I am director of Multi-member Limited Liability Company. My company was issued Certificate of Business Registration and put into operation for 2 years trading in Petrol and Oil Transportation. Due to demand of expanding business operation, May I trade in petrol and oil retail agents? How are conditions to trade this business line?
THE LEGAL CONSULTING LETTER
First of all, FDVN Law Firm would like to give our formal greeting and grateful thanks to you. For all the things you care about, we would like to state via the following content:
- Business sector Implementation
Pursuant to Clause 2 of Article 7 Law on Enterprises 2014:
“Article 7. Rights of enterprises
- Exercise business autonomy; decide on organizational structure, business lines, and location; change the scale and business lines.
Accordingly, you are entitled to implement Business Lines not prohibited by law.
Pursuant to Article 32 Law on Enterprises 2014, Enterprise shall send a notification to Business Registration Office where it was registered in case of amending business lines with procedures as follows:
Dossiers: Pursuant to Article 49 Decree No. 78/2015/NĐ-CP dated September 14, 2015 about Business Registration (hereinafter called Decree No. 78/2015/NĐ-CP):
– Notification of addition of Business Lines;
– Minutes of addition of Business Lines;
– Decision of addition of Business Lines;
– Other legal documents is related to conditional Business Lines.
Competent authority: Business Registration Office where enterprise was registered (Pursuant to Clause 1 of Article 49 Decree No. 78/2015/NĐ-CP).
– Step 1: Preparing dossiers about notification of amending Business Lines.
– Step 2: Submitting dossiers at Business Registration Office where enterprise was registered.
– Step 3: Business Registration Office checks validity of dossiers and processes dossiers for enterprise.
– Step 4: Based on the appointment date on confirmation slip, Business Registration Office shall issue a Certification of addition of Business Lines.
Time limit: 05 working days since the date receiving valid dossiers.
- Addition of Petrol and Oil Retail Agents:
Petrol and Oil Trading is specified clearly at Decree No.83/2014/NĐ-CP dated September 03, 2014 about Petrol and Oil Trading (hereinafter called Decree No. 83/2014/NĐ-CP). To trade this business line, you must meet the conditions according to 19 Decree No. 83/2014/NĐ-CP, namely:
“Article 19. Conditions on petrol and oil retail agents
A trader that fully meets the following conditions may be granted an eligibility certificate by a provincial-level Industry and Trade Department to act as a petrol and oil retail agent (below referred to as agent):
- Being lawfully established; having registered for petrol and oil trading as specified in its enterprise registration certificate.
- Having petrol and oil retail stations under its ownership or both its ownership and co-ownership which are granted with certificates of eligibility to retail petrol and oil under Article 25 of this Decree.
- Having its managers and trading staff trained in fire prevention and fighting and environmental protection under current regulations and having training certificates.”
Order of granting Certificates of Eligibility to act as petrol and oil retail agents:
– Dossiers: (Pursuant to Point a Clause 4 of Article 20 Decree No. 83/2014/NĐ-CP)
- An application for a certificate of eligibility to act as a petrol and oil retail agent, made according to Form No. 9 provided in the Appendix to this Decree;
- A copy of the enterprise registration certificate;
- Copies of training certificates of managers and trading staff under Clause 3, Article 19 of this Decree;
- A list of physical and technical facilities to serve petrol and oil trading under Clause 2, Article 19 of this Decree, enclosed with documents proving these facilities;
- The trader’s original written certification of supply of petrol and oil to the agent which is valid for at least one (1) year, clearly stating petrol and oil categories.
– Competent authority: Provincial-level Industry and Trade Departments may grant certificates of eligibility to act as petrol and oil retail agents (Pursuant to Clause 1 of Article 20 Decree No. 83/2014/NĐ-CP).
– Order: Pursuant to Clause 5 of Article 20 Decree No. 83/2014/NĐ-CP
- A trader shall submit one (1) dossier set to the competent agency;
- When a dossier is incomplete or invalid, within seven (7) working days after receiving such dossier, the competent agency shall make a written request for the trader to supplement the dossier;
- Within thirty (30) working days after receiving a valid dossier, the competent agency shall examine and appraise the dossier and grant a certificate of eligibility to act as a petrol and oil retail agent according to Form No. 10 provided in the Appendix to this Decree to the applicant. In case of refusal, it shall issue a written reply clearly stating the reason.
We ensure to provide you with accurate and explicit consultancy. Please feel free to contact us if you have any questions.
Traslation into English: Legal Officer Bui Anh Vinh (Mr)