Cases of termination of ownership rights in Vietnam under the Civil Code

Cases of termination of ownership rights in Vietnam under the Civil Code (Internet image)

Regarding this issue, LawNet would like to answer as follows:

1. Bases for terminating ownership rights in Vietnam

According to Article 237 of the Civil Code 2015, ownership rights terminate in any of the following cases:

- The owners transfers his or her ownership rights to another person;

- The owner renounces his or her ownership rights;

- The property is consumed or destroyed;

- The property is realized in order to fulfill the obligations of the owner;

- The property is requisitioned;

- The property is confiscated;

- Other persons have established ownership rights with respect to property in accordance with this Code;

- Other bases as provided by law.

2. Termination of ownership rights due to transfer of ownership rights by owner in Vietnam

Where an owner transfers its ownership rights to another person through a contract for sale and purchase, by exchange, gift or loan, or through inheritance, the ownership rights of the owner with respect to the property shall terminate from the time when the ownership rights of the transferee arise.

(Article 238 of the Civil Code 2015)

3. Termination of ownership rights due to enunciation of ownership rights in Vietnam

An owner may terminate ownership rights with respect to its property by publicly declaring, or by performing certain acts evidencing, its renunciation of the right to possess, use and dispose of such property.

With respect to property the renunciation of which may harm social order or security or cause environmental pollution, the renunciation of ownership rights must comply with the law.

(Article 239 of the Civil Code 2015)

4. Termination of ownership rights due to property in respect of which other persons have established ownership rights in Vietnam

When a person has, in accordance with Article 228 through 233 of the Civil Code 2015, lawfully established ownership rights with respect to an object the owner of which is not able to be identified; a buried or sunken objects; a lost or mislaid object or stray domestic livestock, poultry or aquaculture stock, the ownership rights of the person formerly having the property shall terminate.

When the ownership rights of a possessor or a person benefiting from property have been created in accordance with Article 236 of the Civil Code 2015, the ownership rights of the person who formally had the property shall terminate.

(Article 240 of the Civil Code 2015)

5. Termination of ownership rights due to realization of property in order to fulfill obligations of owner in Vietnam

- Ownership rights with respect to property shall terminate when such property is realized in order to fulfill the obligations of the owner pursuant to a decision of a court or another competent authority, unless otherwise provided by law.

- Property which the law provides is not able to be seized may not be realized in order to fulfill the obligations of the owner.

- The ownership rights with respect to property realized in order to fulfill the obligations of the owner shall terminate at the time when the ownership rights of the recipient of such property arise.

- The realization of land use rights shall be carried out in accordance with the law on land.

(Article 241 of the Civil Code 2015)

6. Termination of ownership rights due to destroyed property in Vietnam

When property is destroyed, the ownership rights with respect to such property shall terminate.

(Article 242 of the Civil Code 2015)

7. Termination of ownership rights due to property which is compulsorily acquired in Vietnam

Where property is compulsorily acquired as prescribed by law, the ownership rights of the owner shall terminate from the time when the decision of the competent authority becomes legally effective.

(Article 243 of the Civil Code 2015)

8. Termination of ownership rights due to confiscated property in Vietnam

Where property of an owner is confiscated and paid into the State Budget due to the owner committing a crime or an administrative offence, the ownership rights of the owner with respect to such property shall terminate from the time when the judgment or decision of the court or the decision of the competent authority becomes legally effective.

(Article 244 of the Civil Code 2015)

Nguyen Ngoc Que Anh

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