Settlement Of Business And Commercial Disputes In Court

Settlement of business and commercial disputes at the Court is a method of dispute settlement at the adjudication agency in the name of the State power to issue a judgment to compel the parties to comply. And the judgment of the Court will be enforced by the coercive power of the State. For more details about this commercial business dispute resolution method, Apolo Lawyers would like to invite readers to refer to the article below. Please contact Apolo Lawyers Law Firm via email contact@apolo.com.vn or hotline - 0903.419.479 for legal advice and support.

1. What are business and commercial disputes?

According to Clause 1, Article 3 of the 2005 Commercial Law, commercial activities are activities for profit-making purposes, including goods purchase and sale, service provision, investment, trade promotion and other profitable activities.

It can be understood that business and commercial disputes are conflicts over rights and obligations between parties in the course of involving in business and commercial activities.

Thus, a commercial dispute is a dispute arising from commercial activities, when there is a conflict of material rights and interests between traders (or one party is a trader). Because the main purpose of commercial activities is the profit purpose, when this factor is not satisfied, a dispute will arise.

Settlement Of Business And Commercial Disputes In Court

2. Order and procedures for dispute settlement at court

The settlement of business and commercial disputes at the court is carried out according to the order and procedures specified in the 2015 Civil Code:

2.1. Court has jurisdiction

Determination of jurisdiction to settle by case: According to Point, Clause 30, Article 30 of the Civil Code 2015, disputes related to business and commerce fall under the jurisdiction of the Court.

Determination of jurisdiction by level of court: Disputes arising in business and commercial activities between individuals and organizations that have business registration and profit purposes fall under the jurisdiction of the district court. The remaining commercial business disputes will be adjudicated by the Provincial Court.

In case there are involved parties or assets abroad or it is necessary to entrust justice to the representative mission of the Socialist Republic of Vietnam abroad, to a foreign competent court or agency that is not under the jurisdiction of the district-level  Court. At this time, the provincial Court will have jurisdiction to settle.

Determination of jurisdiction by territory: The parties to the dispute shall base themselves on the provisions of Article 39 of the CPC 2015 to determine specifically where the court has jurisdiction.

2.2. What does a petition include?

Petition: According to Article 186 of the 2015 Civil Code, the petitioner himself or through his legal representative initiates a lawsuit (hereinafter referred to as the plaintiff) at a competent Court to request protection of his/her legitimate rights and interests. The content of the petition complies with statutory requirements.

List of documents and evidences enclosed with the petition.

The lawsuit petition must be enclosed with documents and evidences proving that the lawful rights and interests of the petitioner have been infringed.

2.3. Steps to resolve by the Court in a commercial business case

According to Article 191 of the 2015 Civil Code, within 03 working days from the date of receiving the lawsuit petition, the Chief Justice of the Court shall assign a judge to consider the petition.

Within 05 working days from the date of assignment, the judge must consider the petition and make one of the following decisions:

• Request for amendment and supplementation of the petition;
• Carry out procedures for accepting the case according to normal procedures or according to summary procedures if the case is eligible for settlement according to summary procedures specified in Clause 1, Article 317 of this Code;
• Transfer the lawsuit petition to the competent Court and notify the petitioner if the case falls under the jurisdiction of another Court;
• Return the petition to the petitioner if the case is not within the jurisdiction of the Court.

After receiving the lawsuit petition and accompanying documents and evidences, if deeming that the case falls under the court jurisdiction, the judge must immediately notify the plaintiff so that they can go to the court to carry out procedures for payment of fee advance in case they have to pay the court fee advance.

The judge only accepts the case when the petitioner submits to the Court a receipt for the collection of the court fee advance.

Within 03 working days, the judge must notify in writing the involved parties, organizations and individuals with interests and obligations related to the settlement of the case, and the procuracies of the same level of the acceptance of the case.

The Chief Justice of the Court shall decide to assign the Judge to settle the case ensuring the principles of impartiality, objectivity and randomness.

2.4. Time limit for settling business and commercial disputes by Court

According to Article 203, Article 205 of the 2015 Civil Code, depending on the nature of each case, the time limit for trial preparation usually lasts from 2 to 4 months.

During the time limit for preparing for the first-instance trial of the case, the Court shall conduct conciliation so that the involved parties can reach agreement on the settlement of the case, except for cases that cannot be conciliated or where conciliation is not conducted as prescribed in Articles 206 and 207 of this Code or the case is resolved according to summary procedures.

Within 1 month from the date of issuance of a decision to bring the case to trial, the court must open a court session; In case there are legitimate reasons, this time limit is 02 months.

Settlement Of Business And Commercial Disputes In Court

Above is an article about resolving business and commercial disputes in Court. In case you need assistance in resolving this dispute, please contact Apolo Lawyers Law Firm via email contact@apolo.com.vn or hotline - 0903.419.479 for legal advice and support.

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