On June 25, 2025, Vietnam's National Assembly passed a pivotal Law amending and supplementing various articles of the Law on Handling Administrative Violations, marking a significant step toward modernizing the country's administrative legal framework. The legislation, adopted unanimously by 435 out of 435 delegates, was developed under a streamlined procedure aimed at addressing urgent technical and operational issues, particularly those arising from practical challenges in the administration of state governance.
The driving force behind the amendment was to refine and enhance the handling of administrative violations, focusing on streamlining the state administrative apparatus, optimizing the two-tier local government system, promoting the application of information technology (IT) in violation handling, and simplifying administrative procedures. Minister of Justice Nguyen Hai Ninh presented the comprehensive report on the reception, explanation, and revision of the draft Law, emphasizing the government's commitment to only amend provisions that are critically urgent and technical in nature, avoiding any changes that might substantially affect the rights and obligations of individuals or organizations.
One of the notable revisions concerns the statute of limitations for handling administrative violations. While the initial draft proposed a uniform three-year statute of limitations for all cases transferred by prosecuting agencies, the final Law adopts a more nuanced approach. It extends the statute of limitations by one year for each type of violation within existing fields—raising it from one to two years, or from two to three years—only in cases where the file is transferred by a prosecuting agency. This adjustment aims to resolve issues where statute limitations expire during legal proceedings, ensuring stricter enforcement while safeguarding against arbitrary application.
The Law specifies a general one-year statute of limitations for administrative violations, with exceptions for specific sectors such as accounting, invoices, intellectual property, construction, environmental protection, and others, where the period extends to two years. Violations related to taxes and independent auditing adhere to statutes defined by their respective laws. Importantly, the time during which prosecuting agencies handle cases is counted within the statute of limitations, reflecting a fair and comprehensive legislative approach.
Another groundbreaking aspect of the Law is the formal incorporation of electronic processing of administrative violations. Article 18a introduces provisions for handling violations in an electronic environment, contingent upon satisfying conditions related to technical infrastructure, information security, and data integrity. The legislation mandates compliance with laws on administrative violation handling, electronic transactions, and other relevant statutes. It requires that data collection, storage, exploitation, and use maintain integrity, authenticity, security, and are employed within lawful purposes and scopes.
Furthermore, the Law stipulates system connectivity and data sharing to provide accurate and timely information for state management and oversight by authorized agencies and individuals. This framework paves the way for flexible and sector-specific implementation of digital enforcement methods, dependent on the technical capacities of various sectors and localities. Detailed regulations on infrastructure, technical standards, and procedural requirements will be established by the Government through a forthcoming decree, ensuring clarity and uniformity in application.
Regarding administrative violation penalties, the Law notably revises the maximum fines applicable under procedures that do not require a written record. Previously capped at 250,000 VND for individuals and 500,000 VND for organizations, the revised limits have doubled to 500,000 VND and 1,000,000 VND respectively. This adjustment aligns with the roughly 2.5-fold increase in the minimum wage since 2012, reflecting economic realities and enhancing the deterrent effect of fines.
Minister Nguyen Hai Ninh highlighted that the method of determining fines remains based on the maximum penalty framework, as specified by law, and that further comprehensive amendments to the Law on Handling Administrative Violations will be studied to prevent inconsistent interpretations and applications in practice.
Concerns were raised during the legislative process about expanding fines without written records potentially impacting transparency and the right to appeal. In response, the Law limits this procedure to cases involving warnings or fines up to the specified maximums and mandates that violations detected through technical means must still be documented with a written record. Decisions in non-written record cases must be issued on the spot by authorized officials, ensuring procedural fairness.
The Law also clarifies authority in handling administrative violations. It removes the title “Chief of Office of Ministry or Ministry-level agency” from the list of authorized officials, given that such roles fall under the broader category of heads of organizations within ministries or equivalent agencies tasked with inspection duties. It specifically empowers the “Head of Inspection Team” during their inspection periods to issue administrative violation penalties. Additionally, officials from the People's Procuracy have been explicitly included among those authorized to handle such violations, aligning with related legislative reforms.
To ensure coherence with ongoing administrative reforms, the Law grants heads of specialized agencies under People's Committees, such as department directors, authority to impose penalties. This amendment supports consistent and effective enforcement aligned with the streamlined administrative structure.
On handling exhibits and means of administrative violations, particularly those linked to criminal elements, the Law introduces a provision requiring that transfers of such items for criminal prosecution be conducted according to Government regulations. This measure acknowledges the complexity of cases involving both administrative and criminal aspects and entrusts the Government with detailed procedural guidance to ensure feasibility and uniformity.
Moreover, the Law revises procedures for administrative enforcement measures decided by People's Courts, such as compulsory education and rehabilitation, standardizing file preparation and processing timelines to foster procedural consistency.
Regarding seized exhibits, means, licenses, and professional certificates, the Law adds safeguards for items prone to damage or degradation during custody, requiring immediate reporting and compensation obligations if losses occur. Items posing risks of fire, explosion, environmental pollution, or public health hazards must be destroyed following proper procedures. The Law mandates that authorities complete full notification cycles before implementing handling measures, ensuring respect for property rights and adherence to principles of transparency, objectivity, and legality.
The Government is tasked with detailing principles and temporary mechanisms for administrative violation handling authority through decrees until sector-specific regulations are updated to comply with the amended Law.
The Law will take effect on July 1, 2025, with the Government directing ministries and sectors to organize training, resource allocation, infrastructure investment, and guidance to ensure the practical, effective, and nationwide implementation of electronic administrative violation handling.
This legislative milestone reflects Vietnam's ongoing commitment to modernize its administrative legal system, enhance enforcement efficiency, and embrace digital transformation, all while safeguarding the rights and interests of individuals and organizations.
