VIETNAM ACADEMY OF SOCIAL SCIENCES
GRADUATE ACADEMY OF SOCIAL SCIENCES

NGUYEN VAN HIEN

TRANSFERRING LAND USE RIGHTS UNDER THE
VIETNAMESE LAW

Major: Economic Law
Major code: 62 38 01 07

SUMMARY OF THE DOCTORAL DISSERTATION IN LAW

Hanoi - 2017


The dissertation completed at Graduate Academy of Social Sciences,
Vietnam Academy of Social Sciences

Supervisors: 1. Assoc. Prof. Dr. Tran Dinh Hao
2. Dr. Tran Quang Huy

Reviewer 1: Assoc. Prof. Dr. Nguyen Nhu Phat
Reviewer 2: Assoc. Prof. Dr. Dinh Van Thanh
Reviewer 3: Dr. Pham Thu Thuy

The dissertation will be defended at Graduate Academy Level Council of
dissertation assessment at Graduate Academy of Social Sciences

Time: …………. date………… month…………year 2017


including the 2013 land law, the 2014 real estate business, the 2015 civil
code, the 2015 business law, the 2014 housing law, the 2014 investment
law and so on, have created a comprehensive legal corridor for the
subjects who participate in transaction of land use right transfer in the
market. There is a significant change in the basic contents such as the law
is more extensive, the subjects’ rights participating into transferring land
use rights in the market base on reasonable adjustment of conditions
when approaching land; the legal basis to ensure that land use rights are
operated in a safe, convenient market, preventing risks; the
administrative procedures and intermediary mechanisms supporting the
transaction are clear and accessible. Financial institutions are adjusted
towards suitable income from transferring land use rights. This change
has created the basic premise of transferring land use rights and operating

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in a safer and more complete legal environment whereby previous
“underground” transactions have been made room for legitimate,
transparent and public transactions. As a result, the market for
transferring land use rights in particular, and the real estate market in
general, have gradually stabilized situation of “land bubble” and “erratic
developments” of the real estate market have been pushed back.
It is also undeniable that, however, there have been complicated
developments for transferring land use rights over time; the real estate
transactions in general, and transferring land use rights in particular were
transformed with more sophisticated mistakes, for example unlawful land
use rights transfer transactions are conducted on the basis of agreement,
“collusion comments” in the transfer of land use rights to cope with the
law, tax evasion with great value, unauthorized profits from contracts for

and future. The research should be placed in a close and relevant
relationship, and in accordance with the market economy and
international economic integration. Therefore, the author has conducted
research topic “Transferring land use rights under the Vietnamese law”
as his doctoral dissertation in law.
2. Research purpose and task
2.1. Research purpose
The study aims to clarify the theoretical and practical issues of the law
on transferring land use rights, the law’s adjustment in the transaction of
land use rights transfer. Thereby, it tries to find out the basic, reasonable
and accurate reasons that affect transaction of land use rights transfer in
the market in order to provide directions and comprehensive solutions to
ensure the operation of transaction of land use rights transfer is available,
transparent and publicly in the context of the people’s ownership of land,
respecting the rules of the market and the trend of international
integration.
2.2. Research task
To fulfill the purpose mentioned above, the study focuses on solving
the following tasks:
First, studying on theoretical issues on land use rights, transferring
land use rights such as concepts, characteristics, roles of transferring land
use rights. Clarifying the objective necessity of the law on adjustment in
the transaction of land use rights and the particularity of Vietnamese law
on transaction of land use rights transfer through the law of countries in
the world on this issue and factors governing the law on transferring land
use rights.
Second, analyzing and evaluating the land use rights transfer in reality
in Vietnam through key regulatory groups such as principles, conditions,
subjects, objects, rights and obligations of each parties, and procedures
for transferring land use rights. The assessment of the status of law on

Spartially: the dissertation examines transferring land use rights in the
territory of Vietnam.
Time: the study focuses on the regulations of existing law on
transferring land use rights and enforcement of law on transferring land
use rights. The land laws in the previous time (since the 1987 land law) is
also approached and studied by the author for comparative purpose to
clarify the process of formation and development of the law on
transferring land use rights is a process of legal development, for low to
high, from inappropriate to more appropriate.
4. Methodology and research method
The study bases on theoretical basis of Marxism and Ho Chi Minh’s
Thought on the State and law; method of dialectical materialism and
historical materialism, discrete approach to specific thinking; legal basis
of sociology; methods of analyzing, synthesizing, comparing, survey,
statistics as follows:
- Methodology of Marxist-Leninism, Ho Chi Minh's thought, method
of dialectical materialism and historical materialism are scientific
methodologies to be applied throughout the chapters of the dissertation to
clarify research issues on land use rights and transferring land use rights
in Vietnam.

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- Methods of analyzing and synthesizing: these methods are utilized in
all chapters, specifically, present phenomena, legal opinions about land
use rights, transferring land use rights; thereby, it draws the attribution,
characteristics and the provisions of the law on transferring land use
rights (chapter 1, 2, 3). Thereby, it provides recommendations,
assessments and solutions to improve the law and efficiency of law

the same time, the dissertation explores the role of law on transferring
land use rights, thereby it provides the requirements of the law on
transferring land use rights that suitable with Vietnam’s conditions.

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Third, compared with previous research work, the dissertation is an
existing law research work on comprehensive transferring land use rights
including law on land and other relevant laws; the dissertation addresses
all land use rights transfer subjects and all land types rather than
individual, local people or foreigner. Then, it analyzes and assesses the
provisions of Vietnamese law on transferring land use rights, and
providing implications and orientation of improving the law on
transferring land use rights in the period of integration and globalization.
Forth, the dissertation has pointed out the basic causes of limitations
and obstacles which have been occurring in the real life as subjects have
meet disputes in land use rights transfer contracts, it also reflects the
practical aspects of land use rights transfer transaction.
Fifth, the study has pointed out orientations, requirements and
proposed specific solutions to improve the law and effectiveness of
enforcement law on land use rights transfer to ensure the land use rights
transfer transactions are possible, inexpensive, transparent and publicize.
6. Theoretical and practical significance of the dissertation
Theoretically: the dissertation can be seen as the new scientific and
theoretical contributions for transferring land use rights, the law on
transferring land use rights. The dissertation contributes theoretically to
studying on law, improving the law enforcement on transferring land use
rights in Vietnam. The dissertation results can be seen as useful reference
for researchers, teachers in their work.

the whole people ownership of land in which the state plays a
representative role, the issue is completely different.
These differences show that studying on land ownership is important
in identifying the rationale, origins of transferring transaction or salepurchase land, the similarities and differences between the law on
adjustment of transferring land use rights and the law on purchasing land
in countries with different ownership regimes. These research works as
follows:
Ingram, Gregory K, and Yu-Hung Hong (May 2009), “Property
Rights and Land Policies”.
PhilipWalter, Adrianavis, JamesHarris, B.McGuire (Oct. 2000), “Claims
to the Possession of Land”.
Ainsworth, Fern, “Private land claims, Illinois, Indiana, Michigan and
Wisconsin”.
Steven W. Bender, Celeste M. Hammond, Michael T. Madison, Robert
M. Zinman (2012), “Modern Real Estate and Land Transfer”.
Vincent Renard (2000), “Land Markets and Transfer of development
rights: some examples in France, Italy and United States”.
Wen Yan, K.K. Klein (Aug. 2013), “Transfer Land Use Rights in
China: Results from a Survey of Rural”.
“Legal environment of business” –American of Kanas University 1988.
Studying on the regulations on land ownership and the right to
conduct land transactions in countries around the world, we can draw the
following legal premises:
First, with private ownership of land, the land in trading market is
particular piece of land that has been identified its owner. The transaction
form is land sale-purchase contracts or contract of transferring land

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improving the law on land use rights in Vietnam”, Master thesis in law;
Nguyen Thi Thu Thuy (2004), “Some issues of land use rights under the
Vietnamese law”, Master thesis in law; Luong Khai An (2006), “The
right to transfer land use rights in the real estate market”, Master thesis in
law; Nguyen Thi Hong Nhung (2012), “The law on transferring land use
rights in the real estate business”, Doctoral dissertation in law; Nguyen
Quang Tuyen (2003), “Legal status of land users in civil and economic
transactions”, Doctoral dissertation in law.

