Question: I am the Secretary-General of a Business Association based in Hanoi. Currently, we are seeking to support our member enterprises in applying arbitration as a method for resolving commercial contract disputes, and we are interested in the arbitration services provided by your Center.
Accordingly, we respectfully request VTIAC to kindly inform us of: The procedures and requirements for resolving disputes through arbitration at your Center and The current fee schedule applicable at VTIAC.
Answers:
Vietnam Trade and Investment Arbitration Center (VTIAC) sincerely thanks your Association for your interest in commercial arbitration – a method increasingly favored by the business community due to its speed, flexibility, confidentiality, and efficiency.
Below is a summary of the conditions and procedures for your member enterprises to utilize arbitration services at VTIAC.
1. Conditions for Using Arbitration at VTIAC
To resolve a dispute through arbitration at VTIAC, the parties must have a valid arbitration agreement. This can be in the form of an arbitration clause within the contract or a separate arbitration agreement.
Recommended VTIAC Arbitration Clause:
"Any dispute arising out of or in connection with this contract shall be resolved by arbitration at the Vietnam Trade and Investment Arbitration Center (VTIAC) in accordance with the Arbitration Rules of the said Center."
We encourage member enterprises to include this clause in contracts for economic cooperation, supply, investment, or commercial purposes to establish a strong legal foundation for arbitration in the event of a dispute.
2. Procedure for Resolving Disputes at VTIAC
When a dispute arises, a party may submit a Request for Arbitration to VTIAC in accordance with the VTIAC Arbitration Rules. The basic steps are as follows:
- Submission of the Request for Arbitration and supporting documents;
- Payment of the provisional arbitration fee;
- Formation of the Arbitral Tribunal by VTIAC;
- Exchange of pleadings and conduct of hearings (either in person or online);
- Issuance of a final and binding arbitral award by the Tribunal, which is enforceable under civil enforcement laws.
The entire process is typically faster than court litigation, while also ensuring confidentiality and specialization in dispute resolution.
3. Arbitration Fee Schedule at VTIAC
Arbitration fees are calculated based on the value of the dispute and other relevant factors. The current VTIAC Arbitration Fee Schedule includes the following:
Standard Fees for a Tribunal with One Arbitrator:
- Disputes up to VND 100 million: VND 5,000,000
- Disputes from over VND 100 million up to VND 10 billion: from VND 25 million to VND 250 million, depending on the dispute value
- Disputes over VND 10 billion: VND 250 million + 0.3% of the amount exceeding VND 10 billion
If the dispute is resolved by a panel of three arbitrators, the applicable fee is 200% of the standard fee for a single arbitrator panel of the same dispute value.
In case of withdrawal of claims:
- If the claim is withdrawn before the Arbitral Tribunal is constituted: 80% of the fee is refunded
- If the claim is withdrawn after the Tribunal is constituted: 60% of the fee is refunded
The arbitration fee includes arbitrators’ remuneration, administrative expenses, expert consultation (if requested by the Tribunal), and related costs for case handling.
However, the fee does not include additional costs such as:
- Travel and accommodation for arbitrators if hearings are held outside VTIAC’s offices;
- Rental of external hearing venues;
- Translation or interpretation services for documents or hearings not in Vietnamese;
- Fees for services provided by government agencies or third-party service providers (if applicable).
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VIETNAM TRADE AND INVESTMENT ARBITRATION CENTER
M: 0934565488 | W: http://vtiac.vn/ | E: vtiac.contact@gmail.com