You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

January 10, 2023

Vietnam Issues Guidance on Law on Cinema

Subscribe to Updates

The National Assembly of Vietnam promulgated a new Law on Cinema in June 2022 with an effective date of January 1, 2023. To guide the implementation of the new law and the sanctioning of administrative violations thereof, the government of Vietnam issued two related decrees in the final days of 2022.

Cinema Decree

On December 31, 2022, the government issued Decree No. 131/2022/ND-CP elaborating a number of articles of the Cinema Law (“Cinema Decree”), which took effect with the new law on January 1, 2023.

Among the many issues under the Cinema Law guided by the Cinema Decree, one that is critical to over-the-top (OTT) media service providers is the set of conditions for performing the mandatory self-rating of films to be disseminated in cyberspace. According to the Cinema Law, meeting the film self-rating conditions is one of the prerequisites for online dissemination of films. If a film disseminator does not meet these conditions, it would be required to request the Ministry of Culture, Sports and Tourism (MOCST) to perform the rating.

The conditions for online disseminators to self-rate their films have now been set out under Article 12 of the Cinema Decree. Accordingly, these conditions include:

  • Having a film rating council or technical software or a mechanism to rate the films according to Vietnamese regulations on film rating and taking responsibility for the results of film rating.
  • Having a plan to amend and update film rating results at the request of the cinematography authority (for most providers, this is the Cinematography Department under the MOCST).
  • Having an administrative tool to support the rating of films according to each of the rating criteria and to flexibly display the updated rating immediately after the rating is changed.
  • Having a technical plan and process for suspending and removing films at the request of the cinematography authority. Upon a request for removal of the film, the disseminator must proceed to implement the removal functionality available on the administrative tool.

These officially enacted conditions are much more relaxed compared to those proposed in the first draft of the Cinema Decree (released for public consultation in October 2022), which required that a foreign film disseminator (e.g., an OTT service provider), among other conditions, must establish a local enterprise in Vietnam or enter into a business cooperation agreement with a local company to be eligible to perform the self-rating of films. This proposed requirement under the draft Cinema Decree was subject to heated discussions among relevant stakeholders at the time. The government seems to have taken industry opinions into consideration and decided to change the burdensome conditions.

The Cinema Decree also provides the formality requirements for an online film disseminator to request recognition from the MOCST that they meet the self-rating conditions, as well as the procedures for the MOCST to receive and handle the dossier (in Article 12.2 and 12.3).

In addition, the Cinema Decree gives details on the following critical obligations of online film disseminators:

  • To notify the MOCST of the list of films to be disseminated and the self-rating results of the films before disseminating films in cyberspace (Article 13).
  • To implement necessary technical measures for parental control, for display of warnings on inappropriate and age-restricted content, and for receiving and handling platform users’ complaints and reports on violations in relation to content, technical measures, or other violations of law (Article 14).
  • To provide contact points and contact information for receiving and handling requests from the cinematography authority (Article 15.1).
  • To stop disseminating and to remove violating films within 24 hours and other illegal content within 3 to 5 days upon the cinematography authority’s request (Article 15.2).

Cinema Sanction Decree

On December 30, 2022, the government issued Decree No. 128/2022/ND-CP amending Decree 38/2021/ND-CP on penalties for administrative violations in the field of culture and advertising (as previously amended by Decree 129/2021/ND-CP), focusing on the addition of sanctions for new violations in the field of cinematography (“Cinema Sanction Decree”). The Cinema Sanction Decree takes effect on February 15, 2023.

Some of the notable sanctions stipulated by the Cinema Sanction Decree include:

  • A monetary fine of VND 40–60 million (approx. USD 1,700–2,555) and forcible removal of the disseminated film for the act of online film dissemination without rating the film and displaying the rating results (Article 7.2b).
  • A monetary fine of VND 20–40 million (approx. USD 850–1,700) and forcible removal of disseminated films for the failure to notify the MOCST of the list of films to be disseminated and the results of film rating (Article 10.7a).
  • A monetary fine of VND 40–60 million (approx. USD 1,700–2,555) and forcible removal of disseminated films for the failure to provide contact points and contact information for receiving and handling requests from state authorities and feedback, complaints, and denunciations from service users according to the law (Article 10.7b).
  • A monetary fine of VND 60–80 million (approx. USD 2,555–3,400) and forcible removal of disseminated films for the failure to implement technical solutions and coordinate with competent state authorities in removing and preventing infringing films as prescribed by law (Article 10.7c).
  • A monetary fine of VND 80–100 million (approx. USD 3,400–4,260) and forcible removal of disseminated films for the failure to ensure the conditions for self-rating of films (Article 10.7d).
  • A monetary fine of VND 80–100 million (approx. USD 3,400–4,260) and forcible removal of disseminated films for the failure to implement necessary technical measures for parental control and for receiving and handling platform users’ complaints and reports (Article 10.7dd).
Related Professionals

