The National Assembly passes Law on Property Auction
On 17 November 2016, the 14th National Assembly (NA) approved the Law on Property Auction, within the framework of its ongoing second session in Hanoi.
The NA approved the Law on Property Auction with 84.41 percent of the vote. The Law consists of eight chapters with 81 articles. It stipulates principles, process and procedures for property auction; auctioneers and auction organizers; auction remuneration and expenses; violation settlement, auction result cancellation, and damage compensation; and state management of property auction.
At the plenary session, Mr. Vu Hong Thanh, Head of the NA Economic Committee presented statement on adjustment and explanation the bill on Property Auction related to a number of controversial points such as properties which must be sold via auction, training and granting of professional certificates for auctioneers and auctioning organizations, and regulations governing bad debts and collateral assets of the Vietnam Asset Management Company (VAMC).
The Law is going to come into force as from 1 July 2017. However, clause 4 of Article 80 of this Law will take effect on 1 January 2017. This clause allows auction organizers to collect auction service fees as in accordance with existing legal regulations until the Law becomes effective.
The Law on Property Auction aims to create a legal foundation for conducting auctions that is in line with other laws related to property auctions such as the Land Law, the Law on Handling of Administrative Violations, the revised Law on Civil Judgment Enforcement, the Civil Code, and the Enterprise Law. The Law on Property Auction will help make this sector more professional and contribute to completing a market economy mechanism that is in line with national development.
On the same day, deputies also scrutinized a draft law on revisions and supplements to the list of conditional business lines in the Law on Investment./.