PENALTY FOR SELLING HIGHER THAN THE LISTED PRICE?

Price listing is one of the important regulations to ensure transparency and fairness in business operations. However, some organizations and individuals still violate this regulation by selling goods and services at higher prices than the listed prices, affecting the legitimate rights and interests of consumers. Then, in case of violation of selling higher than the listed price, what sanctions will the subject face according to the provisions of laws?

What is price listing, why price listing is obligated?

Price listing is a form of publicizing prices, including the purchase price and selling price of goods and services of organizations and individuals trading in goods and services.

The purpose of price listing is to ensure convenience for customers to observe and identify. Contemporaneously, it serves the management of competent state agencies.

Price listing of goods and services is an obligation of organizations and individuals trading in goods and services. This is also one of the contents that organizations and individuals trading in goods and services must publicly implement according to the provisions of laws.

How is the listed price determined?

As stipulated in the Price Law 2023, the listed price is determined to be the purchase and sale prices of goods and services, including tax and fees (if any) of such goods and services in Vietnam Dong decided by suppliers of goods and services, except for cases subject to compliance with laws of foreign exchange.

Listed prices are in association with the appropriate quantity or volume of goods and services and other information (if any) on basic specifications, origins, and purchase and sale methods.

What are the forms of price listing?

Price listing can be performed in the following forms, ensuring convenience for observation and recognition by customers and competent state agencies:

– Printing, pasting, writing information on boards, papers; or

– Printing directly on the packaging of goods; or

– Other forms suitable for actual conditions at the place of sale of goods or provision of services or posting prices on websites for the convenience of observing and acknowledging of customers and competent state agencies.

Organizations and individuals trading in goods and services must perform the price listing ensuring clarity and not confusing customers about the purchase and selling prices of goods and services.

What are the penalties for selling higher than the listed price?

Organizations and individuals are not allowed to sell higher than the listed price.

In case of violation, organizations and individuals trading in goods and services may be subject to administrative sanctions according to the provisions of Decree 87/2024/ND-CP as follows:

Fines for selling higher than the listed price:

– In case of selling higher than the listed price of goods and services determined or declared by an organization or individual if they are not on the List of price stabilization of goods and services:

+ For violations of individuals, fines range from VND5,000,000 to VND10,000,000;

+ For violations of organizations, fines range from VND10,000,000 to VND20,000,000.

– In case of selling higher than the listed price for goods and services on the List of price stabilization, goods and services during the time the State implements price stabilization:

+ For violations of individuals, fines range from VND20,000,000 to VND30,000,000;

+ For violations of organizations, fines range from VND40,000,000 to VND60,000,000.

Forced to overcome consequences for selling higher than listed price:

Organizations and individuals trading in goods and services will be forced to return to customers the amount collected from selling higher than the listed price. In case the customer cannot be identified or the customer refuses to accept, the entire amount must be paid to the state budget.

Contemporaneously, the content of the above remedial measures must be publicly announced to the mass media within 30 days.

>> LISTING PRICES IMPROPERLY WILL ALSO BE FINED? https://linconlaw.vn/listing-prices-improperly-will-also-be-fined/

>> DRAFTING NOTICE ON TERMINATION OF HOUSE RENTAL CONTRACT FOR FOREIGNERS https://linconlaw.vn/drafting-notice-on-termination-of-house-rental-contract-for-foreigners/