On 30 October 2015, at Kim Do hotel (131 – 133 Nguyen Hue, District 1, HCMC), the LawTeam Alliance (LTA)* jointly organized a seminar on “The Law on Enterprises and the Law on Investment 2014 – New Regulations and Enforcement Issues”.
In his opening statement, Dr Nguyen Ba Son, Partner of VLT Lawyers, emphasized that the purpose of the workshop was to share with the Vietnamese business community issues stemming from the two new laws, the Law on Investment (LOI) and the Law on Enterprises (LOE). Particularly, he addressed how all enterprises should be compliant with and be ready to benefit from these new regulations that came into effect on 1 July 2015.
Luong Van Ly, Advisor of VLT Lawyers, and Dr Pham Manh Dzung, Partner of Rajah & Tann LCT Lawyers, presented on the noteworthy issues in respect of the LOI. In contrast to the LOI (2005), the new LOI (2014) now makes the distinction regarding conditional business lines between local enterprises and foreign directed investment enterprises (FDI), and the rationale behind the inclusion of such business lines are further defined in the LOI (2014). Some sectors are further particularized in more detail, such as the sectors of high-tech, support industries, new energy and renewable energy. Furthermore, the LOI supplements four forms of investment support, including credit support, access support for production premises, market development support, and provision of information and support of research and development.
To introduce the new LOE, Tran Thanh Tung, Partner of Phước & Partners, Tran Duy Canh, Partner of Luật Việt, and Luong Van Trung, Partner of Bross & Partners, delivered on the key points and practical issues for the operation of enterprises. The presentation was to help investors to easily understand how they can benefit from the new amended law – that “business comes first, registration later” in line with the general spirit that “businesses can carry out activities on which the law is silent”. They discussed the new developments from the law, such as how current enterprises can have more than one legal representative, seal and other matters concerning the rights of members, minority shareholders, shareholder disputes, management models and cross-ownership, and other pertinent topics.
Mr. Tran Duy Canh is delivering his speech at the seminar
To meet audiences’ demand, the panel of speakers spent an hour to provide further advice in response to concerns of investors – including specific advice tailored to the investors’ individual business.
Lawyer Tran Duy Canh at the seminar
The seminar was delivered through different approaches, dependent on the experiences of the lawyer during their presentations, and the audience was exposed to a broad cross-section of legal experts with their own specialties. The seminar focused on a pragmatic representation of the law and the points relevant to the audience, and the audience was able to catch up with the key changes brought about by the new law as applied to their actual business operations.
“In the near future, LTA will continue to arrange workshops and training for the business community with respect to business and investment laws to assist investors in their integration into the region, which is also one of the primary objectives of the LTA” stated Chau Huy Quang, the Secretary General of LTA.
*LawTeam Alliance (LTA) is an alliance of 5 leading local law firms in Vietnam formed on August 2015, comprising Bross & Partners, Phuoc & Partners, Luật Việt, Rajah & Tan LCT Lawyers and VLT Lawyers. The main objective of LTA is to develop and enhance professional capabilities of its lawyers and meet the demands of LTA’s Vietnamese and foreign clients.