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The research works mentioned above have studies on land use rights,
transferring land use rights and the law on transferring land use rights in
various angles and perspectives. Each research work has its own
approach but it has analyzed and reflected the most basic aspects of
research issues.
1.1.2.2. Research works on the situation of law and practice of law
enforcement on transferring land use rights
In recent years, there have been many scientific research works,
articles and proceedings on the situation of law and practice of law
enforcement on transferring land use rights in Vietnam, examples
include: Nguyen Thi Nga (2003), “Building and improving the law on
land use rights in Vietnam”, Master thesis in law; Nguyen Thi Thu Thuy
(2004), “Some issues of land use rights under the Vietnamese law”,
Master thesis in law; Luong Khai An (2006), “The right to transfer land
use rights in the real estate market”; Nguyen Thi Hong Nhung (2012),
“The law on transferring land use rights in the real estate business”,
Doctoral dissertation in law; Nguyen Quang Tuyen (2003), “Legal status
of land users in civil and economic transactions”, Doctoral dissertation in

the Vietnamese law”, Master thesis in law.
- Vu Thi Thanh Thuy (2016), “The law on land use right transfer
contract: A case study of Hai Duong province”, Master thesis in law.
- Nguyen Quang Tuyen (2003), “Legal status of land users in civil
and economic transactions”, Doctoral dissertation in law.
- Nguyen Thi Hong Nhung (2012), “The law on transferring land use
rights in the real estate business”, Doctoral dissertation in law.
1.1.3. General assessing previous research works
1.1.3.1. Research results and successes
- The theoretical research works on land use rights, transferring land
use rights and the law on transferring land use rights
+ On the land use rights
+ On the transferring land use rights
+ The law on transferring land use rights
- Research works on the situation of law and practice of law
enforcement on transferring land use rights
+ On situation of law
+ On practice of law enforcement on transferring land use rights
- Research works on solutions to improve the law and effectiveness of
law enforcement on transferring land use rights
+ Solutions to improve the law
+Solutions to improve effectiveness of law enforcement on
transferring land use rights.
Thus the research works mentioned above have been quite successful
in building, analyzing and supplementing theoretical issues on land use
rights, transferring land use rights and the law on transferring land use
rights. These research works have also analyzed situation of law and
practice of law enforcement on transferring land use rights, based on
clarification of limitations and inadequacies of the law on transferring
land use rights, thereby, proposing solutions to improve the law and

- From analysis mentioned above, the author perceives that it is
necessary to place research points in the context of current and future
development in Vietnam. Therefore, the characteristics of ownership,
land use rights in Vietnam need to be paid attention in the context of
market economy, socialist orientation and international economic
integration.
1.1.4. The issues that the study needs to examine
1.1.4.1. Expected research of the author
With the dissertation titled “Transferring land use rights under the
Vietnamese law”, the author wishes to continue studying the following
issues:
- On the basis of theoretical issues on land use rights, transferring land
use rights and the law on transferring land use rights have been analyzed
and examined by previous research works, the author will inherit to
comment and analyze to further clarify the concepts, characteristics of
land use rights, transferring land use rights and the law on transferring

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land use rights. At the same time, the study will point out new
characteristics on the issues, and analyzing and clarifying the nature of
transferring land use rights.
- Analyzing and evaluating situation of law and the law enforcement
on transferring land use rights in a comprehensive and closely
interrelated relationship between the 2013 land law, the 2014 real estate
business law, the 2015 Civil Code, the 2014 business law and other
relevant legal documents, thereby the study points out limitations and
shortcomings of the existing law on transferring land use rights. The
study also analyzes factors affecting the law on transferring land use

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- The theory of contract
These theories have important value, as a premise for the author
evaluating the current status of transferring land use rights.
1.2.2. Research questions
1.2.3. Research hypothesis
Summary of chapter 1
Chapter 2
THEORETICAL ISSUES ON TRANSFERRING LAND USE RIGHTS
AND THE LAW ON TRANSFERRING LAND USE RIGHTS

