Do building lease purchase agreements have to be notarized in Vietnam?
Do building lease purchase agreements have to be notarized in Vietnam? What are main contents of building lease purchase agreements in Vietnam? Can the lessee transfer the lease purchase agreement in Vietnam?
Hello, I am planning to rent a house, I would like to ask is it mandatory to notarize the lease purchase agreement? Thanks for your advice.
1. Do building lease purchase agreements have to be notarized in Vietnam?
Article 17 of the Law on Real Estate Business 2014 has the following provisions:
1. Types of real estate trading agreement:
a) Building sale agreement;
b) Building rent agreement;
c) Lease purchase agreement;
d) Land transfer, lease, and sublease agreement;
dd) Agreement on transfer of all or a portion of real estate project.
2. A real estate trading agreement must be made in writing. The agreement notarizing or authenticating shall be agreed by contracting parties, excluding building sale or lease purchase agreements or land transfer agreements concluded by households and individuals prescribed in Clause 2 Article 10 of this Law.
3. The effective date of the agreement shall be agreed and stated in the agreement by contracting parties. If the agreement has been notarized or authenticated, the effective date of the agreement is the notarizing or authenticating date. If the contracting parties have not agreed or the agreement has been not notarized or authenticated, the effective date is the date on which the agreement is signed.
4. The Government shall stipulate types of real estate trading agreement.
Thus, according to the above provisions, for building sale or lease purchase agreements or land transfer agreements must be notarized in Vietnam.
2. What are main contents of building lease purchase agreements in Vietnam?
According to Article 18 of the Law on Real Estate Business 2014, content of building sale, lease, lease purchase agreement:
A building sale, lease, lease purchase agreement shall contain:
1. Names and addresses of contracting parties;
2. Information about the real estate;
3. Sale, lease, or lease purchase price;
4. Payment method and deadline;
5. Real estate transfer deadline and enclosed documents;
6. Warranty;
7. Rights and obligations of contracting parties;
8. Liability for any breaches of agreement;
9. Penalties for any breaches of agreement;
10. Cases in which the agreement is terminated and solutions;
11. Dispute settlement;
12. Effective date of the agreement.
According to this Article, building lease purchase agreements in Vietnam must ensure the contents as prescribed above.
3. Can the lessee transfer the lease purchase agreement in Vietnam?
Article 36 of the Law on Real Estate Business 2014 provides for transfer of lease purchase agreement as follows:
1. The lessee may transfer the lease purchase agreement when the application for Certificate of land, ownership of houses and property on land granted to the lessee has not submitted to competent agencies. The transfer of lease purchase agreement must be made in writing and certified by the lessor.
2. The transferee of lease purchase agreement may resume rights and obligations of the lessee. The lessor must enable contracting parties to transfer the agreement and do not collect any charges relating to the transfer of agreement.
3. The transferee shall be granted the Certificate of land, ownership of houses and property on land by competent agencies as prescribed law on land.
4. The transfer of agreement prescribed in this Article shall not be applicable to social house lease purchase agreement.
5. The Government shall provide guidance on this Article.
Thus, the lessee is entitled to transfer the lease purchase agreement when the application for Certificate of land, ownership of houses and property on land granted to the lessee has not submitted to competent agencies. The transfer of lease purchase agreement must be made in writing and certified by the lessor in Vietnam.
Best Regards!
