In order to ensure the control of anti-competitive practices or acts that may lead to competition restriction, especially when opening the market and integrating into the international e
Trang 1INDUSTRIAL UNIVERSITY OF HO CHI MINH CITY
SCIENCE OF LAW
BÀI TIỂU LUẬN
BỘ MÔN: THUẬT NGỮ CHUYÊN NGÀNH LUẬT
ĐÈ TÀI: APPLICATION OF COMPETITION LAW IN THE MARKET AND IN THE ENTERPRISE
CLASS: DHLKT18ATT- 422001516301
TEAM: 2- HƯỚNG DƯƠNG
GVHD: Ths NGUYỄN THÀNH MINH CHÁNH
HO CHI MINH CITY, 2022.
Trang 2PROLOGUE 4
1. Reasons for choosing a topic……… 4
2. Purpose, object of study, limit the scope of research………… 5
3.1 Purpose of the essay……… 5
3.2 Subjects of study ……… 5
3.3 Limits and scope of research……… 5
3. Method of research on the topic 5
CONTENTS 7
I DISCUSSION ON COMPETITION LAW 7
1 Definition of competition law 7
2 History of competition law 11
3 Basic features of competition law 14
4.Competition law and relationship……… ……… 14
5.General provisions on competition law……… …….15
II.MONOPOLIES AND THE FREEDOM TO COMPETE IN THE MARKET 16
1 Enterprise's right to freedom of competition 16
2 Enterprise with a monopoly position 19
CONCLUSION 21
Trang 3We hereby commit that the essay "Application of competition law in the market and in the enterprise" is entirely our scientific research and contains references to a number of specialized documents and articles
Acknowledgments
First, on behalf of Emmanuel group, I would like to express my sincere thanks to
Ho Chi Minh City University of Industry Ho Chi Minh City University of Technology has introduced the subject of specialized economic law into the curriculum according to the high-quality system In particular, I would like to express my deep gratitude to MSc Nguyen Thanh Minh Chanh - subject lecturer who has imparted and guided valuable knowledge to me and my team members during the study period past During the time of attending his class, specializing in economic law, I have supplemented myself with a lot of useful knowledge, an effective and serious study spirit This will certainly be valuable knowledge, a luggage for us to take the next steps
Due to the lack of experience in doing the subject as well as the limitations of knowledge, the essay will certainly inevitably have shortcomings Looking forward to receiving the recognition, comments, criticism from the teacher for the essay to be more complete
And finally, thank you to family, friends, and team of DHLKT18ATT class, who are always ready to share and help in study and life Hopefully, we will stick together forever
Wish the best will always accompany everyone!
Trang 4A PROLOGUE
1 Reasons for choosing a topic
Competition is recognized as a factor ensuring the dynamism and efficiency of the economy In the current context of Vietnam's economy, fair and fair competition plays a pivotal role, ensuring the effective operation of the market mechanism and creating a favorable environment for economic development In order to ensure the control of anti-competitive practices or acts that may lead to competition
restriction, especially when opening the market and integrating into the
international economy, besides protecting the right of legitimate freedoms of enterprises, against acts of unfair competition, as well as creating and maintaining
a fair business environment, the study of Competition Law is extremely necessary practice applying competition law in Vietnam so that lessons can be drawn for the future
2 Purpose, object of study, limit the scope of research:
2.1 Purpose of the essay:
- Equip with basic knowledge of theory and combine theory into practice, from practice to come up with possible solutions
- Help students accumulate baggage to enter life, grasp basic knowledge
- Understand the rights to freely compete in business, the acts that restrict competition in business, as well as the competition obligations for each entity
- How Vietnam has applied the competition law in the country's economy today, comments, assessments and lessons learned
2.2 Subjects of study:
Practical application of competition law in Vietnam
Trang 52.3 Limits and scope of research :
Time: from 2005 to 2018.
Space: Vietnam.
