What are administrative penalties imposed for failing to determine sufficient maintenance time for construction works as per the law?
Regulations on the warranty for construction works in Vietnam
Based on Article 125 of the Construction Law 2014, the provisions are as follows:
“Article 125. Warranty of construction works
1. The construction contractor is responsible for the warranty of the works they construct. The contractor supplying the construction equipment, technology equipment is responsible for the warranty of the equipment they provide.
2. The content of the warranty for the works includes rectifying, repairing, and replacing damaged or defective equipment caused by the contractor's faults.
3. The warranty period for construction works, construction equipment, and technology equipment is determined according to the type, class of the construction works, and the manufacturer's regulations or the equipment supply contract.
4. The Government of Vietnam specifies the detailed regulations on the warranty of construction works.”
Thus, the warranty of construction works is carried out according to the above regulation.
What are requirements for maintenance of construction works in Vietnam?
Based on Article 126 of the Construction Law 2014 (amended and supplemented by point a, point d Clause 47 Article 1 of the Amended Construction Law 2020), the provisions are as follows:
“Article 126. Maintenance of construction works
1. The requirements for maintenance of construction works are as follows:
a) When put into use, the works and work items must be maintained;
b) The maintenance process must be organized and approved by the investor before putting the works, work items into use; suitable for the intended use, type and class of works, work items, equipment built and installed in the works;
c) Maintenance must ensure safety for people, property, and the works.
2. The owner or manager utilizing the works is responsible for maintaining the construction works, machinery, and equipment of the works.
3. Maintenance of construction works and construction equipment must be carried out according to the approved maintenance plan and process.
4. For large-scale, technically complex works, or works that significantly impact safety and public interests, periodic assessments of safety must be organized during operation and use.
5. The Government of Vietnam specifies the detailed regulations on maintenance, periodic safety assessments of construction works during use, and the responsibility for announcing the expiration of the construction works.”
Thus, the maintenance of construction works is carried out according to the above regulations.
What are administrative penalties imposed for failing to determine sufficient maintenance time for construction works as per the law?
Vietnam: Administrative penalties for failing to determine sufficient maintenance time for construction works as per the law
Based on Article 20 of Decree 16/2022/ND-CP, the provisions are as follows:
“Article 20. Violations of regulations on warranty, maintenance, exploitation, and use of construction works
1. A fine of 10,000,000 VND to 20,000,000 VND shall be imposed for one of the following acts:
a) Determining the warranty period for works not adequate according to legal regulations;
b) Failing to approve the construction maintenance process as prescribed;
c) Failing to organize supervision and acceptance of the rectification and repair conducted by the construction contractor or equipment supplier.
2. A fine of 30,000,000 VND to 40,000,000 VND shall be imposed for one of the following acts:
a) Failing to confirm the fulfillment of the contractor’s warranty responsibility;
b) Failing to organize the establishment of the construction maintenance process or failing to perform maintenance according to the approved process;
c) Failing to establish an annual construction maintenance plan as prescribed;
…
4. Remedial measures:
a) Compelled approval of the construction maintenance process in accordance with regulations for the act specified in point b, clause 1 of this Article;
b) Compelled supervision and acceptance of the rectification and repair by the construction contractor or equipment supplier for the act specified in point c, clause 1 of this Article;
c) Compelled confirmation of the completion of the contractor’s warranty responsibility for the act specified in point a, clause 2 of this Article;
d) Compelled establishment or performance of the construction maintenance process as prescribed for the act specified in point b, clause 2 of this Article;
dd) Compelled establishment of an annual construction maintenance plan as prescribed for the act specified in point c, clause 2 of this Article;
e) Compelled establishment of a repair record as prescribed for the act specified in point d, clause 2 of this Article;
g) Compelled the investor to fully hand over the approved construction maintenance process for the act specified in point đ, clause 2 of this Article;
h) Compelled the owner, management, and use unit to prepare the maintenance cost estimate in the approved maintenance plan as prescribed for the act specified in point e, clause 2 of this Article;
i) Compelled the safety assessment of load-bearing, operational safety, or submission of the assessment results to the competent authority for the act specified in point d, clause 3 of this Article;
k) Compelled the inspection, repair, application of emergency measures, or reporting as prescribed when detecting dangerous signs, unsafe for exploitation and use, for the act specified in point đ, clause 3 of this Article;
l) Compelled reinforcement, renovation, repair of damages (if any) before considering and deciding on the continued use, reporting the inspection, appraisal, quality assessment results, repair results (if any) to the competent authority for the act specified in point e, clause 3 of this Article;
m) Compelled the investor to demolish temporary works as prescribed for the act specified in point g, clause 3 of this Article.”
Thus, the administrative fines for determining the warranty period for construction works not adequate according to legal regulations range from 10,000,000 VND to 20,000,000 VND.
Moreover, appropriate remedial measures based on the violation are prescribed.
Note, the above-mentioned administrative fines are only applicable to organizations. In case of individual violations, the administrative fines will be half of the fines for organizations.
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