CHƯƠNG IV Luật thi hành án dân sự 2008: Biện pháp bảo đảm và cưỡng chế thi hành án

Chapter IV.

MEASURES TO SECURE AND COERCE JUDGMENT ENFORCEMENT

Section 1. MEASURES TO SECURE JUDGMENT ENFORCEMENT

Article 66. Measures to secure judgment enforcement

1. Enforcers may, at their own will or when requested in writing by involved parties, promptly apply measures to secure judgment enforcement in order to prevent dispersal or destruction of assets or shirking of judgment enforcement. When applying measures to secure judgment enforcement, enforcers are not required to notify such in advance to involved parties.

2. Parties who request enforcers to apply security measures shall be held responsible before law for their requests. In case they make a wrongful request, causing damage to parties subject to security measures or third parties, they shall pay compensations.

3. Measures to secure judgment enforcement include:

a/ Blockading accounts;

b/ Seizing assets and papers;

c/ Suspending registration, transfer or change in the current state of assets.

Article 67. Blockade of accounts

1. Accounts shall be blocked in case of necessity to prevent the dispersal of money on accounts of judgment debtors.

2. To proceed with the blockade of accounts, enforcers shall hand account blockade decisions to agencies or organizations currently managing accounts of judgment debtors.

Agencies and organizations currently managing accounts shall promptly abide by enforcers’ account blockade decisions.

3. Within 5 working days after issuing account blockade decisions, enforcers shall apply coercive measures defined in Article 76 of this Law.

Article 68. Seizure of involved parties’ assets and papers

1. Enforcers who are performing the judgment enforcement task may seize or request concerned agencies, organizations or individuals to assist them in seizing assets and papers, which are currently managed and used by involved parties.

2. A written record of the seizure of assets and papers must be made and signed by enforcers and involved parties. In case involved parties refuse to sign, they must be signed by witnesses. Written records of seizure of assets and papers must be handed to involved parties.

3. Within 15 days after the date of seizing assets and papers, enforcers shall decide to:

a/ Apply measures to coerce the judgment enforcement in case they can determine that the seized assets and papers are possessions of judgment debtors;

b/ Return the seized assets and papers to involved parties in case these parties can prove these assets and papers are not possessions of judgment debtors. A written record of the return of seized assets and papers must be made and signed by the parties.

Article 69. Suspension of registration or transfer of ownership or right to use or change in the current state of assets

When it is necessary to prevent involved parties from or these parties are detected to have committed acts of, transferring the ownership or right to use, dispersing, destroying or changing the current state of assets, enforcers shall issue decisions to suspend the registration or transfer of ownership or right to use or change in the current state of assets by judgment debtors and send these decisions to concerned agencies, organizations and individuals for suspension of registration or transfer of ownership or right to use or change in the current state of these assets.

Within 15 days after issuing decisions, enforcers shall distrain assets or terminate the suspension of transfer of ownership or right to use or change in the current state of assets.

Section 2. GENERAL PROVISIONS ON COERCIVE JUDGMENT ENFORCEMENT

Article 70. Grounds for coercive judgment enforcement

Grounds for coercive judgment enforcement include:

1. Judgments or rulings;

2. Judgment enforcement decisions;

3. Coercive judgment enforcement decisions, unless judgments or rulings declare the distraint of assets or blockade of accounts and courts rule on application of provisional urgent measures.

Article 71. Measures to coerce judgment enforcement

1. Deduction of money on accounts; recovery and handling of money and valuable papers of judgment debtors.

2. Subtraction of incomes of judgment debtors.

3. Distraint and handling of assets of judgment debtors, including also those held by third parties.

4. Exploitation of assets of judgment debtors.

5. Forcible transfer of objects, property rights and papers.

6. Forcible performance or non-performance of certain jobs by judgment debtors.

Article 72. Coercive judgment enforcement plans

1. Before conducting coercive judgment enforcement, enforcers shall work out plans thereon, except for cases subject to coercive enforcement without delay.

2. A coercive judgment enforcement plan contains the following principal details:

a/ Coercive measure to be applied;

b/ Time and place of coercive enforcement;

c/ Method of coercive enforcement;

d/ Forces to participate in and protect coercive enforcement;

e/ Estimated expenses for coercive enforcement

3. Coercive enforcement plans shall be promptly sent to the procuracies and public security offices at the same level, commune-level People’s Committees in localities where coercive enforcement is conducted or agencies and organizations related to coercive judgment enforcement are located.

4. Based on coercive enforcement plans of civil judgment enforcement agencies, public security offices shall work out enforcement protection plans, and arrange necessary forces and means to maintain order and protect scenes, promptly prevent and handle acts of dispersing assets, obstructing or opposing judgment enforcement, detain opposing persons, and institute criminal cases when seeing signs of crimes.

Article 73. Expenses for coercive judgment enforcement

1. Judgment debtors shall bear the following expenses for coercive judgment enforcement:

a/ Expense for notification of coercive judgment enforcement;

b/ Expense for purchase of materials and fuel, hiring of protection, medical and fire and explosion prevention and fight means and equipment, and other means and equipment necessary for judgment enforcement;

c/ Expense for asset valuation, assessment and auction; expense for asset revaluation, except for the cases specified at Point a, Clause 2 and Point a, Clause 3, of this Article;

d/ Expense for rent, safekeeping and preservation of assets; expense for loading, unloading and transportation of assets; expense for employment of workers for and cost of building partitions or dismantlement; expense for hired measurement and placement of landmarks for coercive judgment enforcement;

e/ Expense for seizure of assets and papers;

f/ Payment for persons directly participating in and protecting coercive judgment enforcement.

