On November 15, 2024, the Government issued Decree No. 152/2024/NĐ-CP, amending and supplementing several provisions of Decree No. 62/2015/NĐ-CP, dated July 18, 2015, which provides detailed regulations and guidance on the implementation of certain provisions of the Law on Civil Judgment Enforcement. These amendments also reflect changes introduced by Decree No. 33/2020/NĐ-CP, dated March 17, 2020.
Decree No. 152/2024/NĐ-CP introduces several noteworthy updates, including the following:
1. New provisions on civil judgment execution procedures:
First, new provisions on objective hindrance affecting the time limits for judgment enforcement:
According to Clause 1, Article 1, Decree No. 152/2024/NĐ-CP, objective hindrance means a case where an involved party cannot receive a judgment/decision but it is not caused by their faults; the involved party is working in a border area or island or is forced to abide by the competent authority's decision and cannot request the enforcement on schedule; the involved party meets with an accident or suffers from illness to the extent that he/she completely loses consciousness or dies without an inheritor; an organization is consolidated, merged, divided, dissolved or converted or undergoes mandatory transfer or transfers 100% of shares/stakes and a new organization or individual entitled to request the enforcement has not yet been identified as prescribed by law or the involved party cannot request the enforcement before the deadline due to faults of the adjudication agency, the civil judgment-enforcing agency, another organization or individual or any objective hindrance specified in Article 156 of the Civil Code.
Compared to Decree No. 62/2015/NĐ-CP, Decree No. 152/2024/NĐ-CP has supplemented cases of objective obstacles stipulated under Article 156 of Civil Code 2015, recognizing them as grounds for extending the statute of limitations for civil judgment enforcement.
Secondly, supplementation of responsibilities for witnessing and signing agreements at the request of involved parties:
Clause 2, Article 1 of Decree No. 152/2024/NĐ-CP introduces supplementary provisions concerning judgment enforcement agreements. In cases involving agreements for the transfer of land use rights, the transfer of houses or assets attached to land, the transfer of custody rights over minors, or agreements concerning visitation and care of minors, persons lacking legal capacity, or those incapable of working, the decree specifically directs enforcement officers to witness these agreements outside the office premises upon request from the involved parties.
Decree No. 62/2015/NĐ-CP did not expressly regulate circumstances in which enforcement officers could witness agreements outside the office, which is why this provision is a significant addition.
Third, supplementation regarding the verification of enforcement conditions:
In accordance with Clause 3, Article 1 of Decree No. 152/2024/NĐ-CP, the following provision has been incorporated: Enforcement personnel may check enforcement circumstances using the national database in compliance with legal regulations. The outcomes of this verification provide a foundational element for the organization of judgment enforcement in accordance with civil judgment enforcement legislation. In contrast to Decree No. 62/2015/NĐ-CP, this new provision enables enforcement agents to ascertain enforcement conditions using the national database, therefore considerably reducing the time and travel costs associated with assessing the requirements for judgment enforcement.
Fourth, modifications and additions to notifications of judgment enforcement:
To improve the efficiency of judgment enforcement notifications in the contemporary technology landscape, Clause 4, Article 1 of Decree No. 152/2024/NĐ-CP specifies the following: Notifications about judgment enforcement according to Articles 40, 41, and 42 of the legislation on Civil Judgment Enforcement should be given for the first time in accordance with the legislation. Upon the approval of the informed party, additional notifications may be sent via VNeID, the electronic information portal of the Department of Civil Judgment Enforcement, or the online portal of the General Department of Civil Judgment Enforcement under the Ministry of Justice.
Fifth, modification of measures for ensuring and enforcing judgment execution:
Clause 5, Article 1 of Decree No. 152/2024/NĐ-CP outlines further measures to guarantee and enforce judgment execution within the securities industry, as follows:
(1) Securities that are being listed or registered for trading at stock exchanges shall be handled as follows:
a) The enforcer shall issue a decision to freeze such securities and send the decision to the Vietnam Securities Depository and Clearing Corporation and another agency/organization/individual according to regulations in Article 67 of the Law on Civil Judgment Enforcement. Within 01 working day from the date of receipt of the decision from the enforcer, the Vietnam Securities Depository and Clearing Corporation shall freeze these securities according to regulations of the law on securities and notify the civil judgment-enforcing agency and depository member.
The decision to freeze securities shall contain contents, including requests for freezing securities; full name, number, and issuance date of 9-digit ID card/ID card of each individual; name, number, and issuance date of enterprise registration certificate or an equivalent document of each juridical person; ticker symbols and quantity of securities to be frozen.
b) The enforcer shall issue a decision to coercively distrain and handle securities according to regulations in clause 3, Article 71 of the Law on Civil Judgment Enforcement.
Within 05 working days from the date of receipt of the valid notification of the decision to coercively distrain and handle securities, the involved parties may reach an agreement on the sale of securities according to regulations of the law on securities and notify in writing the civil judgment-enforcing agency of such agreement.
