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Decision 07 providing the list of products, goods, services of which standard form contracts and general trading conditions are subject to registration
On 20th June 2024, the Prime Minister Pham Minh Chinh has issued Decision No. 07/2024/QD-TTg (Decision 07) providing the list of 8 categories of products, goods, services of which the standard form contracts and general trading conditions must be registered with competent authorities since 1 July 2024.
The goods and services regulated under Decision 07 will have direct and long-term impacts on the consumers who purchase and use them regularly and continuously, the authorities want to ensure the protection of the consumers’ interests and rights before traders and service providers transact with consumers. This is to implement the Article 28.1 of the Law on protection of consumers rights 2023.
The list of products, goods and services regulated under Decision 07 includes:
(1) Provision of electricity for life activities;
(2) Provision of water for life activities;
(3) Television services;
(4) Terrestrial mobile telecommunications services (voice, text message, Internet access);
(5) Fixed terrestrial telecommunications services (voice, Internet access);
(6) Air passenger transportation services;
(7) Rail passenger transportation services; and
(8) Sale and purchase of apartments
Before 1 July the list of goods and services under the old regulations included also “sale and purchase of apartments, life activities services provided by the management unit of the apartment complex” and “life insurance services” which have been modified, removed in Decision 07.
The Decision 07 comes into force since 1 July 2024 and removes previous Decisions 02/2012/QD-TTg, Decision 35/2025/QD-TTg, Decision 38/2028/QD-Ttg, Decision 25/2019/QD-TTg.
Regarding the standard form contracts, general trading conditions, Articles 24, 25 of the Law on protection of consumers’ rights 2023 specifically provide:
- Interpretation:
In the event that contents of a contract signed with a consumer, standard form contracts or general trading conditions are interpreted in different ways, the interpretation shall be made in a manner favoring the consumer.
- Prohibited contents:
A trader is prohibited to specify the following clauses in contracts signed with consumers, standard form contracts and general trading conditions:
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- Limiting or excluding the trader’s liability prescribed by law to consumers, unless such responsibility is limited or excluded by relevant laws;
- Limiting or excluding consumers’ rights to file complaints or lawsuits;
- Permitting the trader to unilaterally change regulations set out in the contracts signed with consumers;
- Permitting the trader to unilaterally change general trading conditions without providing provisions on the consumer’s right to terminate contract;
- Permitting the trader to unilaterally determine that the consumer has failed to discharge one or more liabilities;
- Permitting the trader to determine or change the price at the time of delivering products or goods or supplying services, unless otherwise provided for by law;
- Permitting the trader to change the price during continuous supply of services without providing provisions on the consumer’s right to terminate contract;
- Permitting the trader to interpret the contract or general trading conditions in case there is any confusion on interpretation of terms thereof;
- Excluding the trader’s liability in case of products or goods sold or services supplied by a third party;
- Forcing consumers to discharge their liability even if the trader has not discharged their liability;
- Permitting the trader to hand over liability to third parties without the consumer’s consent, unless otherwise prescribed by law;
- Specifying sanctions which are more unfavorable to consumers as a result of breach or termination of contract;
- Permitting the trader to extend contracts signed with consumers without specifying the responsibility to give prior notice or a mechanism for consumers to choose between extending or terminating contracts;
- Stipulating that the consumer’s consent for collection, storage or use of consumer information by the trader serves as a prerequisite for conclusion of contracts and general trading conditions, unless otherwise provided for by law;
- Specifying a term which is contrary to the requirement of good faith under regulations of civil law, causing an imbalance in the parties’ rights and obligations to the detriment of the consumer.
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