What is commercial mediator? 04 things you should know about commercial mediators in Vietnam

What is commercial mediator? 04 things you should know about commercial mediators in Vietnam (Internet image)

1. What is commercial mediator?

According to Clause 3, Article 3 of Decree 22/2017/ND-CP, commercial mediator may be an ad hoc commercial mediator or a commercial mediator of a commercial mediation institution who is selected by involved parties or appointed by a commercial mediation institution at the request of involved parties to assist them in dispute resolution in accordance with Decree 22/2017/ND-CP.

In there:

- Institutional commercial mediation means a form of dispute resolution at a commercial mediation institution in accordance with this Decree and the Mediation Rule of such institution.

- Ad hoc commercial mediation means a form of dispute resolution conducted by an ad hoc commercial mediator selected by involved parties in accordance with Decree 22/2017/ND-CP and the agreement of the parties.

(Clause 5 and 6, Article 3 of Decree 22/2017/ND-CP)

2. Criteria for a commercial mediator in Vietnam

According to Clause 1, Article 7 of Decree 22/2017/ND-CP, a person who fully satisfies the following criteria may act as a commercial mediator:

- Having full civil act capacity as prescribed by the Civil Code; having good moral qualities and prestige, and working in an independent, impartial and objective manner;

- Possessing a university or higher degree and having at least 2 years’ working experience in the discipline he/she has studied;

- Having mediation skills and knowledge about law, business and commercial practices and relevant issues.

3. Rights and obligations of commercial mediators in Vietnam

3.1. Rights of commercial mediators in Vietnam

A commercial mediator has the following rights:

- To accept or refuse to carry out commercial mediation activities;

- To refuse to provide information relating to a dispute, unless the information provision is agreed upon in writing by involved parties or required by law;

 To enjoy remuneration for commercial mediation activities as agreed upon with disputing parties;

- Other rights as prescribed in Decree 22/2017/ND-CP and relevant laws.

(Clause 1, Article 9 of Decree 22/2017/ND-CP)

3.2. Obligations of commercial mediators in Vietnam

A commercial mediator has the following obligations:

- To comply with law and the codes of ethics and conduct applicable to commercial mediators; to work in an independent, impartial, objective and honest manner;

- To respect the agreement reached by involved parties if such agreement neither violates law nor contravenes social morality;

- To keep confidential information about the disputes of which he/she mediates the resolution, unless otherwise agreed upon in writing by involved parties or prescribed by law;

- To notify involved parties of his/her competence and mediation remuneration and costs before conducting mediation;

- To refrain from acting as a representative of or an advisor for any of involved parties or concurrently acting as an arbitrator for the same dispute of which he/she is mediating or has mediated the resolution, unless otherwise agreed upon by the parties;

- Other obligations as prescribed in this Decree and relevant laws.

(Clause 2, Article 9 of Decree 22/2017/ND-CP)

4. Prohibited acts of commercial mediators in Vietnam

According to Article 10 of Decree 22/2017/ND-CP, Prohibited acts of commercial mediators include:

- Disclosing information about disputes or clients they know in the mediation process, unless otherwise agreed upon by disputing parties in writing or prescribed by law.

- Violating the code of ethics applicable to commercial mediators.

- Receiving or demanding any sum of money or benefit from involved parties in addition to remuneration and costs already agreed upon.

- Other prohibited acts as prescribed by law.

Thanh Rin

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