2.1. Theoretical issues on transferring land use rights
2.1.1. Land use rights
People often refer to three types of property ownership including
possession, use and disposition of property. If we consider land use rights
in relations with ownership, it will be three types of owner including land
possession, land use rights and land disposed rights. In countries
maintain private ownership of land, the land use right is one of three
types of ownership. The landlord is also the land owner. While exploiting
land use rights, they also have right of disposition toward land use rights
such as exploitation of land, use or transfer land to others by themselves
through sale-purchase, donate, lease that land and so on.
However, in Vietnam, land belongs to the entire population ownership
while State is representative owner, land use rights are entirely different.
Thus, land use rights depend on the State as representative owner and it
has a close and inseparable relationship with the land ownership. This is
clearly expressed through the State's dominant powers over the entire
land. The State determines land use purpose by planning, determining

fulfill their financial obligations in accordance with the law;
Fourth, the law does not only strictly regulate for subject, transferor
but also regulate the process and procedures of transferring land use
rights;
Fifth, the land use right transfer take place in regional areas;
Sixth, the land use right transfer is affected by the nature of the real
estate market;
Seventh, the land use right transfer is influenced by the Party and
State’s policies;
Eighth, the land use right transfer is often associated with salepurchase other properties on the land;
Ninth, the land use right transfer is affected by the international
economic integration.
2.1.2.2. The role of transferring land use rights to socio-economic life
First, through the transfer of land use rights, the land resources will be
appropriately allocated and used to meet the needs of land use, thereby,
facilitating the exploitation and use of land effectively.
Second, the land use right transfer creates capital and motivation to
promote the development of other economic sectors.
Third, the land use right transfer market is the place where
reproductive factors of production for transferors.
Fourth, the land use right transfer will bring a large source of revenue
for the State budget, thereby improving the management, inspection and
supervision of land use throughout the country.

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Fifth, the land use right transfer contraction is the legal basis for the
healthy development of land use right transfer market, thereby securing
the rights and legitimate interests of the parties.

2.2.2. Factors affecting the law on land use right transfer
The law is built by the state but it is also governed by other factors in
a civil society. In Vietnam, the law on land use right transfer is governed
by the Communist Party and State’s policies; socio-cultural factors;

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environment factor; habits, customs and international economic
integration. These factors are as follows:
2.2.2.1. The State and Communist Party of Vietnam’s policies
2.2.2.2. Economic management mechanism
2.2.2.3. Factors of culture, life and nationality
2.2.2.4. Habits, religious beliefs and customs
2.2.2.5. Environment and sustainable development factors
2.2.2.6. International economic integration factor
2.2.3. The legal structure regulating relations of land use right
transfer
2.2.3.1. Principles of land use right transfer
2.2.3.2. Subject of land use right transfer
2.2.3.3. Object of land use right transfer
2.2.3.4. The basic agreements of land use right transfer transactions
2.2.3.5. Form and effect of land use right transfer transactions
2.2.3.6. The order and procedures for conducting land use right
transfer transactions
Summary of chapter 2
After studying the theoretical issues on transferring land use rights
and the law on transferring land use rights, the author drawn the
following conclusion
1. In chapter 1, the study provides the concept and characteristics of

TRANSFERRING LAND USE RIGHTS IN VIETNAM TODAY
3.1. Situation of law on transferring land use rights in Vietnam
3.1.1. Principles for transferring land use rights
Given the nature of civil transaction, land use right transfer must
comply general principles of the Civil Code. Based on the provisions,
land use right transfer can be generalized on the following principles:
First, to ensure equal rights, voluntary transaction among parties in
the relations of land use right transfer.
Second, to ensure proper implementation the provisions of the land
law and relevant provisions of the law on transferring land use rights.
Third, to ensure proper and effect land use to protect environment and
do not affect the legitimate interests of the surrounding land users.
3.1.2. Land use right transferors and transferees
3.1.2.1. Land use right transferors
The land use right transferors must meet two conditions: first, they are
landlords, second, according to the law’s provisions, the landlords have
right to transfer of land use rights.
The scope of landlords is stipulated by Article 5 of the 1993 Land
Law on land users, in which, there are three subjects who are not allowed
transferring land use rights including the people’s community, religious
institutions and foreign organizations with diplomatic functions. Subjects
who are allowed transferring land use rights if they can meet the law
regulations:
(1). Domestic organizations;
(2). Individuals;
(3). Households;
(4). Overseas Vietnamese;
(5). Foreign-invested enterprises.
3.1.2.2. Land use right transferees