2. Judgment creditors shall bear the following expenses for coercive judgment enforcement:

a/ Expense for verification under Clause 1, Article 44 of this Law; expense for asset revaluation upon their request, except for revaluation due to violations of valuation regulations;

b/ Part or the whole of expense for building partitions or dismantlement in case judgments or rulings require judgment creditors to bear this expense.

3. The state budget shall pay expenses for coercive judgment enforcement in the following cases:

a/ Expense for revaluation of assets due to violations of valuation regulations;

b/ Expense for verification of judgment execution conditions in case enforcers enforce judgments at their own will as specified in Clause 1, Article 44 of this Law;

c/ Other necessary expenses under the Government’s regulations;

d/ Involved parties are entitled to exemption or reduction of expenses for coercive judgment enforcement under law.

4. Enforcers shall estimate expenses for coercive enforcement and notify them to judgment debtors at least 3 working days before the planned date of coercive enforcement, except for the case of coercive enforcement without delay. Expenses for coercive judgment enforcement are advanced by the state budget.

5. Expenses for coercive judgment enforcement shall be paid according to actually and reasonably paid amounts which are approved by heads of civil judgment enforcement agencies at the proposal of enforcers.

Heads of civil judgment enforcement agencies organizing judgment enforcement shall consider exemption from or reduction of expenses for coercive judgment enforcement.

6. Expenses for coercive judgment enforcement shall be paid by involved parties or deducted from collected sums of money or proceeds from the auction of distrained assets, including those held by third parties. After handling assets or collecting money, enforcers shall carry out procedures for promptly refunding paid advances.

7. The Government shall specify levels of remuneration for persons directly participating in and protecting coercive judgment enforcement and protection thereof; procedures for collection, remittance, exemption from and reduction of expenses for coercive judgment enforcement.

Article 74. Coercive enforcement regarding assets under common ownership

1. Before conducting coercive enforcement regarding assets, including land use rights, under common ownership of judgment debtors and other persons, enforcers shall notify co-owners of the coercive enforcement.

Co-owners may institute a lawsuit to request a court to identify their proportions of ownership of common assets. Within 30 days after receiving notices, if co-owners do not institute a lawsuit, the judgment creditor or enforcers may request a court to identify the ownership proportion of the judgment debtor in the common assets to assure judgment enforcement.

For common assets of husband and wife, enforcers shall identify their ownership proportions under the marriage and family law and notify them thereof. In case a spouse does not agree with the identification, he/she may, within 30 days after his/her ownership proportion is identified by the enforcer, institute a lawsuit to request a court to divide common assets. Past the above time limit, if involved parties do not institute a lawsuit, enforcers shall handle assets and pay to spouses of judgment debtors the value of asset proportions under their ownership.

2. Distrained assets under common ownership of which ownership proportions of co-owners have been identified shall be handled as follows:

a/ For dividable common assets, the enforcer shall apply coercive measures regarding the asset proportion owned by the judgment debtor;

b/ For undividable common assets or in case the division will considerably reduce the asset value, the enforcer may apply coercive measures regarding the whole asset and pay to other co-owners the value of asset proportions under their ownership.

3. Upon the sale of common assets, co-owners have the preemptive right to buy them.

Article 75. Handling of disputed assets upon coercive enforcement

In case of coercive enforcement regarding assets of a judgment debtor over which a dispute arises between the judgment debtor and another person, the enforcer shall continue with coercive enforcement and request involved and disputing parties to institute a court lawsuit or request a competent agency to settle the dispute. Enforcers shall handle distrained assets under court rulings or decisions of competent agencies.

Within 30 days after being requested by the enforcer, if involved and disputing parties do not institute a lawsuit or request a competent agency to settle the dispute, assets shall be handled for judgment enforcement under this Law.

Section 3. COERCIVE ENFORCEMENT REGARDING ASSETS BEING SUMS OF MONEY

Article 76. Deduction of money from accounts

1. Enforcers shall issue decisions on deduction of money from accounts of judgment debtors. Deducted sums of money must not exceed the judgment execution obligation and coercive enforcement expenses.

2. Right after receiving decisions on deduction of money from accounts of judgment debtors, agencies or organizations currently managing these accounts shall make deductions for transfer into accounts of civil judgment enforcement agencies or to judgment creditors under deduction decisions.

Article 77. Termination of account blockade

1. The account blockade shall be terminated in the following cases:

a/ Judgment debtors have fulfilled their judgment execution obligation;

b/ Concerned agencies or organizations have deducted sums of money from accounts of judgment debtors as requested by enforcers;

c/ There is a decision on judgment enforcement termination under Article 50 of this Law.

2. Enforcers shall issue decisions on termination of account blockade right after obtaining any ground specified in Clause 1 of this Article.

Article 78. Subtraction of incomes of judgment debtors

1. Incomes of judgment debtors include salary, remunerations, pension, working capacity loss allowance and other lawful incomes.

2. Subtraction from incomes of judgment debtors shall be made in the following cases:

a/ Under involved parties’ agreement;

b/ Under judgments or rulings which require such subtraction;

c/ Enforcement of judgments on alimony, periodical judgment enforcement, sums of money to be collected in judgment enforcement being small or other assets of judgment debtors being insufficient for judgment enforcement.

3. Enforcers shall issue decisions on subtraction of incomes of judgment debtors. The highest level of subtraction of salary, remuneration, pension and working capacity loss allowance is 30% of total monthly earned income, unless otherwise agreed by involved parties. For other incomes, the subtraction level shall be based on actually earned income amounts of judgment debtors, but must ensure the minimum living standard of these persons and their dependants under law.

