{"id":2766,"date":"2024-08-03T01:26:59","date_gmt":"2024-08-03T01:26:59","guid":{"rendered":"https:\/\/unilaw.vn\/en\/?p=2766"},"modified":"2024-10-13T04:38:04","modified_gmt":"2024-10-13T04:38:04","slug":"dispute-regarding-change-of-legal-representative-analysis-of-judgment-18-2022-kdtm-pt-dated-31-08-2022","status":"publish","type":"post","link":"https:\/\/unilaw.vn\/en\/judgment-analysis\/dispute-regarding-change-of-legal-representative-analysis-of-judgment-18-2022-kdtm-pt-dated-31-08-2022.html","title":{"rendered":"DISPUTE REGARDING CHANGE OF LEGAL REPRESENTATIVE: ANALYSIS OF JUDGMENT 18\/2022\/KDTM-PT DATED 31\/08\/2022"},"content":{"rendered":"<h2 style=\"text-align: justify;\">1. Introduction<\/h2>\n<p style=\"text-align: justify;\">Disputes regarding the change of legal representative arise in the course of business operations and management. These disputes occur when there is disagreement or conflict among the company&#8217;s members about who should take on the role of legal representative.<\/p>\n<p><!--more--><\/p>\n<p style=\"text-align: justify;\">In the course of business activities, companies often face various types of disputes. One of the most common and complex legal issues is the dispute regarding the change of legal representative. This article provides an overview of the procedures for changing the legal representative, relevant legal bases, and common issues encountered.<\/p>\n<h2 style=\"text-align: justify;\">2. Procedures for Changing the Legal Representative<\/h2>\n<p style=\"text-align: justify;\">Changing the legal representative of a company must follow a strict and specific process according to the Law on Enterprises and the company&#8217;s charter. Here are the basic steps:<\/p>\n<ul style=\"text-align: justify;\">\n<li>Convene and organize a Board of Directors (BoD) meeting: According to regulations, the change of legal representative must be approved at a valid BoD meeting. The meeting must have sufficient members present, and the meeting minutes must be fully and clearly recorded.<\/li>\n<li>BoD decision: After discussion and voting, the BoD must issue an official decision on the dismissal and appointment of the new legal representative.<\/li>\n<li>Complete legal procedures: The BoD&#8217;s decision must be sent to the Department of Planning and Investment to update the information on the change of legal representative in the business registration certificate.<\/li>\n<\/ul>\n<h3 style=\"text-align: justify;\">3. Relevant Legal Bases<\/h3>\n<p style=\"text-align: justify;\">The change of legal representative is governed by the provisions of the Law on Enterprises and the company&#8217;s charter. Some important provisions include:<\/p>\n<ul style=\"text-align: justify;\">\n<li>Article 153 of the Law on Enterprises: Specifies the powers of the BoD in dismissing and appointing the Director and the legal representative.<\/li>\n<li>Articles 153 \u2013 160 of the Law on Enterprises: Regulates the procedures for organizing BoD meetings.<br \/>\nArticle 12 of the Law on Enterprises: Defines the legal representative of the company.<\/li>\n<\/ul>\n<h2 style=\"text-align: justify;\">4. Common Legal Issues<\/h2>\n<p style=\"text-align: justify;\">Some common legal issues in disputes regarding the change of legal representative include:<\/p>\n<ul style=\"text-align: justify;\">\n<li>Violation of BoD meeting procedures: If the convening and organization of the BoD meeting do not comply with the procedures, the decision on dismissal and appointment of the legal representative may be considered invalid.<\/li>\n<li>Insufficient votes: The BoD&#8217;s decision must be approved by a sufficient number of votes according to the company&#8217;s charter and the Law on Enterprises.<br \/>\nIncomplete legal procedures: Failure to complete the procedures for changing the legal representative at the Department of Planning and Investment will render the change ineffective.