(English – Tiếng Việt)

1. Circular 10/2018/TT-BCT on Multi-level marketing

CIRCULAR 10/2018/TT-BCT

May 24, 2018

Detailing a number of articles of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities

Pursuant to the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities;

Pursuant to the Government’s Decree No. 98/2017/ND-CP of August 18, 2017, defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

At the proposal of the Director of the Vietnam Competition and Consumer Authority;

The Minister of Industry and Trade promulgates the Circular detailing a number of articles of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities.

Article 1. Scope of regulation

This Circular prescribes framework training programs on legal knowledge about multi-level marketing; the examination of legal knowledge about multi-level marketing, and grant and revocation of certification of legal knowledge about multi-level marketing.

Article 2. Subjects of application

This Circular applies to establishments providing training in legal knowledge about multi-level marketing, multi-level marketing enterprises, persons wishing to take an examination and receive certification of legal knowledge about multi-level marketing, and other related organizations and individuals.

Article 3. Framework training programs on legal knowledge about multi-level marketing

The framework training program on legal knowledge about multi-level marketing (below referred to as the training program) issued by an establishment providing training in legal knowledge about multi-level marketing must have the following contents:

1. The training duration: at least 8 hours;

2. The framework training program on legal knowledge about multi-level marketing, which shall be made according to the form provided in Appendix 1 to this Circular.

Article 4. Form of written requests for examination and certification of legal knowledge about multi-level marketing

Written requests for examination and certification of legal knowledge about multi-level marketing shall be made according to the form provided in Appendix 2 to this Circular.

Article 5. Order of examination of legal knowledge about multi-level marketing

The Vietnam Competition and Consumer Authority shall organize or authorize in writing establishments providing training in legal knowledge about multi-level marketing to organize the examinations of legal knowledge about multi-level marketing according to the following order:

1. Examining the completeness and validity of the registration dossier for examination and certification of legal knowledge about multi-level marketing under Clause 1, Article 39 of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities.

2. Making plans on the time, place and method of the examination.

3. Announcing the examination plan.

4. Organizing the examination.

5. Assessing examination results.

6. Announcing examination results.

Article 6. Examination form and assessment of examination results

1. The examination of legal knowledge about multi-level marketing shall be conducted in the form of essay or multiple-choice test with the duration of at least 60 minutes.

2. Answers shall be scored using a 100-point scale; those who score below 90 in a multiple-choice test and below 75 in an essay test will fail the examination.

Article 7. Certification of legal knowledge about multi-level marketing

1. Written certifications of legal knowledge about multi-level marketing shall be made according to the form provided in Appendix 3 to this Circular for grant to those who pass the examination as prescribed in Clause 2, Article 39 of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities.

2. In case a written certification of legal knowledge about multi-level marketing is lost, torn or destroyed, the Vietnam Competition and Consumer Authority shall re-grant it without requiring the requester for re-grant to re-complete a training course of legal knowledge about multi-level marketing.

Article 8. Revocation of written certifications of legal knowledge about multi-level marketing

1. The Vietnam Competition and Consumer Authority shall revoke a written certification of legal knowledge about multi-level marketing in the following cases:

a/ The examination registration dossier of the person granted the written certification is detected to contain deceitful information;

b/ The concerned multi-level marketing enterprise terminates its multi-level marketing activities;

c/ The person granted the written certification of legal knowledge about multi-level marketing terminates his/her labor contract or training contract with a multi-level marketing enterprise. Multi-level marketing enterprises shall notify the Vietnam Competition and Consumer Authority of the termination of labor contracts or training contracts with persons with written certifications of legal knowledge about multi-level marketing.