After this deadline, the civil judgment-enforcing agency shall request in writing that the Vietnam Securities Depository and Clearing Corporation transfer the distrained securities to the civil judgment-enforcing agency. The civil judgment-enforcing agency has rights and obligations to these securities according to regulations of law. Within 05 working days from the date of receipt of the written request from the civil judgment-enforcing agency, the Vietnam Securities Depository and Clearing Corporation shall transfer the securities. Within 02 working days from the date of completion of the transfer of securities, the enforcer shall sell them under the agreement reached by the involved parties. In case the involved parties fail to or cannot reach an agreement, the enforcer shall sell the securities by matching orders at a reference price according to regulations of the law on securities.
If the decision on judgment enforcement is proactively issued, after issuance of the decision on coercive distraint, the civil judgment-enforcing agency shall request in writing that the Vietnam Securities Depository and Clearing Corporation transfer the distrained securities to the civil judgment-enforcing agency and sell them by matching orders at a reference price according to regulations of the law on securities.
(2) The enforcer shall freeze securities that have not been listed or registered for trading and have been registered at the Vietnam Securities Depository and Clearing Corporation for centralized management or securities that are being listed/registered for trading but cannot be sold according to regulations in clause 5 of this Article in accordance with Article 67 of the Law on Civil Judgment Enforcement; issue a decision to coercively distrain and handle assets according to clause 3 Article 71 of the Law on Civil Judgment Enforcement. Procedures for valuation and sale of securities shall be followed according to Articles 98, 99, and 101 and other regulations of the Law on Civil Judgment Enforcement, the law on asset auction and sale, and relevant laws. After the sale of the securities, the civil judgment-enforcing agency shall request in writing that the Vietnam Securities Depository and Clearing Corporation transfer the ownership of the securities to the purchaser according to regulations of law.
(3) The enforcer shall distrain and handle securities, shares, and contributed capital other than those specified in clause 5 and clause 6 of this Article and valuable documents in accordance with Articles 71, 83, 92, 98, 99, and 101 and other regulations of the Law on Civil Judgment Enforcement, the law on asset auction and sale, the law on enterprises, and relevant laws. When issuing the distraint decision, the enforcer shall currently give written notification of the asset distraint to the enterprise to which the judgment debtor contributes capital and relevant agencies and organizations in order to prevent transfer of the ownership or change the asset conditions until the time the civil judgment-enforcing agency issues a decision.
(4) If the civil judgment-enforcing agency implements measures to secure and coerce the judgment enforcement, corresponding to the obligations of the judgment debtor and the judgment enforcement fee according to regulations of clause 1 of this Article and the judgment debtor owns other assets, the enforcer shall request in writing a relevant competent authority to immediately notify the civil judgment-enforcing agency when there is any transaction related to the asset for cooperation in handling according to regulations of law.
Sixth, cancellation of provisions concerning the seizure of assets for judgment execution in instances of jointly owned or utilized assets of spouses and households:
According to Article 2 of Decree No. 152/2024/NĐ-CP, the following outlines the repeal of Point c, Clause 2, Article 24 of Decree No. 62/2015/NĐ-CP: Regarding assets that are jointly owned or utilized by spouses, the executor was formerly obligated to ascertain the ownership share of each spouse based on the laws governing marriage and family, and to inform the spouses of this determination. In cases of assets that are jointly owned or utilized by a household, the executor needed to ascertain the ownership or usage share by considering the number of household members present when the ownership rights were established, when the land was allocated, leased, or acknowledged by the State, or at the time the land use rights were transferred. The executor would subsequently inform the household members of the outcome of this determination. If the spouses or any household members disagreed with the executor’s determination, they had the right to request the court to divide the joint assets within 30 days from the date of valid notification. If no request was submitted within this timeframe, the executor may move forward to seize and manage the assets, allocating the value of the ownership or usage shares to the appropriate parties. The previous provision that permitted the executor to independently allocate joint assets of spouses and households was at odds with Article 74 of the Law on Civil Judgment Execution, which stipulates that the division of joint assets must be determined by a court. Therefore, the removal of this provision signifies a significant and forward-thinking change.
Seventh, changes to the procedures for reclaiming assets, including land use rights, residential houses, and other assets attached to land that have been issued Certificates of Ownership:
Specifically, under the new regulations, the enforcement authority shall submit a written proposal to revoke the Certificate of Ownership to the competent authority, with the resolution period shortened to 25 days. In contrast, under the previous regulations, the enforcement authority did not have the right to propose a revocation but could only submit a written explanation of the reasons for the inability to do so to the Land Registration Office, with a resolution period of up to 30 days.
2. New provisions on the auction of judgment enforcement assets:
First, amendments and supplements concerning the auction and handling of auction results for judgment enforcement assets:
Specifically, Clause 7, Article 1 of Decree 152/2024/ND-CP amends and supplements certain provisions as follows:
1. Added provisions stipulating that if the parties involved fail to reach an agreement on the selection of an asset auction organization, the Enforcement Officer shall make the selection in accordance with the laws on asset auction.
