GENERAL PROVISIONS

Article 1
The Vietnamese Maritime Code governs legal relations incident to the use of sea-going vessels for economic, scientific-technological, cultural, sport, social and state service purposes, which hereinafter are referred to as maritime shipping activities.

A sea-going vessel under the terms of the present Code is any floating structure self-propelled or non self-propelled employed in navigation on the sea and in waters connected with the sea.

Depending on each specific case, the relevant laws of Vietnam are applicable to legal relations incident to maritime shipping activities which are not provided for in the present Code.
  
Article 2  

Maritime shipping activities conducted by organizations and individuals of Vietnam and foreign countries, joint-venture and foreign cooperative enterprises based in Vietnam are encouraged and protected on the basis of respect for the independence, sovereignty and the law of Vietnam as well as international treaties which are signed or recognized by Vietnam.
 
Article 3  

The application scope of the present Code is provided as follows:

• All the provisions of the present Code are applicable to sea-going vessels employed exclusive for the carriage of cargo or of passengers and luggage; for exploration, exploitation and processing of the wealth of sea; for towage or salvage on the sea; for recovering property sunk in the sea; or for other activities of an economic nature, which hereinafter are referred to as merchant sea-going vessels.

• The provisions on the carriage of cargo and of passengers and luggage, on the maritime arrest and lien, on the limitation of civil liability of shipowners are not applicable to sea-going vessels hereinafter referred to as state-service vessels employed exclusively for maritime navigation safety; meteorology-hydrography; telecommunication; inspection; customs; epidemic prevention; fire-fighting; piloting; training; environmental protection; or for search and rescue at sea.

• The provisions on the carriage of cargo and of passengers and luggage, and on general average are not applicable to sea-going vessels employed exclusively for scientific technological research and sports.

• Except in specific cases, the provisions of the present Code are not applicable to foreign sea-going vessels and to sea-going vessels sailing under control of the Vietnam Armed Forces employed exclusively for military purpose and public order security guard.

The provisions on the carriage of cargo, of passengers and luggage are not applicable to the carriage of military transports by merchant sea-going vessels.

Article 4

Parties to maritime shipping contracts have the right to frame their separate agreements according to their own judgement subjects to the exceptions provided by the present Code.

Parties to maritime shipping contracts, provided whereof at least one party is a foreign organization or individual, may determine by mutual consent the law or international shipping custom to govern their legal contractual relations and to submit their disputes to an arbitration or court in either of their countries or in a third country.

Article 5

In case of conflict of laws the following principles will be opted for to decide which law to apply:

• Legal relations incident to ownership of property on board the vessel, charter parties, contracts of carriage of passengers and luggage, crew recruitment agreement, the division of salvage remuneration between the owner and crew of the salving ship, the recovery of the property sunk on the high seas, occurrences and acts taken place on board the vessel on the high seas are governed by the law of the flag

• Legal relations incident to general average are governed by the law in force in the country of the place where the vessel calls at after general average has occurred

• Legal relations incident to collision; salvage remuneration; the recovery of property sunk on the sea occurred in inland and territorial waters of the littoral country are governed by the laws of said country

• Legal relations incident to collision or salvage occurred on the high seas governed by the law of the country whose arbitration or court deals with the dispute

• Legal relations incident to the contracts of carriage of cargo are governed by the law of the country where the carrier has his principal place of business

Article 6

The provisions in the international treaties signed, or recognized by Vietnam shall prevail those contained in the present Code if they are in discrepancy with the above said provisions in the international treaties.

Article 7

 Where, by provisions in the present Code or by virtue of contract, the legal contractual relations incident to maritime shipping are subject to foreign law, that law shall be applied in Vietnam provided that it is not contrary to the laws and regulations prevailing in Vietnam.