Consultation on determining an employment contract

Question: I and Company A signed a Personal Service Contract in 2023. After the contract came into effect, I worked for Company A, received salary, and had insurance contributions during the entire time under the supervision and management of Company A. At the beginning of 2025, the Company dismissed me on the grounds that I […]

Should probation terms be included in the official labor contract?

Our company is currently recruiting for the position of Sales Executive, which requires a probation period of two months. To save time, we intend to sign an official labor contract right away, in which the probation period and relevant terms will be clearly stated. Are we allowed to combine the probation content within the labor […]

Use of E-Contracts in International Commercial Transactions

Question: We plan to adopt fully electronic contracts for international commercial transactions. Can SB Law advise on the legal validity of e-contracts in international commerce and what conditions must be satisfied to ensure enforceability, especially in case of disputes?  Answer: Under Vietnam’s Law on E-Transactions 2005 (amended 2023) and the UNCITRAL Model Law on Electronic […]

Terminating an Employment Contract Before Retirement Age: What Should Businesses Consider?

Question: Our company has a male employee who will reach the retirement age in December 2025 as prescribed by law. Currently, we wish to terminate his employment contract before the official retirement date in order to recruit a replacement. What should the company consider when proceeding with this? Answer: According to Clause 1, Article 34 […]

Penalty for Breach of Contract - SBLAW

Penalty for Breach of Contract

Question: In the sales contract between my company and our partner, there is an agreement on a penalty for breach amounting to 15% of the contract value in the event that either party fails to fulfill their delivery obligations. However, I have been informed that Vietnamese law imposes a limit on the penalty for breach […]