In John Doyle Construction v Erith Contractors, the Court of Appeal has further considered the interrelation of insolvency and adjudication, providing guidance on the circumstances in which an adjudication award might be enforceable by a company in liquidation.

The key takeaways

Jurisdiction

Background
General rule
Latest judicial guidance
Summary

A recent decision in the TCC provides the latest judicial guidance on the ability of a company in liquidation to refer a dispute to adjudication.

Law No. 47/2010/QH12 on credit institutions has been amended pursuant to Law No. 17/2017/QH14 (“Amended Law”) passed by the National Assembly. The Amended Law came into effect on 15 January 2018.

The Amended Law provides grounds for special control by the State Bank of Vietnam (“SBV”) against underperforming credit institutions which:

• have failed to maintain liquidity requirements;

• have accumulated losses exceeding 50% of the charter capital and reserve funds as recorded in the latest audited financial statements;

Summary

Bankruptcy in Vietnam applies to enterprises (including foreign invested enterprises), co operatives and co operative unions (hereafter collectively referred to as enterprises). Unlike certain countries, this does not apply to individuals.

Bankruptcy Law

Bankruptcy procedures are governed by the Law on Bankruptcy No. 51/2014/QH13 which came into effect on 1 January 2015: