Disputes occur during contract performance are beyond the
control of the entity entering contractual relations. In developed countries,
lawyers always invited to advise customers to identify potential disputes, and
provide solutions, support and provide legal advice and to accompany the
enterprises solve disputes in accordance with the provisions of the law, which
help businesses to focus on its business activities. The contract should be
carefully reviewed by lawyers. Foreign companies when entering Vietnam mostly
follow suit to engage dispute or litigation dispute lawyers in Vietnam at early stage of the transactions.
Contract Dispute
Contractual disputes
in Vietnam shall be construed
as conflicts, disagreements, conflicts between the parties regarding the
implementation or non-implementation of rights and obligations in the contract.
Disputes could arise in failure to collect the payment from debtor in sales
agreement, construction contract disputes between investor and contractor,
labour dispute between employer and employee, insurance disputes between ship
owner and insurance company.
Contract disputes must satisfy the following
factors:
First, there is a contract between the parties. The contract would
be in different for ms therefore, there is a need to clearly define if the
contractual relationship has been formed or not.
Second, there is a breach of obligations or duties that are in
violation of a party in the contractual relationship.
Third, there is disagreement between the parties about the
handling of infringement or the consequences of such violations.
It should be noted, the contract disputes arise from the breach.
However, not all breaches of contract also lead to disputes.
How to settle the contract disputes in Vietnam?
Contractual disputes can be resolved by the
following methods:
Negotiation is the process or behavior in
which the two sides conduct exchanges, agreement on common interests and
characteristics of disagreement and come to a unified agreement. The
negotiation is without the presence of third parties. However, if the contract dispute lawyers
in Vietnam would be
involved during the negotiation process, at the role of representing or
advising, counseling, then the negotiations tend to be more effective and
parties would reach agreement.
Mediation is one of the options for disputing
parties to end the conflict. Mediation is different from negotiating with the
intervention of a third party. Mediator will help parties to achieve agreement
and resolve conflict.
Court or arbitration: The settlement of the
dispute in court would take time. The court’s ruling can be appealed. It should
be noted that, per Vietnam laws, only Vietnam litigation or dispute law firms
could represent the client at court. Commercial
arbitration is available
only in commercial-business sector. The advantage of this method is fast and
efficient. However, compare with disputing at court, this method of handling
dispute would take higher costs.
Disputes and dispute resolution matters are natural and inevitable
in any countries including Vietnam. It is important that parties involved need
to identify, anticipate disputes can occur. Contract or agreement should be
reviewed by lawyers. When there is a dispute, the dispute lawyers in Vietnam
will be able to help parties to with advice to reasonable solution to address the disputes effectively.
ANT Lawyers is a law firm in Vietnam, recognized by Legal500, IFLR1000. We are an
exclusive Vietnam member of Prea Legal, the global law firm network covering
more than 150 jurisdictions. The firm provides a range of legal services to
multinational and domestic clients.
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