What is the penalty imposed upon commercial mediators in Vietnam for receiving any sum of money from involved parties in addition to remuneration and costs already agreed upon?
- Are commercial mediators entitled to remuneration for commercial mediation activities as agreed upon with disputing parties?
- What is the penalty imposed upon commercial mediators in Vietnam for receiving any sum of money from involved parties in addition to remuneration and costs already agreed upon?
- What are the criteria for commercial mediators in Vietnam?
Are commercial mediators entitled to remuneration for commercial mediation activities as agreed upon with disputing parties?
According to the provisions of Clause 1, Article 9 of Decree No. 22/2017/ND-CP, the rights and obligations of commercial mediators are as follows:
Rights and obligations of commercial mediators
1. A commercial mediator has the following rights:
a/ To accept or refuse to carry out commercial mediation activities;
b/ To refuse to provide information relating to a dispute, unless the information provision is agreed upon in writing by involved parties or required by law;
c/ To enjoy remuneration for commercial mediation activities as agreed upon with disputing parties;
d/ Other rights as prescribed in this Decree and relevant laws.
Thus, according to regulations, commercial mediators are entitled to remuneration for commercial mediation activities as agreed upon with disputing parties.
What is the penalty imposed upon commercial mediators in Vietnam for receiving any sum of money from involved parties in addition to remuneration and costs already agreed upon? (Image from the Internet)
What is the penalty imposed upon commercial mediators in Vietnam for receiving any sum of money from involved parties in addition to remuneration and costs already agreed upon?
According to the provisions of Article 10 of Decree No. 22/2017/ND-CP on the prohibited acts of commercial mediators as follows:
Prohibited acts of commercial mediators
1. Disclosing information about disputes or clients they know in the mediation process, unless otherwise agreed upon by disputing parties in writing or prescribed by law.
2. Violating the code of ethics applicable to commercial mediators.
3. Receiving or demanding any sum of money or benefit from involved parties in addition to remuneration and costs already agreed upon.
4. Other prohibited acts as prescribed by law.
At the same time, based on the provisions of Article 30 of Decree No. 82/2020/ND-CP on violations against regulations on operation of commercial mediators as follows:
Violations against regulations on operation of commercial mediators
1. A fine ranging from VND 5,000,000 to VND 10,000,000 shall be imposed for failing to notify the parties of the authority, remuneration and expenses before conducting the conciliation.
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 information about disputes or clients they know in the mediation process, unless otherwise agreed upon by disputing parties in writing or prescribed by law;
b) Receiving or demanding any sum of money or benefit from involved parties in addition to remuneration and costs already agreed upon;
c) Conducting commercial mediation activities without being qualified as commercial mediators;
d) Simultaneously acting as a representative or consultant for one of the parties or concurrently as an arbitrator for the same dispute that is being or has been conciliated, unless otherwise agreed by the parties.
3. Remedial measures:
Forcible return of illegal profits obtained from committing violations specified in Clause 2 of this Article.
Thus, according to regulations, mediators who receive any sum of money or benefit from involved parties in addition to remuneration and costs already agreed upon may be administratively sanctioned up to VND 30,000,000. In addition, the mediator is forced to return the illegal profits obtained from committing the violations specified in Clause 2 of this Article.
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.
What are the criteria for commercial mediators in Vietnam?
According to Article 7 of Decree No. 22/2017/ND-CP, criteria for commercial mediators in Vietnam are as follows:
Criteria for a commercial mediator
1. A person who fully satisfies the following criteria may act as a commercial mediator:
a/ Having full civil act capacity as prescribed by the Civil Code; having good moral qualities and prestige, and working in an independent, impartial and objective manner;
b/ Possessing a university or higher degree and having at least 2 years’ working experience in the discipline he/she has studied;
c/ Having mediation skills and knowledge about law, business and commercial practices and relevant issues.
2. A commercial mediator may conduct commercial mediation in the capacity as an ad hoc commercial mediator or a commercial mediator of a commercial mediation institution in accordance with this Decree.
3. A commercial mediation institution may set criteria for its commercial mediators which are higher than those prescribed in Clause 1 of this Article.
4. The accused or defendants or those who are serving criminal sentences or have not had their criminal records expunged or are serving the administrative measure of consignment to a compulsory education institution or compulsory detoxification establishment may not act as commercial mediators.
Thus, the criteria for commercial mediators are specified as above.
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