3.Method of research on the topic:
Statistical method combined with logic, analysis, evaluation, comment
B.CONTENTS
I DISCUSSION ON COMPETITION LAW:
1 Definition of competition law:
-Competition law is a law enacted to regulate competitive acts and other related acts
of traders Competition law includes legal regulations governing the conduct of competition among business entities in the marketplace and also includes
provisions to ensure the enforcement of competition law in practice Those are the regulations on; Organization and operation of state agencies enforcing competition law; order and procedures for handling competition cases; measures to handle violations of the law on competition
- In countries with a developed market economy and a developed legal system such
as the UK, France, and the United States, the source of competition law also includes the adjudication practice of the courts, competition authorities and competition authorities reports, arguments in the process of law-making, theories
in the field of competition are widely recognized
2 History of competition law:
Vietnam:
The Competition Law was passed by the National Assembly of the Socialist Republic of Vietnam and promulgated on December 3, 2004, and took effect from July 1, 2005
Trang 6Implement Resolution No 22/2016/QH14 dated July 29, 2016 of the XIV National Assembly on adjusting the Law and Ordinance Development Program in 2016 and the Law and Ordinance Development Program in 2017 and Resolution No 34/2017/QH14 dated June 8, 2017 of the XIV National Assembly on the 2018 Law and Ordinance Development Program and the adjustment of the 2017 Law and Ordinance Development Program, the Competition Law project (amended) (hereinafter referred to as the Law project) has been included in the law-making program and passed by the XIV National Assembly at its meeting on June 12,
2018, the 5th session
3 Basic features of competition law:
-Firstly, the competition law only regulates prohibited acts in competition
activities, but does not guide business entities what to do or what to do in the process of competition in the market (in other words , competition law has an approach from the opposite side)
While other areas of economic law specify the rights and obligations of entities in business activities (the law is paving the way), competition law only covers the acts that are prohibited by law prohibited in competition activities, rather than instructing businesses (who are subject to regulation) to do what to compete, therefore, competition law belongs to the type of
"intervention" or "prevention" law.
- Second, competition law often sets forth open provisions and waivers that allow competition law enforcement to apply the law flexibly
Unfair competition law often sets forth open provisions from which to identify unfair competition practices that are not carried out Because competition is the business activity of enterprises in the market, it is very diverse and rich There are acts at this time that are determined to have an adverse effect on the healthy competition environment, but at other times and in other circumstances, such acts do not infringe upon the public interest and do not deserve to be prevented This allows the competition law enforcement agency to base on signs of unfair
Trang 7have an adverse effect on competition need to be prevented.
For anti-competitive acts, depending on the actual circumstances and cases to consider the degree of harm to the competitive environment Therefore, for anti-competitive acts specified in the law, it is governed by two principles, besides some acts prohibited by the principle of per se rule, many other acts are prohibited considered according to the principle of reasonable argument (rule of reason), which is only prohibited under specific conditions specified in the competition law Accordingly, the competition laws of many countries list acts that are unconditionally prohibited such as abuse of a dominant position, a monopoly position, and the subject of this act is not entitled to an exemption In addition, the competition law also provides conditions to determine which acts, when performed, will reduce competition pressure, so they will be banned However, anti-competitive practices are prohibited having this condition may also be entitled to an exemption in some cases Therefore, for anti-competitive actions prohibited under the principle of reasonable argument, competition law enforcement agencies must have experience and flexibility in applying the law to determine a fair way exactly anti-competitive conduct is prohibited On the other hand, competition law (in countries following the Anglo-American legal system or the continental law system) recognizes the existence of a legal precedent system in the process of handling competition cases.
