Contractual disputes in Vietnam shall be construed as conflicts, disagreements, conflicts between the parties regarding the implementation or non-implementation of rights and obligations in the contract. Disputes could arise in failure to collect the payment from debtor in sales agreement, construction contract disputes between investor and contractor, labour dispute between employer and employee, insurance disputes between ship owner and insurance company.

1. Contract Dispute in Vietnam
Disputes occur during contract performance are beyond the control of the entity
entering contractual relations. In developed countries, lawyers always invited to
advise customers to identify potential disputes, and provide solutions, support and
provide legal advice and to accompany the enterprises solve disputes in accordance
with the provisions of the law, which help businesses to focus on its business
activities. The contract should be carefully reviewed by lawyers. Foreign companies
when entering Vietnam mostly follow suit to engage dispute or litigation dispute
lawyers in Vietnam at early stage of the transactions.
Contract Dispute
Contractual disputes in Vietnam shall be construed as conflicts, disagreements,
conflicts between the parties regarding the implementation or non-implementation of
rights and obligations in the contract. Disputes could arise in failure to collect the
payment from debtor in sales agreement, construction contract disputes between
investor and contractor, labour dispute between employer and employee, insurance
disputes between ship owner and insurance company.
Contract disputes must satisfy the following factors:
First, there is a contract between the parties. The contract would be in different for ms
therefore, there is a need to clearly define if the contractual relationship has been
formed or not.
Second, there is a breach of obligations or duties that are in violation of a party in the
contractual relationship.
Third, there is disagreement between the parties about the handling of infringement or
the consequences of such violations.
It should be noted, the contract disputes arise from the breach. However, not all
breaches of contract also lead to disputes.
How to settle the contract disputes in Vietnam?
Contractual disputes can be resolved by the following methods:

2. Negotiation is the process or behavior in which the two sides conduct exchanges,
agreement on common interests and characteristics of disagreement and come to a
unified agreement. The negotiation is without the presence of third parties. However,
if the contract dispute lawyers in Vietnam would be involved during the negotiation
process, at the role of representing or advising, counseling, then the negotiations tend
to be more effective and parties would reach agreement.
Mediation is one of the options for disputing parties to end the conflict. Mediation is
different from negotiating with the intervention of a third party. Mediator will help
parties to achieve agreement and resolve conflict.
Court or arbitration: The settlement of the dispute in court would take time. The
court’s ruling can be appealed. It should be noted that, per Vietnam laws, only
Vietnam litigation or dispute law firms could represent the client at court. Commercial
arbitration is available only in commercial-business sector. The advantage of this
method is fast and efficient. However, compare with disputing at court, this method of
handling dispute would take higher costs.
Disputes and dispute resolution matters are natural and inevitable in any countries
including Vietnam. It is important that parties involved need to identify, anticipate
disputes can occur. Contract or agreement should be reviewed by lawyers. When there
is a dispute, the dispute lawyers in Vietnam will be able to help parties to with
advice to reasonable solution to address the disputes effectively.
ANT Lawyers is a law firm in Vietnam, recognized by Legal500, IFLR1000. We are an
exclusive Vietnam member of Prea Legal, the global law firm network covering more
than 150 jurisdictions. The firm provides a range of legal services to multinational and
domestic clients.