Arbitration as an Option for Land-Related Commercial Disputes: Insights on the Latest Draft Land Law in Vietnam.

A new provision in Vietnam's draft Land Law allows parties to choose arbitration for land-related commercial disputes. This is a significant change from the previous laws that only recognized state courts as the sole dispute resolution option. The provision reflects the reality of commercial arbitration practice and enhances the alternative dispute resolution mechanisms in Vietnam.

Arbitration as an Option for Land-Related Commercial Disputes: Insights on the Latest Draft Land Law in Vietnam.

In the latest draft Land Law in Vietnam, Article 225 has introduced a new provision for resolving disputes related to commercial activities involving land. For the first time, parties involved in such disputes can choose to settle their differences through commercial arbitration, in addition to seeking resolution in People’s Courts as per civil procedure law.

This change is significant given that the land law and its predecessors had never included #arbitration as a method for resolving land-related disputes. The underlying reason could be attributed to the principle that land is not considered “private property” in the country. Therefore, disputes related to land must be resolved by the state courts.

However, the inclusion of arbitration as an alternative dispute resolution option for land-related commercial disputes does not go against the said principle. It instead helps to eliminate any confusion or avoidance in practice, given that parties may now select arbitration to resolve such #disputes in accordance with the law on commercial arbitration.

Overall, this change presents a positive step towards enhancing the alternative dispute resolution mechanisms in Vietnam.

You may find the draft Land Law at https://xaydungchinhsach.chinhphu.vn/toan-van-du-thao-luat-dat-dai-sua-doi-lay-y-kien-lan-hai-11923010312182186.htm, which is now open for public opinion.