Litigating International Commercial Disputes in Vietnamese Courts: Practice and Procedure

Commercial disputes involving a foreign party, foreign assets or a contract performed abroad are heard by Vietnamese courts under special procedural rules. Understanding these rules in advance — particularly on jurisdiction, service of documents and foreign evidence — is often what determines how long a case takes and whether a judgment can actually be enforced.

Legal basis and current rules

The procedure is governed mainly by the Civil Procedure Code 2015, which contains a dedicated part on civil and commercial matters with a foreign element, including the rules on international jurisdiction, exclusive jurisdiction of Vietnamese courts, service of documents abroad and mutual legal assistance. The substantive law applicable to the contract is determined by the parties' choice of law where permitted and, failing that, by the conflict-of-laws rules in the Civil Code 2015; the Commercial Law 2005 governs commercial transactions between traders. Vietnam's court system was reorganised with effect from 1 July 2025 (Law No. 81/2025/QH15): there are now three levels — the Supreme People's Court, provincial People's Courts and regional People's Courts — and the former high-level and district courts no longer exist. Regional courts now hear at first instance most civil and commercial disputes, including those with a foreign element; provincial courts hear appeals. Requests to recognise foreign judgments and foreign arbitral awards go to the regional court with territorial jurisdiction (where the debtor resides, has its seat or holds assets); applications to set aside domestic arbitral awards go to the Economic Courts of the People's Courts of Hanoi, Da Nang and Ho Chi Minh City. Because territorial jurisdiction has changed, check the competent court before filing.

Documents and evidence to prepare

A claim must be filed in Vietnamese. Documents issued abroad must be accompanied by a certified Vietnamese translation. Since 11 September 2026, public documents from states party to the Apostille Convention need only an Apostille instead of consular legalisation (except documents from Germany, Austria and the Czech Republic, which objected to Vietnam's accession); other foreign documents must still be consularly legalised unless exempt under a treaty or on the basis of reciprocity. An Apostille certifies the signature, seal and capacity of the signatory, not the content — the court still assesses the evidential weight. A typical file includes the statement of claim, the contract and its annexes, correspondence, invoices and payment records, evidence of breach and loss, documents proving the parties' legal status and the authority of representatives, and a power of attorney for counsel.

Procedure in practice

Serving court documents on a defendant abroad is the step that most often lengthens international cases. Vietnam is a party to the Hague Service Convention and to a number of bilateral mutual legal assistance treaties; where neither applies, service follows diplomatic channels or other methods permitted by the Civil Procedure Code. Each round of service can take months, so the overall timetable is considerably longer than for a purely domestic case. Hearings are conducted in Vietnamese, and foreign parties may use interpreters. Parties should also consider interim measures early if there is a risk that assets will be moved.

Common legal risks

The most frequent problems are: a missing or ambiguous dispute-resolution clause, leading to arguments over jurisdiction; foreign documents that have not been legalised or apostilled, or not properly translated; limitation periods — commercial claims are generally subject to a two-year limitation period under the Commercial Law; and a judgment that cannot be enforced where the defendant's assets are located, because recognition of Vietnamese judgments abroad depends on the law of that country and any applicable treaty. Financial risk also matters: court fees, translation and legalisation costs and lawyers' fees should be budgeted for the whole case, including any appeal.

Arbitration as an alternative

For many cross-border contracts, arbitration — for example at the Vietnam International Arbitration Centre (VIAC) or a foreign institution — is preferable because the award is final and, as Vietnam is a party to the New York Convention, foreign arbitral awards can be recognised and enforced in Vietnam (and Vietnamese awards abroad) subject to the Convention's limited grounds for refusal. The choice between court and arbitration should be made when the contract is drafted, not after the dispute arises.

Practical advice

Engage counsel at the pre-action stage to assess jurisdiction, applicable law, limitation and enforceability before filing. Start legalising and translating foreign documents early, map where the counterparty's assets are, and keep a complete, organised record of the transaction — it will form the backbone of your evidence.

Quick Q&A

Which court hears an international commercial case?

Since 1 July 2025, regional People's Courts hear most commercial disputes at first instance, including those with a foreign element, and provincial courts hear appeals. Check the territorially competent court before filing.

How long does an international commercial case take in Vietnam?

Usually considerably longer than a domestic case, mainly because documents must be served on the foreign party through treaty or diplomatic channels. Each round of service abroad can take several months.

Do foreign documents need to be legalised?

Since 11 September 2026, public documents from Apostille Convention states need only an Apostille (except Germany, Austria and the Czech Republic); other foreign documents must still be consularly legalised unless exempt under a treaty or reciprocity. All must be accompanied by a certified Vietnamese translation.

What is the limitation period for commercial claims?

Commercial disputes between traders are generally subject to a two-year limitation period under the Commercial Law 2005, counted from the date the claimant's rights were infringed. Check the specific rules for your claim early.

Is arbitration better than court for cross-border contracts?

Often, yes: arbitral awards are final and, through the New York Convention, enforceable in Vietnam and in most trading partners' jurisdictions. The choice must be agreed in the contract.