.
Illegally raising or misappropriating capital of a purchaser, lessee
or hire purchaser of real estate or of a capital contributing party
to an investment in real estate business.
5.
Failing to discharge financial obligations to the State.
6.
Taking advantage of preferential policies of the State in order to
conduct real estate business contrary to law.
7.
Issuing a real estate broker's certificate or a real estate valuer's
certificate incorrectly in terms of the provisions of this Law.
8.
Receiving fees, charges and other monetary items relating to real
estate business activities contrary to law.
9.
Taking advantage of position or powers in order to make illegal gain
or to illegally interfere in real estate business activities.
10.
Other conduct which is prohibited by law.
Article 17
Dealing with breaches
1.
Any organization or individual who breaches the provisions of this
Law shall, depending on the nature and seriousness of the breach, be
disciplined, be subject to an administrative penalty, or be
criminally prosecuted; and any offender who causes loss and damage
must pay compensation in accordance with law.
2.
Any organization or individual conducting real estate business
without a business registration certificate shall be suspended from
operation [and] shall be subject to an administrative penalty and
collection of taxes in accordance with law.
3.
Any individual who does not have a real estate broker's certificate
or a real estate valuer's certificate but engages in real estate
brokerage or valuation activities shall be suspended from operation,
shall be subject to an administrative penalty and shall be
ineligible for the grant of a certificate for a period of three
years from the date of issuance of the penalty decision.
4.
Any individual who is granted a real estate broker's certificate or
a real estate valuer's certificate but does not correctly implement
the contents of the certificate shall be subject to an
administrative penalty in the form of a warning or a fine; and in
the case of a first repeat offence shall be suspended from operation
for a period of one year, and in the case of a second repeat offence
shall have his or her certificate revoked and shall be ineligible
for the re-grant of a certificate for a period of five years from
the date of issuance of the penalty decision.
5.
The Government shall provide specific regulations on imposition of
administrative penalties in real estate business.
CHAPTER II
Trading
in Houses and Buildings
Section 1
Investment
In the Creation of Houses and Buildings For Trading
Article 18
Investment in creation of houses and buildings for trading
1.
Organizations and individuals engaged in real estate business shall
be permitted to invest in the creation of houses and buildings for
trading in the following forms: (a) Investment in new construction
of houses and buildings;
(b)
Investment in upgrading and repairing existing houses and buildings.
2.
Organizations and individuals investing in the creation of houses
and buildings for trading must comply with the construction master
plan approved by the competent State body.
3.
Organizations and individuals investing in the construction of new
urban zones, residential zones and industrial zone technical
infrastructure must have an investment project. The selection of an
investor of a new urban zone project, residential zone project or
industrial zone technical infrastructure project must be implemented
in accordance with the law on construction and the law on tendering.
A project investor must have the financial capability to be able to
implement the project.
Article 19
Rights of investors of new urban zone projects, residential zone
projects and industrial zone technical infrastructure projects:
1.
To propose new urban zone projects, residential zone projects and
industrial zone technical infrastructure projects to the competent
State body to obtain permission for investment in construction and
business.
2.
To invest in the construction of technical infrastructure, buildings
and residential housing correctly in accordance with the detailed
construction master plan of the project on a scale of 1/500 as
approved by the competent State body.
3.
To participate in the auction of land use rights and tendering for
the performance of new urban zone projects, residential zone
projects and industrial zone technical infrastructure projects.
4.
To introduce information about and to advertise any project which
the investor has itself formulated in order to attract and call for
other investors to participate by investing in the project.
5.
To sell, lease out and grant hire purchase of houses and buildings,
and to assign and lease out land use rights for land with
infrastructure in accordance with an approved project; to comply
with the provisions of article 21 of this Law in a case of
assignment of an entire project to another investor.
6.
To be entitled to exemption or reduction of land use fees or to be
entitled to pay land use fees by installments pursuant to law in
accordance with the project schedule and the nature of the housing
and building works.
7.
To administer and supervise other investors participating by
investing in the project, ensuring they correctly invest and
construct in accordance with the approved project and the law on
construction.
8.
To form a joint venture or business co-operation with domestic
organizations and individuals, with foreign organizations and
individuals and with Vietnamese residing overseas in order to
implement a project.
9.
To raise capital in accordance with law.
10.
Other rights as stipulated by law.
Article 20
Obligations of investors of new urban zone projects, residential
zone projects and industrial zone technical infrastructure projects:
1.
To formulate a detailed construction master plan of the project on a
scale of 1/500 and to submit the plan to the competent State body
for approval in accordance with the law on construction.
2.
To directly invest in construction of a synchronous technical
infrastructure system and to ensure it connects to the
infrastructure system of the surrounding areas in accordance with
the schedule for implementation of the project; to invest in the
construction of houses and buildings to be built in accordance with
the approved master plan and contents of the project.
3.
To ensure funding sources to implement the project correctly in
accordance with the approved schedule; in a case of raising capital
by obtaining advance payments from clients, to implement the
provisions in clause 1 of article 14 of this Law.
4.
To administer the construction of houses and buildings within the
project in which such investor invests and in which other investors
participate in investment correctly in accordance with the detailed
construction master plan on a scale of 1/500 and correctly in
accordance with the approved contents of the project.
5.
To be liable for the quality of houses and buildings in accordance
with the law on construction.
6.
To sell, lease out and grant a hire purchase of houses and
buildings; to assign or lease out land use rights which already have
infrastructure correctly in accordance with the approved project.
7.
To conduct procedures to establish land use rights or ownership of
houses and buildings which have been sold or assigned to clients; to
conduct procedures to handover technical infrastructure works in
accordance with the approved project.
8.
To archive, and to lodge a copy for archiving, of project files,
design files and files on completion of houses and buildings in
accordance with law.
9.
To implement the reporting regime in accordance with law and to be
subject to checks and inspections by the competent State body.
10.
Other obligations as stipulated by law.
Article 21
Assignment of entire new urban zone projects, residential zone
projects and industrial zone technical infrastructure projects
1.
