Decision No. 729/1999/QĐ-BGTVT Issuing the Regulation on the Organization and Management of Passenger Transport Activities by Contractual Vehicles

Pursuant to …;

Issuing the Regulation on the Organization and Management of Passenger Transport Activities by Contractual Method

for Motor Vehicles

__________________

THE MINISTER OF TRANSPORTATION

Pursuant to Decree No. 22/CP dated March 22, 1994 of the Government on the tasks, powers, responsibilities for state management and organizational structure of the Ministry of Transport;

To strengthen state management over the field of road passenger transport, creating a fair business environment for all economic sectors;

At the proposal of the Director of the Vietnam Highway Administration and the Head of the Legal and Transport Department,

DECISION:

Article 1.-Now hereby promulgates with this Decision the "Regulation on the Organization and Management of Passenger Transport Activities by Contractual Method for Motor Vehicles."

Article 2.-This Decision shall take effect fifteen days from the date of signature. Previous regulations contrary to this Decision are abolished.

Article 3.-The Director of the Vietnam Highway Administration is responsible for guiding and coordinating with Provincial Departments of Transport (Public Works) to organize and supervise the implementation of this Decision.

Article 4.-The Heads of the Office of the Ministry, the Legal and Transport Department, the Vietnam Highway Administration, the Directors of Provincial Departments of Transport (Public Works), and the Heads of agencies and units concerned are responsible for implementing this Decision.

REGULATIONS

On the organization and management of passenger transport activities

by contractual method

_____________________

(Issued together with Decision No. 729/1999/QĐ-BGTVT dated March 24, 1999 of the Minister of Transport)

Chapter 1

GENERAL PROVISIONS

Article 1.-

This Regulation stipulates the basic principles regarding the organization and management of motor vehicles engaged in public passenger transport services under the contractual lease method.

Article 2.- Scope of Application and Regulatory Reach

- This Regulation applies to all organizations and individuals of all economic sectors, including those with joint venture or cooperative business operations with foreign entities, operating within the territory of the Socialist Republic of Vietnam, who have been authorized by competent state management authorities to engage in public passenger transport (referred to collectively as transport units) both domestically and internationally (implementing bilateral agreements on road transport signed between the Socialist Republic of Vietnam and other countries).

- Motor vehicles not permitted to operate in public passenger transport shall not be allowed to carry passengers under the contractual lease method.

- Taxi vehicles operating under the contractual method shall comply with the temporary regulations on the organization and management of public passenger transport by taxi issued together with Decision No. 2472/QĐ-GTVT dated September 20, 1997 of the Minister of Transport.

- Motor vehicles transporting tourists under contracts shall comply with the regulations on the management of road and waterway tourist transportation issued together with Decision No. 2418/QĐ-LB dated December 4, 1993 of the Joint Ministries of Transport and Tourism.

Article 3. In this Regulation, the following terms shall be understood as follows:

- Passenger transport motor vehicle by contractual method (hereinafter referred to as contractual vehicle) means motor vehicles with four seats or more (including the driver's seat) engaged in passenger transport services under the contractual lease method belonging to transport units.

- Contractual passenger transport contract: is the voluntary agreement between the transport unit and the contractual vehicle lessee or passenger to unify the purposes, methods of implementing the rights and obligations of the parties involved in the contract such as agreeing on pick-up and drop-off locations, times, routes, transport duration, fare payment, waiting time fees, and other requirements.

- Contractual vehicle passenger: is a person using the contractual vehicle for travel.

- Contractual vehicle lessee: is a person acting on their own behalf or entrusted by another to sign a full-package lease contract for motor vehicles for travel purposes.

- Transport unit: refers to organizations or individuals leasing contractual motor vehicles who have been authorized by competent state management authorities to operate public passenger transport.

Chapter 2

ORGANIZATION AND MANAGEMENT OF MOTOR VEHICLES BY CONTRACTUAL METHOD

Article 4. Conditions for being eligible for VTHK under the package contract method

4.1. For transport units:

Transport units are transport enterprises established legally in accordance with the provisions of the following Laws: State-Owned Enterprises Law, Company Law, Cooperative Law (including cooperative models according to the Model Cooperative Charter for Transportation issued together with Decree No. 45/CP dated April 29, 1997), Private Enterprise Law, and Foreign Investment Law in Vietnam, or individuals or business groups with capital below the legal minimum who operate under the provisions of Decree No. 66/HĐBT dated March 2, 1992 of the Council of Ministers (now the Government) are all eligible to transport passengers under the contract method.

4.2. For contract vehicles:

Contract vehicles must have a Passenger Transport Permit (for domestic transport) or an International Transport Permit (for international transport) issued by the competent state management agency for transportation.

Contract vehicles must meet the safety and environmental protection standards set by the Ministry of Transport. Contract vehicles must always be in good technical condition and safe, and must have a Safety Technical Inspection Certificate and Environmental Protection Certificate that is still valid.

When performing the contract, contract vehicles must display a "contract vehicle" sign inside the windshield on the right side of the driver.

Throughout the country, the "contract vehicle" sign must have a white background with red letters, using the Vn TimeH font style of computers, with letter size ranging from 130 to 160 (bolded) depending on the different passenger capacities of the vehicles.

