Doing Business In Viet Nam
Foreigners can request for local agent for sale and purchase of goods of various kinds. Like the processing contract, the request for a local agent must be in writing, and subject further to MOIT's consent with respect to goods being prohibited or ceased temporarily from the import and export. Under the Commercial Law, agent activities vary by the following forms: commission agent, package agent, exclusive agent and general agent.
The same legal basis applicable for the processing for foreigners is effective to the agent activities for foreigners in Vietnam.
11.2 Contents of the Contract
A sale and purchase agent contract is requested to contain quite simple contents in comparison to the other types of commercial or economic contracts. Only the following are compulsory present therein: the description about both principals and agents, the contractual goods, types of agents, and remuneration for the local agents.
11.3 Permitted Activities
Amongst others, foreign principals can decide at their own discretion the sale and purchase price, receive deposits or documents on mortgaged assets from the agents, and request the agents to make payment or deliver goods in accordance with the signed contracts. To supervise the contract performance, foreign principals can second their people to agents’ facilities in Vietnam.
As a matter of fact, the following actions are often carried out by local agents instead of foreign principals, which include the dealing with the import/export procedures, the declaration and payment of relevant taxes on behalf of foreign principals.
Contractual goods are likely subject to the import/export duties of Vietnam.
@1999-2012 Vision & Associates. All Rights Reserved.