The competent State body must provide written approval to an
assignment of an entire new urban zone project, residential zone
project or industrial zone technical infrastructure project.
2.
An investor who is an assignee must be an organization or individual
engaged in real estate business who satisfies the conditions
stipulated in clause 1 of article 8 of this Law. An investor being
an assignee shall be liable to fully discharge all the obligations
of the assigning investor.
3.
The assignment of an entire new urban zone project, residential zone
project or industrial zone technical infrastructure project must be
implemented via a written contract.
4.
The Government shall provide specific regulations on assignment of
entire new urban zone projects, residential zone projects and
industrial zone infrastructure projects.
Section 2
Purchase
and Sale of Houses and Buildings
Article 22
Principles on purchase and sale of houses and buildings
1.
Houses and buildings permitted to be purchased and sold shall
comprise existing houses and buildings, and houses and buildings
which are currently being constructed or which will be formed in the
future pursuant to an approved project, design and schedule.
2.
Organizations and individuals conducting real estate business must
sell houses and buildings via a real estate trading floor.
3.
The sale of a house or building must be accompanied by7
transfer of the land use right, and shall be regulated as follows:
(a)
In the case of a villa or detached house in an urban area, the land
use right must be transferred at the same time;
(b)
In the case of other houses and buildings, transfer of the land use
right shall be implemented in accordance with the law on land.
In
the case of the sale of an apartment in an apartment block or the
sale of one section of community housing, the sale must include8
the
land use right, common use areas and commonly owned equipment and
facilities in the community housing.
4.
The sale of a house or building must be accompanied by the file on
the house or building. The file on a house or building shall contain
documents on the formation of the house or building, its ownership,
the process of change of the house and building, and the current
legal status of the house or building.
5.
The sale of a house or building must be expressed in a contract
pursuant to the provisions of this Law and other provisions of
relevant laws. In the case of a house or building to be formed in
the future, the parties must agree in the contract on the price for
the purchase and sale at the time of signing the contract, and the
price must not depend on the time of handover of the house or
building.
Article 23
Warranty of houses and buildings which have been sold
1.
A seller shall be responsible to provide a warranty to the purchaser
of the house or building which has been sold, unless the two parties
agree otherwise. The contents, term and form of the warranty shall
be as agreed by the two parties in the contract.
2.
During the warranty period the seller shall be liable to repair and
remedy any defects in and damage to the house or building and to
ensure quality standards in accordance with law or in accordance
with the agreement in the contract, including construction equipment
and common use areas of community housing.
3.
In the case of new houses and buildings, the warranty period shall
not be shorter than the warranty period for buildings stipulated in
the law on construction.
Article 24
Rights of sellers of houses and buildings:
1.
To require the purchaser to make full payment within the period and
by the method agreed in the contract.
2.
To require the purchaser to receive [handover of] the house or
building within the period agreed in the contract.
3.
To demand that the purchaser pay compensation for loss caused by the
fault of the purchaser.
4.
To unilaterally terminate or rescind the contract when the purchaser
breaches the conditions entitling unilateral termination or
rescission of the contract as agreed by both parties in the contract
or as stipulated by law.
5.
Other rights as stipulated by law.
Article 25
Obligations of sellers of houses and buildings:
1.
To supply complete and truthful information about a house or
building and to be liable for such information which the seller
supplies.
2.
To handover the house or building to the purchaser correctly on
schedule, with the quality and satisfying the other conditions
agreed in the contract, and accompanied by the file and [providing]
guidelines on use; to transfer ownership of the house or building
and the land use right.
3.
To provide a warranty of the house or building which has been sold
in accordance with the provisions in article 23 of this Law.
4.
To pay compensation for loss caused by the fault of the seller.
5.
To discharge tax obligations and other financial obligations
stipulated by law.
6.
Other obligations stipulated by law.
Article 26
Rights of purchasers of houses and buildings:
1.
To receive [handover of] the house or building accompanied by a
certificate of ownership of the house or building, a land use right
certificate and the relevant file and documents.
2.
To require the seller of the house or building to complete the
procedures for purchase and sale of the house and building, and to
transfer ownership of the house or building together with the land
use right.
3.
To require the seller of the house or building to provide a warranty
in accordance with article 23 of this Law.
4.
To demand that the seller of the house or building pay compensation
for loss due to handover of the house or building out of time, or
for failure to satisfy the quality requirements or for failure to
correctly implement other undertakings in the contract.
5.
To unilaterally terminate or rescind the contract if the seller of
the house or building is in breach of the conditions entitling
unilateral termination of the contract or rescission of the contract
as agreed by the two parties in the contract or as stipulated by
law.
6.
Other rights as stipulated by law.
Article 27
Obligations of purchasers of houses and buildings:
1.
To make payment to the seller of the house or building within the
time-limit and by the method agreed in the contract.
2.
To receive [handover of] the house or building accompanied by the
file, with the correct quality and within the time-limit as agreed
in the contract.
3.
To use the house or building for its correct use and design purpose.
4.
To pay compensation for loss caused by the fault of the purchaser.
5.
Other obligations as stipulated by law.
Section 3
Leasing Houses and Buildings
Article 28
Principles on leasing houses and buildings:
1.
Only an existing house or building shall be permitted to be leased
out.
2.
Any organization or individual engaged in the business of leasing
out real estate must do so via a real estate trading floor.
3.
Any house or building for lease must ensure quality, safety,
environmental hygiene and other necessary services ensuring normal
operation and use of the house or building in accordance with its
use and design purpose and other agreements in the contract.
4.
The lease out of a house or building must be expressed in a contract
in accordance with the provisions of this Law and other relevant
laws.
Article 29
Rights of lessors of houses and buildings:
1.
To require the lessee to preserve and use the house or building in
accordance with its use and design purpose and the agreements in the
contract.
2.
To require the lessee to pay rent on the times and by the methods
agreed in the contract.
3.
To require the lessee to return the house or building on expiry of
the term of the lease.
4.
To demand that the lessee pay compensation for damage, or to repair
sections damaged, due to the fault of the lessee.
5.
