Decree No. 57/2010/ND-CP detailing and guiding the implementation of the Ordinance on Procedures for Seizing Ships

Chapter I GENERAL PROVISIONS

Article 1. Scope of Regulation

This Decree stipulates the authority, procedures, and formalities for implementing maritime vessel arrests pursuant to court decisions to ensure the resolution of maritime disputes, the application of provisional measures, the enforcement of civil judgments, judicial commissions from foreign courts, and decisions to release arrested vessels; the handling of vessels when their owners abandon them and the auctioning of arrested vessels; and other related issues.

Article 2. Applicability

This Decree applies to agencies, organizations, and individuals in Vietnam and foreign agencies, organizations, and individuals related to vessels arrested in Vietnam.

Article 3. Explanation of Terms

In this Decree, the following terms are understood as follows:

1. Maritime vessel arrest means prohibiting or restricting the movement of a maritime vessel by a competent court decision to ensure the resolution of maritime disputes, the application of provisional measures, at the request of a civil enforcement agency, or pursuant to a judicial commission from a foreign court;

2. Release of a maritime vessel means allowing the vessel to move when the period of arrest has expired, the arrest decision has been revoked, or there is a court decision to release the arrested vessel;

3. Decision to arrest a maritime vessel is a decision by a competent court to arrest a maritime vessel to ensure the resolution of maritime disputes, the application of provisional measures, at the request of a civil enforcement agency, or pursuant to a judicial commission from a foreign court;

4. Decision to release a maritime vessel is a decision by a competent court to release an arrested maritime vessel;

5. Port Authority is the maritime port authority or inland waterway port authority in the region where the maritime vessel is operating and is required to be arrested;

6. Auction sale of an arrested maritime vessel pursuant to a court judgment or decision is the sale of the vessel through an auction process;

7. Pursuit means using appropriate functional forces to chase down a maritime vessel with an arrest decision but which does not comply with the arrest decision, leaves the port without authorization, or leaves the designated position before the court's arrest decision or before the Port Authority Director receives the court's arrest decision for the maritime vessel.

Chapter II IMPLEMENTATION OF MARITIME VESSEL ARRESTS AND RELEASE OF ARRESTED MARITIME VESSELS

Section 1 AUTHORITY TO IMPLEMENT MARITIME VESSEL ARRESTS AND RELEASE OF ARRESTED MARITIME VESSELS

Article 4 Responsibilities and Authorities of the Port Authority Director

1. The Port Authority Director implements maritime vessel arrest decisions and release decisions for arrested vessels according to this Decree and relevant laws. The Port Authority Director may delegate these responsibilities to deputy directors or representatives of the Port Authority. Such delegation must be in writing.

2. When implementing maritime vessel arrest decisions and release decisions for arrested vessels, the Port Authority Director shall have the following responsibilities and authorities:

a) To lead and coordinate with relevant state management agencies to implement maritime vessel arrests and releases according to court decisions;

b) To designate anchorage positions and impose restrictions on activities and movements of arrested vessels; to revoke departure permits if the vessel has already been issued such permits;

c) To coordinate with border guard forces, inland waterway traffic police, and other state management agencies to regularly inspect and supervise arrested vessels during the arrest period;

d) To decide on pursuing vessels that have left the port or left their designated positions without authorization after receiving an arrest decision, and to request border guard forces, maritime police, and inland waterway traffic police to carry out the pursuit;

đ) To coordinate with border guard forces, maritime police, and inland waterway traffic police during the pursuit of vessels.

3. The Port Authority Director has the right to refuse to implement a maritime vessel arrest decision by a court if the vessel subject to the arrest decision has left the jurisdiction of the Port Authority.

Article 5. Responsibilities and Authorities of Border Guard Forces, Coast Guard, Maritime Traffic Police, and Other State Management Organizations

1. Border Guard Forces and Maritime Traffic Police in the relevant areas shall be responsible for:

a) Organizing supervision of ships during the period when ships are detained at designated anchorage positions within their operational scope upon request of the Port Director;

b) Detecting, preventing, and promptly informing the Port Director when ships move without authorization or fail to comply with movement restrictions during detention.

2. Border Guard Forces, Coast Guard, and Maritime Traffic Police in the relevant areas shall organize pursuit of detained ships according to the provisions of Article 9 of this Decree upon request of the Port Director.

3. State management agencies on maritime affairs, security, quarantine, customs, taxation, culture-information, fire prevention, environmental protection, pilot organizations, and other related agencies shall cooperate in implementing decisions to detain ships and release detained ships upon request of the Port Director and shall be subject to the direction of the Port Director in coordinating the implementation of such decisions.

Article 6. Responsibilities of the Ship Captain of Detained Ships or Released Ships

1. Comply with the decision to detain ships and the decision to release detained ships issued by the court.

2. Immediately notify the ship owner, charterer, operator, and other parties with legitimate rights and interests about the detention or release of the ship upon receipt of the decision to detain or release the ship.

3. Maintain the operation of the ship, preserve the ship, its property, and cargo carried on board in accordance with the law.

4. Implement the requirements of the Port Director regarding limitations on the operation and movement of the ship during the period of detention.

SECTION 2 PROCEDURES FOR IMPLEMENTING DECISIONS TO DETAIN SHIPS

Article 7. Procedures for Implementing Decisions to Detain Ships

1. Upon receiving the decision to detain a ship from the Court, the Port Director shall issue a notice to implement the decision to detain the ship and assign a Port Officer to carry out the decision to detain the ship issued by the Court. The content of the notice to implement the decision to detain the ship shall follow the model prescribed in Appendix I attached to this Decree.

2. After being assigned, the Port Officer must go aboard the ship to announce and hand over the decision to detain the ship and the notice to implement the decision to detain the ship to the Ship Captain for execution. In case the Ship Captain is not present on the ship, it shall be handed over to the Chief Officer or the On-duty Officer. If there is no person to sign for the receipt of the decision to detain the ship, the Port Officer shall prepare a record with the signature of a witness (if any) and affix the Court's decision and the notice to implement the decision to detain the ship in the main deck passage area near the entrance of the ship.

3. The Port Officer shall be responsible for recovering the port clearance permit if the ship has been issued a port clearance permit.

4. The announcement, handing over, receipt of the decision to detain the ship, the notice to implement the decision to detain the ship, and recovery of the port clearance permit (if applicable) must be recorded in a record following the model prescribed in Appendix III attached to this Decree.

5. In cases of force majeure where the Port Officer cannot board the ship to perform the tasks stipulated in Clause 2 of this Article, the Port shall immediately inform the Court, the Ship Captain, or the ship owner, the ship owner's agent, and other relevant agencies and organizations at the port through appropriate means; and simultaneously apply appropriate measures to promptly inform and hand over the decision to detain the ship.

6. Immediately after completing the implementation of the decision to detain the ship, the Port Director shall notify in writing the Court, the Vietnam Maritime Administration, or the Vietnam Inland Waterways Administration, and other relevant state management agencies at the port about the implementation of the decision to detain the ship.

Article 8. Cases where a ship leaves the port upon a decision to arrest

1. In cases where the Port Authority receives a decision to arrest a ship after it has left the port wharf or anchorage area, the Port Authority must immediately contact the Ship Captain or the ship owner, or the agent of the ship owner to notify about the court's decision to arrest the ship, requesting the Ship Captain to anchor the ship at the location designated by the Port Authority for the execution of the ship arrest decision.

2. In cases where it is not possible to contact the Ship Captain, the ship owner, or the agent of the ship owner, or if the Ship Captain does not anchor the ship at the location designated by the Port Authority, or if the Ship Captain moves the ship from its anchorage position after receiving the ship arrest decision, the Port Authority requests the Border Guard Force, Coast Guard, or Waterway Traffic Police to pursue the ship with the arrest decision.

