Shipping agency and ship brokerage

Section 2. SHIP BROKERAGE

Article 166.- Ship brokerage and shipbrokers
1. Ship brokerage is a service whereby a shipbroker acts as an intermediary under a ship brokerage contract for the involved parties in the transaction, negotiation and conclusion of contracts of carriage, of marine insurance, of charter, of sale and purchase of seagoing vessels, seagoing vessel towage contracts, crew employment contracts and other contracts pertaining to maritime shipping activities.
2. The shipbroker is the person performing the ship brokerage service.

Article 167.- Rights and obligations of shipbrokers
1. To serve the contracting parties provided that he/she must inform each party thereof, to pay due attention to the legitimate rights and interests of the involved parties.
2. To enjoy brokerage commission when the contract has been concluded as a result of his/her efforts. The shipbroker’s commission shall be mutually agreed between the shipbroker and his principal; in the absence of such agreement, the shipbroker’s commission shall be determined by local custom.
3. To be obliged to perform brokerage in an honest manner.
4. To be responsible for the legal status of the principals during the time of brokerage.
5. The ship broker’s liability shall terminate when the contract between the involved parties has been concluded, unless otherwise agreed.

Article 168.- Statute of limitations for initiation of lawsuits regarding performance of ship brokerage contracts
The statute of limitations for initiation of lawsuits regarding performance of ship brokerage contracts is two years as from the date of arising of disputes.

Chapter VIII
SHIPPING AGENCY AND SHIP BROKERAGE

Section 1. SHIPPING AGENCY

Article 158.-Shipping agency
Shipping agency is a service whereby the shipping agent provides, in the name of the shipowner or operator of the vessel, services in connection with vessel’s operation at the port, including the arrangement of formalities for the seagoing vessel to enter and depart the port; conclusion of contracts of carriage, marine insurance contracts, contracts for cargo handling, charterparties, and and crew employment contracts; insurance of bills of lading or similar carriage documents, furnishment of supplies, fuel and food for the seagoing vessel, submission of sea protests, communication with the shipowner or operator of the vessel; provision of services related to crew; receipt and payment of all amounts related to the vessel’s operation; and settlement of disputes over contracts of carriage of maritime accidents, and other services related to seagoing vessels.

Article 159.- Shipping agents
1. A shipping agent is a person authorized to act as a representative to perform within the scope of authority designated by the authorizer shipping agency services at the seaport.
2. The shipping agent may, after obtaining the consent of the shipowner or operator of the vessel perform shipping agency services for the shipper, the charterer and other persons having contractual relations with the shipowner or the operator of the vessel.

Article 160.- Shipping agency contracts
A shipping agency contract is a contract concluded in writing between the principal and a shipping agent, whereby the principal authorizes the shipping agent to perform shipping agency services for a certain call or for a specified period of time.

Article 161.- Responsibilities of shipping agents
1. The shipping agent shall have to carry out necessary activities for taking due care of and protecting the legitimate rights and interests of the principal; comply with his/her orders and instructions; promptly provide him/her necessary information about development relating to the authorized work; and accurately calculate the amounts received and spent relating to the authorized work.
2. The shipping agent shall be obliged to indemnify the shipowner for losses and or damage resulting from his/her fault.

Article 162.- Responsibilities of principals
1. The principal shall have to instruct his/her shipping agent to perform the authorized service when necessary and to give the latter, on demand, adequate advances for covering expenses for the authorized service.
2. Where the shipping agent has performed an act beyond the scope of his/her authority, the said act is nevertheless binding upon the principal unless the latter has, immediately upon receipt of information on the act, notified the other related parties that he/she does not recognized this act of the shipping agent.

Article 163.- Shipping agency service charges
The shipping agency service charge shall be agreed upon by the involved parties, unless otherwise provided for by law.

Article 164.- Statute of limitations for initiation of lawsuits regarding performance of shipping agency contracts
Statute of limitations for initiation of lawsuit regarding performance of shipping agency contracts is two years as from the date of arising of disputes.

Article 165.- Shipping agency for foreign public duty vessels, fishing vessels, hydroplanes and military vessels visiting Vietnam .
The provisions of this Section shall apply to foreign public-duty vessels, fishing vessels, hydroplanes and military vessels visiting Vietnam .

The Law

Ship brokerage

Shipping agency