Vietnam: Fundamental contents of a bill of exchange

According to Article 16 of the Law on negotiable instruments 2005 of Vietnam, a bill of exchange must include the following contents:

- The words "Bill of Exchange" written on the front of the bill of exchange;

- An order for unconditional payment of a fixed sum of money;

- The period for payment;

- The place for payment;

- The name of the drawee being an organization or the full name of the drawee being an individual, and the address of the drawee;

- The name of the beneficiary being an organization or the full name of the beneficiary being an individual who is designated by the drawer or in favor of whom [the drawer] has made the request for payment of the bill of exchange to the order of the beneficiary or the request for payment of the bill of exchange to the bearer;

- The place and date of signing and issuance;

- The name of the drawer being an organization or the full name of the drawer being an individual, and the address of the drawer.

A bill of exchange which omits any one of these contents shall be invalid, except for the following cases:

- Where the period for payment is not recorded on the bill of exchange, the bill of exchange shall be paid immediately upon presentation;

- Where the place for payment is not recorded on the bill of exchange, the bill of exchange shall be paid at the address of the drawee;

- Where the place of signing and issuance is not specified on the bill of exchange, the bill of exchange shall be deemed to have been drawn at the address of the drawer.

When the sum of money written in figures on a bill of exchange is different from the sum of money written in words, the sum of money written in words shall be valid for payment. Where the sum of money is written twice or more in words or in figures on a bill of exchange and they are different, the smallest sum of money written in words shall be valid for payment.

Where a bill of exchange does not have sufficient space for writing, it may have an additional sheet attached. The sheet shall be used for recording details of guarantee, endorsement, pledge or collection. The person who is the first to prepare an additional sheet must attach it to the bill of exchange and sign across the edges of the additional sheet and the bill of exchange.

View relevant provisions at: The Law on negotiable instruments 2005 of Vietnam was promulgated on November 29, 2005 and effective from July 01, 2006.

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