Article 9. Coordination in pursuing ships with court arrest decisions

1. In cases where it is necessary to pursue a ship with a court arrest decision, based on actual conditions, the ship's operational location, and the operational range of the pursuit forces, the Port Authority Director requests the Coast Guard Region or the Border Guard Command, Waterway Traffic Police of the province or centrally administered city where the ship is operating to take the lead or coordinate in the pursuit. The request for pursuit must be made in writing.

2. The document requesting the pursuit of the ship is sent urgently through official correspondence, fax, or other electronic means. The content of the document must clearly state the ship's name, nationality, IMO number, registered port, distinctive features of the ship; the arrest decision number, date and year of issuance, the court issuing the decision, the reason for the arrest, the time of departure from the port, the position, direction, and expected destination port of the ship (if applicable).

3. Immediately upon receipt of the Port Authority Director's pursuit request document, the head of the requested Coast Guard Region or Border Guard Command, Waterway Traffic Police must mobilize specialized forces and equipment under their jurisdiction to pursue the ship with the court arrest decision, while informing the Port Authority. If pursuit cannot be organized, the reasons must be clearly stated. During the pursuit, the leading force may request other forces to cooperate in the pursuit if deemed necessary.

4. During the pursuit, the pursuit force must maintain regular communication and report the situation to the Port Authority to coordinate in pursuing the ship with the court arrest decision.

5. After completing the pursuit, the pursuit force is responsible for escorting the ship to the designated anchorage location, handing it over to the ship monitoring force according to Clause 1, Article 5 of this Decree, and notifying the Port Authority to execute the court's ship arrest decision.

6. In cases where there is no contact with the ship or the pursuit cannot be carried out or is unsuccessful, the Port Authority Director must immediately notify in writing and through electronic means the court and relevant agencies. The notification content must clearly state the time the ship left the port and the expected destination port, the communication and pursuit measures applied by the Port Authority and related agencies and organizations.

7. The Port Authority leads and coordinates with the Coast Guard Region, Border Guard Command, Waterway Traffic Police of the province or centrally administered city to issue regulations on coordinating in pursuing ships with court arrest decisions within the Port Authority's management area.

Article 10. Costs of Implementing the Arrest of a Seagoing Vessel

1. The costs of implementing the arrest of a seagoing vessel include the costs of arresting the seagoing vessel pursuant to the decision of the Court, the costs of supervising the seagoing vessel during the period of arrest, and the costs of pursuing the seagoing vessel (if applicable).

2. The costs of implementing the arrest of a seagoing vessel shall be paid according to the following principles:

a) The shipowner shall be responsible for payment if the request for the arrest of the seagoing vessel is correct;

b) The person requesting the arrest of the seagoing vessel shall be responsible for payment if the request for the arrest of the seagoing vessel is incorrect;

c) Payment from the proceeds of the auction sale of the seagoing vessel in cases where the shipowner abandons the vessel;

d) The State budget shall pay in the following cases: - Cases where the pursuit of the seagoing vessel was unsuccessful and the request for the arrest of the seagoing vessel is correct; - Other special cases decided by the Ministry of Transport. The Ministry of Finance shall provide detailed guidance on ensuring the costs of implementing the arrest of a seagoing vessel from the State budget as stipulated in this point.

Article 11. Costs of Maintaining the Operation of a Seagoing Vessel During the Period of Arrest

1. The shipowner and the vessel operator shall be responsible for providing funds to ensure the maintenance of the operation of the arrested seagoing vessel.

2. In cases where the shipowner and the vessel operator fail to provide or are unable to continue providing funds to maintain the operation of the seagoing vessel, the Master and the agent of the shipowner shall be responsible for applying necessary measures to ensure the maintenance of the operation of the arrested seagoing vessel.

3. In cases where the organizations and individuals specified in Article 1 and Article 2 of this Decree are unable to provide financial support to maintain the operation of the vessel, the Port Authority shall be responsible for providing necessary financial support to ensure the maintenance of the operation of the arrested seagoing vessel.

