Decree No. 173/2004/ND-CP on procedures, enforcement, and administrative penalties for civil execution

DECREE

Regulations on procedures, enforcement, and administrative penalties for civil execution

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THE GOVERNMENT

Pursuant to the Law on Organization of the Government dated December 25, 2001;

Pursuant to the Civil Enforcement Law dated January 14, 2004;

Based on the Ordinance on Administrative Violation Handling dated July 2, 2002;

At the proposal of the Minister of Justice.

DECREE:

PART I

GENERAL PROVISIONS

Article 1. Scope of Regulation

This Decree provides detailed implementation of certain provisions of the Civil Execution Ordinance regarding procedures, enforcement, and administrative penalties for civil execution.

Article 2. Interpretation of Terms

1. "Person entitled to execution" means individuals or organizations that enjoy rights and benefits under judgments or decisions subject to execution as stipulated by the Civil Execution Ordinance.

2. "Person subject to execution" means individuals or organizations that must fulfill obligations under judgments or decisions subject to execution as stipulated by the Civil Execution Ordinance.

3. "Persons with related rights and obligations" means individuals or organizations that have rights and obligations related to the execution process as stipulated by the Civil Execution Ordinance.

4. "Representative" in civil execution refers to the legal representative or authorized representative who exercises the rights and fulfills the obligations of the person entitled to execution, the person subject to execution, or persons with related rights and obligations in the execution process.

5. "Limitation period for requesting execution" is the time limit within which the person entitled to execution or the person subject to execution may request the execution agency to organize the execution; if this period expires, the right to request is lost, except where otherwise provided by law.

Article 3. Transfer of Rights and Obligations in Execution

1. In cases where an organization entitled to execution or subject to execution merges, consolidates, splits, separates, dissolves, goes bankrupt, or is privatized, the exercise of the right to request execution or the continuation of the obligation to execute shall be carried out according to the following principles:

a) For cases of merger or consolidation, the new organization continues to exercise the right to request execution or continue the obligation to execute, except where otherwise provided by law;

b) For cases of splitting or separating, the authority issuing the decision to split or separate must clearly determine the individual or organization entitled to continue requesting execution or continuing the obligation to execute according to the split or separation decision, except where otherwise provided by law.

If the split or separation decision does not specify the obligations of the new organizations, then after the split or separation, the new organizations are jointly responsible for fulfilling the execution obligations of the organization being split or separated;

c) For cases of dissolution, the competent authority issuing the dissolution decision must notify the execution agency before making the decision. The execution agency has the responsibility to cooperate with the competent authority issuing the dissolution decision in handling the assets of the dissolved organization for execution purposes. If the rights and obligations of the dissolved organization are transferred to another organization, the new organization continues to exercise the right to request execution or continue fulfilling the obligation to execute.

The execution agency, the person entitled to execution, and persons with related rights and obligations have the right to request the competent authority or Court to review the dissolution decision in accordance with the law.

If the dissolved organization no longer has assets due to the illegal dissolution decision, the authority issuing the illegal dissolution decision shall bear the responsibility to fulfill the obligations of the dissolved organization corresponding to that portion of the assets;

d) In cases where an organization subject to execution undergoes privatization, it must first fulfill its execution obligations. If the rights and obligations of the organization are transferred to another organization, the new organization continues to exercise the right to request execution or continue fulfilling the obligation to execute;

đ) In cases where an organization subject to execution goes bankrupt, the rights and obligations of execution are implemented according to the bankruptcy declaration decision.

2. In cases where the person entitled to execution or the person subject to execution is an individual who dies, the rights and obligations of execution are transferred to another person in accordance with the law on inheritance.

If the person entitled to execution or the person subject to execution dies and their rights and obligations of execution are not transferred to another person, the execution agency issues a decision to suspend execution in accordance with Clause 1 and Clause 2 of Article 28 of the Civil Execution Ordinance.

3. In the cases specified in Clause 1 and Clause 2 of this Article, organizations or individuals receiving the transfer of rights and obligations of execution have the right to submit a petition to request execution or continue fulfilling the execution obligations in accordance with the Civil Execution Ordinance and this Decree.

The head of the execution agency issues execution decisions for new individuals or organizations corresponding to the transferred rights and obligations of execution; simultaneously revoking previous execution decisions.

For other decisions and notifications regarding execution, the execution agency retains, revokes, or issues other appropriate decisions or notifications depending on specific circumstances in accordance with the law.

Article 4. Financial Support for Enforcement

1. The state budget shall only provide support to organizations responsible for enforcement that operate entirely on funds provided by the state budget when enforcement activities significantly affect the organization's ability to fulfill assigned tasks, cease operations, dissolve, or impact national security, defense, and public order.

2. The central government budget supports organizations responsible for enforcement that are units within the central government budget; local government budgets support organizations responsible for enforcement that are units within the local government budget.

3. Organizations responsible for enforcement mentioned in Clause 1 of this Article must implement necessary financial measures to enforce according to the provisions of the law. After applying necessary financial measures but still unable to enforce, such organizations must submit a written request to their immediate superior management authority to consider financial support for enforcement.

The authority to decide on the level of support and procedures for financial support from the state budget for enforcement shall be implemented in accordance with the provisions of the State Budget Law and guiding documents.

4. Organizations receiving financial support from the state budget for enforcement have the responsibility to recover and remit to the state budget the amount of money or assets of individuals who caused damage and are required to compensate according to the law.

The Ministry of Finance, in collaboration with the Ministry of Justice, shall draft regulations on financial support from the state budget for enforcement and submit them to the Prime Minister for issuance.

Article 5. Agreement on Enforcement

1. Parties have the right to agree on enforcement matters, but such agreements must not contravene the law, social morals, or affect the interests of the State, the legitimate rights and interests of other individuals or organizations.

2. In cases where the matter is currently being enforced by an enforcement agency, the Enforcement Officer shall record the agreement details in a protocol. If the parties do not voluntarily comply with the agreement, the enforcement agency shall enforce based on the content of the judgment or decision.

Where the parties agree not to request the enforcement agency to enforce part or all of the judgment or decision, the enforcement agency shall record the agreement content and issue a decision to suspend enforcement of the non-requested portion according to Clause 3 of Article 28 of the Civil Enforcement Ordinance. If the above agreement is made after the property has been sold or transferred to another person for enforcement in accordance with the law, it must be agreed upon by the buyer or the person receiving the property for enforcement as stipulated in Articles 44 and 48 of the Civil Enforcement Ordinance.

Article 6. Petition for Enforcement

1. A petition for enforcement, including voluntary enforcement requests (collectively referred to as a petition for enforcement), must be in writing; if the petition is not in Vietnamese, it must be translated into Vietnamese and certified by an authorized authority.

2. A petition for enforcement includes the following main contents:

a) Name, address of the person entitled to enforcement, the person subject to enforcement, and persons with related rights and interests; date of submission of the petition for enforcement;

b) Content of the enforcement request; contents not requested for enforcement. The content of the request must correspond to the content of the judgment or decision to be enforced;

c) Number of the judgment or decision; date of issuance of the judgment or decision; court issuing the judgment or decision, arbitration organization issuing the decision; financial situation, income, place of residence of the person subject to enforcement, and other necessary information (if applicable).

3. If the person entitled to enforcement or the person subject to enforcement directly presents the enforcement request orally at the enforcement agency, the enforcement agency must record these details in a protocol, signed or marked by the petitioner and signed by the officer recording the protocol. The protocol serves as the petition for enforcement.

4. Accompanying the petition for enforcement must be the judgment or decision and related documents (if applicable).

Article 7. Statute of Limitations for Execution Requests

1. The statute of limitations for execution requests as stipulated in Clause 1, Article 25 of the Civil Enforcement Decree shall be calculated from the date when the judgment or decision becomes effective under the law. In cases where the judgment or decision has not yet become effective under the law but is executed immediately, the statute of limitations shall still be calculated from the date when the judgment or decision becomes effective under the law.

The statute of limitations for execution requests only applies to cases of execution based on a request.

The date of sending the execution request form by the party is calculated from the postmark date (if the form is sent via postal service), the date when the party submits the form at the enforcement agency (if the party directly submits the form at the enforcement agency), or the date when the party directly presents the execution request verbally at the enforcement agency.

2. The following situations are considered force majeure or objective obstacles preventing the timely execution request:

a) The person entitled to enforcement or the person subject to enforcement does not receive the judgment or decision without fault on their part;

b) The person entitled to enforcement or the person subject to enforcement is prevented from making a timely execution request due to work requirements, illness, natural disasters, fire, or other objective obstacles;

c) The person entitled to enforcement or the person subject to enforcement dies without identifying the heir; organizations merge, consolidate, split, dissolve, or undergo privatization without identifying the new organization or individual with the right to make the execution request as prescribed by law;

d) Due to the fault of the court, the enforcement agency, or another agency, leading to the inability of the person entitled to enforcement to make a timely execution request.

The person entitled to enforcement must submit a form accompanied by documents proving the reason for the untimely execution request and request the head of the enforcement agency to consider restoring the statute of limitations for execution. The form requesting restoration of the statute of limitations must be confirmed by the People's Committee of the commune where the person resides or by a health authority at the district level or higher (in the case of illness) or by another competent authority regarding the absence of a timely execution request.

The person subject to enforcement has the right to prove that the statute of limitations for execution requests has expired.

Article 8. Verification of Conditions for Enforcement

1. The enforcement agency is responsible for verifying the conditions for enforcement of the person subject to enforcement. Local authorities, property registration agencies, usage registration agencies, secured transaction registration agencies, and related organizations and individuals must create favorable conditions and provide necessary information according to the law to the enforcement agency in verifying the conditions for enforcement of the parties.

If the person subject to enforcement does not have assets for enforcement, they must submit a form stating this fact, with confirmation from the People's Committee of the commune where they reside or from the organization where they work or where their income is managed about the lack of assets for enforcement. The person entitled to enforcement has the right to prove that the person subject to enforcement has assets for enforcement.

2. The person subject to enforcement is deemed to lack the conditions to fulfill financial obligations if any of the following circumstances apply:

a) They have no income or low income, only sufficient to ensure minimum living standards for themselves and their family; they have no assets at the time of verification or although they have assets, the value of these assets is small, insufficient or just enough to cover the costs of enforcement, assets that according to the law cannot be processed for enforcement, or assets that cannot be sold, joint assets that have not been divided or for other objective reasons cannot be processed for enforcement;

b) The person subject to enforcement falls into a prolonged economic hardship situation due to natural disasters, fire, accidents, or illness.

3. The person subject to enforcement is deemed to lack the conditions to fulfill the obligation that they must perform personally as prescribed by the judgment or decision if they are seriously ill or for other objective reasons cannot perform the obligation.

Chapter II

PROCEDURES FOR ENFORCEMENT

Article 9. Accepting judgments and decisions; accepting enforcement request petitions

1. The enforcement agency must record the judgment and decision in the Enforcement Receipt Register immediately upon receipt of the judgment and decision from the court. The Enforcement Receipt Register must clearly record the content of the judgment and decision; the content of the inventory of seized assets and temporary asset detention records (if any). When transferring the judgment and decision, the court that issued the judgment and decision shall be responsible for transferring the evidence and temporarily detained assets (if any) to the enforcement agency.

2. The enforcement agency must record the enforcement request petition in the Enforcement Request Receipt Register and issue a Receipt for Petition to the party immediately upon receipt of the enforcement request petition from the party. The Enforcement Request Receipt Register must clearly record the content of the enforcement request of the party.

3. In cases where the enforcement request petition does not comply with the provisions of Article 6 of this Decree, the enforcement agency shall guide the person requesting enforcement to submit a petition in accordance with the regulations.

If the case does not fall within the jurisdiction of the enforcement agency to issue an enforcement decision, the enforcement agency shall guide the party to submit the petition to the competent enforcement agency according to the provisions of Article 21 of the Civil Enforcement Ordinance.

If there is evidence to determine that the enforcement request petition has exceeded the time limit, the head of the enforcement agency shall issue a decision not to accept the overdue enforcement request.

Article 10. Issuing an enforcement decision

1. The head of the enforcement agency shall issue a single enforcement decision for all items subject to proactive enforcement in a judgment or decision. For items involving the return of property or repayment of advance litigation fees, the head of the enforcement agency shall issue a separate enforcement decision for each party.

The head of the enforcement agency shall issue a single enforcement decision for each enforcement request petition. In complex cases where one person must enforce but multiple parties are entitled to enforcement, the head of the enforcement agency may issue a single enforcement decision for multiple enforcement request petitions.

In cases of joint liability enforcement, the head of the enforcement agency shall issue a single enforcement decision for those with joint rights and obligations.

2. After issuing the enforcement decision, the enforcement agency must record it in the Enforcement Case Register.

The enforcement period starts from the date of issuance of the enforcement decision.

3. The Enforcement Receipt Register, Enforcement Request Receipt Register, Enforcement Case Register, and other registers related to enforcement shall be established according to a unified model prescribed by the Ministry of Justice.

Article 11. Principles of Entrusted Enforcement

1. Entrusted enforcement can only be carried out by the enforcement agency where the person subject to enforcement resides, works, has assets, or has a headquarters.

2. Where there are multiple persons subject to enforcement in different localities or their assets and income are located in different localities, partial entrustment to enforcement agencies in those localities is allowed, except in cases of joint liability enforcement.

3. Entrusted enforcement can be carried out between enforcement agencies regardless of their operational areas, whether they are civil enforcement agencies or military enforcement agencies.

4. County-level enforcement agencies may not entrust enforcement to provincial-level enforcement agencies in their own locality.

Article 12. Authority to Issue Decisions on Entrusted Enforcement

1. The head of the enforcement agency at the provincial level shall entrust enforcement in the following cases:

a) Entrusting the enforcement agency at the provincial level elsewhere to enforce the following matters:

Enforcing judgments and decisions regarding the re-admission of workers or compensation for damages where the person subject to enforcement is a state agency at the provincial level or higher;

Enforcing judgments and decisions involving foreign elements or related to intellectual property rights;

Enforcing judgments and decisions declaring bankruptcy; decisions of the Vietnam Commercial Arbitration Council;

Enforcing judgments and decisions where multiple persons subject to enforcement have joint liability in different districts, counties, towns, cities within the entrusted province;

b) Entrusting the enforcement agency at the military zone level to enforce matters falling under the cases specified in point a, Clause 1 of this Article, but within the jurisdiction of the enforcement agency at the military zone level;

c) Entrusting the enforcement agency at the district level to enforce other matters, except those specified in points a and b, Clause 1 of this Article.

2. The head of the enforcement agency at the district level may entrust matters within their enforcement jurisdiction to the enforcement agency at the provincial level, the enforcement agency at the military zone level, or the enforcement agency at another district level for enforcement.

3. The head of the enforcement agency at the military zone level may entrust matters within their enforcement jurisdiction to another enforcement agency at the military zone level, the enforcement agency at the provincial level, or the enforcement agency at the district level for enforcement.

Article 13. Procedures for Entrusted Enforcement

1. Before entrusting, the enforcement agency must complete the handling of assets temporarily seized, evidence transferred by the Court, and assets subject to seizure directly related to the portion entrusted for enforcement. In cases where the handling of these assets is difficult, prolonged, and it is determined that the value of the assets is insufficient for enforcement, the enforcement agency may entrust to another enforcement agency with conditions for enforcement without waiting for the completion of asset handling.

In cases where the enforcement agency has issued an enforcement decision but finds it necessary to entrust, they must issue a decision to partially or fully revoke the enforcement decision and entrust to the place with conditions for enforcement.

2. The entrusted decision must clearly record the content of the entrustment, the portion already enforced, the portion requiring continued enforcement, and necessary information for the implementation of the entrustment.

The entrusted decision must be accompanied by the judgment, decision, and certified copies of the asset seizure records and temporary asset seizure. In cases where entrustment is required to multiple places, the enforcement agency may make multiple copies of the judgment and decision, stamped by the entrusting enforcement agency, to send to the receiving enforcement agency.

Within no more than three working days from the date of receipt of the entrustment, the receiving enforcement agency must notify the entrusting enforcement agency in writing about the receipt of the entrustment.

3. The receiving enforcement agency, if it determines that the person subject to enforcement does not have assets or resides, works, or has a headquarters in its locality, shall handle as follows:

a) In cases where the entrusting enforcement agency proactively issues an enforcement decision, the receiving enforcement agency must further entrust to the enforcement agency with conditions for enforcement;

b) In cases where the enforcement agency issues an enforcement decision based on a request from the party entitled to enforcement, it must issue a decision to return the request and guide the party to submit the request (along with the returned decision and related documents) to the enforcement agency with conditions for enforcement. The enforcement agency with conditions for enforcement must issue an enforcement decision based on the party's request.

4. The entrusted decision must be sent to the Court that transferred the judgment and decision, the People's Procuracy at the same level, the People's Procuracy at the receiving location, the party entitled to enforcement, the person subject to enforcement, and parties with rights and obligations related to the matter.

Article 14. Suspension of Enforcement

1. In cases where enforcement is initiated proactively, the period for suspending enforcement as stipulated in point c, Clause 1, Article 26 of the Civil Execution Decree shall not exceed ninety days from the date of the decision to suspend enforcement; if the person subject to enforcement is serving a prison sentence or their address cannot be determined, the suspension period may exceed ninety days. During the suspension period, if it is discovered that the person subject to enforcement has the conditions for enforcement or the suspension period has expired, the enforcement agency must issue a decision to continue enforcement.

2. In cases where the seized property is in dispute and being handled by the Court, the suspension period for enforcement shall be calculated from the date the Court accepts the case until the judgment or decision of the Court on resolving the dispute becomes effective.

3. In cases where enforcement is carried out based on a request from the person subject to enforcement, the enforcement agency will only accept the request to suspend enforcement from the person entitled to enforcement if it is agreed upon by the person subject to enforcement.

The request or agreement to suspend enforcement by the parties must be in writing, clearly stating the content of the request and the suspension period, with signatures of all parties.

When the conditions for suspending enforcement no longer exist, the head of the enforcement agency shall issue a decision to continue enforcement.

4. In cases where enforcement is suspended according to Article 26, Clause 2 of the Civil Execution Decree, the request to suspend enforcement must be notified in writing to the enforcement agency, clearly stating the suspension period. The document requesting suspension of enforcement must be signed by the authorized authority to lodge objections. If there is already a document but immediate notification by telephone or telegraph is necessary, the enforcement agency must inform the agency organizing the enforcement of the case about the number, date, month, year of the document; the content of the document and the signatory.

Upon receiving a request to suspend enforcement, within no more than one working day, the enforcement agency must issue a decision to suspend enforcement.

In cases where a request to suspend enforcement is received, but the case is currently being enforced through compulsory measures, if it is deemed that stopping such enforcement would seriously affect the interests of the State and the legitimate rights and interests of the parties involved, the enforcement agency will continue to implement compulsory enforcement measures, but must immediately notify the person who requested suspension of enforcement and the higher-level enforcement agency. If part or all of the case has been enforced, within no more than three working days from the date of receipt of the document, the head of the enforcement agency organizing the enforcement must issue a written notice to the person who requested suspension of enforcement.

Upon receiving a document from the authorized authority regarding the lack of grounds to consider objections to the judgment or decision under the cassation or re-trial procedure, or when the suspension period has expired and the judgment or decision has not been objected to or temporarily suspended from enforcement according to Article 27 of the Civil Execution Decree, the head of the enforcement agency shall issue a decision to continue enforcement and notify the person who requested suspension of enforcement in writing.

Article 15. Suspension of Enforcement

1. In cases where enforcement is suspended according to Clause 1 of Article 27 of the Civil Execution Decree, the Head of the Enforcement Agency must issue a decision to suspend enforcement upon receiving the Court's notification regarding the commencement of procedures to declare bankruptcy. The duration of the suspension of enforcement shall be in accordance with the time limit for the Court's resolution on declaring bankruptcy.

The Enforcement Agency does not issue a decision to suspend enforcement but continues to implement decisions related to enforcement concerning alimony payments; wages, labor remuneration, severance pay, unemployment benefits, social insurance; compensation for damage to life and health as stipulated in Points a, b, and c of Clause 1 of Article 51 of the Civil Execution Decree. The amount collected from enforcement, after paying these amounts, the Enforcement Agency will continue to temporarily hold it pending the Court's resolution outcome.

2. In cases where enforcement is suspended based on the protest decision of the competent authority as provided for in Clause 2 of Article 27 of the Civil Execution Decree, the Enforcement Agency issues a notice of suspension.

If necessary, the request for suspension of enforcement according to Clause 2 of Article 27 of the Civil Execution Decree may be notified by telephone or telegram to the Enforcement Agency regarding the number, date, month, year of the document; the main content of the protest document and the signatory of the protest. The Enforcement Agency must stop enforcement upon receipt of the notification and within no more than one working day from the date of receipt, must issue a notice of suspension of enforcement.

The notice of suspension of enforcement must be sent to the parties involved, the People's Procuracy at the same level, and the person who issued the protest.

3. The Head of the Enforcement Agency issues a decision to resume enforcement in the following cases:

a) There is a decision to withdraw the protest of the competent authority;

b) The Court suspends the resolution of bankruptcy against the enterprise or cooperative that is subject to enforcement;

c) The Supreme Court's supervisory or retrial decision maintains the original judgment or decision under protest.

Article 16. Termination of Enforcement

1. In cases where the supervisory decision modifies or revokes the judgment or decision currently being enforced for retrial according to the first instance or appellate procedure, the Enforcement Agency issues a decision to terminate the enforcement of the previous judgment or decision and issues a decision to enforce the judgment or decision currently in effect.

The Ministry of Justice coordinates with the Supreme People's Court and the Supreme People's Procuracy to guide the restoration of rights and obligations of the parties in cases where the supervisory decision modifies or revokes judgments or decisions that have been enforced.

2. The abandonment of rights or legitimate interests of the person entitled to enforcement in the judgment or decision must be evidenced in writing as prescribed by law. The Enforcement Agency issues a decision to terminate enforcement of the portion for which the person entitled to enforcement has abandoned their rights or interests. In this case, the person entitled to enforcement thereafter has no right to request enforcement again.

Article 17. Handling Seized Assets

1. For seized assets that are weapons, explosives, radioactive materials, military equipment, or cultural relics, the enforcement agency shall issue an enforcement decision in accordance with Article 22 of the Civil Enforcement Decree. Within fifteen days from the date of issuing the enforcement decision, the enforcement agency must complete the procedures to transfer such assets to the relevant state management agency as prescribed by law.

2. For seized assets not falling under the provisions of Clause 1 of this Article, the enforcement agency shall issue an enforcement decision in accordance with Article 22 of the Civil Enforcement Decree. Within fifteen days from the date of issuing the enforcement decision, the enforcement agency must complete the procedures to transfer such assets to the Finance Department for handling as prescribed by law.

3. The handover of assets as stipulated in Clauses 1 and 2 of this Article must be documented in a record, detailing the specific characteristics of the assets, and signed by both parties involved in the handover.

Article 18. Exemption and Reduction of Enforcement for Court Fees and Fines

1. A person subject to enforcement shall be considered to have no assets, income, or other conditions for enforcement when they meet one of the conditions specified in point a (except where the person subject to enforcement has joint property that has not been divided or property that cannot be processed due to objective reasons) or point b of Clause 2 of Article 8 of this Decree.

An organized crime offender, repeat offender, offender who abuses their position or power, or offender who gains substantial illicit benefits as provided in point a of Clause 1 of Article 32 of the Civil Enforcement Decree shall be determined according to the Criminal Code and guiding documents.

2. Exemption from enforcement may be applied in the following cases:

a) The person subject to enforcement meets all the conditions specified in Clause 1 of Article 32 of the Civil Enforcement Decree and Clause 1 of this Article, and the remaining amount to be enforced is twenty million dong or less;

b) A person sentenced to a fine who has actively served part of the sentence but has fallen into a prolonged economic hardship due to natural disasters, fire, accidents, or illness, making it impossible to serve the remaining fine or has made significant contributions, the exemption from enforcement shall be carried out in accordance with Clause 2 of Article 58 of the Criminal Code.

3. Reduction of enforcement may be applied when the person subject to enforcement meets all the conditions specified in Clause 1 of Article 32 of the Civil Enforcement Decree and Clause 1 of this Article in the following cases:

a) For the remaining amount to be enforced between twenty million dong and five hundred million dong, reduction of enforcement may be considered, but each reduction shall not exceed half of the remaining amount to be enforced;

b) For the remaining amount to be enforced between five hundred million dong and one billion dong, reduction of enforcement may be considered, but each reduction shall not exceed one-third of the remaining amount to be enforced;

c) For the remaining amount to be enforced over one billion dong, reduction of enforcement may be considered, but each reduction shall not exceed one-fifth of the remaining amount to be enforced.

4. Consideration of exemption and reduction of enforcement shall be conducted quarterly throughout the year, but each enforcement subject may only be considered for exemption and reduction once within a year.

5. The enforcement agency handling the case shall establish a file for considering exemption and reduction of enforcement, including cases where the matter has been transferred to the People's Committee at the commune level for urging enforcement.

6. A decision on exemption and reduction of enforcement shall be annulled if it is discovered that the person subject to enforcement has engaged in acts of disposing of or concealing assets to evade enforcement, leading to an incorrect assessment of the exemption and reduction of enforcement.

The Ministry of Justice shall coordinate with the Supreme People's Court, the Supreme People's Procuracy, the Ministry of Public Security, and the Ministry of Finance to guide the procedures for considering exemption and reduction of enforcement.

Chapter III

ENFORCEMENT MEASURES

Article 19. Principles for Applying Compulsory Enforcement Measures

1. Enforcement officers may only apply compulsory enforcement measures as prescribed in Article 37 of the Civil Execution Decree.

2. Compulsory enforcement measures may only be applied after the voluntary execution period has expired, except in cases where immediate application of compulsory enforcement measures is required as stipulated in Clause 2, Article 7 of the Civil Execution Decree.

Compulsory enforcement shall not be organized during the time periods specified in Clause 3, Article 7 of the Civil Execution Decree; fifteen days before and after Tet (Lunar New Year); traditional holidays for beneficiaries of preferential policies, if they are the persons subject to execution; and other cases as prescribed by the Minister of Justice.

3. The application of compulsory enforcement measures must correspond to the obligations of the person subject to execution.

4. Enforcement officers base their decision on the content of the judgment or decision; the nature and extent of the execution obligation; the conditions of the person subject to execution; the parties' proposals; and the actual situation in the locality to apply appropriate compulsory enforcement measures.

Article 20. Deduction from the Income of the Person Subject to Execution

1. Other lawful income sources of the person subject to execution, apart from salary and pension benefits as stipulated in Clause 1, Article 40 of the Civil Execution Decree, include income from state officials and employees in economic organizations; income from cooperative members; bonuses; and other lawful income received from an organization or individual managing such income.

Determining the minimum living expenses of the person subject to execution and the person(s) for whom the former has a duty to provide maintenance can be based on specific local conditions where they reside.

2. The implementation of compulsory enforcement measures to deduct from income as prescribed in Article 40 of the Civil Execution Decree also applies when the person subject to execution has no other assets available for execution.

Article 21. Seizure and Delivery of Assets

1. Before issuing a decision to seize assets, the enforcement officer requests the authority responsible for registering ownership and use rights to provide information about the ownership and use rights of the person subject to execution; and requests the authority responsible for registering security transactions to provide information about whether the intended seized assets are being used as collateral for the person subject to execution's obligations to another party or whether the assets managed and used by the person subject to execution are financial lease assets. Within five working days, these authorities must respond in writing to the enforcement officer regarding the requested information.

2. When seizing assets, the enforcement officer must temporarily assess the value of the assets to be seized to match the execution obligation and pay the execution costs. The enforcement officer bases this assessment on market prices while also considering the opinions of relevant agencies and the parties involved.

3. In cases where the assets to be seized are residences or items that are locked or sealed, the enforcement officer requires the person subject to execution and the current user or manager of the assets to unlock or unseal them. If the person subject to execution or the manager/user does not comply or deliberately avoids presence, the enforcement officer records this in a protocol (with at least two witnesses and the participation of a representative from the People's Committee of the commune and the People's Procuracy at the same level), unlocks or unseals the assets for inspection, lists the specific assets, and seizes them according to the law.

In cases where the person subject to execution, the person entitled to execution, or the person with related rights and obligations is serving a prison sentence, the enforcement officer informs these individuals of the execution decisions and notices through the prison warden. A person under detention may authorize another person to exercise their rights and obligations concerning execution according to the law.

4. When discovering that a third party is holding assets belonging to the person subject to execution, the enforcement officer requests the third party to transfer the assets to the execution agency. If the third party refuses to comply voluntarily, the enforcement officer issues a decision to forcibly seize the assets for execution.

If it is discovered that a third party owes money to the person subject to execution, and this debt has been confirmed by an effective judgment or decision, the enforcement officer requests the third party to transfer the amount owed to the execution agency for execution. If the third party fails to comply, the enforcement officer may apply necessary compulsory enforcement measures to recover the debt for execution.

When seizing assets, if there are disputes that have not yet been litigated by the parties, the enforcement officer guides the parties to file a lawsuit with the court to protect their rights. After ninety days from the date of guidance, if the parties do not file a lawsuit, the enforcement officer continues to process the asset for execution (except in cases of objective obstacles as prescribed in Clause 2, Article 7 of this Decree that prevent timely filing).

5. For assets to be seized that require registration of ownership and use rights or registration of security transactions, when issuing a decision to seize assets, the enforcement officer must immediately notify the following authorities of the seizure:

a) The Land Registration Office and the competent authority for registering immovable property in cases of land use rights and immovable property attached to land;

b) Vietnam Civil Aviation Authority, in cases of aircraft;

c) The maritime vessel registration authority and the maritime authority in cases of ships;

d) The Highway Traffic Police Corps and the Highway Traffic Police Department in cases of motor vehicles.

đ) The registration authority under the National Registry of Security Interests under the Ministry of Justice shall handle the registration in cases where the property subject to attachment does not fall within any of the circumstances specified in points a, b, and c of this clause, except for cases where the property subject to attachment is of small value or has been entrusted to an individual or organization with the capacity to store it or is stored in the warehouse of the enforcement agency.

e) Other authorities authorized to register ownership and usage rights in accordance with the provisions of the law.

6. From the moment of receiving notification about the attachment of property, the registration authority for ownership and usage rights of such property shall not carry out the registration of the transfer of such property, except where otherwise provided by law.

The notification regarding the decision to attach property shall be effective against third parties from the date on which such notification is received by the competent authority.

Within no more than three working days from the date of lifting the attachment of property or the completion of the sale or delivery of the attached property for enforcement, the enforcement agency must notify the registration authority for ownership and usage rights of such property and the security interest registration authority as stipulated in Clause 5 of this Article.

7. The compulsory delivery of houses and transfer of land use rights as prescribed in Article 54 of the Civil Enforcement Decree shall also apply in cases of dividing joint assets.

Article 22. Property Not Subject to Attachment

1. In cases where the person subject to enforcement is an individual, the enforcement agency shall not attach the following properties for enforcement:

a) The amount of foodstuffs necessary to meet the essential needs of the person subject to enforcement and their family during the period without income or new harvest; the amount of medicines needed for the prevention and treatment of diseases for the person subject to enforcement and their family;

b) Common tools of labor necessary for the primary or sole means of livelihood of the person subject to enforcement and their family, such as plows, harrows, shovels, spades, cargo bicycles, cyclos, and other tools of low value;

Tools of labor with higher value such as motorcycles, cars, boats, tractors, rice threshers, and other valuable tools may still be attached and sold for enforcement, and a sum of money shall be reserved to allow the person subject to enforcement to replace them with less valuable tools of labor;

c) The amount of clothing and common household items necessary for the person subject to enforcement and their family at the minimum level in each locality, such as pots, pans, plates, beds, wardrobes, tables, chairs, and other common items of low value. Household items or personal belongings such as televisions, refrigerators, air conditioners, washing machines, computers, gold rings, beds, wardrobes, and other valuable items shall still be attached to ensure enforcement;

d) Common items for worship according to local customs.

2. For enterprises, cooperatives, production and business establishments, service providers (collectively referred to as economic organizations) of all economic sectors, the enforcement agency shall not attach the following properties for enforcement:

a) Medicines for treating diseases, equipment, tools, and assets belonging to medical facilities, clinics, and hospitals, except when these are assets for circulation and trade; foodstuffs, utensils, and assets serving midday meals for workers;

b) Kindergartens, schools, and equipment, means, and items belonging to these facilities, if they are not assets for circulation and trade of the enterprise;

c) Equipment, means, and tools ensuring occupational safety; fire prevention and control; environmental pollution prevention;

d) Important infrastructure serving public interests, security, and national defense;

đ) Raw materials, finished products, semi-finished products that are dangerous hazardous chemicals or assets not permitted to circulate;

e) Semi-finished products currently located within a closed production line;

g) Special cases as prescribed by the Minister of Justice after consultation with the Minister of Finance.

3. For state agencies, political organizations, social-political organizations, and social-professional organizations (collectively referred to as agencies and organizations) operating with state budget funds, the enforcement agency shall not attach properties directly funded by the state budget but shall request the agency or organization to submit a written request to the competent authority for financial support to enforce the judgment in accordance with Article 33 of the Civil Enforcement Decree and Article 4 of this Decree.

In cases where the agency or organization has legitimate income from other activities, the enforcement agency shall attach properties originating from such income for enforcement, except for the following properties:

a) Medicines for treating diseases, equipment, tools, and assets belonging to medical facilities, clinics, and hospitals, except when these are assets for circulation and trade; foodstuffs, utensils, and assets serving midday meals for officials and civil servants;

b) Kindergartens, schools, and equipment, means, and items belonging to these facilities, if they are not assets for circulation and trade of the agency or organization;

c) Equipment, means, and tools ensuring occupational safety; fire prevention and control; environmental pollution prevention;

d) Office premises.

Article 23. Valuation of Assets

1. After the seizure, if the parties agree on the value of the seized asset, the Enforcement Officer shall prepare a record detailing such agreement, signed by all parties.

The time limit for the parties to agree on the price shall not exceed five working days from the date of asset seizure. For perishable assets, the parties must immediately agree on the price at the time of seizure.

2. The Enforcement Officer shall establish an Appraisal Board with the composition specified in Clause 2 of Article 43 of the Civil Execution Ordinance, chaired by the Enforcement Officer, to appraise the seized asset when the parties cannot agree on its price or when the appraisal requires the participation of specialized staff. In necessary cases, the Enforcement Officer has the right to hire or request an expert opinion on the value of the asset. Upon request of the Enforcement Officer, the specialized agency shall dispatch a specialist to participate in the appraisal.

The representative of the specialized agency in the Appraisal Board shall be a specialist or technician from the competent authority managing the asset being appraised. If the asset being appraised is a residential property, representatives from the land management agency and the construction management agency must participate in the Appraisal Board.

The Appraisal Board bases its valuation on the market price at the time of appraisal and the expert opinions of the agencies and organizations that appraise the asset to determine the asset's value. The Appraisal Board decides on the asset's price based on the majority opinion; in case of equal opinions among the parties regarding the asset's price, the opinion of the Chairman of the Appraisal Board serves as the basis for determining the initial sale price. Members of the Appraisal Board have the right to retain their own opinions and recommend the head of the enforcement agency to reconsider the valuation.

For perishable assets, if the parties cannot agree on the price at the time of seizure, the Enforcement Officer shall organize immediate valuation for sale.

3. The resolution of complaints about asset valuation shall be carried out in accordance with the provisions of the Civil Execution Ordinance on resolving complaints about execution.

Article 24. Revaluation of Assets

The revaluation of assets as stipulated in points a and b of Clause 5 of Article 43 of the Civil Execution Ordinance shall be conducted as follows:

1. Asset valuation shall be considered a procedural violation if it falls under any of the following circumstances:

a) The Appraisal Board does not comply with the prescribed composition;

b) The parties are not properly notified to participate in the asset valuation;

c) Incorrect application of regulations on asset pricing in cases where the state uniformly manages prices;

d) Serious errors in classifying and determining the percentage value of the asset;

e) Other cases prescribed by law.

2. Seized assets are deemed to have significantly fluctuated in price in the following situations:

a) The asset's price fluctuates by 20% or more for assets valued at less than one hundred million VND;

b) The asset's price fluctuates by 10% or more for assets valued between one hundred million VND and less than one billion VND;

c) The asset's price fluctuates by 5% or more for assets valued at one billion VND or more.

3. The parties have the right to request the enforcement agency to review the price when there is a price fluctuation before the public announcement of the auctioned asset. The enforcement agency shall base its decision on the market price and the price provided by the price management agency to determine whether there has been a price fluctuation and decide on organizing a revaluation.

Article 25. Preservation of Assets for Enforcement

1. The enforcement agency shall carry out the preservation of assets for enforcement according to the judgment or decision. In cases where the judgment or decision does not specify the person responsible for preserving the asset, the preservation of the asset shall be carried out as follows:

a) Seized assets shall be handed over to the person subject to enforcement, the owner, or a relative of that person for preservation;

b) If the seized asset is not being preserved by the person subject to enforcement or the owner, it shall be handed over to the person currently using or managing the asset for preservation;

c) If the person subject to enforcement, the person currently using or managing the asset, or a relative of the person subject to enforcement refuses to accept preservation or there are signs indicating the disposal or destruction of the asset, hindering the enforcement process, then depending on the specific circumstances, the seized asset may be entrusted to an individual or organization with suitable conditions for preservation or stored in the warehouse of the enforcement agency.

2. Assets that have not been processed and are gold, silver, precious metals, gems, foreign currency shall be preserved as follows:

a) In cases where the assets are subject to confiscation for public use but have not yet been processed, the Enforcement Officer must deposit these assets at the state treasury at the same level according to general regulations;

b) In cases where the assets are seized to secure obligations related to property, the Enforcement Officer must complete procedures to deposit these assets in a bank.

Article 26. Sale of Seized Assets

1. For types of seized assets specified in Clause 1 of Article 47 of the Civil Execution Decree, within ten working days from the date of valuation, the enforcement agency must complete procedures to sign a power of attorney contract with an auction organization to sell the asset.

In cases where an auction organization has not been established in the locality or in remote areas with difficult travel conditions, the head of the enforcement agency shall consider and decide on the enforcement agency organizing the sale of auctioned assets for enforcement and bear responsibility for their decision.

The procedure for selling auctioned seized assets shall comply with the Government's regulations on asset auctions.

2. For assets valued at five hundred thousand dong or less or perishable assets as stipulated in Clause 2 of Article 47 of the Civil Execution Decree, the Enforcement Officer shall organize the sale with the presence of witnesses without going through the auction procedure.

For fresh or perishable assets, if no higher bids are made, the Enforcement Officer shall sell the asset at the predetermined price or the agreed price between the parties. If the asset cannot be sold and to prevent damage, the Enforcement Officer may sell it at a lower price than the agreed price or the predetermined price. If it still cannot be sold, the Enforcement Officer shall return the asset to the person subject to enforcement. If the person subject to enforcement does not accept the return of the asset and the asset is damaged and has no value, the Enforcement Officer shall organize its destruction according to Article 36 of the Civil Execution Decree.

3. The following persons are not allowed to participate in purchasing assets sold for enforcement:

a) Persons who directly adjudicated the case involving the asset put up for auction, members of the Valuation Board, Enforcement Officers, enforcement officials directly handling the case, heads of enforcement agencies handling the case, and parents, spouses, or children of those persons;

b) Other cases as prescribed by law.

4. Complaints and denunciations regarding the auction of assets sold by the auction organization shall be handled according to the Government's regulations on asset auctions.

Complaints and denunciations regarding the sale of assets organized by the enforcement agency shall be handled according to the Civil Execution Decree's regulations on handling complaints and denunciations concerning enforcement.

Article 27. Order of Payment for Enforcement Proceeds

1. The payment of enforcement proceeds pursuant to Article 51 of the Civil Enforcement Decree shall be carried out according to the principle that:

a) The enforcement proceeds collected from the enforcement decision of compulsory execution shall be paid to those entitled to enforcement who have submitted requests for enforcement up to the time of the compulsory execution decision. If there are multiple persons entitled to enforcement, the priority order of payment shall be implemented according to the order of payment stipulated in Article 51 of the Civil Enforcement Decree. If there are multiple persons entitled to enforcement within the same priority level, the enforcement proceeds collected shall be paid to them in proportion to the amount they are entitled to enforce.

b) Any remaining funds (if any) shall be paid to those entitled to enforcement based on other enforcement decisions up to the time of payment, according to the priority order stipulated in Article 51 of the Civil Enforcement Decree.

2. In cases where there are multiple persons entitled to enforcement in a judgment, but only some of them submit requests for enforcement and the assets of the person subject to enforcement are insufficient to fulfill the financial obligations under the judgment, when processing the proceeds from the sale of assets, the enforcement agency shall temporarily set aside and deposit into a bank an amount corresponding to the ratio of the proceeds that those who have not submitted requests for enforcement will receive. The enforcement agency shall notify and set a deadline of no more than one month for other persons entitled to enforcement regarding their right to submit requests for enforcement. Upon expiration of the notification period, if the enforcement agency does not receive new enforcement request forms, the remaining funds deposited in the bank shall be further paid to those who have already submitted enforcement request forms according to the provisions of point a, clause 1 of this Article.

3. The proceeds obtained from selling assets that have been seized by the Court to guarantee enforcement for a specific obligation shall be prioritized for payment towards that obligation.

Article 28. Costs of Compulsory Execution

1. The person subject to enforcement must bear the costs of compulsory execution, including:

a) Costs for asset seizure: allowances for the Compulsory Execution Council; costs for compulsory execution protection; fire prevention and explosion control costs (if applicable); construction costs, except in cases where the judgment or decision clearly states that the person entitled to enforcement must bear part or all of the construction costs;

b) Costs for asset valuation and revaluation, except in the cases specified in point a, clause 2 and clause 3 of this Article; auction costs: allowances for members of the Valuation Council, costs for organizing revaluation of assets (if requested by the person subject to enforcement); rental fees for auction locations and means (if applicable); auction fees as prescribed (in cases where the Enforcement Officer authorizes an organization to conduct the auction of seized assets);

c) Costs for renting, watching over, and preserving assets; costs for loading, unloading, and transporting assets;

d) Costs for notifying about compulsory execution.

The allowance for persons directly participating in compulsory execution shall be applied according to the regulations of the Prime Minister. Other costs must be based on actual and reasonable expenses approved by the head of the enforcement agency upon the proposal of the Enforcement Officer. All compulsory execution costs must be notified to the parties involved.

The costs of compulsory execution shall be paid by the person subject to enforcement or deducted from the proceeds of the auctioned seized assets or deducted from the assets of the person subject to enforcement currently held, rented, borrowed, repaired, or maintained by others.

2. The person entitled to enforcement must bear the costs of compulsory execution, including:

a) Costs for revaluation of assets (if the person entitled to enforcement requests revaluation, except in cases of revaluation as provided for in point a and point c, clause 5 of Article 43 of the Civil Enforcement Decree);

b) Part or all of the construction costs in cases where the judgment or decision specifies that the person entitled to enforcement must bear the construction costs.

3. The state budget shall bear the costs of compulsory execution in cases of revaluation of assets as provided for in point a, clause 5 of Article 43 of the Civil Enforcement Decree; cases where the parties are exempted or granted reductions in compulsory execution costs as provided for in clause 5 of this Article and other necessary costs (if any).

Persons responsible for violating procedures related to asset valuation, making incorrect decisions on exemptions or reductions in compulsory execution costs leading to the state budget having to bear such costs shall be liable to reimburse the state budget for that amount.

4. Before organizing compulsory execution, the Enforcement Officer must prepare and submit a compulsory execution plan for approval by the head of the enforcement agency, which includes: time, forces participating, implementation plan; estimated compulsory execution costs. Based on the approved compulsory execution plan, the Enforcement Officer shall proceed with the advance payment procedures for compulsory execution activities. When disposing of assets or collecting money from the person subject to enforcement, the Enforcement Officer must immediately process the refund of previously advanced amounts.

The estimated compulsory execution costs shall be notified to the parties before the compulsory execution is carried out.

5. Parties falling under the provisions of point a, clause 1 of Article 30 of this Decree may submit a request form (with confirmation from the People's Committee of the commune where they reside or their workplace) to the head of the enforcement agency at the place of enforcement to consider granting exemptions or reductions in compulsory execution costs.

Chapter IV

ENFORCEMENT FEES

Article 29. Objects subject to fees; agencies collecting execution fees; fee levels, collection, payment, management, and use of execution fees

1. The person whose civil judgment is being enforced under Article 20 of the Civil Enforcement Ordinance must pay execution fees for the amount of enforcement based on the value of assets or money that such person actually receives, except for the following items:

a) Maintenance payments;

b) Compensation for damage to life, health, reputation, and personality;

c) Wages, labor remuneration;

d) Unemployment benefits, severance pay; social insurance payments; compensation for damage due to termination of employment contracts;

đ) Other cases as prescribed by law.

2. The enforcement agency responsible for the organization of enforcement proceedings shall collect execution fees.

3. The levels of fees, methods of collection, payment, management, use, and exemptions or reductions of execution fees shall be specifically guided by the Ministry of Finance and the Ministry of Justice.

Article 30. Exemption and reduction of execution fees

1. In the following cases, the person whose civil judgment is being enforced may be considered for exemption or reduction of execution fees:

a) Having economic difficulties;

b) Belonging to policy families or having made contributions to the revolution;

c) Being single, disabled, or suffering from prolonged illness.

2. To be considered for exemption or reduction of execution fees, the party must submit a request with confirmation from the People's Committee of the commune where they reside or work, or confirmation from the head of the agency or organization where they are employed.

The application for exemption or reduction of execution fees shall be submitted to the enforcement agency responsible for collecting execution fees. The head of the enforcement agency receiving the application shall consider and decide on the exemption or reduction of execution fees.

Article 31. Complaints regarding execution fees

All complaints related to the collection of execution fees shall be resolved according to the provisions of the Civil Enforcement Ordinance concerning the resolution of complaints during enforcement proceedings.

Chapter V

ADMINISTRATIVE PENALTIES FOR VIOLATIONS

Article 32. Acts and administrative penalties

1. Warning or a fine of VND 50,000 to VND 100,000 shall be imposed on the person required to comply with the judgment for one of the following acts:

a) Intentionally refusing to accept notices or summonses from the enforcement agency;

b) Having received a second notice or summons but failing to appear at the location specified in the notice or summons to perform the enforcement without a valid reason.

2. A fine of VND 100,000 to VND 200,000 shall be imposed on the person required to comply with the judgment for one of the following acts:

a) Intentionally failing to implement a court's urgent temporary decision or a judgment or decision requiring immediate enforcement;

b) Failing to perform a duty ordered by the court or failing to stop performing a prohibited act as specified in the judgment or decision;

c) Having the ability to enforce the judgment but delaying the performance of the enforcement obligation;

d) Dispersing or damaging property to avoid fulfilling the enforcement obligation or to evade asset seizure for enforcement;

đ) Failing to comply with the requirements of the Enforcement Officer regarding the delivery of documents related to the assets to be enforced without a valid reason.

3. A fine of VND 200,000 to VND 500,000 shall be imposed on the person who improperly uses, transfers, substitutes, conceals, or changes the status of seized assets but not to the extent of criminal liability.

4. A fine of VND 500,000 to VND 1,000,000 shall be imposed on the person for one of the following acts:

a) Resisting, obstructing, or inciting others to resist or obstruct; using abusive language or actions against law enforcement officers during enforcement proceedings; disrupting public order at the enforcement site or committing other acts that hinder enforcement activities but not to the extent of criminal liability;

b) Damaging or destroying sealed property or seized assets but not to the extent of criminal liability;

c) Refusing to comply with the Enforcement Officer's decision regarding the deduction from bank accounts, withholding income, or recovering valuable documents of the person required to comply with the judgment.

Article 33. Competence to impose administrative penalties

1. Enforcement officers performing their duties have the authority to issue warnings and impose fines up to VND 200,000 for administrative violations specified in Article 32 of this Decree.

2. Heads of enforcement agencies at the district level have the authority to issue warnings and impose fines up to VND 500,000 for administrative violations specified in Article 32 of this Decree.

3. Heads of enforcement agencies at the provincial level and Heads of enforcement agencies at the military region level have the authority to issue warnings and impose fines up to VND 1,000,000 for administrative violations specified in Article 32 of this Decree.

4. Chairpersons of People's Committees at the commune level have the authority to issue warnings and impose fines up to VND 100,000 for violations specified in Clause 1 of Article 32 of this Decree.

Article 34. Procedures for imposing administrative penalties and handling complaints and denunciations regarding administrative penalties

1. The principles of imposing penalties, the statute of limitations for penalties, aggravating and mitigating circumstances, and specific procedures for imposing penalties shall be implemented in accordance with the Administrative Violations Handling Ordinance 2002 and related legal documents.

2. Complaints and denunciations and the resolution of complaints and denunciations in the imposition of administrative penalties for civil enforcement shall be carried out in accordance with the laws on complaints and denunciations.

Chapter VI

IMPLEMENTING PROVISIONS

Article 35. Effective Date

This Decree takes effect fifteen days from the date of publication in the Official Gazette and replaces Government Decree No. 69/CP dated October 18, 1993 on the procedures for civil enforcement.

Article 36. Responsibility for Implementation

The Ministers, Heads of ministerial-level agencies, Heads of government agencies, Chairpersons of People's Committees of provinces and centrally governed cities are responsible for implementing this Decree./.