Decree 47/2023/ND-CP amending the Decree guiding the Law on Property Auction, effective from September 01, 2023, is that correct?
Has Decree 47/2023/ND-CP amended the Decree guiding the Law on Property Auctions?
On July 3, 2023, the Government of Vietnam issued Decree 47/2023/ND-CP to amend and supplement several articles of Decree 62/2017/ND-CP, which provides detailed regulations and measures for the implementation of the Law on Property Auctions.
The Decree amends and supplements several contents as follows:
- Online auction organization- Procedures for online auction organization- Requirements for the Online Auction Information Portal- Appraisal of conditions for the Online Auction Information Portal by auction organizations- Approval for the Online Auction Information Portal, cessation of online auction organization- Responsibilities of the Ministry of Justice, property auction organizations, and organizations 100% owned by the state established by the Government of Vietnam to handle the bad debts of credit institutions in building, managing, and operating the Online Auction Information Portal- Responsibilities of property auction organizations, the Property Auction Council, and organizations 100% owned by the state established by the Government of Vietnam to handle bad debts of credit institutions when using the Online Auction Information Portal- Responsibilities of participants in auctions when participating in the Online Auction Information Portal.
Is Decree 47/2023/ND-CP amending the Decree guiding the Law on Property Auctions effective from September 1, 2023?
What are the procedures for organizing online property auctions as regulated?
The procedures for online auction organization are prescribed in Article 10 of Decree 62/2017/ND-CP (amended and supplemented by Clause 2, Article 1 of Decree 47/2023/ND-CP). Specifically:
Procedures for online auction organization
1. Property auction organizations, the Property Auction Council, and organizations 100% owned by the state established by the Government of Vietnam to handle bad debts of credit institutions shall post the Auction Rules, Public Announcement of the auction, along with the asset list, images, and relevant documents (if any) on the Online Auction Information Portal.
2. Auction participants view auctioned assets online or directly according to the Auction Rules; register for auction participation on the Online Auction Information Portal. Auction participants who purchase auction participation documents shall be given an access account through the registered email address.
Auction participants use the access account to be guided on how to submit online auction participation documents, make advance payments via online payment methods, participate in auctions, bid, and other necessary instructions when participating in the Online Auction Information Portal.
3. Auction participants submitting valid registration documents and making advance payments shall use the access account to participate in the auction according to the Auction Rules.
Qualified auction participants who do not access the provided account to bid within the stipulated time in the Auction Rules shall be considered as not participating in the auction as per point a, clause 6, Article 39 of the Law on Property Auctions, except for force majeure cases.
The bidding time of the auction is agreed upon by the property auction organization with the property owner but is at least fifteen minutes.
4. Property auction organizations assign auctioneers, the Property Auction Council, and organizations 100% owned by the state established by the Government of Vietnam to handle bad debts of credit institutions to designate members to conduct the auction on the Online Auction Information Portal. At the end time of the auction, the identification of the winning bidder is conducted as follows:
a) In case of increasing price bidding, the winning bidder is the one with the highest bid recorded by the auction network system;
b) In case of decreasing price bidding, the winning bidder is the first to accept the starting price or the reduced price recorded by the auction network system.
The winning bidder specified in points a and b, clause 4 of this Article is announced on the online auction network system immediately after the auction concludes.
5. The results of the online auction are publicly posted on the Online Auction Information Portal and sent to the registered email addresses of the auction participants by the property auction organizations, the Property Auction Council, and organizations 100% owned by the state established by the Government of Vietnam to handle bad debts of credit institutions immediately after announcing the winning bidder on the Online Auction Information Portal.
Thus, the procedures for organizing online property auctions are implemented according to the prescribed regulations above.
What are the responsibilities of auction participants when participating in the Online Auction Information Portal as regulated?
According to Article 16b of Decree 62/2017/ND-CP (amended and supplemented by Clause 7, Article 1 of Decree 47/2023/ND-CP), the responsibilities are prescribed as follows:
Responsibilities of auction participants when participating in the Online Auction Information Portal
1. Ensure equipment is ready when participating in the auction; take responsibility in case their network system encounters issues that prevent them from participating in the auction or bidding on the Online Auction Information Portal.
2. Manage and secure the provided account and password. In case of loss or unauthorized use, they must immediately notify the property auction organization, the Property Auction Council, or organizations 100% owned by the state established by the Government of Vietnam to handle bad debts of credit institutions.
3. Bear legal responsibility for the accuracy and truthfulness of the information registered and posted on the Online Auction Information Portal when logged in using the provided account.
4. Comply with the regulations of the Law on Property Auctions, other relevant legal provisions, and the Auction Rules.
Thus, auction participants when participating in the Online Auction Information Portal must comply with the aforementioned regulations.
Decree 47/2023/ND-CP will take effect from September 1, 2023.
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