4. All costs related to maintaining the operation of the seagoing vessel during the period of arrest shall be paid according to agreements between the parties or according to the decision of the Court. These costs shall be paid according to the following principle:

a) The shipowner shall be responsible for payment if the request for the arrest of the seagoing vessel is correct;

b) The person requesting the arrest of the seagoing vessel shall be responsible for payment if the request for the arrest of the seagoing vessel is incorrect;

c) Payment from the proceeds of the auction sale of the seagoing vessel in cases where the shipowner abandons the vessel;

d) The State budget shall pay in other cases; The Ministry of Finance shall take the lead and coordinate with the Ministry of Transport to specify and provide detailed guidance on ensuring necessary costs to maintain the safe operation of the seagoing vessel in cases where the State budget pays.

PART 3 PROCEDURES FOR IMPLEMENTING THE RELEASE OF A SEAGOING VESSEL THAT IS CURRENTLY UNDER ARREST

Article 12. Procedures for Implementing the Decision to Release a Seagoing Vessel Pursuant to the Decision of the Court

1. Immediately upon receipt of the decision to release a seagoing vessel that is currently under arrest from the court, the Director of the Port Authority shall issue a notice to implement the decision to release the seagoing vessel and assign a staff member of the Port Authority to implement the court's decision to release the seagoing vessel. The content of the notice to implement the decision to release the seagoing vessel that is currently under arrest shall be in accordance with the model prescribed in Appendix II issued together with this Decree.

2. Immediately after being assigned, the staff member of the Port Authority must board the vessel to announce and hand over the decision to release the seagoing vessel that is currently under arrest, and the notice to implement the decision to release the seagoing vessel to the Master for execution. In cases where the Master is not present on the vessel, it shall be handed over to the Chief Officer or the Watchkeeping Officer. In cases where there is no person to sign for the handover of the decision to release the seagoing vessel that is currently under arrest, the staff member of the Port Authority shall prepare a record with the signature of a witness (if any) and affix the court's decision and the notice to implement the decision to release the seagoing vessel in the main deck passage area near the entrance of the vessel.

3. The announcement and handover of the decision to release the seagoing vessel that is currently under arrest, and the notice to implement the decision to release the seagoing vessel that is currently under arrest shall be recorded in a record in accordance with the model prescribed in Appendix III issued together with this Decree.

4. In cases of force majeure, where the staff member of the Port Authority cannot board the vessel to hand over the decision to release the seagoing vessel as stipulated in Clause 2 of this Article, the Port Authority must immediately notify the court, the Master, or the shipowner, the vessel operator, the agent of the shipowner, and relevant agencies and organizations at the port through appropriate means; and simultaneously find ways to implement as soon as possible.

5. Immediately after completing the implementation of the decision to release the seagoing vessel that is currently under arrest, the Director of the Port Authority shall be responsible for notifying in writing the court, the Vietnam Maritime Administration, or the Vietnam Inland Waterways Administration, and relevant state management agencies at the port about the implementation of the decision to release the seagoing vessel that is currently under arrest. At the same time, the Director of the Port Authority shall be responsible for issuing a departure permit for the seagoing vessel in accordance with the law.

Article 13. Procedure for releasing a ship when the court's decision to seize the ship is revoked

The procedure for releasing a ship when the court's decision to seize the ship is revoked shall be carried out as prescribed in Article 12 of this Decree.

Article 14. Procedure for releasing a ship when the period for seizing the ship as provided by the court has expired

Immediately after the period for seizing the ship as decided by the court has expired, if no request or written decision from the court regarding continued seizure of the ship is received, the Director of the Port Control Office shall be responsible for issuing a permit for the ship to leave the port in accordance with the provisions of the law, and at the same time notify in writing the court, the Vietnam Maritime Administration, or the Vietnam Inland Waterways Administration, and other relevant state management agencies at the port about the issuance of the permit for the ship to leave the port.

