Dear Mr/Mrs Attorney, I am having a request. Specifically, our Company want to register a franchise in Viet Nam. May I ask if SB Law is providing legal services related to that matter? If so, what is the scope of work and execution time? Thank you for your time.
SB Law thank you for your interest in our legal consulting services. Regarding your questions, we would like to advise as follows:
1. PRELIMINARILY COMMENTS
Based on the information provided by company, we understand that you (the Client) is now seeking for a legal support in franchising registration. Therefore, we would like to give preliminary advice as follows:
1.1 Conditions of franchising activities in Vietnam
According to Article 5.1, Decree No. 35/2006/ND-CP of the Government, the franchisor can only conduct franchising activities when the business system intended to use for franchising has been operated at least 01 year.
Therefore, the franchisor is fully eligible for franchising under the applicable law.
1.2 Registration procedures
According to Article 17a.1.a of Decree No. 35/2006/ND-CP amended and supplemented by Decree No. 120/2011/ND-CP, franchise registration only applies for franchising activities from abroad into Vietnam.
Therefore, in case the franchising is conducted within Vietnam or from Vietnam to foreign countries, the registration will not be required by Ministry of Industry and Trade. Instead, The Franchisor will need to report the franchising activities at the Department of Industry and Trade where the head office is located.
2. SCOPE OF WORK
Regarding franchising activities, our services shall be including:
- Amending business line registration of the franchisor (if any).
- Drafting and registering License Agreement at National Office of Intellectual Property of Vietnam
- Drafting/Reviewing Franchise Contract (in Vietnamese and English language)
- Consulting and Drafting Lease Contract regaring land use right (franchise location) with the Owner.
- Joint in meeting with the Franchisee to negotiate on terms and conditions of the franchise agreement under the franchisee’s authorization.
Consulting, supporting in preparing documents for implementing the franchise report in the first year at Department of Industry and Trade.
Customers can refer to more consultation contents of related issues via the link: