In a significant update to Vietnam's land laws, the Ministry of Justice has confirmed that old land registration certificates, commonly known as "Sổ đỏ", will continue to hold legal value even after the introduction of new regulations in 2025. This announcement comes as part of the implementation of the Land Law No. 31/2024/QH15, which will take effect on August 1, 2024. According to Clause 3 of the law, documents issued before this date will remain valid, and citizens will not be required to exchange their old certificates for new ones unless they choose to do so.
As the new law approaches, many citizens are understandably concerned about the implications for their property rights. However, the Ministry has clarified that if a land registration certificate was issued prior to the enforcement of the new law and remains undamaged, it can still be used without any issues. This means that property owners do not need to rush to obtain the new format unless they have specific changes to make, such as alterations in ownership details or land use purposes.
"If the certificate is still legally valid and not damaged, torn, or otherwise compromised, people can continue to use it without needing to switch to the new format introduced by the 2024 Land Law," a representative from the Ministry stated.
However, there are circumstances under which property owners will need to update their certificates. These include changes in ownership information, such as the name of the owner or the area of land, as well as cases where the certificate has been damaged or if there is a need to transfer ownership through sale, inheritance, or donation. Failure to update these records could result in administrative penalties.
The penalties for not registering changes to the land registration certificate can be significant. According to Decree 91/2019/NĐ-CP, amended by Decree 04/2022/NĐ-CP, individuals who fail to register changes when transferring ownership could face fines ranging from 5 to 10 million VND, while organizations could be fined from 20 to 40 million VND. Notably, those who do not complete the necessary procedures after receiving property through inheritance or donation may also incur fines of 5 to 10 million VND.
In addition to land law updates, the Ministry of Justice is also working on a draft law to amend and supplement various articles related to administrative violations. This draft proposes to raise the threshold for administrative violations that do not require a record to a fine of up to 5 million VND for individuals and 10 million VND for organizations. Currently, the maximum fine that can be applied without a record is just 250,000 VND for individuals and 500,000 VND for organizations.
The proposed changes have sparked debate among various stakeholders. The Vietnam Chamber of Commerce and Industry (VCCI) has expressed concerns that increasing the maximum fine for administrative violations without a record could undermine transparency and the rights of individuals facing penalties. VCCI argues that maintaining a record of violations is essential for legal clarity and protecting the interests of all parties involved.
"The record of handling administrative violations is an official document that details the violation and related circumstances, serving as a legal basis for addressing the issue and protecting the rights of those involved," VCCI representatives stated. They urged the Ministry to reconsider the proposed changes to avoid potential risks affecting the rights of violators and the overall transparency of the enforcement process.
On the other hand, some legal experts, such as lawyer Bùi Đình Ứng from the Hanoi Bar Association, support the Ministry's proposal. They argue that simplifying the process for handling minor violations can save time and resources for both the state and violators. Lawyer Ứng emphasized that the proposed system would only apply to clear-cut cases where the violator acknowledges the offense and willingly pays the fine, thus ensuring that the rights to appeal remain intact.
"Many people misinterpret the concept of handling violations without a record as a way to pocket fines without proper documentation. In reality, fines paid on the spot will still come with a receipt, which ensures that the funds are deposited into the state treasury and not kept by the enforcement officer," lawyer Ứng explained.
The Ministry of Justice has defended its proposal by stating that current trends in administrative law are moving towards higher fines for violations, which necessitates a reevaluation of how such violations are processed. By increasing the fine threshold for cases that do not require a record, the Ministry aims to streamline the process, reduce the burden of paperwork, and make enforcement more efficient.
As Vietnam prepares for these changes, it is crucial for property owners and citizens to stay informed about their rights and responsibilities under the new laws. The Ministry has advised individuals to consult local land registration offices or the district People's Committees if they have any questions or concerns regarding their land registration certificates or the upcoming changes in administrative penalties.
In conclusion, while the new regulations may seem daunting, they are designed to protect the rights of property owners while also simplifying the administrative processes involved in land ownership and violations. The continued validity of old land registration certificates is a reassuring aspect for many, ensuring that property rights remain intact even amidst legal updates.
