VIETNAM MARITIME CODE

CHAPTER I
GENERAL PROVISIONS

            Article 1

          The Vietnamese Maritime Code governs legal relations incident to the use of sea-going vessels for economic, scientific-technological, cultural, sport, social and state service purposes, which hereinafter are referred to as maritime shipping activities.
          A sea-going vessel under the terms of the present Code is any floating structure self-propelled or non self-propelled employed in navigation on the sea and in waters connected with the sea.
          Depending on each specific case, the relevant laws of Vietnam are applicable to legal relations incident to maritime shipping activities which are not provided for in the present Code.

            Article 2  

          Maritime shipping activities conducted by organizations and individuals of Vietnam and foreign countries, joint-venture and foreign cooperative enterprises based in Vietnam are encouraged and protected on the basis of respect for the independence, sovereignty and the law of Vietnam as well as international treaties which are signed or recognized by Vietnam.

            Article 3  

          The application scope of the present Code is provided as follows:

1.         All the provisions of the present Code are applicable to sea-going vessels employed exclusive for the carriage of cargo or of passengers and luggage; for exploration, exploitation and processing of the wealth of sea; for towage or salvage on the sea; for recovering property sunk in the sea; or for other activities of an economic nature, which hereinafter are referred to as merchant sea-going vessels.

2.         The provisions on the carriage of cargo and of passengers and luggage, on the maritime arrest and lien, on the limitation of civil liability of shipowners are not applicable to sea-going vessels hereinafter referred to as state-service vessels employed exclusively for maritime navigation safety; meteorology-hydrography; telecommunication; inspection; customs; epidemic prevention; fire-fighting; piloting; training; environmental protection; or for search and rescue at sea.

3.         The provisions on the carriage of cargo and of passengers and luggage, and on general average are not applicable to sea-going vessels employed exclusively for scientific technological research and sports.

4.         Except in specific cases, the provisions of the present Code are not applicable to foreign sea-going vessels and to sea-going vessels sailing under control of the Vietnam Armed Forces employed exclusively for military purpose and public order security guard.

          The provisions on the carriage of cargo, of passengers and luggage are not applicable to the carriage of military transports by merchant sea-going vessels.

            Article 4

 1.         Parties to maritime shipping contracts have the right to frame their separate agreements according to their own judgement subjects to the exceptions provided by the present Code.

2.         Parties to maritime shipping contracts, provided whereof at least one party is a foreign organization or individual, may determine by mutual consent the law or international shipping custom to govern their legal contractual relations and to submit their disputes to an arbitration or court in either of their countries or in a third country.

            Article 5

           In case of conflict of laws the following principles will be opted for to decide which law to apply:

1.         Legal relations incident to ownership of property on board the vessel, charter parties, contracts of carriage of passengers and luggage, crew recruitment agreement, the division of salvage remuneration between the owner and crew of the salving ship, the recovery of the property sunk on the high seas, occurrences and acts taken place on board the vessel on the high seas are governed by the law of the flag.

2.         Legal relations incident to general average are governed by the law in force in the country of the place where the vessel calls at after general average has occurred.

3.         Legal relations incident to collision; salvage remuneration; the recovery of property sunk on the sea occurred in inland and territorial waters of the littoral country are governed by the laws of said country.

4.         Legal relations incident to collision or salvage occurred on the high seas governed by the law of the country whose arbitration or court deals with the dispute.

5.         Legal relations incident to the contracts of carriage of cargo are governed by the law of the country where the carrier has his principal place of business.

            Article 6

           The provisions in the international treaties signed, or recognized by Vietnam shall prevail those contained in the present Code if they are in discrepancy with the above said provisions in the international treaties.

            Article 7

           Where, by provisions in the present Code or by virtue of contract, the legal contractual relations incident to maritime shipping are subject to foreign law, that law shall be applied in Vietnam provided that it is not contrary to the laws and regulations prevailing in Vietnam.

CHAPTER II
SEA-GOING VESSEL

Section A: VIETNAMESE SEA-GOING VESSEL

             Article 8  

1.         Only Vietnamese sea-going vessels are permitted to sail under the Vietnamese flag.

2.         A Vietnamese sea-going is a vessel owned by the Vietnamese State, by a Vietnamese organization having its principal place of business in Vietnam and by a Vietnamese citizen resident in Vietnam or owned by a foreign citizen, which is permitted to register in Vietnam.

3.         A Vietnamese sea-going vessel is entitled and bound to fly the Vietnamese flag after having been registered in the Vietnam National Registry Book of Ships or after having obtained the Provisional Certificate of Nationality issued by the authorized diplomatic representative or consulate of Vietnam abroad.

