Termination of investment projects in Vietnam in accordance with Article 48 Law on investment 2014.
Post date: 22-10-2020
Termination of investment projects in Vietnam
1. An investment project in Vietnam shall be terminated in the following cases:
a/ The investor decides to terminate the operation of the project;
b/ Under the termination conditions specified in the contract or enterprise charter;
c/ The project’s operation duration expires;
d/ The project falls in one of the cases prescribed in Clauses 2 and 3, Article 47 of this Law while the investor is unable to address the reason for operation suspension;
dd/ The investor has the land for project implementation recovered by the State or is not allowed to continue using the investment location and fails to carry out procedures for change of the investment location within 6 months from the date of issuance of the decision on land recovery or disallowing the continued use of the investment location;
e/ The project has ceased operation and past 12 months from the date of cessation, the investment registration agency cannot contact the investor or his/her/its lawful representative;
g/ Twelve months have passed but the investor still fails or is unable to implement the project according to the schedule registered with the investment registration agency and is not eligible for extension of the investment project implementation period as prescribed in Article 46 of this Law on investment;
h/ Under a court decision or judgment or an arbitral award.
2. The investment registration agency in Vietnam shall decide to terminate investment projects in the cases prescribed at Points d, dd, e, g and h, Clause 1 of this Article.
3. Investors shall themselves liquidate investment projects in accordance with the law on asset liquidation upon termination of investment projects.
4. Except cases eligible for extension, for an investment project of which land is recovered by the State, if the investor fails to liquidate land-attached assets himself/herself/itself within 12 months from the date of land recovery, the agency that has issued the land recovery decision shall organize liquidation of such assets.
LAWYER VN LAW FIRM