To unilaterally terminate or rescind the contract when the lessee is
in breach of conditions entitling unilateral termination or
rescission of the contract as agreed by the two parties in the
contract or as stipulated by law.
6.
Other rights as stipulated by law.
Article 30
Obligations of lessors of houses and buildings:
1.
To supply complete and truthful information about a house or
building and to be liable for such information which the lessor
supplies.
2.
To handover the house or building to the lessee in accordance with
the contract and to guide the lessee on use of the house or building
correctly in accordance with its use and design purpose.
3.
To periodically maintain and repair the house or building or to do
so in accordance with the agreements in the contract.
4.
To pay compensation for loss caused by the fault of the lessor.
5.
To discharge tax obligations and other financial obligations as
stipulated by law.
6.
Other obligations as stipulated by law.
Article 31
Rights of lessees of houses and buildings:
1.
To require the lessor to supply complete and truthful information
about the house or building.
2.
To receive [handover of] the house or building in accordance with
the agreements in the lease contract; and to use the house or
building within the term of the lease.
3.
To be permitted to sub-let out a part of or the entire house or
building if there is such an agreement in the contract or if the
lessor provides written approval.
4.
To continue to lease on conditions agreed with the lessor if there
is a change of owner of the house or building.
5.
To require the lessor to repair the house or building currently
being leased if it is damaged; and to demand that the lessor pay
compensation for loss caused by the fault of the lessor.
6.
To unilaterally terminate the contract or to rescind the contract if
the lessor breaches conditions entitling unilateral termination or
rescission of the contract as agreed by both parties in the contract
or as stipulated by law.
7.
Other rights as stipulated by law.
Article 32
Obligations of lessees of houses and buildings:
1.
To preserve and use the house or building in accordance with its use
and design purpose and the agreements in the contract.
2.
To pay rent and discharge other obligations as agreed in the
contract.
3.
To return the house or building to the lessor in accordance with the
agreements in the contract.
4.
To repair any damage to the house or building caused by the fault of
the lessee.
5.
Not to change, upgrade or dismantle a part of or the entire house or
building without the approval of the lessor.
6.
To pay compensation for loss caused by the fault of the lessee.
7.
Other obligations as stipulated by law.
Section 4
Hire
Purchase of Houses and Buildings
Article 33
Principles on hire purchase of houses and buildings
1.
Only an existing house or building shall be permitted to be hire
purchased.
2.
Any house or building which is the subject of a hire purchase must
ensure quality, safety, environmental hygiene and other necessary
services ensuring normal operation and use of the house or building
in accordance with its use and design purpose and other agreements
in the contract.
3.
Any organization or individual engaged in the business of granting a
hire purchase of real estate must do so via a real estate trading
floor.
4.
The hire purchase of a house or building must be expressed in a
contract in accordance with the provisions of this Law and other
relevant laws.
5.
The hire purchase of a house or building must include9
the
land use right and must be accompanied by the file of the house or
building.
6.
The parties may, in a contract for the hire purchase of a house or
building, abridge the time for transfer of ownership of the house or
building to the lessee to prior to expiry of the term of the hire
purchase.
Article 34
Rights of the lessor of a hire purchase of a house or building:
1.
To select and to reach agreement with the lessee in the contract on
the term of the hire purchase and on the time for transfer of
ownership of the house or building.
2.
To require the lessee to make payment of the hire purchase rent
within the period and by the method agreed in the contract.
3.
To require the lessee to supply information on the actual status of
the house or building during the term of the hire purchase.
4.
To demand that the lessee pay compensation for loss caused by the
fault of such lessee.
5.
Other rights as stipulated by law.
Article 35
Obligations of the lessor of a hire purchase of a house or building:
1.
To supply complete and truthful information about the house or
building and to be liable for such information which the lessor
supplies.
2.
To handover the house or building, accompanied by the file of the
house or building, on the time and with the quality as agreed in the
contract and to provide guidelines on use of the house or building.
3.
To transfer ownership of the house or building to the lessee on
expiry of the term of the hire purchase or pursuant to the agreement
in the contract.
4.
To ensure the quality of the house or building during the term of
the hire purchase in accordance with the law on construction or
pursuant to the agreement in the contract.
5.
To pay compensation for loss caused by the fault of the lessor.
6.
To discharge tax obligations and other financial obligations as
stipulated by law.
7.
Other obligations as stipulated by law.
Article 36
Rights of lessee of hire purchase of house or building
1.
To receive [handover of] the house or building correctly in
accordance with the agreement in the contract; and to use the house
or building during the term of the hire purchase.
2.
To receive ownership of the house or building currently the subject
of hire purchase on expiry of the term of the hire purchase or prior
to expiry of the term pursuant to the agreement of the parties in
the contract.
3.
To sub-let out a part of or the entire house or building, or to
assign the right to hire purchase the house or building to a third
party, only if the lessor agrees.
4.
To require the lessor to supply data on, guidelines on use of, and
to ensure the quality of the house or building during the term of
the hire purchase in accordance with the law on construction or
pursuant to the agreement of the parties in the contract.
5.
To require the lessor to transfer ownership of the house or building
including the land use right, accompanied by the file.
6.
To demand that the lessor pay compensation for loss caused by the
fault of such lessor.
5.
Other rights as stipulated by law.
Article 37
Obligations of the lessee of a hire purchase of a house or building
1.
During the term of the hire purchase, to preserve and use the house
or building correctly in accordance with its use and design purpose
and the agreements in the contract.
2.
To upgrade and repair the house or building only if the lessor
agrees.
3.
To make payment of the hire purchase rent of the house or building
within the period and by the method agreed in the contract.
4.
To discharge obligations on expiry of the hire purchase term in
accordance with the contract.
5.
To pay compensation for loss caused by the fault of the lessee.
6.
Other obligations as stipulated by law.
CHAPTER III
Trading
Land Use Rights
Article 38
Investment in creation of a Land Fund with infrastructure for
purposes of assignment or leasing out
1.