2. Procedures and order of revocation of a written certification of legal knowledge about multi-level marketing:

a/ Within 10 working days after an event prescribed in Clause 1 of this Article occurs, the Vietnam Competition and Consumer Authority shall issue and send a decision on revocation of a written certification of legal knowledge about multi-level marketing to the concerned multi-level marketing enterprise. The written certification of legal knowledge about multi-level marketing shall be invalidated on the date the Vietnam Competition and Consumer Authority issues the revocation decision;

b/ The Vietnam Competition and Consumer Authority shall announce on its website and the Ministry of Industry and Trade’s website the revocation of written certifications of legal knowledge about multi-level marketing of each multi-level marketing enterprise.

Article 9. Effect

1. This Circular takes effect on July 15, 2018.

2. This Circular annuls the Minister of Industry and Trade’s Circular No. 24/2014/TT-BCT of July 30, 2014, detailing a number of articles of the Government’s Decree No. 42/2014/ND-CP of May 14, 2014, on management of multi-level marketing activities.

Article 10. Organization of implementation

1. The Vietnam Competition and Consumer Authority shall, within the ambit of its functions and tasks, implement this Circular.

2. Related organizations and individuals shall implement this Circular and, if meeting with any arising problems, send their opinions and recommendations to the Ministry of Industry and Trade for guidance and handling.

* The appendices to this Circular are not translated.

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2. Circular 12/2023/TT-BCT (Amending Decree 10/2018/TT-BCT)

CIRCULAR 12/2023/TT-BCT

June 5, 2023

Amending and supplementing a number of articles of the Minister of Industry and Trade’s Circular No. 10/2018/TT-BCT of May 24, 2018, detailing a number of articles of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities

Pursuant to the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities (below referred to as Decree No. 40/2018/ND-CP);

Pursuant to the Government’s Decree No. 18/2023/ND-CP of April 28, 2023, amending and supplementing a number of articles of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities (below referred to as Decree No. 18/2023/ND-CP);

Pursuant to the Government’s Decree No. 96/2022/ND-CP of November 29, 2022, defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

At the proposal of the Chairperson of the Vietnam Competition Commission;

The Minister of Industry and Trade promulgates the Circular amending and supplementing a number of articles of the Minister of Industry and Trade’s Circular No. 10/2018/TT-BCT of May 24, 2018, detailing a number of articles of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities.

Article 1. To amend and supplement a number of articles of the Minister of Industry and Trade’s Circular No. 10/2018/TT-BCT …

… of May 24, 2018, detailing a number of articles of the Government’s Decree No. 40/2018/ND-CP of March 12, 2018, on management of multi-level marketing activities (below referred to as Circular No. 10/2018/TT-BCT), as follows:

1.To amend and supplement Article 1 as follows:

“Article 1. Scope of regulation

This Circular prescribes framework programs for training in legal knowledge about multi-level marketing; organization of tests of legal knowledge about multi-level marketing and knowledge tests for local-based focal points of multi-level marketing enterprises, and grant and revocation of written certifications of legal knowledge about multi-level marketing and written certifications of knowledge for local-based focal points of multi-level marketing enterprises.”

2. To amend and supplement Article 2 as follows:

“Article 2. Subjects of application

This Circular applies to institutions providing training in legal knowledge about multi-level marketing, multi-level marketing enterprises, persons wishing to take tests for grant of written certifications of legal knowledge about multi-level marketing and written certifications of knowledge for local-based focal points of multi-level marketing enterprises, and other related organizations and individuals.”

3. To amend and supplement Article 5 as follows:

“Article 5. Process of organization of tests of legal knowledge about multi-level marketing or knowledge tests for local-based focal points of multi-level marketing enterprises

1. The Vietnam Competition Commission shall organize or authorize in writing institutions providing training in legal knowledge about multi-level marketing to organize tests of legal knowledge about multi-level marketing or knowledge tests for local-based focal points of multi-level marketing enterprises according to the following process:

a/ Examining the completeness and validity of dossiers of registration for participating in tests for grant of written certifications of legal knowledge about multi-level marketing under Clause 1, Article 39 of Decree No. 40/2018/ND-CP, which was amended and supplemented under Clause 28, Article 1 of Decree No. 18/2023/ND-CP.

b/ Formulating plans on the testing time, place and method.

c/ Announcing test organization plans.

d/ Organizing tests.

dd/ Evaluating test results.

e/ Announcing test results.