Second, the transfer price may be one that is maintained during
transaction process or it may be a volatility prices.
Third, identifying the transfer price in case of different areas and
actual measurement data.
3.1.4.2. Payment forms
Payment forms are understood as the way that parties pay together.
According to Article 433 of the 2015 Civil Code, payment forms are
determined by the agreement in accordance with the existing law. If there
is no agreement or the agreement is not clear, payment forms depend on
custom at the place and time of signing the contract. The 2013 Land Law
does not have separate regulations on payment forms. In fact, the
payment terms usually include the following contents:

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(1). Payment means
(2). Payment time
(3). Payment under the deposit contract and transferring contract
3.1.4.3. The parties’ rights and obligations
Current Land Law and Civil Code do not have provisions on the
rights and obligations of the parties in the land use right transfer. Despite
of the 2014 real estate business law’s regulations, the scope of
transaction under the law is narrow in the field of real estate business.
3.1.4.4. Financial obligation that the parties must implement
Financial obligation is one of the content related to the right and
obligation of the parties. However, this is a great content, transferors and
transferees do not implement this obligation together, but with the state,
so the study tries to examine separately so that it can be analyzed and
clarified.

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3.1.4.5. Measures to deal with contract violations
3.1.4.6. Dispute resolution
3.1.5. Form and effect of land use right transactions
3.1.5.1. Form of land use right transfer contract
(1). The contract must be in writing
(2). Notarization and authentication of land use right transfer contract
3.1.5.2. Effect of land use right transfer contract
The Item 3 of Article 188 of the 2013 Land Law stipulated: “The
conversion, transfer, lease, sublease, inheritance, donation, mortgage of
land use rights, capital contribution by land use rights must register at the
land registration agencies and it took effect since registration in the
cadastral book”. This regulation is very meaningful in the state
management.
3.1.6. Order and procedures of implementation of land use right
transfer
After signing the contract, the parties must register at the competent
state agencies as one of the obligatory obligations were stipulated by
Article 170 of the 2013 Land Law. The procedures are as follows:
3.1.6.1. Documents
3.1.6.2. Receiving and executing agency of transactions
3.1.6.3. Term of settlement
3.2. The law enforcement on transferring land use right in reality
3.2.1. Situation of transferring land use rights in Vietnam over past
years
In recent years, the land use right transfer has been taking place
excitingly in every province, especially in the big cities and sub-urban
areas. Since the Resolution No. 19- NQ/Taiwan of the Central

situation comes from the following basic causes:
3.2.3.1. Objective reasons
(1) Big legal system and the change of regulations over years
(2). The impact of socio-economic conditions
(3). Incomplete legislation
3.2.3.2. Subjective reasons
(1). The people’s legal awareness is low
(2). The people’s subjective consciousness while participating in
transactions
(3). The implement of the law has limitations and shortcomings
Summary of chapter 3
This chapter has examined the law situation and the law enforcement
related to land use right transfer contract. Overall, the existing law has a
number of regulations, adjusting issues arising from the practice and
ensuring the highest legal for parties.
This chapter has also clarified the provisions of the Land Law, the
Civil Code, the real estate business law involving subjects of
transactions, form of transactions, order and procedures of transactions
and so on.
In the law enforcement section, in order to support argument, it
explores the current shortcomings and cases. To evaluate and propose
solutions, the study has also clarified objective and subjective reasons of

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shortcomings, especially the subjective reasons from both the state and
people will be addressed in chapter 4.
Chapter 4
DIRECTIONS, REQUIREMENTS AND SOLUTIONS TO IMPROVE

simplifying the collection of taxes and registration fees.
4.2. Solutions to improve the law and effectiveness of law
enforcement on transferring land use rights
4.2.1. Solutions to improve the law
(1). The transaction subject as household

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(2). Land without dispute
(3). Land use right is not disturbed to ensure the execution of the
judgment.
(4). The land use right transfer contract content
(5). Recognition of actual contracts
(6). The right to postpone implement obligations
(7). Need to identify misuse of land
(8). Need to consider and amend Item 2 of Article 210 of the 2013
Land Law.
(9). Need to have specific regulations aimed at limiting individuals
and organizations to take advantage of the legal validity of notarized
documents to sign the land use right transfer contract fraudulently to
implement latent transactions or take advantage of the situation to
implement illegal acts.
4.2.2. Solutions to improve the effectiveness of law enforcement on
transferring land use rights
4.2.2.1. For the state agencies
(1). Developing a simple, open and accessible land information
system
(2). Further reform of administrative procedures on land
(3). To promote one’s ability