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    Luật cạnh tranh

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    Nguyễn Anh
    This document provides an overview of competition law and policy in Vietnam. It discusses the key points of the competition law, including its objectives to regulate anti-competitive acts and create a fair market. The law covers restrictive agreements, abuse of dominance, economic concentrations, and unfair competition acts. It established the Vietnam Competition Administration Department and Vietnam Competition Council to enforce the law. Recent cases include investigations into alleged abuse of dominance in certain industries and unfair competition, as well as consultations on competition issues.

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    Luật cạnh tranh

    Uploaded by

    Nguyễn Anh
    51 views19 pages
    This document provides an overview of competition law and policy in Vietnam. It discusses the key points of the competition law, including its objectives to regulate anti-competitive acts and create a fair market. The law covers restrictive agreements, abuse of dominance, economic concentrations, and unfair competition acts. It established the Vietnam Competition Administration Department and Vietnam Competition Council to enforce the law. Recent cases include investigations into alleged abuse of dominance in certain industries and unfair competition, as well as consultations on competition issues.

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    Luật cạnh tranh 2004 - thuyết trình

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    This document provides an overview of competition law and policy in Vietnam. It discusses the key points of the competition law, including its objectives to regulate anti-competitive acts and create a fair market. The law covers restrictive agreements, abuse of dominance, economic concentrations, and unfair competition acts. It established the Vietnam Competition Administration Department and Vietnam Competition Council to enforce the law. Recent cases include investigations into alleged abuse of dominance in certain industries and unfair competition, as well as consultations on competition issues.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    51 views19 pages

    Luật cạnh tranh

    Uploaded by

    Nguyễn Anh
    This document provides an overview of competition law and policy in Vietnam. It discusses the key points of the competition law, including its objectives to regulate anti-competitive acts and create a fair market. The law covers restrictive agreements, abuse of dominance, economic concentrations, and unfair competition acts. It established the Vietnam Competition Administration Department and Vietnam Competition Council to enforce the law. Recent cases include investigations into alleged abuse of dominance in certain industries and unfair competition, as well as consultations on competition issues.

    Copyright:

    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
    Download as pptx, pdf, or txt
    of 19

    COMPETITION LAW & POLICY

    IN VIETNAM

    Prepared by:
    To Thanh Phuoc
    Nguyen Duc Anh
    Nguyen Minh Hoang

    Hochiminh, MAY 2018

    1
    Points of Discussion

    • Overview of the Competition Law


    • Coverage of the Law
    • Law Enforcing mechanism
    • Recent cases

    2
    Overview of the Competition law

    • Being drafted as early as 2000


    – References from other countries’ competition laws
    – Contributions from international experts
    – Contributions from businesses

    • Promulgated on 3rd December 2004 –The


    Law No 27/2004/QH11 on Competition

    • Took effect from 1st July 2005

    3
    Overview of the Competition law

    • Objectives
    – controls & regulates anti-competitive acts
    – creates and sustains a fair competitive environment.

    • Including 6 chapters, 123 Art. regulating:


    – Anti-competitive acts (restrictive & unfair competition acts)
    – Case handling procedures
    – Sanctions against violations

    • Subjects of Application
    – Business organizations and individuals
    – Professional associations operating in Vietnam

    4
    Implementation guidelines

    • Decree No. 05/2006/ND-CP


    dated 09/01/2006
    • Decree No. 06/2006/ND-CP
    dated 09/01/2006
    • Decree No. 116/2005/ND-CP
    dated 15/09/2005
    • Decree No. 120/2005/ND-CP
    dated 30/9/2005
    • Decree No. 110/2005/ND-CP
    dated 24/08/2005
    • Circular No. 19/2005/TT-BTM
    dated 08/11/2005

    5
    Coverage of the Law

    6
    Restrictive Acts

    • Definition
    “Acts performed by enterprises to reduce, distort and
    prevent competition on the market” (Art. 3.3 of theCL)
    • Typical acts
    – Restrictive agreements
    – Abuse of dominance/monopoly
    – Economic concentration

    7
    Restrictive agreements

    • Agreements prohibited when combined market share of


    participating enterprises makes up 30 percent or more
    (Art 9.2, CL)
    – Price Fixing
    – Market allocation
    – Restricting or controlling quantities or volumes
    – Restricting development/ investments
    – Imposing unfavorable conditions on the others
    • Agreements prohibited in all cases (per se)
    – Preventing, restraining, or disallowing entrance or business
    development of competitors
    – Exclusion agreement
    – Bid rigging

