Business cooperation contracts are concluded when the parties wish to have the support reciprocal cooperation in business with the purpose of the distribution of profits and losses when the risks occur. Business cooperation contracts are often used in business without establishing a legal entity operating independently for this cooperation.

I. The content should be considered when drafting cooperation contract

  1. The general objective of the cooperation: is the main content of business cooperation contracts, which should state what work is collaborative, cooperative work content, method performing the work, the main objective of the cooperation ... the parties should expressly state the specific content of cooperation by the numbers, milestones in implementation, plans to implement collaborative work, the schedule to perform the work in cooperation, the indicators and figures achieved ...
  2. Assets and method to contribute the assets of the parties to the cooperation: it should clearly state all the assets which the parties contribute to collaborative work, such as the rights are licensed to serve collaborative work, asset contributions include cash, stocks, real estate, automobiles, intellectual property rights, technology, facilities and equipment used for collaborative work ... All  assets contributed must be specified values, the number at the time of contribution, while the parties should have the property handover report when making contributions. More importantly, they need to agree on how to handle assets upon termination of cooperation. 
  3. Rights and obligations of the cooperating parties: it should specify the responsibilities of each party participating in the cooperation contract, stating that each party job in charge with clear implementation time, such as: work permit approvals from state agencies to implement collaborative work (if any), the implementation of the cooperation, personnel for job performance, power management and administration tasks, powers and the responsibilities of each party in the management and operation, handling tasks arising out of agreement.
    • Also, the parties need to agree clear interests of each party to implement collaborative work, are entitled to benefit, in particular, time of benefit ...
  4. Method of sharing profits and losses: to determine profit or loss of business cooperation, it is necessary to specify the type of revenue gained from cooperation contracts from sources, how to generate revenue, create sources of revenue ... Meanwhile, the need to determine the cost of business cooperation is the joint cost to the business cooperation, costs for each party cooperation to serve the cooperation. The identification of specific revenue and cost to serve for business co-operation is very important, as this is the basis for determining the profitability of the co-operation to ensure that the parties to achieve the goal of cooperation while participation in business cooperation contracts.
  5. Method of operating and managing the cooperation: to establish joint steering committee to operate, manage and decide the daily work of the collaborative work. The Joint Steering  Committee includes members of each party in cooperation, the number of members by the parties, and the Steering Committee will appoint a competent head of the highest decision of the Steering Committee and responsible before the two cooperation parties. Steering Committee will hold regular meetings to decide the issues of cooperation, the content of the meetings shall be made in writing
  6. Termination of the contract and how to resolve the dispute: should state the case of termination of the cooperation contract, the parties may terminate by agreement or unilaterally terminate the contract, and must specify how to handle assets upon termination of the cooperation contract. In addition, they need to agree on dispute settlement body in the event the parties are unable to cooperate to negotiate and settle the dispute. 

II. Dispute settlement procedures for business cooperation contract

In the process of resolving disputes, it often has the stages: Stage before the lawsuit (pre-legal proceedings), the stage of the legal proceedings (and the Court has accepted handling and settlting the case) and the stage of civil law enforcement.

  1. In the pre-litigation stage, when receiving the client’s requests, Lawyers of resolving civil disputes will determine whether the applicant's request is under any legal relationship, including disputes resolved under the jurisdiction of the court? Or else by a competent authority addressed. That case should be sued or not? If suing, how is the procedure? The statute of limitations is valid or not?

  2. If the concerned party decides to file a lawsuit in the Court, that means the starting stage of the proceedings at the Court, Lawyers of resolving civil disputes will draft a petition to the Court for accepting to request of lawsuits, collect evidence and submit evidence to the court, suggest the Court to collect evidence which the parties did not keep; guide to the parties to establish the self-declaration, the report to clarify the content of dispute of the case, conduct of the mediation process, confrontation .... Lawyers petitions Court conducting the proceedings may be necessary to clarify the content of dispute of the case ....

  3. At the trial of the case, the Lawyer protects the rights and legal benefits to the person concerned, will exercise the rights arguments at the trial to protect the rights and benefits for their clients and clarify the truth of the case. 

  4. At the stage of law enforcement: Lawyers advise or represent clients in enforcement procedures, draft applications for enforcement, search, asset for law enforcement, require enforcement agencies to apply coercive measures, prevent the trading of assets to help enforcement for execution has brought the best results.

LVT Lawyers with a team of lawyers with many years of experience in resolving disputes of business cooperation contracts for many foreign companies in Vietnam. With enthusiasm and dedication in work, we are committed we always put interests of client on top to fit the motto "Our service, your success". LVT Lawyers, Lawyers specialize in providing legal services in settlement of dispute of business cooperation contract through the following tasks:

  • Consulting on how to deal with contractual disputes, the dispute settlement procedures of the contract.

  • Guiding and advising clients the lawsuit procedures, conditions of lawsuit to the competent court.

  • Drafting applications, requests and other relevant documents to clients;

  • Conducting to gather evidence - documents, examination and assessment of the evidence - documents to be submitted before the Court;

  • Making specific plans most beneficial during negotiation, mediation (if any);

  • Participating in the proceedings as a defense attorney, to protect the rights and legitimate interests in court for clients at all levels;

  • Participating in legal proceedings as authorized representative of the client to perform all the measures and the manners prescribed by law to protect the legitimate rights and interests of the client in the best way at the court level.

  • Implementing procedures for enforcement: verifying conditions for law enforcement, requiring the application of preventive measures to ensure assets for law enforcement, requiring enforcement of judgment ...