            Article 9

  1.         Priority is granted to Vietnamese sea-going vessels in the carriage of cargo and of passengers and luggage between Vietnamese sea ports. Foreign sea-going vessel may be permitted to perform this carriage only when it is approved by the Minister of Transport and Communications.

2.         The Council of Ministers shall define scope of activities of the Vietnamese sea-going vessels owned by Vietnamese individuals.

            Article 10

            A Vietnamese sea-going vessel is named by her owner. The name is subject to the approval of the Registrar of Vietnamese individuals.

            Article 11

            A ship owner is the person who owns ship. Ship owners are entitled to fly their house flag.

            Article 12

  1.         Vietnamese sea-going vessels are subject to the obligations of being entered in the Vietnam National Registry Book of ships.

          The registration of ships in Vietnam is public and against the payment of a certain fee and made by the Registrar of Vietnamese ships. Persons interested may demand certified abstracts from, and copies of entries in the Vietnam National Registry Book of ships.

2.         The Council of Ministers shall define cases when Vietnamese owned sea-going vessels are permitted to enter in foreign country and foreign owned sea-going vessels-in Vietnam.

3.         The Council of Ministers shall designate the authorities competent to the registration of ships in Vietnam; the principles and procedures in registration of ships and administrative penalties on violations in registration of ships in Vietnam.

            Article 13

           Sea-going vessels may be entered in the Vietnam National Registry Book of ships only after having been removed from the foreign countrys registrar of ships and having been examined in technical characteristics, classified, measured tonnage and granted the necessary certificates issued by the Vietnam Register of Shipping or by its authorized foreign countrys register of shipping.

            Article 14

  1.         The following date are entered in the Vietnam National Registry Book of ships:

a)           The name of the vessel and the full style and principal place of business of the ship owner, international signal letters as well as the kind and appropriation of the vessel;

b)          The serial registration number of the vessel and the date of entry;

c)           The year and place of construction and the shipyard;

d)          The technical characteristics of the vessel;

e)           The vessels minimum complement;

f)            The title to the ownership of the vessel and its relevant changes;

g)          The ground for, and the date of, the vessels deletion from the registration.

2.         Every change in the date entered in the registration of ships stipulated in item 1 of this Article is also subject to the entry in the National Registry Book of ships.

3.         The data entered in the National Registry Book of ships shall constitute legal evidences for the interested parties.

4.         After the completion of the procedures for registration the ship shall receive constitute evidence of Vietnamese nationality of the ship.

            Article 15

1.         A Vietnamese sea-going vessel is naturally removed from the Vietnam National Registry Book of ships if she has:

a)           Been destroyed or sunk;
b)          Been missing;
c)           Been found unfit for repairs or not worth repairing economically;
d)          Lost her grounds to sail under the Vietnamese national flag;
e)           Lost her characteristics of a sea-going vessel.

2.         In cases covered by points c. and e. of item 1 of this Article when a sea-going vessel has been mortgaged, hypothecated or liened the official removal from the register of ships may be effected only with the consent of the creditor.

3.         The removal of a Vietnamese sea-going vessel from the register of ships shall be effected on the basis of application made by her owner.

            Article 16

  1.         The application procedures for registration must be made by shipowners latest within sixty days from the date when the vessel arrived at the first Vietnamese port.

2.         The prompt and exact information on any occurrence and act incident to a sea-going vessel must be circulated by her owner to the Registrar of Vietnamese ships.

Section B: MARINE NAVIGATION SAFETY AND PREVENTION OF ENVIRONMENTAL POLLUTION

              Article 17

            A sea going vessel should be employed in accordance with the appropriation declared on registration provided that her construction, standing appliances and equipment, documents, complement and competence of crew comply, in every respect, with the requirements defined by the Minister of Transport and Communications concerning safety of ship navigation, and safety of life at sea as well as prevention of environmental pollution.

            Article 18

1.         A Vietnamese sea-going vessel may receive a certificate of technical condition safety after having been inspected and ascertained by the Vietnam Register of Shipping or by its foreign authorized classification societies that she complies with technical conditions of safety as per state norms in Vietnam or in relevant international treaties signed, or recognized by Vietnam.

2.         Certificate of technical condition safety should specify the period of its validity. This period may be automatically extended by a period of time not exceeding ninety days if the vessel is actually unable to call for the periodical inspection at the port indicated and if her technical conditions prove to be safe. Such automatically extended period expires immediately on the vessels arrival at the port indicated for inspection.

