Costs incurred in mediation or dialogue at court in Vietnam

Costs incurred in mediation or dialogue at court in Vietnam (Internet image)

1. Costs incurred in mediation or dialogue at court in Vietnam

According to Article 9 of the Law on mediation or dialogue at the Court 2020, Article 3 of Decree 16/2021/ND-CP,  The costs incurred in mediation or dialogue at court shall be covered by the state budget, except for the following expenses: The parties in mediation or dialogue at court must bear the following costs:

(1) Mediation costs for disputes on business and trade related to monetary claim:

- Mediator remuneration expenses; conciliation administrative expenses (stationery, drinking water, postage, and telecommunications charges directly serving the conciliation);

The expenses specified in (2) below

(2) Costs incurred when the parties agree to select a place for mediation or dialogue outside the court's headquarters:  or administrative lawsuit which are outside the administrative boundaries of the province where the competent court is located

Costs incurred when the mediator examines the current state of assets related to the civil case:

+ Travel expenses, accommodation allowance, and room rental for the mediator;

+ Venue rental and other expenses directly related to mediation and dialogue, based on actual occurrences

- Administrative lawsuit which are outside the administrative boundaries of the province where the competent court is located:

+ Travel expenses, accommodation allowance, and room rental for the mediator;

+ Expenses for renting equipment and machinery or hiring functional units or organizations to assist with asset assessment.

- Costs incurred in foreign language interpretation:

The cost of hiring translators and interpreters from foreign languages to Vietnamese and vice versa

2. Level of costs incurred in mediation and dialogue at court in Vietnam

Article 4 of Decree 16/2021/ND-CP stipulates the rate of collection of expenses for conciliation and dialogue at the Court as follows:

- The level of revenue for the payment of remuneration to the mediator and administrative expenses for the mediation of business and commercial disputes with a value at the court specified in (1), item 1 above, is 2,000,000 VND/case.

- The level of revenue needed to pay for the contents specified in (2), item 1 above, is determined as follows:

+ For expenditures for which current spending regimes, standards, and norms are prescribed by competent state agencies:

The rate of collection is based on the regimes, standards, and norms of competent state agencies.

+ For other expenses:

The collection rate is based on the actual arising and lawful invoices and documents in accordance with the law, ensuring compliance with the current law on regular procurement in order to keep the agencies, units of the state operating.

3. Obligation to pay expenses for conciliation and dialogue in court in Vietnam

Pursuant to Article 5 of Decree 16/2021/ND-CP, the parties to conciliation and dialogue at the Court are obliged to pay the expenses specified in Section 1 above according to the ratio agreed upon by the parties.

In case of failure to reach an agreement, the parties are obliged to pay the expenses specified in Section 1 above at the same rate.

Van Trong

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