when purchasing these assets and affecting the effectiveness of the enforcement of judgments and the difficulties of credit institutions in debt collection. Therefore, the State needs to amend legal documents in the direction of clearly defining that the buyer of the assets, if following the correct procedures, must be maximally protected by the law. Authorities at all levels and relevant agencies should create conditions for the enforcement agency to take measures to shorten the enforcement time to help credit institutions recover debts quickly. In addition, the work of the enforcement agency in some localities also needs to be rectified. The State needs to create conditions in terms of facilities and legal corridors so that the enforcement work is more effective, demonstrating the strictness of the law and so that the enforcement agency is an independent agency that is not dominated by local administrative agencies in professional work.
About the lawsuit procedure
Currently, there are many cases where commercial banks cannot initiate lawsuits to handle collateral due to:
- An individual customer borrowed money but fled his place of residence, so the joint stock commercial bank could not work to handle the collateral according to the agreement in the guarantee contract. The joint stock commercial bank had to file a lawsuit with a competent court to ask the law enforcement agency to handle the collateral, but the court returned the lawsuit file because it could not verify the customer's residence.
- The customer organized a loan, but for some reason the Director no longer worked at the company and there was no authorization letter for another individual to act as representative. The joint stock commercial bank had to file a lawsuit with a competent court to ask the law enforcement agency to handle the collateral, but the court returned the lawsuit file because the company did not have a legal representative.
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The Court's return of the petition in the above cases is not in accordance with the provisions of Article 168 of the Civil Procedure Code regulating cases in which the Court returns the petition and Resolution No. 02/2006/NQ-HDTP dated
12/5/2006 of the Council of Judges of the Supreme People's Court guiding the implementation of the provisions on "procedures for resolving cases at the court of first instance". The Civil Procedure Code stipulates that the Court will return the petition in case the petition does not state or states incorrectly the address of the defendant; in case the petitioner states in full, specific and correct address of the defendant, of the person with related rights and obligations but they do not have a stable place of residence, frequently change their place of residence without notifying the new address to the plaintiff, to the Court, with the purpose of hiding the address, avoiding obligations to the plaintiff, then it is considered a case where the defendant, the person with related rights and obligations intentionally hides the address. The Court shall accept and resolve the case according to general procedures.
CONCLUDE
The analysis of the theoretical basis of Vietnamese and American law in the current economic situation has brought some practical contributions to the construction and completion of current legal regulations related to the issue of overdue debt settlement for Vietnam. Through the entire content presented by the author, the following experiences can be drawn:
Firstly , the role of the State and capital sources in handling overdue debt. In addition to supporting initial capital sources to handle overdue debt, the Government and the State play a role in creating conditions to build a strong enough legal framework to regulate all activities related to handling overdue debt, creating a transparent, equal, and smooth operating environment.
Second , the Asset Management Company (AMC) must be formed with clear direction and authority. The tasks and missions of the AMC need to be specifically defined. The power of the AMC needs to be assigned with a certain budget source associated with a specific time limit. The AMCs that are established all carry out a common mission of helping to handle the large amount of overdue debts that are currently outstanding in the financial system.
Third , build a mechanism for pricing overdue debts in a public and transparent manner. The process of handling overdue debts through AMCs includes two main important steps: purchasing overdue debts and handling overdue debts that have been purchased. In the stage of purchasing overdue debts, the most difficult task is to classify and price overdue debts.
Fourth , solutions to resolve overdue debts must be selected in accordance with the development level of the financial market. In handling overdue debts purchased to recover capital, or restore the value of bad assets, AMCs of countries that want to be successful must choose a handling mechanism that is appropriate to the development level of that country's financial market.
All the above comments are also the final purpose that the author wants to present when doing this topic. Due to the limited time and limited level, shortcomings are inevitable - I look forward to receiving the sharing and comments of teachers and friends. All those valuable shared opinions will be good lessons for me in my work and in the next research projects.
LIST OF REFERENCES
VIETNAMESE
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ENGLISH
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37. Daniela Klingebiel, "Cross-Country Experiences", e-book.
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41. Victor Shih, "Dealing with non-performing loans: Political constraints and financial policies in China", e-book .
42. "What actually asset management companies do?", World bank report .