Currently, foreigners come to Vietnam to live and work more and more, with the increasing demand for renting houses from Vietnamese organizations and individuals. Although this is not a high-value contract, but it is very popular, foreigners when signing an apartment leasing contract need to carefully study the provisions of laws of Vietnam, order and procedures to protect their rights and their own legitimate interests.
In the article below, Lincon Law Firm will give some notes when drafting apartment leasing contract for foreigners with a sample contract.
1. Conditions for foreigners to leasing apartments
Law of Vietnam stipulates that a lessee is a foreign individual, when renting an apartment from a Vietnamese individual, the following conditions must be met:
- Having full civil capacity to enter into transactions in housing as prescribed in Vietnamese law. A person having full civil capacity is not in following cases:
- Lack of legal capacity: A court issued a decision to declare a legally incapacitated person who as a result of his/her mental or other illnesses cannot realize or conduct his/her actions.
- Persons with limited cognition or behavior control: A court issued a decision to declare an adult with limited cognition or behavior control due to his/her physical or spiritual condition, and appoint a legal guardian and define rights and obligations of such guardian.
- Persons with limited legal capacity: A court issued a decision to declare a person with limited legal capacity after excessive drug consumption or other psychotropic substances, worsening material situation of the family.
- He/she is not required to register temporary or permanent residence in the place where the house under transactions is located. Foreign individuals wishing to rent an apartment are not required to register for temporary or permanent residence in the place where the apartment is rented but can register for temporary or permanent residence in another place.
2. Conditions for leasing apartment
Before agreeing to sign an apartment leasing contract, a foreigner should carefully ask the owner the following questions to avoid future disputes:
- There is the Certificate as prescribed, except for cases prescribed in Clause 2 of this Article;
- There is no dispute, complaint, or proceedings for homeownership; the term of homeownership has not expired if the house is under a term contract on housing;
- The house is not distrained;
- There is no decision on land revocation, notification of housing clearance or demolishment issued by the competent agency;
- Satisfying requirements pertaining to quality, safety regarding the lessee, electricity system, water supply and drainage, hygiene and environment.
3. Apartment leasing contract
Apartment leasing contract to comply with current laws must be made in writing and include the following basic contents:
- Full names of individuals, names of organizations and addresses of contracting parties;
- Description of characteristics of the house and the piece of land attached to that house. Regarding agreements on apartment sale or lease purchase, contracting parties must state the common areas or common-using areas; private areas; floor area; purposes of the common areas or common-using areas in the apartment building according to approved design;
- The value of contributed capital, the transaction price of housing if there is a term on pricing in the agreement; regarding transactions in housing sale, lease, or lease purchase which is regulated pricing by the State, contracting parties shall comply with that regulations;
- Deadline for and method of payment regarding transactions in housing sale, lease, lease purchase or transfer of agreements on housing sale;
- Deadline for housing transfer; housing warranty duration regarding transactions in buying or renting and buying new house; terms of agreements on housing lease, lease purchase, mortgage, lending, permission for stay, authorization of housing management; deadline for capital contribution;
- Rights and obligations of contracting parties;
- Commitments of contracting parties;
- Other agreements;
- Effective date of the agreement;
- Date of agreement;
- Signatures and full names of contracting parties, or stamps (if any) and positions of the signatories regarding organizations.
In addition, depending on the needs and actual cases of the parties, the contract may have other contents such as: Contract extension, Liability for breach of contract, Unilateral termination of rental agreement, …
4. The model of apartment leasing contract
SOCIALIST REPUBLIC OF VIETNAM
Independence – Freedom – Hapiness
————
APARTMENT LEASING CONTRACT
…, [day] …. [month]…. [year]
We are:
THE LESSOR (Party A):
Name: ……………………………………………………… Nationality: ………………………
ID/Passport no.: ………………………………………………………………………………….
Date of issue: ……………………………………………… Place of issue: ………………….
Permanent address: …………………………………………………………………………….
Current address: …………………………………………………………………………………
THE LESSEE (Party B):
Name: ……………………………………………………… Nationality: ………………………
ID/Passport no.: ………………………………………………………………………………….
Date of issue: ……………………………………………… Place of issue: ………………….
Permanent address: …………………………………………………………………………….
Current address: …………………………………………………………………………………
The Parties have mutually agreed on apartment lease as followed:
Article 1: Lease Object Content
Party A agreed to lease and Party B agree to lease the apartment at [address]……………
Purpose: …………………………………………………………………………………………..
Article 2: Term
The lease shall be for a term of ….. from…/…/… to …/…/….
Option to renew: Subject to the approval, consents of Party A, Party A shall, at the written request of Party B made not less than 30 days before the expiration of the term and provide Party B shall have strictly and faithfully performed and observed all the term of this Agreement, Party A shall grant to Party B further term commencing the day after the expiry of the term, at a rental and upon terms and conditions to be agreed before the extension of the lease.
Article 3: Leasing cost
1.Cost: ………………………………………………….(in word:………………………….…..)
2.The rental will not change during the term of lease
3.The rental does not include any service fees such as standard cable V, and standard Internet cable parking for electricity, water telephone Gas and other monthly service fees These fees shall be paid by Party B in accordance of monthly bills issued by the service provider authority.
Article 4: Method of payment
1.Method of payment:
The rental will be paid by Party B one (01) month on 05 every month with the amount of …………… leasing cost will be paid by cash or transferred by bank with Vietnam dongs on welling exchange rate of [bank]…. at the date of payment as specified in Article 4.2.
2. Party A’s bank account information:
Account name: ……………………………………………………………………………………
Account no.: ………………………………………………………………………………………
At: ………………………………………………………………………………………………….
Branch: ……………………………………………………………………………………………
(Bank charges (if any) shall be paid by Party B).
Article 5: Deposit
Upon signing of this Party B will make the amount of ……….. This deposit will be held by Party A during contracting period in to protect Party from being lost or suffering damage of in the apartment by Party due to not performing properly all terms and of the contract.
The date of termination of this Party A will return the full to Party B proves that all service fees such as parking fee, electricity, in the term of lease are fully or the balance of the deposit after deducting the service fees.
Article 6: Rights and responsibilities of Parties
1. Party A’s rights and responsibility
- Deliver the apartment as agreed to Party B on the effective date of the contract.
- Ensuring the right to use completely and privately for Party B during the contract period;
- Repair in time the damage of the main structure of the house or damage caused by objective causes not caused by Party B’s fault and perform the repair as soon as possible from the date of receipt of the notice of Party B.
- Or Party B will carry out the repairs after getting permission from Party A and then deduct from the next month’s rent based on the paid invoices. However, Party B shall be responsible for damages caused by improper use;
- Have the right to request Party B to pay rent in accordance with this contract;
- Have the right to request Party B to repair the damage or damage caused by Party B’s fault.
- Party B’s responsibility
- Using the apartment for the right purpose, repairing damage caused by Party B;
- Pay the rent and deposit on time as prescribed in Article 4.2;
- Any repair of equipment affecting the main structure of the house must, Party B must notify Party A in writing and only repaired when there is a written request from Party A.
- Return the rent to Party A when the lease term expires or terminates the contract.
- Have the right to request Party A to repair damage of the main structure of the house or damage caused by objective reasons not caused by Party B.
Article 7: Unilaterally terminate the apartment leasing contract
In case either Party wants to unilaterally terminate the Agreement ahead of time, it must notify the other Party in writing 30 (thirty) days prior to the desired termination date. If either Party fails to perform its obligation to notify the other Party, it shall indemnify that party an amount equal to the period of non-notice and other damages arising from the improper termination of the Agreement. concentration.
Article 8: Terminating the apartment leasing contract
In violations below, this contract will be terminated:
1.The term of this leasing contract has expired;
2.Parties terminates contract in advance of term;
3.The apartment is burnt down (not caused by Party B) or demolished under authorities’ decision;
4.Influenced by Act of God, flood, storm, war or similar events…
Article 9: General condition
1.The two parties commit to properly carry out all provisions stated in this contract. Both Parties must agree upon all changes and conditions to the lease in writing;
2.In case, disputes or one of the Parties breaches the contract the Parties shall amicably negotiate together and for the mutual interests. If the dispute is still unresolved, it will be referred to the court of HCMC for settlement.
3.The contract is made in 3 (three) copies, each copies having equal validity. Each party keeps 01 (one) copy;
4.The contract is valid from the signing date
5.After reading and understanding thoroughly the lease contract, the Parties agree to sign below.
| THE LESSOR (Signing and writing name) | THE LESSEE (Signing and writing name) |
Lincon Law Firm is a law firm who specializes in drafting contracts. Our work will be as follows:
- Collecting information from customers to conduct a detailed and specific consultation;
- Instructing to prepare basic information and documents so that Lincon can prepare dossiers;
- Lincon proceeds to compose records when having received all the documents provided by clients;
- Advise clients on points to note in the contract;
- Handing over the results and liquidating the contract.
Legal grounds:
- Civil Code 2015.
- Law on Housing 2014.
𝐋𝐈𝐍𝐂𝐎𝐍 𝐋𝐀𝐖 𝐅𝐈𝐑𝐌 – 𝐒𝐮𝐬𝐭𝐚𝐢𝐧𝐚𝐛𝐥𝐞 𝐜𝐨𝐨𝐩𝐞𝐫𝐚𝐭𝐢𝐨𝐧
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