4. Agencies, organizations, employers, social insurance agencies where judgment debtors receive their salaries, remunerations, pensions, allowances and other lawful incomes shall comply with the provisions of Clauses 2 and 3 of this Article.

Article 79. Collection of money from business activities of judgment debtors

1. In case judgment debtors have incomes from business activities, enforcers shall issue decisions on collection of money from these persons’ business activities for judgment enforcement.

Upon collection of money, enforcers shall leave minimum sums of money necessary for business activities and daily life of judgment debtors and their families.

2. Enforcers shall issue money receipts to judgment debtors.

Article 80. Collection of sums of money currently held by judgment debtors

Upon detecting that judgment debtors are holding sums of money and having grounds to believe that these sums of money belong to judgment debtors, enforcers shall issue decisions on collection of money for judgment enforcement. Enforcers shall make written records of money collection and issue receipts to judgment debtors. In case judgment debtors refuse to sign these written records, signatures of witnesses are required.

Article 81. Collection of money of judgment debtors currently held by third parties

Upon detecting that third parties are currently holding sums of money of judgment debtors, enforcers shall issue decisions on collection of these sums of money for judgment enforcement. Third parties currently holding sums of money of judgment debtors are obliged to hand over money to enforcers for judgment enforcement. Enforcers shall make written records of money collection, issue receipts to money-holding third parties and notify such to judgment debtors. In case money-holding third parties refuse to sign written records, signatures of witnesses are required.

Section 4. COERCIVE ENFORCEMENT REGARDING ASSETS BEING VALUABLE PAPERS

Article 82. Seizure of valuable papers

1. Upon detecting that judgment debtors are holding valuable papers or concerned agencies, organizations or individuals are holding valuable papers of judgment debtors, enforcers shall issue decisions on seizure of these papers for judgment enforcement.

2. Judgment debtors holding valuable papers or agencies, organizations or individuals holding valuable papers of judgment debtors shall hand over these papers to civil judgment enforcement agencies under law.

In case judgment debtors holding valuable papers or agencies, organizations or individuals holding valuable papers of judgment debtors fail to hand over these papers to civil judgment enforcement agencies, enforcers shall request competent agencies or organizations to transfer the value of these papers for judgment enforcement.

Article 83. Sale of valuable papers

The sale of valuable papers must comply with law.

Section 5. COERCIVE ENFORCEMENT OF ASSETS BEING INTELLECTUAL PROPERTY RIGHTS

Article 84. Distraint, use and exploitation of intellectual property rights

1. Enforcers shall issue decisions on distraint of intellectual property rights held by judgment debtors.

In case judgment debtors being intellectual property rights holders license these rights to other agencies, organizations and individuals, these intellectual property rights shall still be distrained.

2. Upon distraint of intellectual property rights of judgment debtors, depending on each object of these intellectual property rights, enforcers shall seize papers related to intellectual property rights of judgment debtors.

3. In order to achieve defense or security objectives or assure people’s life and interests of the State and society specified in the Intellectual Property Law, the State may decide to compel licensing of intellectual property rights by their holders to other agencies, organizations and individuals for use for a definite period. In this case, enforcers may not distrain intellectual property rights of judgment debtors during the period of compelled licensing.

4. Enforcers shall decide to assign intellectual property rights to agencies, organizations and individuals for use or exploitation. These agencies, organizations and individuals shall remit earned sums of money, after subtracting necessary expenses, to civil judgment enforcement agencies for judgment enforcement.

When necessary, enforcers may request specialized or professional intellectual property organizations to collect and manage incomes and profits from the use and exploitation of intellectual property rights of judgment debtors.

5. In case judgment debtors that have assigned their intellectual property rights to other agencies, organizations or individuals have not yet received any payments or have received only partial payments for the assignment, enforcers shall issue decisions to compel these agencies, organizations or individuals being assignees to remit unpaid amounts for judgment enforcement.

Article 85. Valuation of intellectual property rights

1. Intellectual property rights shall be valuated under Articles 98 and 99 of this Law and the law on intellectual property.

2. The Government shall specify the order, procedures, methods and competence for valuation of intellectual property rights.

Article 86. Auction of intellectual property rights

1. Intellectual property rights shall be auctioned under the law on asset auction and the law on intellectual property.

2. The Government shall specify the order, procedures, methods and competence for auction of intellectual property rights.

Section 6. COERCIVE ENFORCEMENT REGARDING ASSETS BEING OBJECTS

Article 87. Assets which must not be distrained

1. Assets banned from circulation under law; assets used in service of defense, security and public interests; assets allocated from the state budget to agencies and organizations.

2. The following assets of judgment debtors being individuals:

a/ Quantities of food to meet essential needs of judgment debtors and their families during the period they have no new incomes or yields;

b/ Quantities of medicines needed for disease prevention and treatment for judgment debtors and their families;

c/ Necessary tools of disabled people and tools used for taking care of sick people;

d/ Ordinary worshipping objects according to local customs;

e/ Essential working tools of small value and used as major or sole means of living of judgment debtors and their families;

f/ Utensils necessary for the daily life of judgment debtors and their families.

3. The following assets of judgment debtors being enterprises, cooperatives or production, business or service establishments:

a/ Quantities of medicines needed for disease prevention and treatment for employees; food, foodstuff, tools and other assets used for serving meals for employees;

b/ Kindergartens, schools, medical establishments and other equipment, means and assets owned by these establishments and used for non-commercial purposes;

c/ Devices, equipment, means and tools for labor safety protection, fire and explosion prevention and fighting and environmental pollution prevention and combat.

