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Science and Technology Law, 2000:

Science and Technology Law, 2000:

The Law on Science and Technology was passed on June 9, 2000 and came into force on January 1, 2001. The aim of this law is to regulate scientific and technological organizations and activities.

A few articles of the law contain specific provisions about intellectual property. Firstly, article 2-8 explains that the term “scientific and technological services” also refers to intellectual property and technology transfer, and so the law applies to intellectual property related activities.

Then, article 8 strictly prohibits infringements upon intellectual property rights, along with illegals transfers of technology and illegal information disclosure.

Article 13 is about scientific and technological organizations’ tasks, stipulating that such organizations are able to conduct activities related to intellectual property.

The rights of scientific and technological organizations are defined by article 15. Under article 15-3, organizations are enabled to contribute to the capital of intellectual property rights related to scientific and technological activities. The same article (15-4) also assures them the right to get their intellectual property rights protected.

Plus, article 26 is devoted to the copyrights and ownership rights deriving from scientific and technological activities. According to this article, the performance of a scientific and technological task by organizations and/or individuals leads to its ownership. In the same way, should an organization and/or individual carry out a scientific and technological work, he will be considered the author. Article 26-4 makes clear that authors of scientific and technological works are entitled to the same rights that organizations enjoy for intellectual property rights.

Finally, article 49-5 of the law provides for the State management to secure the protection of the intellectual property rights related to science and technology.

Customs Law, 2001:

Customs Law, 2001:

The Customs Law was passed on June 29, 2001, came into force on January 1, 2002 and was amended in June 2005.

The section 5 of the Customs Law is devoted to intellectual property. It contains 3 articles (articles 57, 58 and 59) setting up the conditions of the customs procedures completion’s temporary postponement for intellectual property rights. Article 57 explains in which case a temporary postponement can be requested to the Customs office, that is to say when the holder of an intellectual property right thinks he is victims of an infringement upon this same protected right.

He has however to satisfy the conditions of article 58 to obtain the postponement. Thus, the holder of the intellectual property right has to send a written request to the Customs office along with evidences of the ownership and of the infringement. Article 58 finally provides that enquirers shall pay a security deposit to the Customs office to prevent wrong requests of postponement.

Ordinance on Handling of Administrative Violations, 2002:

Ordinance on Handling of Administrative Violations, 2002:

 

The Ordinance on Handling of Administrative Violations was passed on July 2, 2002 and came into force on October 1, 2002. It was amended in 2008 by the new Ordinance on Handling of Administrative Violations. The Ordinance foresees general provisions in case of administrative violations and also regulates the special case of intellectual property infringements. Resorting to administrative procedures rather than suing the infringer to court is indeed sometimes regarded as faster and more effective.

When it comes in particular to intellectual property rights, articles 10 and 14 d) are to be considered. Article 10 concerns the prescription period for sanctioning an administrative violation related to intellectual property rights. According to this article then, the holder of an intellectual property right has two years to start an administrative procedure from the day the administrative violation began.

Fort its part, article 14 d) of the Ordinance provides for penalties in the special case of an administrative violation of an intellectual property right. The infringer may be fined up to 100 million dong in such case.

Criminal Procedure Code, 2003:

Criminal Procedure Code, 2003:

The Criminal Procedure Code was passed on November 26, 2003 and came into force on July 1, 2004.

It provides general processes and procedures for the institution of legal proceedings, investigation, prosecution and enforcement of criminal judgments. Even if it does not contain any special provisions for intellectual property, it is applicable to it.

Civil Procedure Code, 2004:

Civil Procedure Code, 2004:

The Civil Procedure Code was passed on June 15, 2004, and came into force on January 1, 2005. It provides processes and procedures for the settlement of civil affairs and the enforcement of civil judgments.

More precisely, when it comes to intellectual property, articles 25-4, 29-2 and 34-1 of the Civil Procedure Code are of special interest. Firstly, article 25-4 provides that civil disputes concerning either intellectual property or technology transfer fall under the Courts’ jurisdiction.

