Decree No. 57/2001/ND-CP on Conditions for Marine Transport Business Operations

DECREE OF THE GOVERNMENT

On conditions for marine cargo transportation business

THE GOVERNMENT

Pursuant to the Government Organization Law dated September 30, 1992;

Based on the Maritime Code of Vietnam dated June 30, 1990;

Pursuant to the Law on Foreign Investment dated November 12, 1996, and the Law Amending and Supplementing Certain Provisions of the Law on Foreign Investment in Vietnam dated June 9, 2000;

Pursuant to the State Enterprise Law on April 20, 1995;

Pursuant to the Enterprise Law dated June 12, 1999;

Pursuant to the Cooperative Society Law dated March 20, 1996;

At the proposal of the Minister of Transport,

DECREE:

PART I

GENERAL PROVISIONS

Article 1. Scope and Applicability

1. This Decree applies to the business of marine cargo and passenger transportation by enterprises established and operating under Vietnamese law.

2. The enterprises referred to in this Decree include state-owned enterprises, limited liability companies, joint-stock companies, partnerships, private enterprises, cooperatives, and foreign-invested enterprises in the form of joint ventures.

Article 2. AApplication of laws

1. Marine cargo transportation business activities in Vietnam must comply with the provisions of this Decree and other relevant Vietnamese regulatory legal documents, and international treaties to which Vietnam is a party.

2. In cases where an international treaty to which the Socialist Republic of Vietnam is a party provides different provisions, such provisions shall apply.

3. In cases where Vietnamese law and international treaties have not provided for a matter, international custom agreed upon by the parties shall be applied.

Article 3. Explanation of Terms

In this Decree, the following terms shall be understood as follows:

1. "Marine cargo transportation business" means the exploitation of ships by enterprises to transport goods, passengers, and luggage on marine routes.

2. "Vietnamese shipowner" means the owner or charterer of a ship that has been registered in the "National Register of Ships" of Vietnam.

3. "Transport document" means a bill of lading, delivery receipt, or other equivalent document for the carriage of goods; and ticket or contract for the carriage of passengers.

4. "International route" means a maritime route from a Vietnamese seaport to one or more foreign seaports and vice versa.

Article 4. Freight Rates

Marine freight rates shall be agreed upon by the parties, except where otherwise provided by law.

Chapter II

CONDITIONS FOR MARINE CARGO TRANSPORTATION BUSINESS

Article 5. Conditions for Enterprises

Enterprises engaged in marine cargo transportation business must meet the following conditions:

1. Be a Vietnamese shipowner.

2. Have concluded labor contracts in writing with crew members and arranged sufficient crew complements as prescribed by the Minister of Transport.

3. Have purchased civil liability insurance for the shipowner and crew insurance. For passenger transportation, additional passenger insurance is required.

4. Have registered sample transport documents with the Vietnam Maritime Administration if the enterprise uses one or more types of documents called transport documents as stipulated in Clause 3, Article 3 of this Decree.

5. In the case of international route transportation, in addition to the conditions set forth in Clauses 1, 2, and 3 of this Article, the enterprise must have a "Certificate of Compliance" issued by the Vietnam Ship Registry, in accordance with the regulations of the Minister of Transport based on the International Safety Management Code adopted by the International Maritime Organization.

6. Ships must possess the following documents:

a) A ship registration certificate issued by the Vietnam Maritime Administration;

b) Certificates of technical safety and certificates of oil pollution prevention and sewage discharge issued by the Vietnam Ship Registry or foreign registries authorized by the Vietnam Ship Registry;

c) Radio station license as prescribed;

d) In the case of international route transportation, in addition to the conditions set forth in Points a, b, and c of Clause 6 of this Article, ships must have a "Safety Management Certificate" issued by the Vietnam Ship Registry, in accordance with the regulations of the Minister of Transport based on the International Safety Management Code adopted by the International Maritime Organization.

7. Officers and crew members working on Vietnamese ships must hold appropriate professional certificates corresponding to their positions as prescribed by the Minister of Transport:

a) Professional competence certificate;

b) Basic Training Certificate;

c) Proficiency Training Certificate;

d) Special Training Certificate.

Article 6. Other Conditions

During the operation of marine cargo transportation, in addition to complying with the conditions stipulated in Article 5 of this Decree, when transporting goods that are required to have a permit, enterprises may only transport such goods if they possess the necessary permits.

Chapter III

INSPECTION, AUDIT, COMPLAINTS,

REPORTING AND HANDLING VIOLATIONS

Article 7. Inspection and Audit of Marine Cargo Transportation Business Activities

1. The Minister of Transport shall be responsible for organizing inspections and audits of marine cargo transportation business activities and handling violations according to the provisions of the law.

2. The contents of inspection and audit include compliance with legal regulations on marine cargo transportation business operations and implementation of registrations committed to competent state agencies.

Article 8. Complaints and Accusations

Enterprises have the right to file complaints, accusations, or initiate lawsuits before the Court according to the provisions of the law regarding acts of state agencies or individuals violating the rights of enterprises as stipulated by the law.

Article 9. Handling Violations

Organizations and individuals who violate the provisions of this Decree will be subject to disciplinary action, administrative penalties, or criminal prosecution, depending on the nature and severity of the violation, and must compensate for damages according to the law if damage is caused.

Chapter IV

IMPLEMENTING PROVISIONS

Article 10. Effective Date

1. This Decree takes effect fifteen days from the date of signature.

2. Abolish the provisions on international maritime transport stipulated in point d, Clause 1 and point d, Clause 2, Article 13 of Government Decree No. 16/CP dated February 21, 1997 on conversion and registration of cooperatives and organization of cooperative unions.

Article 11. Transitional Provisions

1. Enterprises currently engaged in marine cargo transportation that meet the conditions stipulated in this Decree may continue their operations.

2. Enterprises currently engaged in marine cargo transportation that do not meet the conditions stipulated in this Decree must ensure compliance with the conditions within ninety days from the effective date of this Decree.

Article 12. Implementation Provisions

Ministers, Heads of ministerial-level agencies, Heads of government-attached agencies, Chairpersons of provincial People's Committees under central cities, and related organizations and individuals are responsible for implementing this Decree./.