Vietnam: Cases of termination of performance of acts without authorization

What is performance of acts without authorization? What are cases of termination of performance of acts without authorization? - Cong Vinh (Tien Giang, Vietnam)


Vietnam: Cases of termination of performance of acts without authorization

1. What is performance of acts without authorization?

According to Article 574 of Vietnam's Civil Code 2015, performance of acts without authorization means the voluntary performance of acts by a person being under no obligation to perform the act, solely for the benefit of a beneficiary, without the knowledge of the beneficiary, or with its knowledge but without the beneficiary raising any objection.

2. Cases of termination of performance of acts without authorization

The cases of termination of performance of acts without authorization under Article 578 of Vietnam's Civil Code 2015 include:

- The beneficiary so requests;

- The beneficiary, or its heir or representative, takes over the acts;

- The person performing the acts without authorization becomes not able to continue performance in accordance with Clause 5 Article 575 of Vietnam's Civil Code 2015 as follows:

Where a person performing an act without authorization has legitimate reasons for not being able to continue performance, such person must notify the beneficiary, or the representative or close relatives of the beneficiary, or may ask another person to perform the act on its behalf.

- The person performing the acts without authorization dies with regard to natural person or juridical person ceases to exist with regard to juridical person.

3. Obligation to perform acts without authorization

The obligation to perform acts without authorization is specified in Article 575 of Vietnam's Civil Code 2015 as follows:

- A person performing an act without authorization has the obligation to do so in accordance with its capabilities and conditions.

- A person performing an act without authorization must do so as if such person were performing such act for its own benefit. If such person knows or is able to guess the wishes of the beneficiary, such person must perform the act in accordance with such wishes.

- A person performing an act without authorization must, if requested, notify the beneficiary of the progress and results of the performance, unless the beneficiary already knows such information or the person performing the act without authorization does not know the place of residence of the beneficiary.

- If a beneficiary being natural person dies or a beneficiary being juridical person ceases to exist, the person performing an act without authorization must continue to perform the act until the heir or representative of the beneficiary takes over the act.

- Where a person performing an act without authorization has legitimate reasons for not being able to continue performance, such person must notify the beneficiary, or the representative or close relatives of the beneficiary, or may ask another person to perform the act on its behalf.

4. Obligation of beneficiary to pay for acts performed without authorization

The obligation of beneficiary to pay for acts performed without authorization under Article 576 of Vietnam's Civil Code 2015 is as follows:

- A beneficiary of an act performed without authorization must accept the results of the act when it is handed over to the beneficiary by the person having performed the act and [must] reimburse that person for reasonable expenses incurred in performing such act,

Even where the performance has failed to achieve the results desired by the beneficiary.

- If a person has performed an act properly for the benefit of a beneficiary, the beneficiary must remunerate the person having performed the act, unless the person having performed the act refuses to accept the remuneration.

5. Obligation to compensate for damage

According to Article 577 of Vietnam's Civil Code 2015, the obligation to compensate for damage when performing acts without authorization is prescribed as follows:

- If a person performing an act without authorization intentionally causes damage to the beneficiary while performing the act, such person must compensate for such damage.

- If a person performing an act without authorization unintentionally causes damage to the beneficiary while performing the act, the compensation by such person may be reduced on the basis of the circumstances in which the act was performed.

Quoc Dat

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