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Legal framework for technology transfer in Vietnam

In the context of increasing globalization, technology transfer plays a crucial role in promoting economic development and improving the quality of life in a country. In Vietnam, the legal framework for technology transfer has become a hot topic, attracting the attention of businesses, researchers, and regulatory authorities. However, understanding and applying relevant legal provisions is not only necessary but also challenging for stakeholders. In this article, we will delve into the legal framework for technology transfer in Vietnam to grasp the legal basis for related issues.

Technology transfer

Technology transfer in Vietnam involves the transfer of ownership rights to technology or the transfer of technology usage rights from the transferring party to the receiving party.

According to Article 4 of the Law on Technology Transfer 2017, the objects of technology transfer include:

  • Technical know-how, technological secrets;
  • Plans, technological processes; solutions, specifications, drawings, technical diagrams; formulas, computer software, data;
  • Rationalization solutions for production, technology innovation;
  • Machinery, equipment accompanying any of the technical know-how, technological secrets; plans, technological processes; solutions, specifications, drawings, technical diagrams; formulas, computer software, data; rationalization solutions for production, technology innovation.

Methods of technology transfer

According to legal regulations, Vietnam currently has the following methods of technology transfer:

  • Transfer of technology documentation.
  • Training for the receiving party to master and control the technology within the agreed-upon period.
  • Sending technical consulting experts to the receiving party to apply and operate the technology to achieve product quality and progress targets as agreed upon.
  • Transfer of machinery, equipment accompanied by any of the technical know-how, technological secrets; plans, technological processes; solutions, specifications, drawings, technical diagrams; formulas, computer software, data; rationalization solutions for production, technology innovation.
  • Other transfer methods agreed upon by the parties.

Forms of technology transfer

Forms of technology transfer include:

  • Independent technology transfer.
  • Technology transfer in other forms as prescribed by law.
  • Independent technology transfer and technology contribution by capital must be established in a contract;
  • Technology transfer parts in the following cases:
  1. Investment projects;
  2. Technology contribution by capital;
  3. Transfer of commercial rights;
  4. Transfer of intellectual property rights;
  5. Purchase, sale of machinery, equipment accompanied by any of the technical know-how, technological secrets; plans, technological processes; solutions, specifications, drawings, technical diagrams; formulas, computer software, data; rationalization solutions for production, technology innovation.

Rights of technology transfer

The rights of technology transfer are stipulated as follows:

  • Technology owners have the right to transfer ownership rights, transfer technology usage rights.
  • Organizations, individuals with the right to use technology may transfer the usage rights to other organizations, individuals when the technology owner agrees.
  • The scope of technology usage transfer agreed upon by the parties includes:
  1. Exclusive or non-exclusive technology usage;
  2. Transfer of communication rights of the recipient to a third party.

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ASL LAW is the top-tier Vietnam law firm for technology transfer services in Vietnam. If you need any advice, please contact us for further information or collaboration.

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