Secondly, article 29-2 foresees that commercial disputes arising from business or trade over intellectual property or technology transfer also fall under the Courts’ jurisdiction.

Finally, the Civil Procedure Code provides that Vietnamese people’s courts of district have no jurisdiction concerning intellectual property or technology transfer. Article 34-1 foresees indeed that such cases shall be judged by Vietnamese people’s courts of provinces.

Competition Law, 2004:

Competition Law

The Competition Law was passed on December 3, 2004 and came into force on July 1, 2005.

It foresees general provisions for acts of competition’s restriction and of unfair competition. The law also provides procedures for the settlement of competition cases and measures to deal with violations of the competition legislation.

Plus, article 119-3 gives specific information about intellectual property cases, explaining that unfair competition acts related to intellectual property shall be punished by the competent agency.

Civil Code, 2005:

Civil Code, 2005:

The Civil Code was passed on June 14, 2005 and came into force on January 1, 2006. It replaced the former Civil Code, 1995, which had codified all existing legislations on civil matters and created the legal foundation for ownership and civil rights. It also replaced all former regulations on intellectual property. Along with the Intellectual Property Law, 2005, the new Civil Code was passed in order to better conform with the WTO norms and to be able to access it as a member, which was successful as Vietnam became the 150th member of the WTO in 2007.

The provisions concerning intellectual property can be found in part VI “Intellectual property rights and technology transfer” of the new Civil Code from article 736 to article 757.

The Civil Code deals with copyrights from article 736 to article 749. It has lowered the provisions from 35 to 14 in comparison with the former Civil Code, 1995. We can also notice the apparition of the term “related rights” to replace the really long appellation “rights and obligations of performers, producers of phonograms and videograms and broadcasting organizations”.

When it comes to industrial property and plant varieties (articles 750 to 753), the new Civil Code foresees only 4 provisions whereas 26 were present in the former Civil Code, 1995. However, objects covered by the protection of industrial property and plant varieties were extended to “semiconductor integrated circuit layout designs, business secrets, trademarks, trade names [and] geographical indications”.

Technology transfer is on its side discussed from article 754 to article 757.

Finally, another part of the Civil Code can be interesting for foreign clients and/or for domestic clients doing business with foreign parties. The part VII of the Civil Code (articles 758 to 777) deals indeed with “Civil relations involving foreign elements”. Three articles are related to intellectual property: article 774 on copyrights; article 775 on industrial property rights and rights to plant varieties; article 776 on technology transfer.

Intellectual Property Law, 2005:

Intellectual Property Law, 2005:

 

The former Intellectual Property Law was passed on November 29, 2005 and came into force on July 1, 2006. It was amended by the afore-mentioned new Law on Intellectual Property, 2009.

The former law was considered a great advance for the protection of the intellectual property, but also for complying with the requirements to join the World Trade Organization (WTO). Before this law, the intellectual property regulations were scattered in about forty legal documents, which were not always consistent with the WTO requirements or even with each other.

The Intellectual Property Law, 2005, allowed thus to have one clear law on the subject, explaining its extent and namely the applicable subjects and the protected objects. The law protected three major rights: the copyrights and related rights; the industrial property rights; the rights in plant varieties.

Ordinance on Procedures for the settlement of Administrative Cases, 2006:

Ordinance on Procedures for the settlement of Administrative Cases, 2006:

The Ordinance on Procedures for the settlement of Administrative Cases came into force on July 1, 2006. It aims at amending a number of articles of the former Ordinance on Procedures for the settlement of Administrative Cases, 1996.

The new Ordinance also contains general provisions about administrative proceedings and procedures in courts concerning the settlement of administrative cases. However, unlike the former Ordinance, it refers specifically to intellectual property rights (article 11-12) foreseeing that the court has jurisdiction to settle administrative cases over intellectual property infringements.

