Rights and obligations of property auction organizations in Vietnam from January 1, 2025

Rights and obligations of property auction organizations in Vietnam from January 1, 2025 (Image from the Internet)

Property auction organizations include property auction service centers and property auction businesses in Vietnam. These organizations will have the following rights and obligations:

Rights of property auction organizations in Vietnam from January 1, 2025

property auction organizations have the following rights:

- Providing property auction services;

- Agreeing with the asset owner on the application of one, some, or all regulations regarding the auction process and procedures specified in the Law on property auction 2016 for the assets listed in Clause 2, Article 4 of the Law on property auction 2016 (amended 2024);

- Recruiting auctioneers to work for the organization as per legal regulations;

- Requesting asset owners to provide complete and accurate information and documents related to the auctioned assets;

- Receiving service fees and auction costs according to the property auction service contract;

- Appointing auctioneers to conduct auction sessions;

- Providing services for the transfer of ownership rights, use rights, asset management, and other services related to auctioned assets as agreed;

- Determining starting prices when auctioning assets listed in Clause 2, Article 4 of the Law on property auction 2016 (amended 2024) as authorized by the asset owner;

- Assigning auctioneers to guide apprenticeship auctioneers;

- Unilaterally terminating or canceling the property auction service contract or requesting the Court to declare the auction service contract invalid according to civil law and the Law on property auction 2016;

- Collecting, managing, and using fees from the sale of auction invitation documents per legal regulations;

- Associating with other property auction organizations to conduct auctions for the assets listed in Clause 2, Article 4 of the Law on property auction 2016 (amended 2024);

- Other rights as per legal regulations.

(Clause 1, Article 24 of the Law on property auction 2016, amended 2024)

Obligations of property auction organizations in Vietnam from January 1, 2025

Property auction organizations in Vietnam have the following obligations:

- Conducting property auctions in accordance with principles, processes, and procedures specified in the Law on property auction 2016, except as stated in point a1, Clause 1, Article 24 of the Law on property auction 2016 (amended 2024) and being responsible for the auction results;

- Issuing Auction Rules as stipulated in Article 34 of the Law on property auction 2016 and other relevant laws;

- Organizing continuous auction sessions at the announced time and location, except in cases of force majeure;

- Requesting that the asset owner deliver the auctioned asset and related documents to the auction winner; if tasked with safekeeping or managing by the asset owner, delivering the asset and related documents to the auction winner;

- Compensating for damages incurred during the auction as per legal regulations;

- Fulfilling obligations under the property auction service contract;

- Keeping a Record Book of auctioned assets and an Auction Registration Book;

- Purchasing professional liability insurance for auctioneers as required by Article 20 of the Law on property auction 2016;

- Reporting to the Department of Justice of the area where the organization is headquartered the list of practicing auctioneers and apprenticeship auctioneers;

- Reporting to the Department of Justice of the area where the organization is headquartered about annual organizational activities or upon sudden requests; for enterprises with branches, also reporting to the Department of Justice where the branch is registered;

- Complying with inspection and examination requests from competent state authorities;

- Other obligations as per legal regulations.

(Clause 2, Article 24 of the Law on property auction 2016, amended 2024)

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