In Vietnam, when a property has multiple registered owners (as shown on the Land Use Rights Certificate, or "Red Book"), the law requires unanimous consent from all co-owners for leasing activities. If one owner signs a lease contract without the consent or power of attorney from the other(s), the contract may be considered legally invalid.
Key Consequences of invalid leasing contract:
✅ 1. The lease may be declared null and void
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The contract can be challenged by the non-signing co-owner(s)
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Authorities (such as the Department of Planning and Investment) may refuse to accept the lease for purposes like FDI company registration
✅ 2. Rejection of company registration or licensing
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For FDI enterprises using the leased address as a registered office, an invalid lease can cause:
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Rejection of the Investment Registration Certificate (IRC)
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Delays or failure in Enterprise Registration Certificate (ERC) processing
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✅ 3. Legal disputes and compensation risks
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The non-consenting co-owner may initiate a civil lawsuit
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The tenant may be forced to vacate the premises and bear damages
✅ 4. Notarization may be rejected
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Notary offices will refuse to notarize a lease if full co-owner consent isn’t present or properly authorized
Here’s a clear explanation of the regulation on leasing contracts in Vietnam when a property (house/office) has 02 co-owners listed on the Land Use Right Certificate (also known as the "Red Book"):
📘 Regulations on Leasing Property with Two Registered Owners (Red Book/Certificate)
When a property is jointly owned by two individuals (both names listed on the Red Book), the following rules apply under Vietnamese law:
✅ 1. Consent from Both Owners is Mandatory
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The lease contract must be signed by both owners, or
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One owner can sign on behalf of both with a notarized power of attorney from the other.
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🔸 Legal basis: Civil Code 2015, Article 218 (on co-ownership); Law on Housing and related decrees.
✅ 2. Leasing Contract Must Clearly Reflect Co-Ownership
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Full names, ID/passport numbers, and addresses of both owners must be stated in the contract.
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The contract must indicate that both parties agree to lease the property.
✅ 3. Notarization is Required
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Lease contracts for FDI company registration or long-term use (12 months or more) must be notarized or certified at a notary office.
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The notarization must confirm co-owners’ legal capacity and mutual agreement.
✅ 4. Additional Notes for FDI Use
If the property is used to register a company address (especially FDI), the authorities will:
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Require a notarized lease contract signed by both owners, or
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Require a power of attorney showing one owner is authorized to represent both.