Any organization or individual engaged in real estate business shall
be permitted to invest in creation of a Land Fund with
infrastructure in order to assign or lease out in the following
forms:
(a)
Investment in upgrading land and construction of infrastructure in
order to assign or lease out the land with infrastructure;
(b)
Investment in infrastructure on assigned land in order to assign or
lease out the land with infrastructure;
(c) Investment in infrastructure on leased land in order to lease
out the land with infrastructure.
2.
Investment in creation of a Land Fund which already has
infrastructure for purposes of assignment or leasing out must comply
with the land use master plan and plans, the construction master
plan and relevant laws.
Article 39
Assignment and leasing out of land use rights
1.
A land use right shall only be permitted to be assigned or leased
out when the land use right satisfies the conditions stipulated in
clause 2 of article 7 of this Law.
2.
The assignment or leasing out of a land use right shall be
implemented in the following forms:
(a)
Agreement between the parties;
(b)
Auction of land use right.
3.
The assignment or leasing out of a land use right must be expressed
in a contract in accordance with the provisions of this Law and
other provisions of relevant laws.
Article 40
Rights and obligations of the assignor of a land use right
1.
The assignor of a land use right shall have the following rights:
(a)
To require the assignee to make payment within the period and by the
method agreed in the contract;
(b)
To require the assignee to receive [handover of] the land on the
correct time agreed in the contract;
(c)
To require the assignee to pay compensation for loss caused by the
fault of the assignee;
(d)
To unilaterally terminate or to rescind the contract if the assignee
breaches conditions entitling unilateral termination or rescission
of the contract as agreed by the two parties in the contract or as
stipulated by law;
(dd)
Other rights as stipulated by law.
2.
The assignor of a land use right shall have the following
obligations:
(a)
To supply complete and truthful information about the land use right
and to be liable for the information which such assignor supplies;
(b)
To handover the land to the assignee correctly in accordance with
the agreement in the contract;
(c)
To conduct procedures for and to deliver the documents on the land
use right to the assignee;
(d)
To pay compensation for loss caused by the fault of the assignor;
(dd)
To discharge tax obligations and other financial obligations in
accordance with law;
(e)
Other obligations as stipulated by law.
Article 41
Rights and obligations of the assignee of a land use right
1.
The assignee of a land use right shall have the following rights:
(a)
To require the assignor to supply complete and truthful information
about the land use right which has been assigned and [to require the
assignor to accept] liability for the information which the assignor
supplies;
(b)
To require the assignor to conduct procedures for and to deliver the
documents on the land use right;
(c)
To require the assignor to handover land of the correct area, class,
type, position, symbol and status quo and [in compliance with] other
agreements in the contract;
(d)
To unilaterally terminate or to rescind the contract if the assignor
breaches conditions entitling unilateral termination or rescission
of the contract as agreed by the two parties in the contract or as
stipulated by law;
(dd)
To require the assignor to pay compensation for loss caused by the
fault of the assignor;
(e)
Other rights as stipulated by law.
2.
The assignee of a land use right shall have the following
obligations:
(a)
To exploit and use the land for the correct purpose in compliance
with the land use master plan and plans, the investment project and
agreements in the contract;
(b)
To make payment to the assignor within the period and by the payment
method agreed in the contract;
(c)
To pay compensation for loss caused by the fault of the assignee;
(dd)
Other obligations as stipulated by law.
Article 42
Rights and obligations of the lessor of a land use right
1.
The lessor of a land use right shall have the following rights:
(a)
To require the lessee to exploit and use the land for the correct
purpose in compliance with the land use master plan and plans, the
investment project and agreements in the contract;
(b)
To require the lessee to make payment within the period and by the
method agreed in the contract;
(c)
To require the lessee to return the land on expiry of the term of
the lease as set out in the contract;
(d)
To unilaterally terminate or to rescind the contract if the lessee
breaches conditions entitling unilateral termination or rescission
of the contract as agreed by the two parties in the contract or as
stipulated by law;
(dd)
To require the lessee to pay compensation for loss caused by the
fault of the lessee;
(e)
Other rights as stipulated by law.
2.
The lessor of a land use right shall have the following obligations:
(a)
To supply complete and truthful information about the land use right
and to be liable for the information which such lessor supplies;
(b)
To handover the land to the lessee correctly in accordance with the
agreement in the contract;
(c)
To check and require the lessee to protect and retain the land and
to use the land for the correct purpose;
(d)
To pay compensation for loss caused by the fault of the lessor;
(dd)
To discharge tax obligations and other financial obligations in
accordance with law;
(e)
Other obligations as stipulated by law.
Article 43
Rights and obligations of the lessee of a land use right
1.
The lessee of a land use right shall have the following rights:
(a)
To require the lessor to supply complete and truthful information
about the land use right which has been leased and [to require the
lessor to accept] liability for the information which the lessor
supplies;
(b)
To require the lessor to handover land of the correct area, class,
type, position, symbol and status quo and [in compliance with] other
agreements in the contract;
(c)
To exploit and use the leased land and to be entitled to the fruits
of the lessee's labour and results of investment in the leased land
in accordance with the time-limits and agreements in the contract;
(d)
To request the lessor to exempt or reduce rent in a case of force
majeure;
(dd)
To unilaterally terminate or to rescind the contract if the lessor
breaches conditions entitling unilateral termination or rescission
of the contract as agreed by the two parties in the contract or as
stipulated by law;
(e)
To require the lessor to pay compensation for loss caused by the
fault of the lessor;
(g)
Other rights as stipulated by law.
2.
The lessee of a land use right shall have the following obligations:
(a)
To exploit and use the land for the correct purpose in compliance
with the land use master plan and plans, the investment project and
agreements in the contract;
(b)
To make payment to the lessor within the period and by the method
agreed in the contract;
(c)
To retain the land and ensure it is not destroyed;
(d)
To return the land on expiry of the term of the lease;
(dd)
To pay compensation for loss caused by the fault of the lessee;
(e)
Other obligations as stipulated by law.
CHAPTER IV
Real Estate Business Services
Section 1
Real
Estate Brokerage
Article 44
Principles on real estate brokerage activities
1.