Article 88. Distraint

1. At least 3 working days before distraining assets being real estate, enforcers shall notify the representative of the commune administration or the street population quarter where the coercive enforcement is to be conducted, involved parties and persons with related interests and obligations of the time and place of distraint and to-be-distrained assets, unless it is necessary to prevent involved parties from dispersing or destroying assets or shirking judgment enforcement.

In case involved parties are absent, they may authorize other persons to exercise their rights and perform their obligations. In case involved parties or their authorized persons are absent after being duly notified, enforcers shall still conduct the distraint, invite witnesses and clearly state such in written records of distraint. In case it is impossible to invite witnesses, enforcers shall still conduct the distraint and clearly state such in written records of distraint.

Upon distraint of objects, houses and architectural works, if judgment debtors or persons currently managing or using these assets are absent and when necessary to unpack or unlock these assets, enforcers shall comply with Article 93 of this Law.

2. Asset distraint must be recorded in writing. A written record of distraint must clearly state the time and date of distraint, full names of the enforcer, involved parties or their authorized persons, record maker, witness(es) and persons related to distrained assets, and distraint proceedings; and describe the state of each asset, requests of involved parties and opinions of witnesses.

Written records of distraint must be signed by involved parties or their authorized persons, witnesses, representatives of commune-level administrations or street population quarters where the coercive enforcement is organized, enforcers and record makers.

Article 89. Distraint of assets being land use rights or subject to compulsory ownership or security transaction registration

1. Before distraining assets being land use rights or subject to compulsory ownership or security transaction registration under law, enforcers shall request registration offices to supply information on assets or registered transactions.

2. After the distraint, enforcers shall notify in writing registration offices of the asset distraint for handling under Clause 1, Article 178 of this Law.

Article 90. Distraint and handling of assets in pledges or mortgages

1. In case judgment debtors have no more assets or have assets insufficient for judgment enforcement, enforcers may distrain and handle assets of judgment debtors currently in pledges or mortgages if the value of these assets is larger than the secured obligation and expenses for judgment enforcement.

2. Upon distraint of assets in pledges or mortgages, enforcers shall promptly notify such to pledgees or mortgagees. Upon handling of distrained assets, pledgees or mortgagees will be among the first to get paid under Clause 3, Article 47 of this Law.

Article 91. Distraint of assets of judgment debtors currently held by third parties

Upon detecting that third parties are currently holding assets of judgment debtors, including assets identified under other judgments or rulings, enforcers shall issue decisions on distraint of these assets for judgment enforcement. In case third parties fail to voluntarily hand over these assets, enforcers shall compel the handover thereof for judgment enforcement.

In case distrained assets are currently leased, lessees may continue the lease under signed contracts.

Article 92. Distraint of contributed capital

1. Enforcers shall request individuals, agencies and organizations to whom/which judgment debtors have contributed capital to supply information on judgment debtors’ capital contributions for distraint. When necessary, enforcers may request competent agencies to identify capital contributions of judgment debtors; or invite professional organizations or individuals to identify the value of capital contributions of judgment debtors for coercive judgment enforcement.

2. Involved parties may request courts to identify capital contributions of judgment debtors.

Article 93. Distraint of locked or packed objects

Upon distraint of locked or packed objects, enforcers shall request judgment debtors or current users or managers of these objects to unlock or unpack them. If requested persons fail to do so or are intentionally absent, enforcers shall themselves or hire other individuals or organizations to do so in the presence of witnesses. Judgment debtors shall bear any damage caused by the unlocking or unpacking.

When necessary, enforcers shall seal up objects after they are unlocked or unpacked and assign them to others for preservation under Article 58 of this Law.

A written record of the unlocking, unpacking or sealing up must be made and signed by involved persons and witnesses.

Article 94. Distraint of assets attached to land

Upon distraint of assets being construction works attached to land, enforcers shall also distraint land use rights, unless land use rights must not be distrained under law or the separation of distrained assets from land does not considerably reduce the value of these assets.

Article 95. Distraint of houses

1. The distraint of a house being the sole residence of a judgment debtor and his/her family may be conducted only after this person has been determined to have no other assets or have assets which are insufficient for judgment enforcement, unless the judgment debtor agrees to have his/her house distrained for judgment enforcement.

2. Upon distraint of a house, enforcers shall also distrain land use rights attached to the house. For a house attached to land under land use rights of another person, enforcers may distrain the house and land use rights for judgment enforcement only when the land use rights holder so agree. If the land use rights holder disagrees with the distraint, only the house of the judgment debtor may be distrained, provided the separation of the house from land does not considerably reduce the value of the house.

3. Upon distraint of a house of a judgment debtor which is currently leased or lent to others for dwelling, enforcers shall promptly notify current lessees or dwellers of the distraint.

In case distrained assets being leased houses or stores are auctioned when the lease or permitted dwelling duration remains valid, lessees may continue to lease or dwell in these houses under the Civil Code.

4. The distraint of locked houses must comply with Article 93 of this Law.

Article 96. Distraint of vehicles

1. Upon distraint of vehicles of judgment debtors, enforcers shall request judgment debtors or current managers or users of these vehicles to hand their registration certificates, if any.

2. For vehicles currently in use or operation, after the distraint thereof enforcers may seize or assign these vehicles to judgment debtors or their current managers or users for further use, operation and preservation without transfer, pledge or mortgage.

In case of assignment of vehicles to judgment debtors or their current managers or users for further use, operation, enforcers shall issue to these persons written records of the seizure of their registration certificates as permission for these vehicles to join traffic.

3. Enforcers may request competent agencies to prohibit the transfer, pledge, mortgage or lease of, or restrict traffic by, distrained vehicles.