3.         Certificate of technical condition safety automatically becomes invalid if alterations in vessel have taken place which imperil her technical condition safety.

4.         Where it has well-founded grounds to suspect the technical conditions of the vessels safety, the Vietnam Marine Safety Inspectorate has the right to interim cease her operation. This Inspectorate itself or the Vietnam Register of Shipping, upon demand, shall inspect the vessels technical conditions despite that she has authentic safety certificates.

            Article 19

  1.         Shipowner and shipmaster are bound to create every favorable condition for inspection of marine navigation safety and of technical conditions of the vessel.

2.         Before a vessel being put into operation, shipowner and shipmaster upon demand by the Vietnam Marine Safety Inspectorate or the Vietnam Register of Shipping are bound to repair or to make additional conditions of marine navigation safety.

            Article 20

  1.         When on the sea or in waters connected therewith opened navigable for sea-going vessels, sea-going vessels including military ships of the Vietnam Armed Forces as well as vessels of inland navigation and sea-planes are bound to comply with the regulations for preventing collisions at sea issued by the Minister of Transport and Communications.

2.         The structures, facilities built or installed on the sea and in waters connected with the sea, which are opened for sea-going vessels navigation and operation, should be equipped with sufficient safety warning devices in proper conformity with the regulations on marine warning signals stipulated by the Minister of Transport and Communications.

            Article 21

  1.         In Vietnams inland and territorial waters regulations concerning marine navigation safety as in force are also applicable to foreign sea-going vessels unless otherwise provided by the agreement between Vietnam and the country of the flag.

2.         The Vietnam Marine Safety Inspectorate has the right to inspect and punish administrative penalties in respect of violation made by foreign sea-going vessels when operating within Vietnams inland and territorial waters if this Inspectorate has sufficient grounds to suspect their seaworthiness or if they commit a breach of the provisions as to marine navigation safety in Vietnam.

            Article 22

            Inspection of marine navigation safety and of technical conditions of sea-going vessels as provided in the present code as well as search on board the vessels shall be carried out in conformity with relevant laws and regulations and without detriment to seaworthiness of the vessel.

            Article 23

  1.         When operating in sovereign waters of Vietnam, Vietnamese and foreign sea-going vessels are bound to properly implement provisions as to environmental protection in Vietnam and in international treaties signed, or recognized by Vietnam.

2.         When operating in waters of sea ports and other navigable waters of Vietnam, Vietnamese and foreign sea-going vessels employed exclusively for transportation of oil products or other dangerous goods are bound to be covered by insurance policy as to the civil liability of shipowner for environmental pollution.

3.         Foreign sea-going vessels run by nuclear power shall not be permitted to operate in inland and territorial waters of Vietnam unless approval is granted by the Chairman of the Council of Ministers.

            Article 24

            The Council of Minister shall determine the organization, and scope of activities of the Vietnam Marine Safety Inspectorate and of the Vietnam Register of Shipping.

Section C: INSPECTION OF TONNAGE OF VESSEL

              Article 25

  1.         Vietnamese or foreign sea-going vessels when operating in waters belonging to Vietnamese sea-port areas and in Vietnam transit lane waters are bound to show authentic tonnage certificates issued by the Vietnam Register of Shipping or foreign register of shipping or foreign authentic tonnage measurement authority. The tonnage measurement certificates must be in conformity with the Vietnam State Norms or with norms in the international treaties signed, or recognized by Vietnam.

2.         In case the vessels tonnage measurement certificates in every respect do not comply with prescribed requirements in item 1 of this Article, shipowner or master shall make application with the Vietnam Register of Shipping for inspection of her tonnage and pay relevant tonnage measurement fees.

Section D: DOCUMENTS OF VESSEL

              Article 26

            A Vietnamese sea-going vessel is bound to keep on board all sufficient log-books, certificates and other documents as well as certificates of crew as prescribed by the Minister of Transport and Communications.

Section E: OWNERSHIP OF VESSEL

              Article 27

1.         A contract for transfer of ownership of a vessel in Vietnam should be made in writing and certified by the public notary. If it is made abroad all procedures are subject to the law of the place where the contract is signed.

2.         The transfer of ownership of a Vietnamese sea-going vessel may be effected only after it has been recorded in the Vietnam National Registry Book of ships at the place where the vessel was registered.

3.         After the procedures of transfer are completed, together with the ownership of the vessel, her appurtenances also pass to the transferee unless otherwise agreed by and between the parties concerned.
         Appurtenances of the vessel are all accessories which, while are not being component pars of the vessel, constitute her equipments.