2. Amended the time limit for delivering the auctioned asset to the purchaser to 60 days, compared to the previous regulation of no more than 30 days. In cases of difficulty or complexity, the time limit shall not exceed 60 days.
3. Added provisions stipulating that in cases where the civil judgment enforcement agency applies enforcement measures, the judgment debtor, asset owner, or the person managing the asset subject to enforcement shall bear all enforcement-related costs as stipulated in Article 73 of the Law on Civil Judgment Enforcement. If damages occur, they shall be liable for compensation in accordance with the law.
Second, additional provisions on the time limit for complaints related to judgment enforcement:
Clause 9 and Article 1 of Decree 152/2024/ND-CP supplement the provisions on the time limit for resolving complaints concerning judgment enforcement. To be more specific, the time limit for resolving the complaint about judgment enforcement will not be affected if the authorized person in charge of the matter runs into real problems or events beyond their control.
Third, amendments and additions concerning enforcement costs for judgment enforcement:
In contrast to Decree 62/2015/ND-CP, which dealt with costs when enforcement activities were put on hold during execution, Decree 152/2024/ND-CP adds a new clause that says the parties involved must still pay for the costs of enforcing the judgment even if enforcement activities are in progress or have been completed but need to be put on hold.
Fourth, there are new rules about how to pay money and get property back when a judgment is enforced:
In particular, Clause 11, Article 1 of Decree 152/2024/ND-CP says that when payment is made upon the sale of assets and the judgment or decision says that those assets must be seized to make sure that a specific obligation is met, the law on civil judgment enforcement says that when there are many judgment creditors but only a few have asked for enforcement, the agency in charge of civil judgment enforcement must give payments to the creditors who have asked for enforcement based on how much they are owed. The rest of the money will be put into a bank account with a fixed-term deposit for one month. The agency will then let creditors who haven't asked for enforcement know that they can do so if they want to, unless the time limit for enforcement has passed.
If the time limit for enforcement runs out and the agency doesn't get any more requests, the money that was deposited and the interest that has been added will be given to people who have asked for enforcement of the same judgment or decision. Any remaining funds shall be allocated to other judgment creditors as determined by separate enforcement decisions (if applicable) at the payment date or returned to the owner of the seized and disposed assets.
3. 3. New provisions on the appointment and recruitment of civil enforcement officers, review officers, and civil judgment enforcement clerks:
First, amendments regarding the content and forms of appointment and recruitment for Civil Enforcement Officers, Review Officers, and Civil Judgment Enforcement Clerks:
Pursuant to Clauses 12, 14, and 15 of Article 1, Decree 152/2024/ND-CP introduces additional provisions on the content and methods of examination for promotion of ranks applicable to Civil Enforcement Officers, Review Officers, and Civil Judgment Enforcement Clerks in accordance with the laws on public officials and civil servants, as well as the Law on Civil Judgment Enforcement. Specific details include:
For Civil Enforcement Officers: The Ministry of Justice shall organize competitive examinations for Civil Enforcement Officers and establish regulations on the content, format, and procedures for the recruitment of Junior Civil Enforcement Officers. The content and methods for examinations or evaluations to promote from Junior Civil Enforcement Officer to Intermediate Civil Enforcement Officer, and from Intermediate Civil Enforcement Officer to Senior Civil Enforcement Officer, shall comply with the laws on public officials and civil servants and the laws on civil judgment enforcement.
For Review Officers: The appointment, reclassification, content, and methods for examination or promotion from Civil Enforcement Review Officer to Principal Civil Enforcement Review Officer, and from Principal Civil Enforcement Review Officer to Senior Civil Enforcement Review Officer, shall comply with the laws governing public officials and civil servants, as well as the laws on civil judgment enforcement.
For Civil Judgment Enforcement Clerks: Civil Judgment Enforcement Clerks are professional civil servants specializing in civil judgment enforcement, responsible for assisting Junior Civil Enforcement Officers, Intermediate Civil Enforcement Officers, and Senior Civil Enforcement Officers in implementing civil judgment enforcement procedures or supporting Review Officers, Principal Review Officers, and Senior Review Officers in carrying out review tasks as prescribed by law. The appointment, reclassification, content, and methods for examination or promotion from Intermediate Clerk to Civil Judgment Enforcement Clerk shall follow the provisions of the laws on public officials and civil servants, and the laws on civil judgment enforcement.
When compared to Decree 62/2015/ND-CP, which only allowed for promotions based on exams and appointments made without exams, these rules create a comprehensive framework.
Second, adjustments to salaries and allowances for Civil Judgment Enforcement Clerks performing civil judgment enforcement tasks:
According to Clause 16, Article 1 of Decree 152/2024/ND-CP, Civil Judgment Enforcement Clerks are classified under salary grade A1 on the salary scale for professional civil servants in state agencies. The same scale classifies Intermediate Civil Judgment Enforcement Clerks under salary grade A0. Previously, Decree 62/2015/ND-CP classified Intermediate Civil Judgment Enforcement Clerks under salary grade B on the salary scale for professional civil servants in state agencies.
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