4. The distraint of aircraft and seagoing ships for judgment enforcement must comply with the law on arrest of aircraft and seagoing ships.

Article 97. Distraint of yields

In case judgment debtors have assets which bring about yields, enforcers shall distraint these yields to assure judgment enforcement. For yields being food and foodstuff, upon the distraint thereof enforcers shall leave a portion sufficient for judgment debtors and their families to live on under Point a, Clause 2, Article 87 of this Law.

Article 98. Valuation of distrained assets

1. Upon distraint of assets, if involved parties can reach agreement on prices of assets or valuation organizations, enforcers shall make written records of this agreement. Prices of assets agreed by involved parties shall serve as reserve prices for auction. In case involved parties reach agreement on valuation organizations, enforcers shall sign service contracts with these organizations.

2. Within 5 working days after the date of asset distraint, enforcers shall sign service contracts with valuation organizations in provinces or centrally run cities where distrained assets exist in the following cases:

a/ Involved parties cannot reach agreement on prices of assets and selection of valuation organizations;

b/ Valuation organizations selected by involved parties refuse to sign service contracts;

c/ Part of judgments or rulings specified in Clause 1, Article 36 of this Law is enforced.

3. Enforcers may valuate assets in the following cases:

a/ No service contract specified in Clause 2 of this Article can be signed;

b/ Distrained assets are raw, perishable or of small value, the prices of which cannot be agreed upon by involved parties. The Government shall specify assets of small value.

Article 99. Revaluation of distrained assets

1. Distrained assets shall be revaluated in the following cases:

a/ Enforcers seriously violate the provisions of Article 98 of this Law, resulting in inaccurate asset valuation;

b/ Involved parties request revaluation before public notification of asset auction.

2. Distrained assets shall be revaluated under Clauses 2 and 3, Article 98 of this Law.

Article 100. Handover of assets for judgment enforcement

1. In case involved parties reach agreement to let judgment creditors receive assets distrained for clearing against sums of money receivable under judgment enforcement, enforcers shall make written records of such agreement.

In case of more than one judgment creditor, the asset recipient shall obtain the consent of other judgment creditors and pay to the latter sums of money in proportion to the values they are entitled to.

2. The handover of assets for clearing against sums of money receivable under judgment enforcement shall be conducted within 5 working days after the agreement thereon is reached.

Article 101. Sale of distrained assets

1. Distrained assets shall be sold by the following modes:

a/ Auction;

b/ Non-auction sale.

2. Distrained assets being movables valued at more than VND 10,000,000 and real estate shall be auctioned by auctioneering organizations.

Involved parties may reach agreement on auctioneering organizations within 5 working days after the date of valuation. Enforcers shall sign asset auction service contracts with auctioneering organizations selected by involved parties. In case involved parties cannot reach agreement on auctioneering organizations, enforcers shall select these organizations for signing asset auction service contracts.

Asset auction service contracts shall be signed within 10 days after the date of asset valuation.

An auction shall be conducted within 30 days, for movables, and 45 days, for real estate, from the date of contract signing.

3. Enforcers may auction distrained assets in the following cases:

a/ In provinces or centrally run cities where assets exist but no auctioneering organization is available or auctioneering organizations refuse to sign asset auction service contracts;

b/ Movables are valued at between VND 2,000,000 and 10,000,000.

An auction shall be conducted within 30 days, for movables, and 45 days, for real estate, after the date of asset valuation or receipt of written refusals of auctioneering organizations.

4. Enforcers may sell without holding an auction assets valued at under VND 2,000,000 or raw or perishable assets.

Assets shall be sold within 5 working days after the date of distraint.

5. One working day before an auction is opened, judgment debtors may receive back assets if they have fully paid judgment enforcement expenses and other actual and reasonable expenses for coercive judgment enforcement and organization of an auction.

Judgment debtors shall refund actual and reasonable expenses to parties registering to purchase assets. Expense levels shall be agreed by involved parties. If no agreement can be reached, involved parties shall request courts to rule on expense levels.

6. Auction procedures must comply with the law on asset auction.

Article 102. Cancellation of asset auction results

1. Involved parties and enforcers may institute lawsuits to request courts to settle disputes on asset auction results.

2. In case asset auction results are cancelled under court judgments or rulings, the handling of assets for judgment enforcement must comply with this Law.

3. The remedy of consequences and payment of compensations for damage caused by the cancellation of asset auction results must comply with law.

Article 103. Handover of auctioned assets

If judgment debtors or current managers or users of auctioned assets fail to hand over auctioned assets to purchasers, coercive handover of assets shall be carried out under Articles 114, 115, 116 and 117 of this Law.

Article 104. Handling of unsuccessfully auctioned assets

Within 10 days after the date of unsuccessful auction, if involved parties do not request revaluation, enforcers shall issue decisions on reduction of asset prices for further auction. Each price reduction must not exceed ten per cent of the reserve price.

In case reduced asset prices are lower than enforcement expenses but judgment creditors refuse to receive assets for clearing against sums of money receivable under judgment enforcement, these assets shall be returned to judgment debtors.

Article 105. Release of distrained assets

1. Distrained assets shall be released in the following cases:

a/ Involved parties reach agreement on release of distrained assets without affecting the rights and legitimate interests of a third party;

b/ Involved parties have fulfilled the judgment execution obligation and fully paid judgment enforcement expenses under this Law;

c/ There is a competent person’s decision to cancel the asset distraint decision;

d/ There is a judgment enforcement termination decision under Article 50 of this Law.

2. Enforcers shall issue decisions on release and return of distrained assets to judgment debtors within 5 working days after obtaining a ground specified in Clause 1 of this Article.