4.3. For drivers:

Drivers must have a valid driving license appropriate to the type of automobile they are operating. Drivers must always carry the passenger transport contract (or a temporary fare payment voucher) and other related documents to present when requested for inspection by authorities.

4.4. For passengers, vehicle renters:

Passengers traveling by vehicle can be a group from agencies or units or individuals who need to rent a vehicle for travel.

Passengers and vehicle renters must book the entire trip (one way or both ways) within one transport contract.

Article 5.- Signing and implementing the contract

The passenger transport contract by automobile signed between the transport unit and the vehicle renter or passenger traveling by contract vehicle must be a written contract according to the model prescribed by the Ministry of Transport (with attached samples).

Article 6. Fare Rates

- The fare rate for passenger transport by contract vehicles is agreed upon between the transport unit and the vehicle renter or representative of the passengers traveling, calculated based on the intra-provincial passenger transport fare rate (if it is an intra-provincial passenger transport contract vehicle) or the inter-provincial passenger transport fare rate (if it is an inter-provincial passenger transport contract vehicle) plus bridge, ferry, and road tolls (if applicable).

- Contract vehicles do not apply the ticket sale system. At the end of the contract, passengers traveling by vehicle will be paid for their journey with an invoice issued by the Ministry of Finance.

Article 7. Picking up and dropping off passengers of contract vehicles

- The picking up and dropping off of passengers by contract vehicles shall be carried out at the pick-up and drop-off locations agreed upon in the contract or recorded on the fare receipt, or at locations designated by the People's Committee of provinces or centrally-administered cities.

- Strictly prohibited is the act of contract vehicles picking up additional passengers outside the contract along the route (including around bus station areas) while executing the contract.

Article 8.- Scope of operation of contract vehicles

- Contract vehicles of transport enterprises established under the Law on State-Owned Enterprises, the Law on Joint Stock Companies, the Law on Cooperatives (including cooperative models according to the Model Charter of Transport Cooperatives issued together with Decree 45/CP dated April 29, 1997 of the Government), the Law on Private Enterprises, and the Law on Foreign Investment in Vietnam shall operate within the regional area or nationwide as permitted by the competent authority.

- Contract vehicles of individuals operating under Decree 66/HĐBT of the Council of Ministers (now the Government) shall implement Circular 19 TT/PC-VT dated January 20, 1995 of the Ministry of Transport.

- The scope of operation of contract vehicles traveling abroad shall be implemented according to the Circular of the Ministry of Transport guiding the implementation of the Protocol implementing the Agreement on Road Transport between Vietnam and relevant countries.

- Contract vehicles are only allowed to carry contract passengers on contracted routes. Strictly prohibited is the operation of contract vehicles in the form of leasing without a specific route.

Article 9.- Issuance of permits for contract vehicles

9.1- Conditions for issuance of permits:

- Contract vehicles must be managed by transport units and be permitted by the competent state management agency to transport public passengers.

- They must meet the conditions and comply with the provisions stipulated in Articles 7 and 8.

9.2- Application for permit, validity period of the permit, and issuing authority shall be carried out according to the regulations promulgated together with Decision 1748/QĐ-GTVT dated July 12, 1997, and the regulations promulgated together with Decision 2076/1998/QĐ-BGTVT dated August 18, 1998 of the Minister of Transport (supplemented and amended by Decision 3292/1998/QĐ-BGTVT dated December 10, 1998).

If it is a joint venture or joint operation vehicle, a copy of the joint venture or joint operation contract (certified true copy or original for comparison) must be attached.

The issuance of international transportation permits for contract vehicles operating abroad shall be carried out according to the separate Circular of the Ministry of Transport.

The application for a permit for contract passenger transport vehicles is in the attached model.

Chapter 3

INSPECTION AND VIOLATION HANDLING

Article 10.- Inspection

Competent state agencies responsible for inspection and supervision may conduct inspections and handle cases according to the current legal provisions applicable to contract vehicles.

Article 11.-

All violations of the regulations concerning contract vehicles shall be dealt with according to the law.

Contract vehicles violating this Regulation, in addition to being subject to administrative penalties as prescribed by law, depending on the level of violation, will have their permits suspended for six months, one year, or two years if there is a recurrence, in addition to administrative penalties and recording in the logbook, the transport permit will also be revoked.

Article 12.-

The authority and forms of administrative penalties shall be implemented according to the provisions of the Administrative Violations Handling Ordinance, Decree No. 80/CP dated December 5, 1996 of the Government on "Organization and Activities of Specialized Inspection in Transport," Decree No. 49/CP dated July 26, 1996 of the Government on administrative penalties for violations of traffic order and safety on roads and urban traffic order (amended and supplemented by Decree No. 78/1998/NĐ-CP dated September 26, 1998), and other related provisions.

Chapter 4

IMPLEMENTATION

Article 13.-

The Director of the Vietnam Highway Administration is responsible for guiding and coordinating with Provincial Departments of Transport (Transport and Communications) to organize and inspect the implementation of this Regulation.

Article 14.-

During the implementation process, if there are any issues arising or require supplementation or amendment of the provisions of this Regulation, Provincial Departments of Transport (Transport and Communications) shall report to the Vietnam Highway Administration for consolidation and reporting to the Ministry of Transport for study and resolution.