Any organization or individual who satisfies the conditions
stipulated in clauses 2 and 3 of article 8 of this Law shall be
permitted to provide real estate brokerage business services
(hereinafter referred to as a real estate broker), and to act
as an intermediary in negotiating and signing a real estate business
contract and shall be entitled to remuneration and commission in
accordance with a real estate brokerage contract.
2.
Real estate brokerage activities must be conducted publicly,
honestly and in compliance with law.
3.
A real estate broker shall not be permitted to be both the
intermediary and a party performing a contract in the one real
estate business transaction.
Article 45
Contents of real estate brokerage:
1.
To seek parties who satisfy the conditions stipulated by the client
in order to participate in negotiating and signing a contract.
2.
To act as representative pursuant to authorization in order to
undertake work related to real estate business activities.
3.
To supply information to and to assist parties in negotiating and
signing a contract of purchase and sale, assignment, lease or hire
purchase of real estate.
Article 46
Real estate broker's remuneration
1.
A real estate broker shall be entitled to receive broker's
remuneration from a client independent of the result of the
transaction for the purchase and sale, assignment, lease or hire
purchase of real estate as between the client and a third party.
2.
The level of broker's remuneration as agreed by the parties in a
contract shall not depend on the price of the transaction which is
being broked.
Article 47
Real estate broker's commission
1.
A real estate broker shall be entitled to receive broker's
commission in accordance with the brokerage contract when the
introduced party signs a contract of purchase and sale, assignment,
lease or hire purchase of real estate.
2.
The level of broker's commission shall be as agreed by the parties
in accordance with a percentage of the price of the contract of
purchase and sale, assignment, lease or hire purchase of the real
estate or at a percentage of the price difference between the
selling price of the real estate and the price provided by the
introduced person or a specific sum of money as agreed by the
parties in the real estate brokerage contract.
Article 48
Rights of real estate brokers:
1.
To provide real estate brokerage services in accordance with the
provisions of this Law.
2.
To require a client to supply the file, information and data
relating to the real estate.
3.
To be entitled to broker's commission [and/or] broker's remuneration
pursuant to the real estate brokerage contract signed with the
client.
4.
To hire other brokers to carry out real estate brokerage work within
the scope of the real estate brokerage contract signed with the
client, but to remain liable to the client for the results of such
brokerage.
5.
To collate information on the policies and law on real estate
business.
6.
To unilaterally terminate or rescind the real estate brokerage
contract when the client breaches conditions entitling unilateral
termination or rescission of the contract as agreed by the two
parties in the contract or as stipulated by law.
7.
To select participation in a real estate trading floor.
8.
To lodge complaints and to make denunciations about breaches of the
law during real estate brokerage activities.
9.
Other rights as stipulated by law.
Article 49
Obligations of real estate brokers:
1.
To correctly perform the real estate brokerage contract.
2.
To supply information about real estate made available for trading
and to be liable for such information which the broker supplies.
3.
To assist the parties during negotiating and signing of a contract
of purchase and sale, assignment, lease or hire purchase of real
estate.
4.
To implement the reporting regime in accordance with law; and to be
subject to inspection and checks by the competent State body.
5.
To pay compensation for loss caused by the fault of the broker.
6.
To discharge tax obligations and other financial obligations in
accordance with law.
7.
Other obligations as stipulated by law.
Article 50
Real estate broker's certificates
1.
An individual who satisfies all the following conditions shall be
issued with a real estate broker's certificate:
(a)
Having full civil legal capacity;
(b)
Having undergone training on real estate brokerage;
(c)
Lodging an application file for the issuance of a real estate
broker's certificate.
2.
An application file for the issuance of a real estate broker's
certificate shall comprise the following documents:
(a)
Application for the issuance of a real estate broker's certificate
certified by the people's committee of the commune, ward or township
where the applicant resides, accompanied by a photo of the
applicant;
(b)
Copy certificate of having passed a training course on real estate
brokerage.
3.
Provincial people's committees shall direct and organize the
issuance of real estate broker's certificates.
4.
The Government shall provide specific regulations on real estate
brokerage training; on the issuance and revocation of real estate
broker's certificates; and on the administration of real estate
brokers' professional practice.
Section 2
Real Estate Valuation
Article 51
Principles on real estate valuation activities
1.
Any organization or individual providing real estate valuation
business services (hereinafter referred to as a real estate
valuer) must satisfy the conditions stipulated in clause 2 of
article 8 of this Law.
2.
A valuation of real estate must be based on technical criteria, on
the nature, position, scale and actual status of the real estate,
and on the market value at the time of the valuation.
3.
A valuation of real estate must be independent, objective, truthful
and in compliance with law.
Article 52
Certificate of a real estate valuation
1.
A certificate of a real estate valuation shall contain the following
particulars:
(a)
The real estate which has been valued;
(b)
The position and scale of the real estate;
(c)
The nature and actual status of the real estate;
(d)
The legal status of the real estate;
(dd)
Restrictions of10
the
real estate;
(e)
The method of valuing the real estate;
(g)
The time of valuing the real estate;
(h)
The value of the real estate;
(i)
Other contents.
2.
A certificate of real estate valuation shall provide reference
material for parties to consult when they negotiate and make a
decision on the price of the purchase and sale, assignment, lease
out or grant of a hire purchase of the real estate.
3.
A certificate of real estate valuation shall be made in three (3)
copies which shall be of equal legal validity; two copies shall be
delivered to the client, and one copy shall be retained by the real
estate valuer.
Article 53
Rights of real estate valuers:
1.
To supply real estate valuation services in accordance with the
provisions of this Law and other provisions of relevant laws.
2.
To require a client to supply the file, information and data
relating to the real estate as the basis for the valuation.
3.
To collate information on the policies and law on real estate
business.
4.
To require the client to pay for services in accordance with the
agreement in the contract.
5.
To hire another valuer to implement real estate valuation work
within the scope of the real estate valuation contract signed with
the client, but to remain liable to the client for the results of
the valuation.
6.
To unilaterally terminate or rescind the real estate valuation
contract when the client breaches conditions entitling unilateral
termination or rescission of the contract as agreed by the two
parties in the contract or as stipulated by law.
