Guidance on registration of operation of a property auction business in Vietnam from January 1, 2025

Guidance on registration of operation of a property auction business in Vietnam from January 1, 2025​ (Image from the Internet)

On June 27, 2024, the National Assembly of Vietnam promulgated the Law amending Law on Property Auction 2024.

Guidance on registration of operation of a property auction business in Vietnam from January 1, 2025

Article 15 of the Law on Property Auction 2016 (amended by Clause 15 of Article 1 of the Law amending Law on Property Auction 2024) guides the registration of operations of asset auction enterprises as follows:

- The founder of the enterprise, who meets the conditions specified in Article 23 of the Law on Property Auction 2016, shall send a dossier requesting the registration of asset auction operations to the Department of Justice where the enterprise is headquartered and pay the fee as stipulated by law. The dossier includes:

+ Application for operation registration;

+ Charter of the enterprise for partnership auction companies;

+ A certified copy or a copy with the original for comparison of the Auction Practice Certificate of the owner of the private auction enterprise, the Auction Practice Certificate of the partnership members, the General Director, or the Director of the partnership auction company.

- Within 10 working days from the date of receipt of a complete and valid dossier, the Department of Justice shall issue an Operation Registration Certificate to the asset auction enterprise; in case of refusal, a written reason must be provided. The enterprise, if refused the Operation Registration Certificate, has the right to appeal and litigate as per the provisions of law.

- The asset auction enterprise shall commence operations from the date they are issued the Operation Registration Certificate.

Amending regulations on change in operation registration contents and re-grant of operation registration certificates of property auction businesses in Vietnam

According to Clause 16 of Article 1 of the Law amending Law on Property Auction 2024, which amends and supplements Article 26 of the Law on Property Auction 2016, the regulations on change in operation registration contents and re-grant of operation registration certificates of property auction businesses in Vietnam are as follows:

- In case the asset auction enterprise changes its name, address within the province or centrally affiliated city, branch, representative office, lawful representative of the enterprise, the practicing auctioneer list within the enterprise, the procedures are as follows:

+ Within 10 working days from the date of the decision to change, the asset auction enterprise sends a request for change to the Department of Justice where the enterprise is registered;

+ Within 05 working days from the date of receipt of the request, the Department of Justice shall decide to change the contents of the operation registration and reissue the Operation Registration Certificate to the asset auction enterprise; in case of refusal, a written reason must be provided. The enterprise, if refused the change of operation registration contents, has the right to appeal and litigate as per the provisions of law.

- In case the asset auction enterprise changes its address from one centrally-run province or city to another, the procedures are as follows:

+ Within 10 working days from the date of the decision to change, the asset auction enterprise sends a notification of the change of address to the Department of Justice where the enterprise is registered and a request for change accompanied by a certified copy, an electronic certified copy, or a copy with the original for comparison of the previously issued Operation Registration Certificate to the Department of Justice where the new headquarters is located;

+ Within 05 working days from the date of receipt of a complete and valid dossier, the Department of Justice at the new headquarters shall issue the Operation Registration Certificate to the enterprise; notify the Department of Justice at the old headquarters and provide information about the registration contents as stipulated in Article 27 of the Law on Property Auction 2016; in case of refusal, a written reason must be provided. The enterprise, if refused the Operation Registration Certificate, has the right to appeal and litigate as per the provisions of law.

From the time the enterprise is issued the new Operation Registration Certificate by the Department of Justice at the new headquarters, the Certificate issued by the Department of Justice at the old headquarters is no longer legally valid. The Department of Justice at the old headquarters shall decide to cancel the issued Certificate and announce it on the Department's electronic portal within 03 working days from the date of receipt of the notice of Certificate issuance from the Department of Justice at the new headquarters;

+ The asset auction enterprise issued the Operation Registration Certificate is responsible for announcing the contents of the registration as stipulated in Article 28 of the Law on Property Auction 2016.

- In case after changing the operation registration contents, it is discovered that the information declared in the dossier is falsified, the Department of Justice shall issue a notice about the violation and cancel the changes, simultaneously informing the competent authority for handling in accordance with the law.

- In case the asset auction enterprise requests reissuance of the Operation Registration Certificate due to loss, tear, fire, or destruction in other forms, the procedures are as follows:

+ The asset auction enterprise sends a request for reissuance to the Department of Justice where the enterprise is registered;

+ Within 07 working days from the date of receipt of the request, the Department of Justice shall reissue the Operation Registration Certificate to the enterprise; in case of refusal, a written reason must be provided. The enterprise, if refused the reissuance, has the right to ...

Read more about the Law amending Law on Property Auction 2024 which comes into force in Vietnam from January 1, 2025, except for the provisions specified in Article 3 of the Law amending Law on Property Auction 2024.

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