2. Tests of legal knowledge about multi-level marketing and knowledge tests for local-based focal points of multi-level marketing enterprises may be organized concurrently or at different points of time.”

4. To amend and supplement Article 6 as follows:

“Article 6. Forms of tests and evaluation of tests results

1. Tests of legal knowledge about multi-level marketing and knowledge for local-based focal points of multi-level marketing enterprises shall be conducted in the form of essay or multiple-choice test with the duration of at least 60 minutes.

2. Answers shall be scored using a 100-point scale, with detailed requirements as follows:

a/ For tests of legal knowledge about multi-level marketing, failure score is under 80, for multiple-choice tests, or under 65, for essay tests.

b/ For knowledge tests for local-based focal points of multi-level marketing enterprises, failure score is under 70, for multiple-choice tests, or under 50, for essay tests.”

5. To amend and supplement Article 7 as follows:

“Article 7. Written certifications of legal knowledge about multi-level marketing, written certifications of knowledge for local-based focal points of multi-level marketing enterprises

Written certifications of legal knowledge about multi-level marketing and written certifications of knowledge for local-based focal points of multi-level marketing enterprises shall be respectively made according to Forms No. 21a and No. 21b promulgated together with Decree No. 18/2023/ND-CP”.

6. To amend and supplement Article 8 as follows:

“Article 8. Revocation of written certifications of legal knowledge about multi-level marketing and written certifications of knowledge for local-based focal points of multi-level marketing enterprises

1. The Vietnam Competition Commission shall revoke a written certification of legal knowledge about multi-level marketing or a written certification of knowledge for local-based focal points of multi-level marketing enterprises in the following cases:

a/ The dossier of registration for test participation of the person granted the written certification is detected to contain deceitful information;

b/ The concerned multi-level marketing enterprise terminates multi-level marketing activities;

c/ The person granted the written certification of legal knowledge about multi-level marketing terminates his/her labor contract or training contract with a multi-level marketing enterprise; the person granted the written certification of knowledge for local-based focal points of multi-level marketing enterprises no longer works as the local-based focal point of a multi-level marketing enterprise. The multi-level marketing enterprise shall notify the test organizer within 2 working days after terminating the relation with the local-based focal point or the training contract with the person who is granted the written certification of legal knowledge about multi-level marketing or written certification of knowledge for local-based focal points of multi-level marketing enterprises.

2. Order and procedures for revocation of a written certification of legal knowledge about multi-level marketing or a written certification of knowledge for local-based focal points of multi-level marketing enterprises:

a/ Within 10 working days after an event specified in Clause 1 of this Article occurs, the Vietnam Competition Commission shall issue and send a decision on revocation of a written certification of legal knowledge about multi-level marketing or written certification of knowledge for local-based focal points of multi-level marketing enterprises to the concerned multi-level marketing enterprise. The written certification of legal knowledge about multi-level marketing or written certification of knowledge for local-based focal points of multi-level marketing enterprises shall be invalidated on the date the Vietnam Competition Commission issues the revocation decision.

b/ The Vietnam Competition Commission shall announce on the test organizer’s website the revocation of written certifications of legal knowledge about multi-level marketing or written certifications of knowledge for local-based focal points of multi-level marketing enterprises for each multi-level marketing enterprise.”

7. To replace the phrase “the Vietnam Competition and Consumer Authority” in Clause 1, Article 10 with the phrase “the Vietnam Competition Commission”.

Article 2. Implementation provisions

1. This Circular takes effect on July 21, 2023.

2. To annul Article 4 of and Appendices 2 and 3 to Circular No. 10/2018/TT-BCT.