7.
Other rights as stipulated by law.
Article 54
Obligations of real estate valuers:
1.
To implement the agreements in the real estate valuation contract
signed with the client.
2.
To deliver the certificate of real estate valuation to the client
and to be liable for such certificate.
3.
To purchase professional indemnity insurance for real estate
valuation.
4.
To implement the reporting regime in accordance with law; and to be
subject to inspection and checks by the competent State body.
5.
To retain the file and data on the real estate valuation.
6.
To pay compensation for loss caused by the fault of the valuer.
7.
To discharge tax obligations and other financial obligations in
accordance with law.
8.
Other obligations as stipulated by law.
Article 55
Real estate valuer's certificates
1.
Any individual who satisfies all the following conditions shall be
issued with a real estate valuer's certificate:
(a)
Having full civil legal capacity;
(b) Having educational qualifications at college level or higher;
(c)
Having undergone training on real estate valuation;
(d)
Lodging an application file for the issuance of a real estate
valuer's certificate.
2.
An application file for the issuance of a real estate valuer's
certificate shall contain:
(a)
Application for the issuance of a real estate valuer's certificate
certified by the people's committee of the commune, ward or township
where the applicant resides, accompanied by a photo of the
applicant;
(b)
Copy diploma of graduation from college or higher level;
(c)
Copy certificate of having passed a training course on real estate
valuation.
3.
Provincial people's committees shall direct and organize the
issuance of real estate valuer's certificates.
4.
The Government shall provide specific regulations on real estate
valuation training; on the issuance and revocation of real estate
valuer's certificates; and on the administration of real estate
valuers' professional practice.
Section 3
Real
Estate Trading Floors
Article 56
Principles on organization and operation of real estate trading
floors
1.
Any organization or individual engaged in real estate business or
any organization or individual providing real estate business
services shall be permitted to establish a real estate trading floor
or to hire the real estate trading floor of another organization or
individual in order to service the former's real estate business
activities.
2.
A real estate trading floor must be a legal entity. If an enterprise
or co-operative engaged in real estate business establishes a real
estate trading floor, then such trading floor must have legal entity
status or must use the legal entity status of the enterprise or
co-operative engaging in real estate business in order to operate.
3.
The operation of a real estate trading floor must be conducted
publicly, transparently and in compliance with law.
4.
A real estate trading floor, and any enterprise or co-operative
engaged in real estate business which establishes a real estate
trading floor, shall be liable for the operation of such real estate
trading floor.
5.
A real estate trading floor must have a name, address and a
nameplate, and must announce its establishment on the mass media;
prior to commencing operation, a real estate trading floor must
notify the competent State body in the locality.
Article 57
Conditions for establishing a real estate trading floor:
1.
Satisfying the conditions stipulated in clause 2 of article 8 of
this Law.
2.
Having operational rules of the real estate trading floor.
3.
Having material and technical facilities servicing the operational
contents of the real estate trading floor.
4.
Having managers and operators of the real estate trading floor who
satisfy the conditions stipulated by the Government.
Article 58
Operational contents of a real estate trading floor:
1.
Transactions of purchase and sale, assignment, lease and hire
purchase of real estate.
2.
Real estate brokerage.
3.
Real estate valuation.
4.
Real estate consultancy.
5.
Real estate advertising.
6.
Real estate auctioning.
7.
Real estate management.
Article 59
Trading real estate via a real estate trading floor
1.
Any organization or individual engaged in real estate business who
sells, assigns, leases out or grants a hire purchase of real estate
must conduct the transaction via a real estate trading floor in
accordance with the provisions of this Law.
2.
The State encourages organizations and individuals not engaged in
real estate business to implement real estate transactions via a
real estate trading floor in order to ensure that transactions are
conducted publicly, transparently and in the interests of the
parties.
Article 60
Rights of managers and operators of a real estate trading floor:
1.
To manage and operate the operation of the real estate trading
floor.
2.
To request competent State bodies to supply information relating to
real estate in accordance with law.
3.
To require clients to supply information and data about real estate
made available to be traded on the real estate trading floor.
4.
To refuse to make available on the real estate trading floor any
real estate which fails to satisfy the conditions to be made
available for trading.
5.
To collect service fees from clients who make real estate available
to be traded on the real estate trading floor.
6.
To demand that a client pay compensation for loss caused by the
fault of such client.
7.
Other rights as stipulated by law.
Article 61
Obligations of managers and operators of a real estate trading
floor:
1.
To ensure that real estate which is made available to be traded on
the real estate floor satisfies all the conditions to be made
available for trading.
2.
To supply complete and truthful information and data relating to
real estate and to be liable for the information and data which such
manager or operator supplies.
3.
To provide real estate services on the real estate trading floor.
4.
To ensure that the real estate trading floor has material and
technical facilities and conditions servicing its operation.
5.
To ensure that the real estate trading floor operates correctly in
terms of its registered items; to implement the reporting regime in
accordance with law and to be subject to inspection and checks by
the competent State body; to discharge tax obligations and other
financial obligations in accordance with law.
6.
To pay compensation for loss caused by the fault of such manager or
operator.
7.
Other obligations as stipulated by law.
Article 62
Rights and obligations of organizations and individuals
participating in a real estate trading floor
1.
Organizations and individuals participating in a real estate trading
floor shall have the following rights:
(a)
To request the supply of information and data relating to real
estate;
(b)
To request the provision of real estate services;
(c)
To demand that the real estate trading floor pay compensation for
loss caused by the fault of such real estate trading floor;
(d)
Other rights as stipulated by law.
2.
Organizations and individuals participating in a real estate trading
floor shall have the following obligations:
(a)
To implement the operational rules of the real estate trading floor;
(b)
To pay service fees to the real estate trading floor;
(c)
To pay compensation for loss caused by the fault of such
organization or individual;
(d)
Other obligations as stipulated by law.
Section 4
Other Real Estate Services
Article 63
Real estate consultancy
1.