Technology Transfer Law, 2006:

Technology Transfer Law, 2006:

The Law on Technology Transfer was passed on November 29, 2006 and came into force on July 1, 2007. Aim of the law is to regulate the transfer of technologies in Vietnam, from Vietnam to abroad and from abroad to Vietnam.

The law contains some specific provisions related to intellectual property and industrial property. About the transfer of the right to own a technology, the article 16 first defines it as the right to possess, to use and to dispose of the said technology (article 16-1). Then the same article discusses the case in which a technology is protected by an industrial property right (16-2). The law explains that in this situation, the industrial property right shall be transferred at the same time (as the technology) and under the rules of the Law on Intellectual Property.

According to article 17-3, the same rule applies for transferring the right to use when a technology is protected by an industrial property right.

Ordinance on Handling of Administrative Violations, 2008:

Ordinance on Handling of Administrative Violations, 2008:

The Ordinance on Handling of Administrative Violations was passed on April 2, 2008 and came into force on August 1, 2008. It aims at amending and supplementing the former Ordinance on Handling of Administrative Violations passed in 2002.

When it comes to intellectual property, only one amendment of the Ordinance is of interest. Article 14-2 e) increases indeed the maximal monetary penalty in case of administrative violations of intellectual property rights from 100 million VND (according to the former Ordinance on the same matter) to 500 million VND.

Intellectual Property Law, 2009:

Intellectual Property Law, 2009:

 

The Intellectual Property Law was passed by the Vietnamese National Assembly on June 19, 2009 and came into force on January 1, 2010. This law aimed to amend and supplement some articles of the former Intellectual Property Law passed in 2005.

One of the new law major provisions’ is, firstly, to establish time limits for examining industrial property registration applications. According to article 119 of the said law for instance, the form examination should not be longer than a month. The law also sets up time limits for the substantive examination and the re-examination, if need be.

Moreover, conditions for industrial property representation service business are foreseen by the law. Article 154 thus provides that this representation mission shall not be carried out by foreign law firms and so reserves this area to local lawyers.

Criminal Code, 2009

The Criminal Code was passed on June 29, 2009 and came into force on January 1, 2010. It created a few new rules amending and supplementing some articles of the former Criminal Code, 1999.

When it comes to intellectual property provisions, only two changes in the Criminal Code, 2009 are of interest. The first one concerns the addition of a new article 170a on copyrights and related rights. Infringements upon copyrights were so far foreseen by article 131 of the former Criminal Code and the risked fines were extremely low. Related rights were so far absent from the Criminal Code, 1999. The new Criminal Code ensures that infringers upon copyrights and related rights can now be fined (between 50 million and 500 million dong) or subjected to a non-custodial sentence (maximum of 2 years). A more important fine (between 400 million and 1 billion dong) and a custodial sentence from 6 months to 3 years are however foreseen for organized crimes and for recidivists.

The second change concerns the amendment of the article 171 on industrial property rights, which sets up more important fines. Fines were indeed comprised between 20 million and 200 million dong and no fine was foreseen for infringement in organized manner and recidivism, whereas they are now at the same level as for copyrights and related rights.

Another change, less visible, is the removal of the expression “for business purposes” to which has been preferred the term “on a commercial scale”. However, the expression “commercial scale” has not been defined yet.

Settle the infringement action against their intellectual property right in Vietnam

Question: Our company is seeking for the assistance in order to settle the infringement action against their intellectual property right in Vietnam, please provide us SBLAW’s legal service in this field?

Answen: Regarding this matter, SBLAW would like to confirm that we could assist your company in settling the infringement actions before the authority state bodies in Vietnam.

