Enterprise being entitled to self-determination of its seal

Be approved by 85.51% of the National Assembly deputies, the amended Law on Enterprise allows the enterprise to be free to choose the use and decide the quantity, form and content of seal. From now, it is not required to conduct the procedure for seal registration but to notify specimen seal to the licensing authority for publicly uploading on the National Business Registration Portal. In case that the enterprise uses the seal, it may decide whether or not to use the seal as prescribed in company charter or as mutually agreed by the parties involved in transaction, unless others required by law.

Although the use of seal is not completely eliminated, this amendment is considered an important progress in administrative procedure simplification and in reduction of misuse of seal. Seal no longer bears absolute legal validity in all cases, but has significance in company identification. For this progress, many experts comment that Vietnam may increase by 70 levels in World Bank competitiveness rankings and make an important change in State management viewpoint.

Law on Enterprises (Amendment) shall officially take effect from 01 July 2015.