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     MINISTRY Of    THE SOCIALIST REPUBLIC Of VIETNAM
   TRANSPORTATION    Independence-freedom-Happiness 
 AUTHORITY Of CIVIL 
AVIATION  Of VIETNAM          Hanoi, April 29th 1994
    No: 826/CAAV

REGULATION Of THE HEAD Of AUTHORITY Of CIVIL AVIATION Of VIETNAM ON MANAGEMENT TO CONTRACT RELATING TO AIR-TRANSPORTATION IN VIETNAM

THE HEAD Of AUTHORITY Of CIVIL AVIATION Of VIETNAM

- Based on the Civil Aviation Law of Vietnam state in public according to Order No.63-LCT/HDBT8 dated January, 4th 1992 of the Chairman of the State Council

- Based on Decree No.242/HDBT dated february 30th, 1991 of the Ministerial Council.

- Based on Decision No.36/TTg dated february. 6th 1993 of the Prime Minister.

- In order to improve the state management to air-transportation in Vietnam.

STIPULATES

Article 1. General regulation

1. Authority of civil aviation of Vietnam manage all contracts, agreements signed between Vietnamese air-transportation Businesses and Vietnamese/foreign Individuals (legal Body) concerning to:

a. Performance of commercial right of air transporting exploitation as:

- Commercial agreements which content on flying frequency, providing load, frightens

- Joint service agreements, Joint operation agreements, pool agreement

- Code sharing agreement

- Other kinds of contract relating to commercial right of exploitation directly.

b. Buying leasing of airplanes, leasing exploiter of airplanes in use total of continuos leasing time is 3 months or more.

c. Join into international organizations on civil aviation.

d. Appointment general agent of selling documents for air-transportation

e. Other letter according to requirements of authority of civil aviation of Vietnam

The above mentioned agreements are economics agreements under the Law of Vietnam

2. Agreements stated at class 1 of this article do not consist of agreements signed between Vietnamese air-transportation Businesses and Vietnamese/foreign Individuals or legal bodies on investment of foreign capital into air-transporting exploitation of Vietnamese air-transportation Businesses according to regulation of the investment Law.

Article 2. Principle to approve contracts

1. Signed contracts state at........ must include a term which stipulates that those contracts only come into effect after getting approval of authority of civil aviation of Vietnam.

2. Authority of civil aviation of Vietnam approve the contracts according to the following principles:

a. Territory-sovereign, national security, social order of socialist republic of Vietnam are ensured Vietnamese Law and international treaties that affect Vietnam as participant are ensured.

b. Principle of security and safety in civil air-transportation are ensured, public benefit, environment and consumer's benefit are ensured.

c. Benefit of Vietnamese air-transportation Businesses are ensured enable the Businesses to exploit airplanes effectively, supervise and are responsible to exploitation-rights of air-transportation of the business-exploitation and finance.

d. Signing contracts must meet demand of market and development of Vietnam's air-transportation, suit with the state's economic policy and enlarge effect of exploitation, business of Business.

Article 3. Procedure of registration and approval to the contracts

1. Vietnamese air-transportation Businesses must register the contracts with authority of civil aviation of Vietnam within a duration of 15 days from the signing date to signed contracts stated at the points a, b, c, d of class 1 article 1 of this regulat ion.

2. files for registration consist of:

a. Name of contracts.

- Participants of contracts

- Subject of contracts

- Signing date of contract

- Expire date of contract

b. Contract sheet

c. Documents that certifies legal status and business of signing parties of contracts.

d. Legal documents concerned to subject of contracts to the kind of contracts stated at point b, class 1, article 1 of this regulation.

e. Report on legal base, economic base and performance-possibility of contracts to the article 1 of this regulation.

g. Other documents according to requirements of authority of civil aviation of Vietnam

3. for the contracts stated at point a, b and e, class 1 article 1 this regulation, Authority of civil aviation of Vietnam will consider and decide approval within 15 days from the above-mentioned registration files are received fully.

for the contracts stated at points d and e, class 1 article 1 of this regulation, authority of civil aviation will consider and decide issue of certificate for contractual registration within 7 days from the date full required files are received.

Article 4. Report on performance of contracts.

1. Vietnamese air-transportation Businesses are responsible to report to authority of civil aviation of Vietnam on serious breach-cases of the participants in performing contracts and report on terminating contracts before due extending effective duration of contracts.

2. for contracts stated at points a, b, c class 1 article 1 of this regulation, termination before due or extension effective duration of the contracts only come into effect after getting approval of authority of civil aviation of Vietnam.

Article 5. Execution term

This regulation comes into effect from the signing date.