I. The schedule of the work as following table:

1 Preparing and filing the application to the authority state body

2 Performing the inspection

3 Issuing the decision on sanction of the violation (in case the authority state body

found the infringement products)

II. The required documents

In order to settle the infringement, you are required to provide us the following documents:

– The power of attorney in the form of SBLAW (notarization and legalization is required);

– The certified and legalized copies of Certificate of trademark registration (in case this document has been certificated in Vietnam or by Vietnamese consulate Department in foreign country, the legalization is not required);

– Original version or certified copies of Conclusion of Examination (in case this document has been certificated in Vietnam or by Vietnamese consulate Department in foreign country, the legalization is not required);

– The information of the alleged parties (such as name, address);

– Sample bearing the infringement element bought from the alleged address;

– Bill of the alleged parties;

Q&A: Counterfeit issue in Vietnam

Counterfeit issue in Vietnam

Question: We might file a lawsuit re: the counterfeit product found in Vietnam. We manufactured ion exchange resins and export to the world. Recently, we found a Vietnam company sold counterfeit resins. This is why we would file a lawsuit in Vietnam. Before we go more further, our counsel would like to know about:

1) any of you or your law firm have the experiences about counterfeit issue

2) what is your plan and strategy to deal with our counterfeit issue

3) estimated fee 

Answen: SBLAW would like to advise you as follows:

A. SCOPE OF WORKS

As per your information, we understood that your company would like to take the legal action against the counterfeit issue of a Vietnamese party in Vietnam.

At your enquiry, we would like to advise you as follows:

1.      Our experience about the counterfeit issue

As one of the leading law firm in the field of Intellectual Property in Vietnam, we provide full range of IP services in Vietnam including settling the infringement action and counterfeit issue.

We are representative of the following company/corporation in settling the infringement/counterfeit action:

–         ABB ASEA BROWN BOVERI LTD;

–         SKY CAPITAL LTD;

–         BOMANITE SE ASIA PTE LTD

2.      Our plan and strategy for due with your case

In our experience, with an infringement/counterfeit action, there are the following steps for resolving this issue:

i.     Investigating and collecting the evidence;

ii.     Requesting the examination;

iii.     Choosing the measures for settling the case.

In the first step, we will try to locate the alleged infringer as well as the location of the factory/warehouse/head office/representative office of the alleged person/organization.

We also collect the evidence proving the illegal action of the alleged person/organization such as purchasing the alleged products, taking the photograph of the alleged products.

In the second step, based on the result of the first step, we will request Vietnam Intellectual Property Research Institute (VIPRI) to examine and conclude whether the alleged products could be considered as the infringement/counterfeit products or not?

In the third step, based on the result of examination and investigation, we will advise you on the best measure for settling the case. In practice, you could choose the following options for settling a counterfeit case:

– Sending a warning letter: Accordingly we will draft and send the warning letter to the infringer. We only take this action if the action of the infringer is not conscious and serious.
– Requesting the participation of the authority state bodies: Accordingly we will the authority state bodies to handle and settle the case.
Bringing the case before court: Accordingly we will file a lawsuit to the civil court and request them to judge the case.  This is the best option to ask for compensation caused by the counterfeit.

B. Estimated fee

Our fee for taking the aforementioned actions will be calculated as the following table:

No

Work

Agency fee (USD)

1

Investigating and collecting the evidence

1,000.00 – 2,500.00

2

Filing a request to VIPRI (each request)

600.00-700.00

3

Sending a warning letter (per letter)

300.00

4

Filing a request to the authority state body (each request)

2,000.00 – 4,000.00

5

Bringing the case to the court (if requested)

3,000.00 – 6,000.00

Note: The aforementioned fees are exclusive 5-10% VAT of our agency fee and other disbursement.

Since you do not provide us the detail information of your case, we could not give you the exact fee for your consideration. In order to have the such fee, please provide with us the following information:

–  The evidence proving your right such as the certificate of trademark registration, the patent of invention and/or the patent of industrial design;

– The preliminary information of the counterfeit products such as the name/address of the infringer, pictures/images of the alleged products, the package of the alleged products;

– The relationship between your company and the alleged person/organization in Vietnam (If any);

After receiving the above mentioned information, we will give you our detail advice and fixed quotation for your kind reference.