The establishment of the Intellectual Property Court will greatly facilitate right holders in filing intellectual property lawsuits in Vietnam.
On June 24, 2024, the National Assembly of Vietnam passed an important amendment to the Organic Law of the People’s Courts. The amendment involves 9 chapters and 152 articles, laying a legal basis for the establishment of a specialized intellectual property court. This amendment will help Vietnam cope with the increasing number of complex intellectual property disputes and fulfill its international commitment to strengthen intellectual property protection.
Establishment of Intellectual Property Courts in accordance with the Amendment to the Organic Law of the People’s Courts
The Amendment to the Organic Law of the People’s Courts approved the establishment of first instance courts that specifically hear specific types of cases (including intellectual property disputes). Specifically, as follows:
- The Supreme People’s Court is responsible for developing a detailed plan to determine the organizational structure, location and specific number of specialized courts. Representatives of the National Assembly proposed that the first batch of specialized courts be located in large cities such as Hanoi, Da Nang and Ho Chi Minh City.
- The Standing Committee of the National Assembly of Vietnam will be responsible for approving the proposal submitted by the Supreme Court and defining the jurisdiction of the new intellectual property court.
- Referring to the practices of intellectual property courts in neighboring countries such as Thailand and Indonesia, Vietnam is likely to bring matters currently under the purview of the Vietnam Intellectual Property Office
intothe jurisdiction of the newly established intellectual property court.
- The Intellectual Property Court is a court of first instance and hears intellectual property disputes within the jurisdiction of the court of first instance. Since the litigants can appeal to the High Court after the first instance, we believe that a special intellectual property court may be established within the High Court.
This move is of great significance to Vietnam.
At present, local courts and high courts in Vietnam accept various types of cases, so judges lack sufficient training in the field of intellectual property law, which has led to inconsistent judgments in the same case and long-standing cases . The establishment of a special intellectual property court, with judges with relevant professional knowledge responsible for handling such intellectual property cases, will ensure the consistency and rationality of judgments in intellectual property disputes.
At present, the number and complexity of intellectual property disputes in Vietnam are increasing day by day. The number of intellectual property infringement disputes brought to court has also increased significantly, but this number is still relatively small compared to the total number of intellectual property disputes handled by relevant departments. In 2023, 644 intellectual property infringements were resolved through administrative penalties, 16 infringements were filed as criminal cases, [1] and about 10 intellectual property disputes entered the civil litigation stage. This fully demonstrates that the establishment of specialized courts, the active role of courts in resolving intellectual property disputes, and the making of more effective intellectual property decisions are of great significance to improving the current situation of intellectual property protection in Vietnam.
Impact on intellectual property protection
The purpose of establishing an intellectual property court is to better resolve intellectual property disputes. Specialized intellectual property courts will provide a dedicated processing platform for complex intellectual property disputes, which can reduce case backlogs and speed up dispute resolution. The establishment of specialized intellectual property courts can also allow courts and court personnel to strengthen their trial capabilities by centrally hearing various types of intellectual property cases.
More intellectual property cases are shifting from administrative proceedings to litigation proceedings.
Fulfilling international commitments
The establishment of an IP court will also help Vietnam fulfill its international commitments to strengthen IP protection under new-generation free trade agreements such as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the EU-Vietnam Free Trade Agreement (EVFTA) and the Regional Comprehensive Economic Partnership (RCEP).
Outlook
Intellectual property courts have been underway in various places, and Hanoi has begun appointing judges. The city’s intellectual property court is expected be operational after January 1, 2025. The Supreme People’s Court will supervise the establishment of the intellectual property court throughout the process to ensure the smooth launch of the new mechanism.
As the Supreme People’s Court of Vietnam gradually advances the establishment of the new IP Court, we recommend that you pay close attention to the latest developments, make full use of the new specialized court system, and flexibly adjust your IP protection strategy. We will continue to follow up on relevant developments and provide our insights.
