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Resolving credit contract disputes in Vietnam is a complex process that often requires the goodwill of the parties involved or the intervention of the court.
What is Resolving Credit Contract Disputes in Vietnam?
Resolving credit contract disputes in Vietnam is the process of addressing disagreements or complaints arising from the execution of a credit contract where one or more parties feel that the contract terms are not being followed or there is a misunderstanding about obligations and rights. Credit contract disputes can arise from various causes, such as:
- Disagreements over the applied interest rates.
- Failure to repay on time.
- Disagreements on how to handle collateral when financial issues occur.
- Differences in understanding the terms and conditions of the contract.
Jurisdiction for Resolving Credit Contract Disputes in Vietnam
The jurisdiction for resolving credit contract disputes in Vietnam depends on the agreement between the parties in the contract and legal provisions. According to Vietnamese law, the jurisdiction for resolving credit contract disputes typically belongs to one of the following authorities:
Court
The Court is the main authority in resolving credit contract disputes in Vietnam if the parties do not agree on an alternative dispute resolution method, such as arbitration.
- District-level Court: Resolves credit contract disputes at the first-instance stage.
- Provincial-level People’s Court: Resolves credit contract disputes at the appellate stage.
- High-level People’s Court: Resolves credit contract disputes at the cassation or retrial stage (if any).
Commercial Arbitration
If the parties in the credit contract have previously agreed to use commercial arbitration to resolve disputes, the dispute will be brought before a commercial arbitration council. Arbitration procedures are often quicker than court proceedings and have a high level of confidentiality.
Mediator
In some cases, the parties may choose to resolve disputes through mediation. Mediation is an out-of-court dispute resolution process where a neutral third party (mediator) helps the parties find a satisfactory solution without filing a lawsuit in court or arbitration.
Steps for Resolving Credit Contract Disputes in Vietnam
Below are the basic steps in resolving credit contract disputes in Vietnam:
Resolving Credit Contract Disputes in Vietnam through Negotiation and Mediation
Before bringing the case to court or arbitration, the parties in the credit contract can resolve the dispute through direct negotiation. If negotiation fails, the parties can use mediation, where a neutral third party (mediator) assists them in finding an acceptable solution for both sides.
Resolving Credit Contract Disputes in Vietnam through the Court
If the credit contract dispute cannot be resolved through negotiation or mediation, one of the parties can file a lawsuit in court. This process includes:
- Filing a lawsuit.
- The disputing parties provide evidence and testimony.
- On-site inspection of the collateral (if any).
- Holding a public evidence meeting and mediation session.
- Conducting the first-instance trial.
- Filing an appeal (if any).
- Conducting the appellate trial (if any).
- Enforcement of the judgment.
Contact Us Now:
DCNH LAW
Address: 38B Tran Nhat Duat, Phuoc Hoa ward, Nha Trang city, Khanh Hoa province.
Phone: (+84) 343320223 – 974278893
Email: [email protected]
