Vietnam: What is the administrative penalty imposed upon an arbitrator for voluntarily disclosing the secret of the circumstances of disputes he/she settles?
Can arbitrators disclose the secret of the circumstances of disputes they settle?
According to Article 21 of the 2010 Law on Commercial Arbitration of Vietnam, the rights and obligations of arbitrators are as follows:
Rights and obligations of arbitrators
1. To accept or refuse to settle disputes.
2. To be independent in dispute settlement.
3. To refuse to provide dispute-related information.
4. To enjoy remuneration.
5. To keep secret the circumstances of disputes they settle, unless they have to provide information to competent state agencies under law.
6. To ensure impartial, fast and prompt settlement of disputes.
7. To adhere to the rules of professional ethics.
Thus, according to regulations, arbitrators must keep secret the circumstances of disputes they settle, unless they have to provide information to competent state agencies under law.
Vietnam: What is the administrative penalty imposed upon an arbitrator for voluntarily disclosing the secret of the circumstances of disputes he/she settles? (Image from the Internet)
How much is the administrative penalty imposed upon an arbitrator for voluntarily disclosing the secret of the circumstances of disputes he/she settles?
Pursuant to the provisions of Article 27 of Decree No. 82/2020/ND-CP stipulating violations against regulations on the activities of arbitrators as follows:
Violation against regulations on the activities of arbitrators
1. A fine of between VND 10,000,000 and VND 20,000,000 shall be imposed for one of the following acts:
a) Dispute settlement in case the arbitrator is a relative or representative of a party to the dispute;
b) Dispute settlement in case the arbitrator has related interests in the dispute;
c) Dispute settlement in cases where the arbitrator was already a mediator, representative or lawyer of one of the parties before bringing the dispute to arbitration, unless otherwise agreed in writing by the parties;;
d) Dispute settlement when there are clear grounds to show that the arbitrator is not impartial and objective.
2. A fine ranging from VND 20,000,000 to VND 30,000,000 shall be imposed for one of the following acts:
a) Disclosing secret circumstances of disputes they settle, unless they have to provide information to competent state agencies under law.
b) Conducting commercial arbitration activities without meeting the criteria and conditions to act as an arbitrator.
3. Remedial measures:
Forced return of illegal profits obtained from committing violations specified in Clauses 1 and 2 of this Article.
Thus, according to the regulations, an arbitrator who discloses the secret of the content of the dispute he or she settles, unless they have to provide information to competent state agencies under law, may be subject to a fine up to VND 30,000,000. In addition, the arbitrator is forced to return the illegal profits obtained from committing the violation specified in Clause 2, Article 27 of Decree No. 82/2020/ND-CP.
The above fines are imposed on individuals; the fines incurred by an organization are twice as much as that incurred by an individual for the same administrative violation.
In what cases is a person ineligible to act as arbitrators?
According to Article 20 of the 2010 Law on Commercial Arbitration of Vietnam, the criteria for arbitrators in Vietnam are as follows:
Criteria for arbitrators in Vietnam
1. A person who satisfies all the following criteria may act as arbitrator:
a/ Having the full civil act capacity under the Civil Code;
b/ Possessing a university degree and having at least 5 years* work experience in the trained discipline:
c/ In special cases, an expert who has high professional qualifications and much practical experience, though not satisfying the requirement specified at Point b of this Clause, may also be selected as arbitrator.
2. Persons who satisfy all the conditions specified in Clause 1 of this Article but fall into either of the following cases may not act as arbitrators:
a/ Incumbent judges, procurators, investigators, enforcement officers or civil servants of people’s courts, people’s procuracies, investigative agencies or judgment enforcement agencies:
b/ The accused, defendants, persons serving criminal sentences or having served the sentences but having their criminal records not yet remitted.
3. Arbitration centers may set criteria for their arbitrators which are higher than those specified in Clause 1 of this Article.
Thus, according to regulations, persons who satisfy all the conditions specified in Clause 1 of this Article but fall into either of the following cases may not act as arbitrators:
- Incumbent judges, procurators, investigators, enforcement officers or civil servants of people’s courts, people’s procuracies, investigative agencies or judgment enforcement agencies:
- The accused, defendants, persons serving criminal sentences or having served the sentences but having their criminal records not yet remitted.
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