by Apra Law

The government encourages technology transfer for economic development and hi-tech application. In addition to activities that are encouraged to transfer, there will be prohibited acts in technology transfer activities.

According to Article 12 of the Law on Technology Transfer No. 07/2017/QH14 dated June 19, 2017 (hereinafter referred to as the Law on Technology Transfer in 2017), the prohibited acts in technology transfer activities include:

  • Taking advantage of technology transfer to adversely affect national defense, security, national interests, human health, environment, morality and national customs; infringe upon the legitimate rights and interests of organizations and individuals; destruction of natural resources and biodiversity.
  • Transferring technology prohibited from transfer; unauthorized transferring technology restricted from transfer.

According to Article 11 of the Law on Technology Transfer in 2017, it is prohibited to transfer technology from abroad to Vietnam, in the territory of Vietnam and from Vietnam to abroad in the following cases:

+ Failure to satisfy the provisions of the law on occupational safety and hygiene, ensuring human health, protecting natural resources, environment and biodiversity;

+ Creating products that have adverse consequences on socio-economic development; negatively affect national defense, security, social order and safety;

+ Technology; machinery and equipment accompanied by technology are no longer commonly used and transferred in developing countries and do not satisfy national technical standards and regulations;

+ Technologies using toxic chemicals or generating waste that do not satisfy national environmental standards and technical regulations;

+ Using radioactive substances, generating radioactive substances that do not satisfy national standards and technical regulations

Acts of illegal transfer of technologies restricted from transfer according to regulations are strictly prohibited and handled.

  • Violation of regulations on the right to transfer technology.

+ Technology owners have the right to transfer the right to use the technology. Organizations and individuals that have the right to use such technology may transfer the right to use such technology to other organizations and individuals when the technology owner agrees.

+ The scope of transfer of technology use rights agreed upon by the parties includes: Exclusive or non-exclusive use of technology; Right to transfer the transferee’s right to use technology to a third party.

  • Deception or dishonesty in the formulation and performance of technology transfer contracts, technology transfer service contracts, technology contents in contracts, investment project dossiers.
  • Preventing or refusing to provide information on technology transfer activities at the request of competent authority.
  • Illegally disclosing technology secrets, preventing technology transfer activities. 
  • Using technology that is not in accordance with the technology approved and licensed by competent authorities.

Mentioned-above is a consulting article on “Prohibited acts in technology transfer activities” of Apra Law Firm. If you have any question about this issue, please do not hesitate to contact us via hotline for advice and support.


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