Rights and obligations of enterprises in Vietnam under the Law on Enterprises 2020

Rights and obligations of enterprises in Vietnam under the Law on Enterprises 2020 (Internet image) 

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

1. Rights of enterprises in Vietnam 

The rights of enterprises in Vietnam under Article 7 of the Law on Enterprises 2020 are as follows:

- Freely engage in any business line that is not banned by law.

- Freely run the business and choose a type of business organization; choose business lines, area of operation and type of operation; change the scale of business and business lines.

- Choose the method of mobilizing, distributing and using capital.

- Freely find markets, customers and enter into contracts.

- Export and import.

- Hire employees in accordance with employment laws.

- Apply technological advances to improve business efficiency; have intellectual property rights protected in accordance with intellectual property laws.

- Acquire, use, dispose of their assets.

- Reject unlawful requests for provision of resources from other organizations and individuals.

- File complaints and participate in proceedings as prescribed by law.

- Other rights prescribed by law.

2. Obligations of the enterprises in Vietnam

The obligations of enterprises in Vietnam under Article 8 of the Law on Enterprises 2020 are as follows:

- Maintain the fulfillment of conditions for conducting restricted business lines and business lines restricted to foreign investors (hereinafter referred to as “restricted business lines”) prescribed by law throughout the course of business operation.

- Apply for enterprise registration; register changes to enterprise registration information; publish information about the establishment and operation of the enterprise; submit reports and fulfill other obligations prescribed by this Law.

- Take responsibility for the accuracy of information in the enterprise registration application and reports; promptly rectify incorrect information if found.

- Organize accounting works; pay taxes and fulfill other financial obligations prescribed by law.

- Protect lawful rights and interests of employees as prescribed by law; do not discriminate against or insult employees; do not mistreat or force employees to work;

Do not employ minors against the law; enable employees to improve their vocational skills through training; buy social insurance, unemployment insurance, health insurance and other insurance for employees as prescribed by law.

- Other obligations prescribed by law.

3. Rights and obligations of enterprises providing public products and services in Vietnam

According to Article 9 of the Law on Enterprises 2020, an enterprise providing public products and services shall:

- Have the rights and obligations specified in Article 7, Article 8 and relevant regulations of the Law on Enterprises 2020.

- Be reimbursed in accordance with bidding laws or collect payments as prescribed by competent authorities.

- Have appropriate time to provide products/services to recoup investment and make reasonable profit.

- Provide products/services with adequate quantity, good quality and on schedule at the prices imposed by competent authorities.

- Ensure fairness and convenience for customers.

- Take legal responsibility for the quantity, quality, supply conditions and prices for their products/services.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE