Circular No. 28/BXD-QLN guiding the management of activities of service enterprises for foreigners renting houses

CIRCULAR

OF THE MINISTRY OF CONSTRUCTION NUMBER 28/BXD-QLN DATED NOVEMBER 16, 1995

GUIDELINES FOR MANAGING THE ACTIVITIES OF ENTERPRISES PROVIDING SERVICES FOR FOREIGNERS RENTING HOUSING
SERVICES FOR FOREIGNERS TO RENT HOUSING

Pursuant to the Regulation on renting housing for foreigners and overseas Vietnamese residents in Vietnam issued pursuant to Decree No. 56/CP dated September 18, 1995 of the Government: The Ministry of Construction guides the management of activities of enterprises providing services for foreigners renting housing as follows:

This technical regulation sets out technical requirements, testing methods, sampling procedures; management requirements; responsibilities of organizations and individuals producing, trading, and importing cigarettes.

1. An enterprise providing services for foreigners renting housing (hereinafter referred to as the Service Enterprise) is a state economic organization established by the People's Committee of the Province/City directly under the Central Government (hereinafter referred to as the Provincial People's Committee) with the aim of implementing service activities for foreigners renting housing in the locality.

The Service Enterprise is a unit with legal personality; it has an organizational structure suitable for its brokerage and rental service functions; it has rights and obligations in business operations in accordance with the law.

The Service Enterprise must be established and registered for business in accordance with the provisions of the law.

2. The Service Enterprise must meet the following basic requirements:

a. It must have an organizational structure and staffing in accordance with the regulations of the Provincial People's Committee;

b. It must have a cadre and staff who are proficient in economic principles, understand the laws and policies regarding the management and use of real estate and construction, and are knowledgeable about brokerage and rental services;

c. The direct transaction staff must be fluent in foreign languages, understand communication principles as well as customs and preferences of foreigners;

d. It must have sufficient equipment necessary for professional work.

3. Service activities for foreigners renting housing include all contents related to brokerage, service, information, advisory services aimed at meeting the needs of both the landlord and tenant sides, as well as marketing, advertising, market research activities and other necessary activities in accordance with the law.

II. SPECIFIC PROVISIONS

1. Procedures for establishing a service enterprise shall be carried out in accordance with Chapter III of the State Enterprise Law, specifically as follows:

a. The head of the founding agency of the service enterprise is the person proposing establishment and organizing the procedures for establishing the service enterprise;

b. The proposer of the establishment of the service enterprise must prepare and submit the application dossier for establishing the service enterprise to the Provincial People's Committee. The dossier includes:

- A proposal for establishing the service enterprise;

- A project for establishing the enterprise;

- Estimated charter capital;

- Draft articles of association of the enterprise.

2. Registration procedures for the service enterprise shall be carried out in accordance with Chapter III of the State Enterprise Law, specifically as follows:

a. The enterprise shall register for business at the provincial planning committee where the enterprise's main office is located.

The business registration dossier includes:

- Decision on establishment of the enterprise;

- Articles of association of the enterprise;

- Certificate of the main office of the enterprise;

- Decision appointing the General Director of the enterprise.

b. Within no more than 60 days from the date of the establishment decision, the enterprise must register for business.

3. Service activities for foreigners renting housing involve undertaking on behalf of the landlord the entire activities related to renting housing (acting as agent) or performing specific tasks related to renting or leasing housing, including:

- Providing legal advice to customers (landlords or tenants) upon request;

- Providing information and introductions to customers about houses available for rent or lease upon request;

- Performing legal procedures for customers related to renting or leasing housing, including tasks such as applying for rental permits, applying for tenancy, or other necessary procedures as prescribed by law.

4. Service activities for renting and leasing housing must be conducted through a contract signed between the two parties: the service enterprise and the customer. The contract must specify the following main contents:

a. Names and addresses of the two parties;

b. Contents of the contractual work;

c. Rights and responsibilities of each party;

d. Duration of the contract's validity;

e. Fees and payment methods between the two parties.

5. The service enterprise is obligated to strictly implement accounting and statistical systems in accordance with the Accounting and Statistics Ordinance, and to declare and register tax payments with the tax authority in accordance with current regulations.

During the provision of services according to customer requests, the service enterprise is responsible for fulfilling the content agreed upon with the customer; it may not cause inconvenience to landlords, tenants, and may not collect any additional fees beyond those stipulated by the Ministry of Finance for service fees or agency fees.

6. The agency issuing rental permits and other local agencies are responsible for creating conditions for the service enterprise to operate in accordance with the law; ensuring that rental permit issuance deadlines are met within the prescribed time limit (maximum 30 days); they may not cause inconvenience to landlords, tenants, and the service enterprise; they may not collect any additional costs beyond those stipulated by the Ministry of Finance.

7. Any violations by the service enterprise during the process of providing services for foreigners renting housing will be handled in accordance with current laws.

III. IMPLEMENTATION.

The Provincial People's Committee is responsible for reorganizing service units for foreigners renting housing within their territorial jurisdiction; suspending the operations of organizations and local agencies that violate the Regulations issued along with Decree No. 56/CP and the guidelines of this Circular; considering decisions to establish service enterprises or entrusting state-owned enterprises specializing in housing business to undertake service activities for foreigners renting housing in accordance with the actual situation in the locality.

This Circular replaces previous guidelines on the operation of housing rental services for foreign tenants and shall take effect from the date of issuance.

In the course of implementation, if difficulties or obstacles arise, it is recommended that relevant sectors and localities promptly report to the Ministry of Construction for coordinated research and resolution.