What is the definition of "transit service contract" under law in Vietnam?

Regarding this matter, LawNet would like to answer as follows:

What is the definition of "transit service contract" under law in Vietnam?

Currently, the law in Vietnam does not have specific regulations defining the term "transit service contract".

Pursuant to Article 249 of the Commercial Law 2005, there are regulations on goods transit services as follows:

Article 249.- Goods transit services

Goods transit services mean commercial activities whereby traders carry out the transit of goods under the ownership of foreign organizations or individuals through the Vietnamese territory for remunerations.

Although the law does not have regulations on the term "transit service contract",  from related regulations, we can understand that a goods transit service contract is an agreement between the parties, whereby traders carry out the transit of goods owned by foreign organizations and individuals through Vietnamese territory to receive remuneration.

What is the form of transit service contracts?

Pursuant to Article 251 of the Commercial Law 2005, there are regulations on the form of goods transit service contract as follows:

Article 251. Transit service contracts

Transit service contracts must be made in writing or in other forms of equivalent legal validity.

Thus, transit service contracts must be made in writing or in other forms of equivalent legal validity.

What are the rights and obligations of the transit service hirers in Vietnam?

Pursuant to Article 252 of the Commercial Law 2005, there are regulations on the rights and obligations of the transit service hirers. Thus, the rights and obligations of the transit service hirers are as follows:

- Rights of transit service hirers in Vietnam: Unless otherwise agreed, transit service hirers shall have the following rights:

+ To request transit service providers to receive goods at import border-gates at the agreed time;

+ To request transit service providers to promptly notify the conditions of goods in the course of transit through the Vietnamese territory;

+ To request transit service providers to carry out all necessary procedures to limit damage or loss of goods in transit in the course of transit through the Vietnamese territory.

- Obligations of the transit service hirers in Vietnam: Unless otherwise agreed, transit service hirers shall have the following obligations:

+ To deliver goods to import border-gates of Vietnam on time as agreed;

+ To supply transit service providers with sufficient information on the goods;

+ To supply sufficient documents necessary for transit service providers to carry out procedures for import or transportation in the Vietnamese territory and the export procedures;

+ To pay transit remunerations and other reasonable expenses to transit service providers.

What are the rights and obligations of transit service providers in Vietnam?

Pursuant to Article 253 of the Commercial Law 2005, there are regulations on the rights and obligations of transit service providers. Thus, the rights and obligations of transit service providers are as follows:

- Unless otherwise agreed, transit service providers shall have the following rights:

+ To request transit service hirers to deliver goods to import border-gates of Vietnam on time as agreed;

+ To request transit service hirers to supply sufficient necessary information on the goods;

+ To request transit service hirers to supply sufficient necessary documents for carrying out procedures for import and transportation in the Vietnamese territory and export procedures;

+ To receive transit remunerations and other reasonable expenses.

- Unless otherwise agreed, transit service providers shall have the following obligations:

+ To receive the goods at import border-gates at the agreed time;

+ To carry out procedures to import and export the goods in transit into and out of the Vietnamese territory;

+ To be responsible for goods in transit in the course of transit through the Vietnamese territory;

+ To perform necessary jobs to minimize loss and/or damage to the goods in transit in the course of transit through the Vietnamese territory;

+ To pay assorted fees and charges and other financial obligations applicable to goods in transit as provided for by Vietnamese law;

+ To cooperate with competent state agencies of Vietnam in dealing with matters related to the goods in transit.

Best regards!

Key word: transit service contracts | Vietnam | in Vietnam | transit service contract | transit service |

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