Article 106. Registration and transfer of asset ownership or use right

1. Purchasers of assets involved in judgment enforcement and recipients of assets for clearing against sums of money receivable under judgment enforcement have their ownership and use rights to these assets.

2. Competent state agencies shall carry out procedures for registration and transfer of asset ownership or use rights to purchasers or recipients of assets for clearing against sums of money receivable under judgment enforcement. Civil judgment enforcement agencies shall supply all documents and papers specified in Clause 3 of this Article to purchasers and recipients of assets involved in judgment enforcement.

3. A dossier for registration of ownership or use right transfer comprises:

a/ A written request of the civil judgment enforcement agency;

b/ A copy of the judgment or ruling;

c/ The judgment enforcement decision and asset distraint decision;

d/ A written record of the successful auction or of the asset handover and receipt for judgment enforcement;

e/ Other asset-related deeds, if any.

4. For assets being land use rights without certificates or with their certificates irrecoverable, competent agencies shall grant land use rights certificates under the land law.

For assets subject to compulsory ownership registration without registration certificates or with their certificates irrecoverable, agencies with registration competence shall grant ownership registration certificates.

Newly granted certificates will replace irrecoverable certificates.

Section 7. COERCIVE EXPLOITATION OF ASSETS

Article 107. Coercive exploitation of assets for judgment enforcement

1. Enforcers may coerce the exploitation of assets of judgment debtors in the following cases:

a/ The value of assets of judgment debtors is much larger than the judgment execution obligation and these assets can be exploited for judgment enforcement;

b/ Judgment creditors agree with coercive exploitation of assets for judgment enforcement, provided the exploitation of assets does not affect the rights and legitimate interests of third parties

2. Enforcers shall issue decisions on coercive exploitation of assets. Such a decision must clearly state the form of exploitation; sum of money, and time limit, time, place and mode of remittance of money to the civil judgment enforcement agency for judgment enforcement.

Decisions on coercive exploitation of assets shall be promptly sent to agencies competent to manage or register these assets and commune-level People’s Committees in localities where these assets exist.

Transactions over and transfer of ownership of exploited assets are subject to approval of enforcers.

Article 108. Forms of coercive exploitation of assets for judgment enforcement

Assets of judgment debtors may be coercively exploited for judgment enforcement in the following forms:

1. Assets which are being exploited by judgment debtors themselves or by other parties with the permission of judgment debtors may be further exploited by current exploiters.

For unexploited assets, including land use rights, enforcers shall request judgment debtors to sign asset exploitation contracts with organizations or individuals wishing to exploit these assets.

2. Exploiters of assets specified in Clause 1 of this Article shall remit proceeds from the asset exploitation to civil judgment enforcement agencies after subtracting necessary expenses.

3. Within 30 days after being requested, if judgment debtors fail to sign asset exploitation contracts with other parties, enforcers shall distraint and handle assets for judgment enforcement.

Article 109. Termination of coercive exploitation of assets

1. Enforcers may issue decisions on termination of coercive exploitation of assets in the following cases:

a/ The exploitation of assets is ineffective or impedes the judgment enforcement;

b/ Judgment debtors and asset exploiters fail to properly comply with enforcers’ requests for asset exploitation;

c/ Judgment debtors have fulfilled the judgment enforcement obligation and fully paid judgment enforcement expenses;

d/ There is a decision on judgment enforcement termination.

2. In case the coercive exploitation of assets is terminated under Points a and b, Clause 1 of this Article, enforcers shall continue to distrain and handle these assets for judgment enforcement.

In case the coercive exploitation of assets is terminated under Points c and d, Clause 1 of this Article, enforcers shall, within 5 working days after the date of decision issuance, issue decisions on release and return of these assets to judgment debtors.

Section 8. COERCIVE ENFORCEMENT REGARDING ASSETS BEING LAND USE RIGHTS

Article 110. Land use rights which can be distrained or auctioned for judgment enforcement

1. Enforcers shall distrain land use rights of judgment debtors in case land use rights transfer is allowed under the land law.

2. Judgment debtors who have no land use right certificates and are eligible for the grant of land use right certificates under the land law or subject to land recovery under planning but having not yet received land recovery decisions shall still have their land use rights distrained and handled.

Article 111. Distraint of land use rights

1. Upon distraint of land use rights, enforcers shall request judgment debtors or current managers of land use rights-related papers to supply these papers to civil judgment enforcement agencies.

2. Upon distraint of rights to use land with attached assets under ownership of judgment debtors, enforcers shall distrain the rights to use both land and attached assets.

In case land of judgment debtors has assets attached to it and these assets are owned by other persons, enforcers may distrain only land use rights and notify the distraint to persons owning these assets.

3. A written record the distraint of land use rights must be made, clearly indicating locations, areas and boundaries of distrained land plots, and be signed by distraint participants.

Article 112. Temporary assignment of distrained land areas for management, exploitation or use

1. In case distrained land areas are currently managed, exploited or used by judgment debtors, enforcers shall temporarily assign these land areas to these debtors.

In case distrained land areas are currently managed, exploited or used by other organizations or individuals, these land areas shall be temporarily assigned to these organizations or individuals.

2. In case judgment debtors or organizations or individuals defined in Clause 1 of this Article refuse to receive distrained land areas, enforcers may temporarily assign these areas to other organizations or individuals for management, exploitation or use. In case no organization or individual receives distrained land areas, civil judgment enforcement agencies shall promptly valuate and auction these land areas under law.

