Formalities for requesting customs inspection and supervision and postponement of customs formalities in Vietnam

Formalities for requesting customs inspection and supervision and postponement of customs formalities in Vietnam (Internet image)

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

1. Formalities for requesting customs inspection and supervision and postponement of customs formalities in Vietnam

Formalities for requesting customs inspection and supervision and postponement of customs formalities under Article 74 of the Law on Customs 2014 are as follows:

- An intellectual property rights holder may directly or through legally authorized persons send his written requests to customs authorities for customs inspection and supervision or temporary suspension of customs formalities for imported and exported goods showing signs of intellectual property right infringement.

- In case of request for customs inspection and supervision, the intellectual property rights holder or legally authorized person shall pay charges and fees prescribed by the law on charges and fees and provide customs authorities with the following materials:

+ A written request; written authorization in case of authorized submission of request;

+ A copy of protection title for industrial property rights or another materials proving industrial property rights which are currently protected in Vietnam or a copy of the certificate of registration of industrial property licensing contract; a copy of the certificate of registration of copyright, copyright-related rights or rights to plant varieties or another materials proving copyright, copyright-related rights or rights to plant varieties;

+ A detailed description of intellectual property right-infringing goods, photos and characteristics for distinguishing genuine goods from intellectual property right-infringing goods;

+ A list of lawful importers or exporters of goods requiring supervision; a list of persons likely to export or import intellectual property right-infringing goods.

The time limit for application of customs inspection and supervision measures for goods requiring protection of intellectual property rights is 2 years from the day on which the customs authority accepts the request of the intellectual property rights holder.

This time limit may be granted extension for another 2 years but must not exceed the duration of protection of the concerned intellectual property subject matter in accordance with the Law on Intellectual Property.

- In case of requesting postponement of customs formalities, the intellectual property rights holder or legally authorized person shall provide the customs authority with the materials as prescribed in Clause 2 of Article 74 of the Law on Customs 2014 and pay a sum of money

Or submit documents on guarantee by a credit institution equal to 20% of the value of the goods shipment in the contract or at least VND 20 million if the value of the suspected infringing goods shipment is not identified to pay damage compensation and expenses as prescribed which may arise due to wrong request for postponement of customs formalities.

2. Principles of inspection, supervision and postponement of customs formalities in Vietnam

Principles of inspection, supervision and postponement of customs formalities in Vietnam under Article 73 of the Law on Customs 2014 (amended in the Law on Amendments to Law on Intellectual Property 2022) are as follows:

-Holders of intellectual property rights protected in accordance with the law on intellectual property have the right to request customs authorities to apply inspection and supervision methods or postpone customs formalities for imported and exported goods showing signs of intellectual property right infringement.

-Customs authorities shall decide suspension of customs procedures for exports and imports when the intellectual property right holder or a legally authorized person files a petition, pays a sum or submit guarantee documents of a financial institution to ensure compensation for damage and costs incurred from the unconformable suspension of customs procedures.

The customs authority shall preemptively suspend the customs procedures if the customs authority, during customs inspection, supervision and control, has valid grounds to suspect that the exports or imports are intellectual property counterfeit goods

- Provisions on postponement of customs formalities for imported and exported goods showing signs of intellectual property right infringement as prescribed in this Law are not applicable to humanitarian aid goods, personal belongings, goods eligible for privileges and immunities, baggage, donations and gifts within the duty-free quota and transited goods.

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