What are the regulations on liability to compensate for damage caused by traffic accidents in Vietnam?

Hello, Lawnet would like to answer the following:

1. Grounds giving rise to liability to compensate for damage in Vietnam

Pursuant to Article 584 of the Civil Code 2015, the grounds giving rise to liability to compensate for damage are as follows:

- A person intentionally or unintentionally harming the life, health, honor, dignity, reputation, property, or other legal rights or interests of a person, must compensate for such damage, unless otherwise prescribed in this Code or relevant laws.

- The person who causes damage shall be discharged from liability for compensation in case where the damage incurs due to force majeure events or at entire fault of the aggrieved person, unless otherwise agreed or otherwise prescribed by law.

- If a property causes damage, its owner or possessor must compensate for the damage, except for the damage prescribed in Clause 2 of this Article.

Thus, in case the driver causes a traffic accident because his fault has infringed on the health and property of others, there should be grounds for determining compensation for non-contractual damages.

2. Liability to compensate for damage caused by traffic accidents in Vietnam

2.1. Compensation for damage caused by infringing health in Vietnam:

Pursuant to the provisions of Article 590 of the Civil Code 2015 on damage caused by infringing health, as follows:

- Damage caused by harm to health shall comprise:

+ Reasonable costs for treating, nursing and rehabilitating health, and functional losses and impairment of the aggrieved person;

+ Loss of or reduction in the actual income of the aggrieved person. If the actual income of the aggrieved person is irregular and is not able to be determined, the average income level for the type of work performed by the aggrieved person shall be applied;

+ Reasonable costs and actual income losses of the carers of the aggrieved person during the period of treatment. If the aggrieved person loses his or her ability to work and requires a permanent carer, the damage shall also include reasonable costs for taking care of the aggrieved person.

- A person causing harm to the health of another person must pay the items damaged together with an amount of money as compensation for mental suffering of the aggrieved person. 

(*) The amount of compensation is calculated as follows:

- The level of compensation for mental loss shall be agreed upon by the parties; if no agreement can be reached, the maximum level for a person whose health is infringed shall not exceed 50 times the base salary prescribed by the State.

- In case the aggrieved person loses his or her ability to work and must have someone take care of him or her, reasonable expenses for taking care of the aggrieved person are determined as 1 day of the regional minimum wage in the place where the aggrieved person resides for 1 day of taking care of the aggrieved person.

- In cases where the aggrieved person has a stable income from salary or wages, it shall be determined according to the salary or wage level of the aggrieved person during the period of loss or decrease in salary or wages.

Thus, persons suffering from health and mental damage due to traffic accidents need to provide proof of receipts and documents related to the treatment, rehabilitation, and reduced income of the caregiver to claim compensation from the person who caused the accident.

2.2. Compensation for damage caused by infringement of property in Vietnam

Pursuant to the provisions of Article 589 of the Civil Code 2015, the compensable damage shall comprise:

+ Property which was lost, destroyed or damaged;

+ Interests associated with the use and exploitation of the property was lost or declined;

+ Reasonable costs for the prevention, mitigation and remedy of the damage;

(*) The compensation level is calculated as follows:

+ For damaged property, the damage is the cost to repair and restore the property to its pre-damaged condition at the market price at the time of the compensation settlement to determine the damage.

+ If the damaged property cannot be repaired or restored but the damage can be determined, the damage to the destroyed or damaged property shall be determined based on the market price of property of the same type or property with the same features, technical standards, effect, and level of wear and tear of the lost or damaged property at the time of compensation settlement.

Thus, the person who causes a traffic accident, in addition to having to pay compensation for the damage to the health and spirit of the accident victim, must also compensate for and remedy the damage to the damaged property, for example, motorbikes, cars, roadside shops, etc.

3. Examining for penal liability for violations of regulations on participation in road traffic

Pursuant to Article 260 of the Penal Code 2015 (amended in 2017) on the crime of violating the regulations on participating in road traffic, as follows:

Basic framework: A fine of between VND 30,000,000 and VND 100,000,000, non-custodial reform for up to 3 years or imprisonment from 1 to 5 years

Second frame: Imprisonment from 03 years to 10 years.

Third frame: Imprisonment from 07 years to 15 years.

Thus, the person who causes a traffic accident, in addition to paying for damage outside the contract under the provisions of the Civil Code, can also be sentenced to imprisonment if there are enough elements to constitute the crime of violating regulations on road traffic.

4. Judgment related to compensation for damage to health and property caused by traffic accidents

- Judgment 16/2017/DS-ST dated December 15, 2017 on the dispute over compensation for damage caused by traffic accidents

- Judgment 12/2019/DS-ST dated 09/07/2019 on claim for loss of life due to traffic accident

Judgment on dispute for compensation for non-contractual damage (compensation for infringing health damage, compensation for infringing property damage) No. 56/2018/DS-PT.

- Judgment 28/2018/DSPT dated January 15, 2018 on the dispute over compensation for damage caused by infringing health and compensation for property damage.

- Judgment on compensation for damage caused by harm to health and compensation for damage caused by infringing property No. 95/2022/DS-PT.

- Judgment 99/2021/DS-PT dated July 1, 2021 on a dispute over compensation for damage caused by infringing health and compensation for property damage.

- Judgment 123/2020/DS-PT dated September 1, 2020 on disputes over compensation for non-contractual damages, compensation for damage caused by infringing health.

Best regards!

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