    8
    Abuse of dominance/monopoly

    • Dominance?
    – A single enterprise
    • Market share of 30% or more
    or
    • Being capable of restricting competition significantly
    – A groups of enterprises
    • concerted actions, and:
    – 2 enterprises: market share of 50% or more
    – 3 enterprises: market share 65% or more
    – 4 enterprises: market share 75% or more
    • Monopoly?
    – No other enterprise competing to provide
    goods or services on the relevant market

    9
    Acts of abusing dominance/monopoly

    • Abusing dominance
    – Predatory pricing
    – Unreasonable pricing/minimum price fixing
    – Imposing restrictions on production/ distribution; preventing
    technological development
    – Discriminating customers of a kind
    – Imposing unfavorable conditions on others
    – Preventing market entrance
    • Abusing monopoly
    – 6 acts of abusing dominance, and
    – Imposing unfavorable conditions on customers
    – Unilaterally modifying or canceling contracts without
    plausible reasons

    10
    Economic concentration

    • Mergers
    – A merged into B
    – A disappears
    • Amalgamations/Consolidations
    – A and B amalgamated to form C
    – Both A & B disappears
    • Acquisitions
    – A acquired 51% share of B
    • Joint-ventures
    – A and B jointly contribute capital to formC
    – A, B & C remain in existence

    11
    Controlling economic concentrations

    • 2 key elements
    – Market share threshold
    – Scale of enterprise formed
    • Regulations
    – No requirement
    • Market share < 30%,
    or
    • Enterprise formed remains SMEs
    – Pre-notification
    • Market share from 30% to 50%
    – Prohibited
    • Market share > 30%
    • May be exempted under Art. 19 of the Law
    12
    Sanctions against restrictive acts

    • Monetary fine
    • Up to10% of the total revenue of the violating enterprisesin
    the fiscal year proceeding the year of violation
    • Additional sanctions
    • Revocation of the business registration certificates
    • Deprivation of licenses and practicing certificates
    • Confiscation of exhibits and means used for committing
    violations
    • Consequence remedying measures
    • Division, separation of merged/amalgamated enterprises
    • Compulsory resale of the acquired enterprise parts
    • Removal of illegal provisions from contracts, etc.

    13
    Unfair competition acts
    • Definition
    “Acts performed by enterprises in the course of business, which run
    counter to common standards of business ethics and cause damage or
    can cause damage to the state’s interests, legitimate rights & interests
    of other enterprises or consumers” (Art 3.4 of the CL)
    • Typical acts
    Group 1 Group 2 Group 3
    -Misleading indications - Advertising for the - Illicit multi-level sale
    -Infringement upon purpose of unfair
    business secrets, competition
    -Constraint in business, -Sale promotion for the
    -Discrediting others purpose of unfair
    -Disturbing business competition
    activities of others -Discrimination by
    associations

    14
    Sanctions against unfair competition acts

    • Group 1
    – fines of VND 5 mil. to VND 20mil.
    • Group 2
    – fines of VND 15 mil. to VND 50mil.
    • Group 3

    15
    Law Enforcing mechanism

    • Law enforcing agencies


    – Vietnam competition Administration
    Department (VCAD)
    • Established by Decree No. 06/2006/ND-CP
    • 34 persons in 2006
    – Vietnam Competition Council (VCC)
    • Established by Decree No. 05/2006/ND-CP
    • 11 commissioners

    16
    Law Enforcing mechanism

    Case handling Restrictive Unfair


    milestones competition competition
    Receives complaint dossiers VCAD VCAD

    Dossiers evaluation VCAD VCAD

    Preliminary investigation VCAD VCAD

    Official investigation VCAD VCAD

    Review of investigation result VCAD VCAD

    Organizes hearings VCC - not required -

    Settlement of case VCC VCAD

    17
    Recent cases
    • Competition restrictive cases
    – 2 cases concerning the abuse of dominance in beer & ice-
    production
    – Both 2 cases are ongoing process: further evidences
    requested
    • Unfair competition cases
    – 1 case concerning the use of misleading indications in
    pharmaceutical industry
    – VCAD findings
    • Concerned acts, which supported by evidences were committed
    before the CL took effect
    • Insufficient evidence of violation
    – Case has been closed
    • Consultations
    – 2 consultations ( 1 ongoing): settled in cooperation withthe
    Ministry of Industry

    18
    THANK YOU!

    19

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