Vietnam: Specific regualtions on contracts for transport of property under the Civil Code 2015

Concept

Contract for transport of property in Vietnam means an agreement between parties whereby a carrier has the obligation to transport property to an agreed destination and to deliver it to the authorized recipient, and the customer must pay the freight charges.

The parties must clearly agree on the quantity of goods, the place of receipt and delivery, and the time of transport. The freight charges shall be agreed upon by the parties or prescribed by law. If the contract is performed by individuals, the freight charges shall be agreed upon

Legal characteristics

The Contract for transport of property in Vietnam is a bilateral contract: Both the carrier and the hiring party have corresponding rights and obligations towards each other.

The Contract for transport of property in Vietnam is a reciprocal contract: Transporting goods is a common service. The means of transport are diverse, such as airplanes, trains, cars, motorcycles. In the transportation contract, the transportation fee is the benefit the carrier aims for to cover transportation costs and accumulate capital.

The Contract for transport of property in Vietnam is a type of service: In the market mechanism, the production and circulation of goods are the two main activities of businesses. However, each business has its own functions and they support each other. Therefore, the market forms various services to serve production and business, including the service of transporting goods. A Contract for transport of property in Vietnam is a contract that does not increase the volume or alter the nature of the transported property but is a contract that transfers property from one location to another.

Form

- A Contract for transport of property in Vietnam may be entered into orally or in writing or a specific act.

- A bill of lading or equivalent source document of transport shall be evidence of the entering into of a contract by the parties.

Freight charges

- The rate of freight charges shall be as agreed by the parties. If the law regulates freight charges, charges shall apply as regulated.

- A customer must pay freight charges in full after the property is loaded onto the means of transport unless otherwise agreed.

Entities

Typically, a contract for transport of property in Vietnam involves two parties: the carrier and the hiring party. In economic relations between enterprises, a third party, the recipient, may participate. The recipient of the property does not directly sign the contract but has certain rights and obligations towards the carrier.

Contact details

The rights and obligations of the parties in the contract form the contract's content. The rights and obligations of the parties arise on the basis of the signed contract. Additionally, depending on the type of transportation means, the parties must perform their rights and obligations according to the regulations of those transportation means.