Any organization or individual providing real estate consultancy
business services must satisfy the conditions stipulated in clause 2
of article 8 of this Law.
2.
Real estate consultancy business services shall comprise:
(a)
Legal advice on real estate;
(b)
Advice on investment in the creation of and conduct of business in
real estate;
(c)
Advice on real estate finance;
(d)
Advice on the price of real estate;
(dd)
Advice on contracts of purchase and sale, assignment, lease and hire
purchase of real estate;
(e)
Advice on other matters relating to real estate.
3.
The contents and scope of consultancy, the rights and obligations of
the parties and the fees for the real estate consultancy services
shall be as agreed by the parties in a contract.
4.
Any organization or individual providing real estate consultancy
business services shall be liable for the contents of advice
provided and to pay compensation for loss caused by the fault of
such organization or individual.
Article 64
Real estate auctioneering
1.
Any organization or individual providing real estate auctioneering
business services must satisfy the conditions stipulated in clause 2
of article 8 of this Law.
2.
Real estate auctioneering must be conducted publicly and
transparently and on the principle of protection of the interests of
the parties.
3.
The forms of real estate auctioneering shall comprise:
(a)
Direct by words;
(b)
Casting votes;
(c)
Other forms as agreed by the parties or as stipulated by law.
4.
An organization or individual providing real estate auctioneering
business services must publicly announce complete and accurate
information about the real estate on a board listing the auction as
supplied by the organization or individual selling or assigning the
real estate11.
5.
The form and contents of an auction of real estate, the rights and
obligations of the parties, and the fees for the auctioneering
services shall be as agreed by the parties in the contract.
6.
An organization or individual providing real estate auctioneering
business services shall be liable to implement undertakings in the
contract and to pay compensation for loss caused by the fault of
such organization or individual.
7.
An auction must be implemented in accordance with the provisions of
this Law and the law on auctions.
Article 65
Real estate advertising
1.
Any organization or individual providing real estate advertising
business services must satisfy the conditions stipulated in clause 2
of article 8 of this Law.
2.
Real estate advertising shall be conducted via a real estate trading
floor, on the mass media or by other means.
3.
The form and contents of an advertisement, the rights and
obligations of the parties and the fees for the real estate
advertising services shall be as agreed by the parties in the
contract.
4.
An organization or individual providing real estate advertising
business services shall be liable to implement undertakings in the
contract and to pay compensation for loss caused by the fault of
such organization or individual.
5.
An advertisement about real estate must be implemented in accordance
with the provisions of this Law and the law on advertising.
Article 66
Real estate management
1.
Any organization or individual providing real estate management
business services must satisfy the conditions stipulated in clause 2
of article 8 of this Law.
2.
The contents of real estate management business services shall
comprise:
(a)
The sale, assignment, lease and hire purchase of real estate as
authorized by the owner or user of the real estate;
(b)
Provision of services ensuring preservation of the normal operation
of the real estate;
(c)
Performance of repairs to and maintenance of real estate;
(d)
Management and supervision of exploitation and use of real estate of
a client for the correct use and design purpose of the real estate;
(dd)
Exercise of the rights and discharge of the obligations of a client
to the State as authorized by the owner or user of the real estate.
3.
The contents and scope of real estate management, the rights and
obligations of the parties and the fees for the real estate
management services shall be as agreed by the parties in the
contract.
4.
An organization or individual providing real estate management
business services shall be liable for the real estate management
pursuant to the contract and shall be liable to pay compensation for
loss caused by the fault of such organization or individual.
CHAPTER V
Real
Estate Business Contracts, Real Estate Services Contracts
Article 67
Types of real estate business contracts, and types of real estate
business services contracts
1.
Real estate business contracts shall comprise:
(a)
Contracts of purchase and sale of a house or building;
(b) Contracts of assignment of a land use right;
(c)
Contracts of lease of real estate;
(d)
Contracts of hire purchase of a house or building.
2.
Real estate business services contracts shall comprise:
(a)
Contracts for real estate brokerage;
(b)
Contracts for real estate valuation;
(c)
Contracts for real estate consultancy;
(d)
Contracts for auction of real estate;
(dd)
Contracts for advertising real estate;
(e)
Contracts for management of real estate.
3.
Real estate business contracts and real estate business services
contracts must be expressed in writing; the notarization and
certification of real estate business contracts shall be as agreed
by the parties, unless the law provides otherwise; signing of
contracts must comply with the provisions of this Law, the Civil
Code and other provisions of relevant laws.
Article 68
Price of purchase and sale, assignment, lease and hire purchase of
real estate, and fees for real estate business services
1.
The price of a purchase and sale, assignment, lease or hire purchase
of real estate shall be as agreed by the parties, via an auction or
as stipulated by law.
The
parties in the contract shall be permitted to agree to select a
third party to determine the price of the purchase and sale,
assignment, lease or hire purchase of real estate; in the case of
real estate belonging to a project entitled to State incentives in
order to service policy objects, the State shall regulate a
framework or the principles for forming the price of the real
estate.
2.
The fees for real estate business services shall be as agreed by the
parties; if the fees are unable to be agreed, a determination of the
fees shall be based on market fees for services of the same type at
the time of signing the contract and on the location of performance
of the services.
3.
If there is an agreement on amendment of fees in the contract prior
to contractual performance and then there are changes affecting the
fees stipulated in the contract during contractual performance, the
parties may agree to amend the contractual fees.
Article 69
Payment for real estate transactions
1.
The parties shall agree to select the following methods of payment
for a real estate transaction:
(a)
Payment via a credit institution operating in Vietnam;
(b)
Direct payment to the seller, assignor, lessor or lessor granting
the hire purchase of the real estate.
2.
Payment for a real estate transaction shall be agreed by the parties
in the contract in the form of a one-off payment, advance payment or
deferred [or] installment payments.
Article 70
Contract of purchase and sale of a house or building
1.