Chapter III HANDLING OF SHIPS IN CASES WHERE THE SHIP OWNER ABANDONS THE SHIP AND AUCTIONING OF THE SHIP

Article 15. Ship owner abandoning a seized ship

A seized ship is considered abandoned by the ship owner in the following cases:

1. The ship owner declares in writing their abandonment of the seized ship without transferring the rights and obligations related to that ship to a legitimate insurance organization or authorizing another organization or individual. The ship owner's declaration of abandonment must be sent to the court that issued the decision to seize the ship and the Port Control Office implementing the decision to seize the ship;

2. The ship owner abandons the ship in fact and after thirty days from the date the Port Control Office sends a written notice to the ship owner and makes three consecutive announcements in central and local mass media about the ship owner's responsibility for the seized ship, the ship owner does not contact the agency making the announcement.

Article 16. Ship owner abandoning a ship seized to secure maritime claims

Handling of the case where the ship owner abandons a ship seized by the court to secure maritime claims shall be carried out as follows:

1. Where the party requesting the seizure of the ship files a lawsuit with the court to resolve the dispute and the court accepts the case, the handling of the ship shall be decided by the court based on the judgment or decision of the court;

2. Where the party requesting the seizure of the ship does not file a lawsuit with the court or files a lawsuit but the court rejects the request, the ship shall be auctioned off to be included in the state budget.

Article 17. Ship owner abandoning a ship seized under an emergency provisional measure to seize the ship

In the case where the ship owner abandons a ship seized under an emergency provisional measure, the handling of the ship shall be decided by the court that issued the decision to apply the emergency provisional measure to seize the ship through its judgment or decision.

Article 18. Ship owner abandoning a ship seized to enforce a judgment

In the case where the ship owner abandons a ship seized for enforcement of a judgment, the civil enforcement agency shall be responsible for auctioning off the ship according to the judgment or decision of the court to enforce the judgment. If the enforcement obligation is to return the ship to the person entitled to enforcement, the enforcement agency shall organize the transfer of the ship to the person entitled to enforcement.

Article 19. Owner's abandonment of a ship seized under a foreign court’s judicial commission for ship arrest

The handling of cases where the owner abandons a ship that has been seized under a foreign court’s judicial commission for ship arrest shall be carried out as follows:

1. The court issuing the decision to seize the ship under judicial commission shall base its actions on the judgment, decision, or request from the foreign court that commissioned the ship arrest to handle the seized ship.

2. In the event that there is no request from the foreign court that commissioned the judicial seizure beyond the seizure period, the ship shall be auctioned off to be incorporated into the state budget.

Article 20. Auctioning of Seized Ships

1. The auctioning of seized ships shall be conducted in accordance with the court’s judgment or decision.

2. The procedures and formalities for auctioning seized ships shall be carried out in accordance with the laws governing the auctioning of assets.

Article 21. Principles for Payment of Fees, Charges, Costs of Ship Arrest and Debts from the Proceeds of Auctioning Ships

The proceeds from the auctioning of ships shall be paid for various fees, charges, costs of ship arrest, and debts in the following priority order:

1. Enforcement fees, costs of ship arrest, and auctioning costs, as well as maintenance costs of the ship during the arrest period;

2. Maintenance payments, wages, labor compensation, severance pay, unemployment benefits, disability benefits; compensation for damages to life, health, and mental distress suffered by crew members working on the ship;

3. Court fees and litigation expenses;

4. Maritime fees and charges;

5. Other debts as stipulated in the court’s judgment or decision. The payment of these fees, charges, and debts as provided in this Article must be completed within ten days from the date of receipt of the proceeds from the auctioning of the ship.

Chapter IV IMPLEMENTATION PROVISIONS

Article 22. Effectiveness

This Decree takes effect from July 9, 2010.

Article 23. Implementation Organization

1. The Minister of Transport is responsible for implementing this Decree.

2. Ministers, Heads of ministerial-level agencies, Heads of government-affiliated agencies, Chairpersons of provincial People's Committees directly under the central government shall be responsible for enforcing this Decree./.