<\/li>\n<\/ul>\n<h2 style=\"text-align: justify;\">5. Real-Life Example<\/h2>\n<p style=\"text-align: justify;\">A typical example of this type of dispute is the case between Ms. L\u00ea Th\u1ecb L and Mr. B\u00f9i Thanh TU at Mechanical Construction Joint Stock Company 306 (<strong><a href=\"https:\/\/anlevn.blogspot.com\/2024\/07\/toa-nhan-dan-cap-cao-tai-ha-noi-ban.html\">Judgment 18\/2022\/KDTM-PT<\/a><\/strong>). In this case, Ms. L\u00ea Th\u1ecb L, the BoD Chairperson, unilaterally decided to dismiss Mr. B\u00f9i Thanh TU without following the correct BoD meeting procedures and legal regulations. The appellate court ruled that this dismissal decision was legally invalid, and Mr. B\u00f9i Thanh TU remained the legal representative of the company.<\/p>\n<p style=\"text-align: justify;\">Court&#8217;s Assessment:<\/p>\n<ul style=\"text-align: justify;\">\n<li>Validity of the Dismissal Decision: The decision 07\/2019\/Q\u0110-CT dated 30\/12\/2019, dismissing Mr. B\u00f9i Thanh TU by Ms. L\u00ea Th\u1ecb L, did not comply with BoD meeting procedures and the company&#8217;s charter.<\/li>\n<li>Legal Representative Change Procedures: The company 306 had not completed the legal representative change procedures as per Article 12 of the Law on Enterprises; therefore, legally, Mr. B\u00f9i Thanh TU remains the Director and legal representative.<\/li>\n<\/ul>\n<h2 style=\"text-align: justify;\">6. Conclusion<\/h2>\n<p style=\"text-align: justify;\">Disputes regarding the change of legal representative are complex issues that must be handled carefully according to the correct procedures and legal regulations. Failure to comply with procedures can lead to invalid decisions and numerous legal consequences. Therefore, companies must ensure they follow the correct procedures when changing the legal representative.<\/p>\n<p style=\"text-align: justify;\">To avoid similar disputes, companies should refer to the guidelines <strong><a href=\"https:\/\/unilaw.vn\/practice_area\/dich-vu-thanh-lap-cong-ty-unilaw\">HERE (A Comprehensive Guide on Companies in Vietnam in Vietnamese. For the English version, please contact Unilaw)<\/a><\/strong><\/p>\n<p style=\"text-align: justify;\">If you are facing a similar dispute regarding the change of legal representative and need advice, do not hesitate to contact us <strong><a href=\"https:\/\/unilaw.vn\/en\/practice_area\/vietnam-investment-lawyer\">HERE<\/a>.<\/strong><\/p>\n<p><strong>RELATED POSTS<\/strong><\/p>\n\n\n<div class=\"su-posts su-posts-default-loop \">\n\n\t\n\t\t\t\t\t\n\t\t\t\n\t\t\t<div id=\"su-post-8437\" class=\"su-post \">\n\n\t\t\t\t\t\t\t\t\t<a class=\"su-post-thumbnail\" href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/work-contract-attorney-legal-guidance-for-employment-agreements.html\"><img decoding=\"async\" width=\"1200\" src=\"https:\/\/i2.wp.com\/blogger.googleusercontent.com\/img\/b\/R29vZ2xl\/AVvXsEjOa0qFIajFmOPR1_AazZ5Aflwht5Bk5g1sF9mhTSwrjrbztYcZD1s8O9wsSwqBJq7Co98kt-EdJZhZHQxj9nisD4J05xvtpSkHEiqnfO6yGFwL1LyLGx3xIgHJDNtzYnAF5LU-19DQyh_tHptk92pijA20pGnK4pZeCviE0fJnNFjK2KvJDEdO1zpP4uE\/s1250\/work-contract-attorney.jpg?w=1200&amp;resize=1200,0&amp;ssl=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"work contract attorney\" title=\"work contract attorney\" \/><\/a>\n\t\t\t\t\n\t\t\t\t<h2 class=\"su-post-title\"><a href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/work-contract-attorney-legal-guidance-for-employment-agreements.html\">WORK CONTRACT ATTORNEY \u2013 LEGAL GUIDANCE FOR EMPLOYMENT AGREEMENTS<\/a><\/h2>\n\n\t\t\t\t<div class=\"su-post-meta\">\n\t\t\t\t\tPosted: Th\u00e1ng ba 23, 2026\t\t\t\t<\/div>\n\n\t\t\t\t<div class=\"su-post-excerpt\">\n\t\t\t\t\t<p>&nbsp; &nbsp; WORK CONTRACT ATTORNEY This article provides a comprehensive legal overview of the role of a work contract attorney, explaining how employment contracts are structured, interpreted, and enforced, and why professional legal support is critical in modern labor relations. 1. 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COST GUIDE&#8221;<\/span><\/a><\/p>\n\t\t\t\t<\/div>\n\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t\n\t\t\t\n\t\t\t<div id=\"su-post-8429\" class=\"su-post \">\n\n\t\t\t\t\t\t\t\t\t<a class=\"su-post-thumbnail\" href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/what-do-attorneys-charge-per-hour-cost-guide.html\"><img decoding=\"async\" width=\"1200\" src=\"https:\/\/i0.wp.com\/blogger.googleusercontent.com\/img\/b\/R29vZ2xl\/AVvXsEjHjEq0SEHDxsK_UnyqhIWLWbn5XAg3SLGWkyjUopGmMAHyMYAHG2Ve18a3i778KEyLuEkxnGKE9OCF1YFTvYq4XgbY_B0CNzR19xYor7SSqMnjxKYB4ennh876o8vFKcRnc0RgsKyd77hVFJ9CisttYzxHkkz3mW8yehM1YA1lRw2AgDWu_seeAseKLW4\/s1250\/what-do-attorneys-charge-p%E1%BA%BB-hour.jpg?w=1200&amp;resize=1200,0&amp;ssl=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"what do attorneys charge per hour\" title=\"what do attorneys charge per hour\" \/><\/a>\n\t\t\t\t\n\t\t\t\t<h2 class=\"su-post-title\"><a href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/what-do-attorneys-charge-per-hour-cost-guide.html\">WHAT DO ATTORNEYS CHARGE PER HOUR? COST GUIDE<\/a><\/h2>\n\n\t\t\t\t<div class=\"su-post-meta\">\n\t\t\t\t\tPosted: Th\u00e1ng ba 23, 2026\t\t\t\t<\/div>\n\n\t\t\t\t<div class=\"su-post-excerpt\">\n\t\t\t\t\t<p>&nbsp; WHAT DO ATTORNEYS CHARGE PER HOUR What do attorneys charge per hour is a practical question for anyone planning litigation, a business transaction, estate planning, immigration work, or ongoing legal support. When people search what do attorneys charge per hour, they are rarely looking for one magic number. They usually want to know whether &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/what-do-attorneys-charge-per-hour-cost-guide.html\" class=\"more-link\">>>>>> <span class=\"screen-reader-text\"> &#8220;WHAT DO ATTORNEYS CHARGE PER HOUR? COST GUIDE&#8221;<\/span><\/a><\/p>\n\t\t\t\t<\/div>\n\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\t\t\t\n\t\t\t\n\t\t\t<div id=\"su-post-8428\" class=\"su-post \">\n\n\t\t\t\t\t\t\t\t\t<a class=\"su-post-thumbnail\" href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/what-commercial-lawyers-do-roles-functions-and-practical-value.html\"><img decoding=\"async\" width=\"1200\" src=\"https:\/\/i3.wp.com\/blogger.googleusercontent.com\/img\/b\/R29vZ2xl\/AVvXsEhhQ40s0mB-7SGq3iT2dNS5wU3hL1zIGdyFhimRCDm7aQezsUoPH9ndrwc9p61xrskyD-lUzyOzqM5vv6_dwCmPMUUnNw_dlIXWmyDh1ToJOwirPPW6npP0FiFSZUDqeYUTLq0JrLUA5JmsJHI0GDMxPHsyv6qHA5Fhdb5UF1yVbxM8r6W6mOdS33q_GMI\/s1250\/what-d%C3%B3e-a-commercial-lawyer-do.jpg?w=1200&amp;resize=1200,0&amp;ssl=1\" class=\"attachment-post-thumbnail size-post-thumbnail wp-post-image\" alt=\"what commercial lawyers do\" title=\"what commercial lawyers do\" \/><\/a>\n\t\t\t\t\n\t\t\t\t<h2 class=\"su-post-title\"><a href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/what-commercial-lawyers-do-roles-functions-and-practical-value.html\">WHAT COMMERCIAL LAWYERS DO \u2013 ROLES, FUNCTIONS, AND PRACTICAL VALUE<\/a><\/h2>\n\n\t\t\t\t<div class=\"su-post-meta\">\n\t\t\t\t\tPosted: Th\u00e1ng ba 23, 2026\t\t\t\t<\/div>\n\n\t\t\t\t<div class=\"su-post-excerpt\">\n\t\t\t\t\t<p>&nbsp; &nbsp; WHAT COMMERCIAL LAWYERS DO This article provides a structured, practical explanation of what commercial lawyers do, focusing on their legal functions, business value, and role across the lifecycle of commercial activities. 1. Understanding the Role of Commercial Lawyers To understand what commercial lawyers do, it is essential to first define commercial law itself. &hellip; <\/p>\n<p class=\"link-more\"><a href=\"https:\/\/unilaw.vn\/en\/judgment-analysis\/commercial-contract-law\/what-commercial-lawyers-do-roles-functions-and-practical-value.html\" class=\"more-link\">>>>>> <span class=\"screen-reader-text\"> &#8220;WHAT COMMERCIAL LAWYERS DO \u2013 ROLES, FUNCTIONS, AND PRACTICAL VALUE&#8221;<\/span><\/a><\/p>\n\t\t\t\t<\/div>\n\n\t\t\t\t\n\t\t\t<\/div>\n\n\t\t\n\t\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>1. Introduction Disputes regarding the change of legal representative arise in the course of business operations and management. These disputes occur when there is disagreement or conflict among the company&#8217;s members about who should take on the role of legal representative.<\/p>\n","protected":false},"author":1,"featured_media":2767,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[109,1],"tags":[309,308,307,324,306],"class_list":["post-2766","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business-law","category-judgment-analysis","tag-legal-service-in-vietnam","tag-vietnam-company-law","tag-vietnam-corporate-law","tag-vietnam-corporate-lawyer","tag-vietnam-enterprise-law"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v25.6 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>DISPUTE REGARDING CHANGE OF LEGAL REPRESENTATIVE: ANALYSIS OF JUDGMENT 18\/2022\/KDTM-PT<\/title>\n<meta name=\"description\" content=\"Analysis of Judgment 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