According to Lawyer Ho Vuong Quoc Su, General Director of LS Law Firm, a very notable new point is that it allows economic organizations, individuals, Vietnamese people residing abroad, and economic organizations with foreign investment capital to have the right to sell assets attached to land leased by the State with annual land rent payment when meeting all the conditions specified in Point a, b, Clause 1, Article 11 of the Draft Resolution.

This is an important change compared to before, avoiding the restriction of the transfer rights of land lessees paying annual land rent, causing assets attached to land to lose liquidity.

Luật sư Hồ Vương Quốc Sử, Giám đốc Điều hành tại LS Law Firm
           Attorney Ho Vuong Quoc Su, Executive Director at LS Law Firm

Lawyer Su believes that this proposal brings many positive impacts. For investors, this is an opportunity to increase the ability to transfer and exploit the value of assets, especially in the context of projects that may change business objectives or encounter financial difficulties. Being allowed to sell assets attached to land will help them recover capital faster, restructure business operations, and reduce risks when investing long-term. It will contribute to encouraging the participation of many new investors in projects that are in operation, thereby limiting the situation of abandonment and waste of land.

“This is a promising improvement, both ensuring the rights of investors and creating conditions for the real estate market to operate more transparently and effectively, while harmonizing the interests of the State, investors and society,” emphasized Lawyer Ho Vuong Quoc Su.

Helping to rescue the temporary “Red Book”

In addition, the draft Resolution also has an important new point related to the procedure for granting Land Use Right Certificates (commonly known as “Red Books”). Accordingly, households and individuals who are using land stably and have a temporary “Red Book” issued after October 15, 1993 will be granted an official “Red Book” and will not have to pay land use fees. In addition, when the People’s Committee at the commune level carries out the procedure for granting a “Red Book” for this case, it will not have to separately confirm the compliance with the planning, no disputes, and stable land use.

This content is assessed to remove the obstacles that have existed for many years, completely handling cases that have been granted temporary “Red Books” in the period 1993 – 1996, ensuring the legitimate rights of land users.

Lawyer Ho Vuong Quoc Su shared: “This is also a measure to help reduce complaints and disputes in the land sector – which always accounts for a high proportion of the total number of administrative cases in our country. This new point can both remove difficulties for people in transferring, mortgaging, donating, and inheriting, and contribute to stabilizing the real estate market, while increasing social trust in land policies”.

Land separation and consolidation

Regarding land separation and consolidation, Clause 3, Article 11 of the draft Resolution stipulates that new land plots must have a path connecting to public transport routes. In case the land user reserves a part of the area for a path, it is not necessary to change the land use purpose for that part of the area.

If the land use purpose is changed for a part of the land plot, it is not required to separate the plot. The consolidation of land plots does not require the same purpose, form, and land use term.

In addition, the draft Resolution also clearly states that the settlement of land disputes is under the jurisdiction of the People’s Court, simplifies procedures in some cases of sea encroachment, transfer of part or all of a real estate project, etc.

“The draft Resolution has created more favorable conditions for the issuance of Certificates, land management and use, and at the same time minimizes obstacles in land transactions. These are expected changes, contributing to the completion of the land law system and promoting the stable development of the real estate market,” emphasized Lawyer Ho Vuong Quoc Su.

Interested readers can learn more at:

https://thuonghieucongluan.com.vn/nhung-de-xuat-moi-ve-ban-tai-san-cap-so-do-va-tach-nhap-hop-thua-dat-a288505.html