Costs In Arbitration – Vietnam's Position And Practice

Introduction

The costs of legal proceedings is a major consideration influencing a party's choice of dispute resolution in Vietnam – both in terms of the costs of proceedings and whether they can be recovered from the counterparty. While Vietnamese law regulates certain types of costs incurred during arbitration such as tribunal fees, it does not regulate party-incurred costs such as the costs of legal representation and remuneration of experts.

In this article, we look into:

1. how costs are regulated under Vietnamese law;
2. the Vietnam approach to the recovery of party-incurred costs in commercial arbitrations in Vietnam, including requirements to be met; and
3. the implications for foreign arbitral awards that are to be recognised in Vietnam.