- Thirdly, in addition to the provisions on the content governing the conduct
of competition, the competition law also has provisions to ensure the enforcement of the competition law These are regulations governing competition proceedings and dealing with competition law violations
4.Competition law and relationships:
- Competitive relationship between enterprises in the production and business process in the market:
This is a group of relationships mainly regulated by competition law In this group of relationships, the competition law will intervene and publicly orient the competitive acts of the subjects, forcing the subjects to choose the
Trang 8most reasonable course of action in accordance with the order that the law requires desire To regulate this group of relationships, competition law in many countries around the world is often divided into two distinct areas: Law against unfair competition and law on controlling anti-competitive behavior to regulate competition Adjust two groups of behaviors, namely unfair competition and anticompetitive behaviour The reason for such a distinction is that these two groups of competitive acts are different in nature and in terms of their negative effects on the competitive environment can't
be the same
5.General provisions on competition law:
Article 1: Scope of regulation
This Law prescribes anti-competitive behavior, economic concentration that affects
or is likely to have anti-competitive effects on the Vietnamese market; acts of unfair competition; competition proceedings; handle violations of the law on competition; State management of competition
Article 2: Subjects of application
- Business organizations and individuals (hereinafter referred to as enterprises) include enterprises producing and providing public products and services, enterprises operating in industries and fields under the monopoly of the State countries, public non-business units and foreign enterprises operating in Vietnam
- Industry and trade associations operating in Vietnam
- Relevant domestic and foreign agencies, organizations and individuals
Article 3: Interpretation of terms
In this Law, the following terms are construed as follows:
Trang 9- Industry and trade associations include industry associations and professional associations
-Anti-competitive conduct is an act that causes or is likely to cause competition-restrictive effects, including the June 12, 2018 act, breach of an agreement to restrict competition, and abusing a dominant market position market and abuse of monopoly position
- Anti-competitive effect means an effect that excludes, reduces, distorts or hinders competition in the market
- Anti-competitive agreement is an agreement between parties in any form that causes or is likely to cause anti-competitive effects
- Abuse of a dominant market position or an abuse of a monopoly position is an act
of an enterprise with a dominant market position or a monopoly position to influence or potentially limit competition
-Unfair competition acts are acts of enterprises that are contrary to the principles of goodwill, honesty, commercial practices and other standards in business, causing damage or may cause damage to the rights and legitimate interests of other enterprises
-Related market means a market for goods and services that are interchangeable in terms of characteristics, purposes of use and prices in a particular geographical area with similar competitive conditions and with similar characteristics significantly different from neighboring geographical areas
-Competition procedure means the investigation and handling of competition cases and settlement of complaints about decisions on handling of competition cases according to the order and procedures prescribed in this Law
Trang 10-Competition case means a case showing signs of violation of the competition law, which is investigated and handled in accordance with this Law, including cases of competition restriction, cases of violations of regulations on concentration economy and the case of unfair competition
Article 4: Application of the law on competition.
-This Law governs competition relations in general The investigation and handling
of competition cases, exemption from anti-competitive agreements, and notification of economic concentration must comply with the provisions of this Law
-Where other laws provide for acts of competition restriction, forms of economic concentration, acts of unfair competition and the handling of acts of unfair competition are different from those of this Law, apply the provisions of that law
Article 5: Competition rights and principles in business
- Enterprises have the right to freely compete in accordance with the law The State guarantees the lawful right to compete in business
- Competition activities shall be conducted on the principle of honesty, fairness and soundness, without infringing upon the interests of the State, public interests, and legitimate rights and interests of enterprises and consumers
Article 6: State policies on competition
-Create and maintain a healthy, fair, equal and transparent competitive environment
- Promote competition, ensure the right to freely compete in business in accordance with the law
Trang 11-Enhance market access, improve economic efficiency, social welfare and protect consumers' interests
-Create conditions for society and consumers to participate in the process of monitoring the implementation of the law on competition
Article 7: Responsibilities for state management of competition
-The Government shall perform the unified state management of competition
- The Ministry of Industry and Trade is the focal point to assist the Government in performing the state management of competition
-Ministries and ministerial-level agencies shall, within the ambit of their tasks and powers, have to coordinate with the Ministry of Industry and Trade in performing the state management of competition
- Provincial-level People's Committees, within the ambit of their tasks and powers, are responsible for performing the state management of competition
Article 8: Prohibited acts related to competition
State agencies commit the following acts of hindering competition in the market: a) Forcing, requesting, recommending enterprises, agencies, organizations and individuals to perform or not perform the production, purchase, sale of goods, supply and use of specific services or purchase, selling goods, providing and using services with specific enterprises, except for goods and services in the field of state monopoly or in an emergency as prescribed by law
b) Discrimination between enterprises;
c) Forcing, requesting, recommending industry associations, other professions, socio-professional organizations or enterprises to link together in order to limit competition in the market;