A contract of purchase and sale of a house or building shall contain
the following particulars:
(a)
Names and addresses of the seller and purchaser;
(b)
The information about the real estate stipulated in clause 3 of
article 11 of this Law;
(c)
Price of the purchase and sale;
(d)
Payment method and time for payment;
(dd)
Time for handover and receipt of the house or building and
accompanying file;
(e)
Rights and obligations of the parties;
(g)
Warranty;
(h)
Dispute resolution;
(i)
Other items as agreed by the parties or as stipulated by law.
2.
In a case of a purchase and sale of real estate in the form of
advance payment, or deferred [or] installment payments, the contract
of purchase and sale of the house or building must ensure the
principles stipulated in article 14 of this Law.
Article 71
Contract of assignment of a land use right
1.
A contract of assignment of a land use right shall contain the
following particulars:
(a)
Names and addresses of the assignor and assignee;
(b)
The information about the land use right stipulated in clause 3 of
article 11 of this Law;
(c)
Price of the assignment;
(d)
Payment method and time for payment;
(dd)
Time for handover and receipt of the land and accompanying file;
(e)
Rights and obligations of the parties;
(g)
Dispute resolution;
(h)
Other items as agreed by the parties or as stipulated by law.
2.
In a case of an assignment of a land use right in the form of
deferred [or] installment payments, the contract of assignment of the
land use right must ensure the principles stipulated in article 14
of this Law.
Article 72
Contract of lease of real estate
A
contract of lease of real estate shall contain the following
particulars:
1.
Names and addresses of the lessor and lessee.
2.
The information about the real estate stipulated in clause 3 of
article 11 of this Law.
3.
Price of the lease of real estate.
4.
Payment method and time for payment.
5.
Term of the lease of real estate; and time for handover and receipt
of the real estate.
6.
Rights and obligations of the parties.
7.
Use requirements and liability to repair and upgrade (if any).
8.
Dealing with assets (if any) on the land.
9.
Requirements on status of the real estate when it is returned to the
lessor.
10.
Dispute resolution.
11.
Other items as agreed by the parties or as stipulated by law.
Article 73
Contract of hire purchase of a house or building
1.
A contract of hire purchase of a house or building shall contain the
following particulars:
(a)
Names and addresses of the lessor and lessee;
(b)
The information about the real estate stipulated in clause 3 of
article 11 of this Law;
(c)
Price of the hire purchase;
(d)
Payment method and time for payment;
(dd)
Term of the hire purchase;
(e)
Agreement (if any) on transfer of ownership of the house or building
to the lessee prior to expiry of the [term of the] hire purchase;
(g)
Time for handover of the house or building;
(h)
Time, conditions and procedures for transfer of ownership of the
house or building to the lessee;
(i)
Rights and obligations of the parties;
(k)
Dispute resolution;
(l)
Other items as agreed by the parties or as stipulated by law.
2.
A contract of hire purchase of a house or building must be
notarized.
Article 74
Contract for real estate brokerage
A
contract for real estate brokerage shall contain the following
particulars:
1.
Names and addresses of the broker and client.
2.
Object and contents of the brokerage.
3.
Requirements and result12
of
the brokerage services.
4.
Duration of implementation of the brokerage.
5.
Broker's remuneration [and/or] commission.
6.
Payment method and time for payment.
7.
Rights and obligations of the parties.
8.
Dispute resolution.
9.
Other items as agreed by the parties or as stipulated by law.
Article 75
Contract for real estate valuation
A
contract for real estate valuation shall contain the following
particulars:
1.
Names and addresses of the valuer and client.
2.
Real estate to be valued.
3.
Duration of and schedule for implementation.
4.
Fees for the valuation services.
5.
Payment method and time for payment.
6.
Rights and obligations of the parties.
7.
Dispute resolution.
8.
Other items as agreed by the parties or as stipulated by law.
Article 76
Contract for real estate consultancy
A
contract for real estate consultancy shall contain the following
particulars:
1.
Names and addresses of the consultant and client.
2.
Contents and scope of the consultancy.
3.
Duration of and schedule for implementation of the consultancy
services.
4.
Fees for the consultancy services.
5.
Payment method and time for payment.
6.
Rights and obligations of the parties.
7.
Dispute resolution.
8.
Other items as agreed by the parties or as stipulated by law.
Article 77
Contract for auction of real estate
A
contract for auction of real estate shall contain the following
particulars:
1.
Names and addresses of the auctioneer and of the client.
2.
Real estate to be auctioned.
3.
Time, location and form of the auction.
4.
Opening price of the real estate to be auctioned.
5.
Duration of and schedule for implementation.
6.
Fees for the auctioneering services.
7.
Payment method and time for payment.
8.
Rights and obligations of the parties.
9.
Dispute resolution.
10.
Other items as agreed by the parties or as stipulated by law.
Article 78
Contract for advertising real estate
A
contract for advertising real estate shall contain the following
particulars:
1.
Names and addresses of the party providing the advertising business
services and of the client.
2.
Real estate to be advertised.
3.
Form, contents, scope and media of the real estate advertisement.
4.
Location, time and quantity of the real estate advertisements.
5.
Fees for the advertising services.
6.
Payment method and time for payment.
7.
Rights and obligations of the parties.
8.
Dispute resolution.
9.
Other items as agreed by the parties or as stipulated by law.
Article 79
Contract for management of real estate
A
contract for management of real estate shall contain the following
particulars:
1.
Names and addresses of the manager and of the party hiring the real
estate manager.
2.
Real estate to be managed.
3.
Contents and scope of the real estate management.
4.
Requirements applicable to the real estate manager.
5.
Fees for the management services.
6.
Payment method and time for payment.
7.
Rights and obligations of the parties.
8.
Duration of the management of the real estate.
9.
Dispute resolution.
10.
Other items as agreed by the parties or as stipulated by law.
CHAPTER VI
Implementing Provisions
Article 80
Effectiveness
This Law shall be of full force and effect as from 1 January 2007.
Article 81
Implementing guidelines
The
Government shall provide detailed guidelines for implementation of
this Law.
This Law was passed by Legislature XI of the National Assembly of
the Socialist Republic of Vietnam at its 9th Session on 29 June
2006.
The
Chairman of the National Assembly
NGUYEN PHU TRONG
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