3. A written record of the temporary assignment of distrained land for management, exploitation or use, must be made, clearly indicating:

a/ The area, category and location of land, land plot number and map number;

b/ The actual state of land use;

c/ The duration of temporary assignment of land for management, exploitation or use;

d/ Specific rights and obligations of persons who are temporarily assigned land for management, exploitation or use.

4. In the duration of temporary assignment of distrained land for management, exploitation or use, temporary assignees may not convert the land use purpose, transfer, lease, sub-lease, donate, bequeath, mortgage or contribute land use rights; may neither alter the actual state of land use nor use land for improper purposes.

Article 113. Handling of assets attached to distrained land

1. In case assets attached to distrained land are owned by other persons, these assets shall be handled as follows:

a/ For assets formed before judgment debtors receive judgment enforcement decisions, enforcers shall request asset owners to voluntarily move their assets and return land use rights to judgment debtors. In case asset owners fail to voluntarily move their assets, enforcers shall guide asset owners and judgment debtors to reach agreement in writing on an asset handling method. Within 15 days after the guidance is provided, if these parties still fail to reach agreement, enforcers shall handle these assets together with land use rights in order to assure rights and legitimate interests of judgment debtors and owners of assets attached to land.

In case asset owners are land lessees or recipients of land use rights contributed as capital by judgment debtors without forming new legal entities, asset owners may continue signing land lease contracts or contracts on contribution of land use rights as capital with auction winners or recipients of land use rights for the remaining term of contracts they have signed with judgment debtors. In this case, before handling land use rights, enforcers shall notify bidders and persons requested to receive land use rights of the right of owners of assets attached to land to proceed with the signing of contracts;

b/ For assets formed after judgment debtors receive judgment enforcement decisions, enforcers shall request asset owners to voluntarily move their assets to return land use rights to judgment debtors. If 15 days after being requested, asset owners still fail to move their assets or their assets are immovable, enforcers shall handle these assets together with land use rights.

For assets formed after distraint, if asset owners fail to move their assets or their assets are immovable, these assets shall be dismantled. Enforcers shall organize the dismantlement, unless land use right recipients or land use right auction winners agree to purchase these assets;

c/ Owners of assets attached to land of judgment debtors may be refunded proceeds from the sale of assets or receive back assets in case these assets have been dismantled but shall bear distraint, valuation, auction and dismantlement expenses.

2. In case assets owned by judgment debtors are associated with distrained land use rights, enforcers shall handle these assets together with land use rights.

3. For assets being short-term plants and animals not yet harvested or assets in an uncompleted closed production cycle, enforcers shall, after the distraint, handle these assets when the harvesting season sets in or the closed production cycle is completed.

Section 9. COERCIVE RETURN OF OBJECTS AND PAPERS AND COERCIVE TRANSFER OF LAND USE RIGHTS

Article 114. Procedures for coercive return of objects

1. For specific objects, the coercive return shall be conducted as follows:

a/ Enforcers shall request judgment debtors or current managers or users of these objects to return them to judgment creditors. If these persons fail to do so, enforcers shall seize and return these objects to judgment creditors;

b/ In case the value of objects has decreased and judgment creditors refuse to receive them back, enforcers shall guide involved parties in reaching agreement on judgment enforcement. The judgment enforcement shall be conducted according to the agreement.

In case involved parties cannot reach agreement, enforcers shall coerce the return of objects to judgment creditors. Involved parties may institute lawsuits to request courts to settle the damage caused by the decreased value of returned objects;

c/ In case objects no longer exist or are irreparably damaged and involved parties otherwise agree on judgment enforcement, enforcers shall conduct judgment enforcement according to the agreement.

In case involved parties cannot reach agreement, heads of civil judgment enforcement agencies shall issue decisions to return written requests for judgment enforcement. Involved parties may institute lawsuits to request courts to settle the damage caused by the non-existence or irreparable damage of returnable objects.

2. For fungible objects, enforcers shall coerce the return thereof under judgments or rulings.

In case returnable objects no longer exist or are damaged or devalued, enforcers shall request judgment debtors to return fungible objects or pay the value of fungible objects, unless otherwise agreed by involved parties.

3. In case judgment debtors or current managers or users of returnable objects are likely to disperse or destroy these objects, enforcers may promptly apply measures to secure judgment enforcement specified in Article 68 of this Law.

Article 115. Coercive return or handover of houses

1. In case judgment debtors are obliged to return houses, enforcers shall compel judgment debtors and other persons present in these houses to get out, and at the same time request them to move by themselves their assets out of these houses. If these persons fail to voluntarily abide by enforcers’ requests, enforcers shall request coercion forces to move them and their assets out of these houses.

In case owners refuse to receive their assets, enforcers shall make written records clearly stating the quantity, category and state of each kind of asset, and assign assets to organizations or individuals having conditions to preserve, or preserve these assets in warehouses of civil judgment enforcement agencies and notify the place and time to their owners for receiving them back.

2. In case judgment debtors are intentionally absent though they have been notified of coercion decisions, enforcers shall conduct the coercion under Clause 1 of this Article.

3. Upon the expiration of a time limit of 3 months from the date of notification specified in Clause 1 of this Article, if owners of preserved assets do not show up to receive, these assets shall be handled under Clause 2, Article 126 of this Law, unless these owners have plausible reasons.

4. The coercive return of construction works or architectural objects under judgments or rulings shall be conducted under Clauses 1, 2 and 3 of this Article.

5. In case of coercive handover of a house being the sole residence of a judgment debtor to a person who has purchased it through auction, if finding that the judgment debtor, after fulfilling judgment execution obligations, becomes unable to rent or to build a new home, the enforcer shall, before carrying out procedures for paying to the judgment creditor, retain a sum of money from the house sale proceeds for the judgment debtor to rent a home for one year at the average rent rate in the locality. The remaining judgment execution obligation shall be performed under this Law.

