The National Assembly has passed the Law on Recovery and Bankruptcy. This Law takes effect from March 1, 2026.
This Law stipulates the principles, order, and procedures for resolving cases of recovery and bankruptcy of enterprises and cooperatives, cooperative unions; tasks and powers of people carrying out recovery and bankruptcy procedures; rights and obligations of people participating in recovery and bankruptcy procedures.
The Law on Recovery and Bankruptcy is applied when resolving cases of recovery and bankruptcy of enterprises and cooperatives; in case this Law does not have regulations, relevant legal regulations shall be applied.
Regulations on recovery procedures, shortened recovery procedures of this Law do not apply to credit institutions, insurance enterprises, and reinsurance enterprises.
Notably, the Law clearly stipulates the tasks and powers of Judges in resolving recovery and bankruptcy cases.
Accordingly, the Judge has the task and authority to guide and request participants in recovery and bankruptcy procedures to collect and submit documents and evidence to prove that their requests and proposals are grounded and legal; inspect and appraise the authenticity of documents and evidence in accordance with the law.
Request agencies, organizations, and individuals to provide documents and evidence related to the recovery and bankruptcy case; decide to apply the simplified recovery procedure, decide to apply the simplified bankruptcy procedure.
Decision to appoint or change asset administrators, enterprises managing and liquidating assets.
Supervise the activities of asset administrators and enterprises managing and liquidating assets when resolving recovery and bankruptcy cases.
Decide on the implementation of enterprise and cooperative audits in necessary cases; decide on the sale of assets of enterprises and cooperatives to ensure costs for recovery, bankruptcy, and preservation of assets of enterprises and cooperatives.
Decide to apply temporary emergency measures according to regulations; apply measures to prohibit leaving the place of residence, request competent authorities to escort representatives of enterprises and cooperatives according to the provisions of law.
Decision to suspend recovery procedures, suspend bankruptcy procedures; decision to declare enterprises and cooperatives bankrupt; application of administrative sanctions, proposing competent authorities to handle criminal matters according to the provisions of law.
Apply case law in the process of resolving recovery and bankruptcy cases; conduct mediation of disputes related to the assets of enterprises and cooperatives at the request of participants in recovery and bankruptcy procedures and decisions recognizing the agreement of the parties.
Considering and resolving requests for recognition and enforcement of judgments and decisions on recovery and bankruptcy of Courts and competent authorities of foreign countries...
