On the afternoon of November 26, the National Assembly passed the Law on Notarization (amended) consisting of 8 chapters and 76 articles, with many new points compared to the current law.
Article 40 of the Law on Notarization (amended) recently passed stipulates compensation for damages in notarization activities as follows:
1. Notary organizations must compensate for damages to the person requesting notarization and other individuals and organizations caused by the fault of the notary or its employees during the notarization process.
In case a notary practice organization has been converted, merged or consolidated, the notary practice organization inheriting the rights and obligations of that notary practice organization shall be responsible for compensating for damages; in case the notary practice organization has been dissolved or ceased operations, the notary or employee who directly caused the damage must compensate for the damage himself/herself, even if that person is no longer a notary or employee of a notary practice organization.
2. Notaries and employees who directly cause damage must reimburse the notary practice organization the amount of money that the organization has compensated the damaged person according to the provisions of law, even in cases where that person is no longer a notary or employee of a notary practice organization; in cases where the notary or employee who directly causes damage does not reimburse, the notary practice organization has the right to request the Court to resolve the matter.
Meanwhile, the Law on Notarization currently in effect stipulates compensation and reimbursement in notarization activities in Article 38 as follows:
1. A notary public organization must compensate for damages to the person requesting notarization and other individuals and organizations due to errors caused by the notary public, employee or interpreter who is a collaborator of its organization during the notarization process.
2. A notary, employee or interpreter who is a collaborator causing damage must reimburse the notary practice organization that paid compensation to the damaged person according to the provisions of law; in case of non-reimbursement, the notary practice organization has the right to request the Court to resolve the matter.
Thus, the Law on Notarization (amended) has more specific provisions on compensation for damages in notarization activities, stating that notaries and employees who directly cause damage must compensate for the damage themselves, even in cases where that person is no longer a notary or employee of a notary practice organization.
In addition, the Law on Notarization (amended) continues to stipulate that professional liability insurance for notaries is a mandatory type of insurance.
Previously, in Document No. 777/CP-PL, the Government proposed not to stipulate that professional liability insurance for notaries is a mandatory type of insurance, but only stipulates that notary practice organizations are obliged to purchase professional liability insurance for their notaries.
However, after discussion and consultation, the National Assembly Standing Committee proposed that the National Assembly keep the regulation on professional liability insurance for civil servants as a compulsory type of insurance.