Article 116. Coercive return of papers

1. Enforcers shall issue decisions on coercive return of papers by judgment debtors to judgment creditors. In case judgment debtors fail to return papers, enforcers shall force them to do so for judgment enforcement.

In case returnable papers are identified to be held by third parties, enforcers shall request these parties to hand over papers they are holding. If third parties fail to voluntarily hand over papers, enforcers shall force them to do so for judgment enforcement.

2. For irrecoverable papers which can be reissued, enforcers shall request competent agencies or organizations to issue decisions on revocation of these papers and issue new ones to judgment creditors.

For irrecoverable papers which cannot be reissued, heads of civil judgment enforcement agencies shall issue decisions on return of written requests for judgment enforcement and guide involved parties in instituting lawsuits to request courts to settle the case.

Article 117. Coercive transfer of land use rights

1. In case judgments or rulings declare the obligation to transfer land use rights, enforcers shall organize the transfer of land areas subject to these land use rights to judgment creditors.

Land areas shall be handed over in the presence of representatives of land state management agencies of the same level and commune-level People’s Committees in localities where transferred land areas exist.

2. Assets attached to transferred land shall be handled according to the following provisions:

a/ In case they are formed after the judgments or rulings take legal effect, enforcers shall request owners of these assets to dismantle these assets or move them out of land areas to be transferred to judgment creditors. If asset owners fail to do so, enforcers shall coerce the dismantlement or movement of assets, unless otherwise agreed by involved parties. Expenses for coercion shall be borne by asset owners.

In case owners of assets attached to land refuse to receive their assets, enforcers shall make written records, clearly stating the quantity, category and state of each kind of asset, then assign assets to organizations or individuals having conditions to preserve them, or preserve them in warehouses of civil judgment enforcement agencies and notify the place and time to their owners for coming to receive them.

Upon the expiration of the notified time limit, if asset owners do not come to receive their assets, these assets shall be handled under Article 126 of this Law;

b/ In case assets attached to land are formed before first-instance judgments or rulings are made, but enforced judgments or rulings do not clearly declare the handling of these assets, civil judgment enforcement agencies shall request courts that have made such judgments or rulings to clearly explain the handling of these assets or request competent courts to review these judgments or rulings according to cassation or re-opening procedures.

3. The coercive transfer of land use rights to auction-winners or recipients for clearing against sums of money receivable under judgment enforcement must comply with Clause 2 of this Article.

Section 10. COERCIVE PERFORMANCE OF THE OBLIGATION TO DO OR NOT TO DO CERTAIN JOBS

Article 118. Coercive performance of the obligation to do certain jobs

1. In case judgment debtors are obliged to do certain jobs under judgments or rulings but they fail to do so, enforcers shall decide to impose fines and set a time limit of 5 working days after the date of issuance of fine decisions for these judgment debtors to perform obligation.

2. Upon the expiration of the set time limit, if judgment debtors still fail to perform their obligation, enforcers shall:

a/ In case these jobs can be assigned to others to perform on judgment debtors’ behalf, assign the jobs to persons having conditions to perform. Expenses for job performance shall be borne by judgment debtors;

b/ In case these jobs must be performed by judgment debtors themselves, request competent agencies to examine judgment debtors, penal liability for the crime of failure to execute judgments.

Article 119. Coercive performance of the obligation not to do certain jobs

Enforcers shall decide to impose fines on judgment debtors who fail to voluntarily terminate the performance of jobs which must not be performed under judgments or rulings. When necessary, enforcers may request these judgment debtors to restore the original state. In case these judgment debtors still fail to terminate the performance of these jobs or to restore the original state, enforcers shall request competent agencies to examine their penal liability for the crime of failure to execute judgments.

Article 120. Coercive consignment of minors to assigned fosterers under judgments or rulings

1. Enforcers shall issue decisions on coercive consignment of minors to assigned fosterers under judgments or rulings. Before coercing the consignment of minors to assigned fosterers, enforcers shall collaborate with local administrations and socio-political organizations in localities in persuading involved parties to voluntarily execute judgments.

2. In case judgment debtors or current guardians of minors refuse to consign these minors to assigned fosterers, enforcers shall issue decisions to impose fines and set a time limit of 5 working days after the date of issuance of these decisions for these persons to consign minors to assigned fosterers. Upon the expiration of the set time limit, if these persons still fail to do so, enforcers shall coerce the consignment of minors or request competent agencies to examine their penal liability for the crime of failure to execute judgments.

Article 121. Coercive reemployment of laborers

1. In case employers refuse to reemploy laborers under judgments or rulings, enforcers shall issue decisions to impose fines on individual employers or heads of employing agencies or organizations, and at the same time set a time limit of 10 days after the date of issuance of these decisions for employers to reemploy laborers. Upon the expiration of the set time limit, if employers still fail to do so, enforcers shall request competent agencies to discipline them or examine their penal liability for the crime of failure to execute judgments.

2. In case employers cannot arrange reemployed laborers back to jobs under judgments or rulings, they shall arrange them to do other jobs with the same salary under the labor law.

In case reemployed laborers do not accept new jobs and request their employers to pay them amounts they are entitled to under the labor law, employers shall do so in order to terminate the judgment execution obligation.

3. Employers shall pay to laborers salary amounts during the period they cannot arrange these laborers to jobs under judgments or rulings, counting from the date written requests for judgment enforcement are made to the date laborers are reemployed or receive amounts they are entitled to under Clause 2 of this Article.