Industries

Technology

Location

RELATED INSIGHTS​ 

October 10, 2023
The Royal Decree issued under the Revenue Code B.E. 2481 (1938) on the Exemption from Taxes (No. 779) B.E. 2566 (Royal Decree No. 779), which came into force on August 16, 2023, provides exemptions from corporate income tax (CIT) and value-added tax (VAT) for qualifying transfers of digital tokens for investment. Transfers of these digital investment tokens—as opposed to securities transfers—have been subject to taxes. By establishing CIT and VAT exemptions, Royal Decree No. 779 introduces incentives in order to promote digital investment tokens as a new alternative tool for fundraising. The authorities hope that this will stimulate investment in the country’s economic system and elevate the standards for digital assets in Thailand. The key points of Royal Decree No. 779 are summarized below. Digital Investment Token Definition Royal Decree No. 779 and relevant digital asset regulations define “digital investment tokens” as a type of digital tokens that grant the holder the right to invest in a project or business, with the holders of the digital investment tokens receiving a share of revenue or profits as a return on their investment. In this way, digital investment tokens resemble securities. Tax Exemptions Primary Market Royal Decree No. 779 exempts companies and registered partnerships that legally issue and offer digital investment tokens for sale to the public (i.e., the primary market) from CIT and VAT on income or the value of the tax base earned from the sale. These exemptions apply to all primary market issuance from May 14, 2023, onward. However, the relevant notifications of Thailand’s Securities and Exchange Commission only allow limited companies (private and public) incorporated under Thai law to offer digital tokens for sale. Therefore, registered partnerships will not yet be able to benefit from the tax exemptions in Royal Decree No. 779. If a digital token
Read More
October 2, 2023
Thailand’s National Broadcasting and Telecommunications Commission (NBTC) has issued the Notification of the NBTC Re: Measures to Protect Telecommunications Service Users’ Rights Regarding Personal Data, Privacy Rights, and Freedom of Telecommunications to replace the previous 2006 notification of the same name. The replacement notification supports compliance with the Personal Data Protection Act B.E. 2562 (2019) (PDPA), modernizes the regulations in response to technological change and the convergence of digital business, and enhances the protection of telecommunications users’ personal data, privacy rights, and freedoms. Key aspects of the replacement notification are highlighted below. User Data and Consent The notification specifies that “user’s personal data” includes name, address, ID number, mobile number, usage information, and user behavior that can identify the user. “User” does not include resellers of telecommunications services. To collect, use, or disclose users’ personal data for a purpose other than telecommunications service, service providers must obtain each user’s consent prior to or at the time of collecting the data. The consent (whether written or electronic) must be separate from the telecommunications service agreement. Service providers must clarify the purpose of collecting data, and they must honor users’ rights to opt in and opt out by providing clear and convenient channels for users to withdraw any of their information or cancel any services offered by the operator. Service providers must add an electronic channel for receiving requests from users to review, access, edit, change, or obtain a copy of their data. The electronic channel must also allow requests from users to suspend use or disclosure of their personal data and withdraw consent to collect, use, or disclose their personal data. In addition, service providers must have a system for verifying the identity of users who want to exercise the rights listed in this paragraph. Data Collection and Storage Collection
Read More
September 26, 2023
On September 14, 2023, Thailand’s Personal Data Protection Committee (PDPC) published a notification on the requirements for the appointment of a data protection officer (DPO) in the Government Gazette, taking effect on December 13, 2023. The notification on appointing a DPO lays out the criteria for what constitutes processing of personal data requiring “regular monitoring of the personal data or the system” by reason of “having large-scale personal data,” which requires data controllers and data processors to appoint a DPO under the Personal Data Protection Act B.E. 2562 (PDPA). Criteria After a hearing on the draft DPO appointment notification in July, the published version has been slightly amended while the main criteria for appointment of a DPO are still the same. These have been finalized as follows: When determining whether processing of personal data requires regular monitoring due to having large-scale personal data, only the “core activity” of the data controller or data processor is to be taken into consideration. The term “core activity” denotes an essential and integral activity directly related to the primary operations of the data controller or data processor and does not include any supplementary business activities (e.g., human resources and information technology activities). “Processing activities that require regular monitoring of personal data” refers to activities relating to tracking, monitoring, analyzing, or predicting the behavior, attitude, or profile of individuals, and generally involves the processing of personal data in a systemic manner on a usual or regular basis. Examples include membership card programs, credit scoring, insurance premium consideration, fraud prevention, processing of personal data by computer network system service providers or telecommunications operators, behavioral advertising, and so on. To determine whether processing activities constitute “large-scale processing of personal data,” various factors are considered: Volume, type, or nature of personal data processed; Duration or permanence of
Read More
September 21, 2023
Myanmar’s Ministry of Commerce has announced its E-commerce Guidelines to regulate stakeholders engaging in e-commerce. The guidelines—which were issued on September 5, 2023, and took immediate effect—are mandatory for e-commerce business operators (both entities and individuals), and failure to comply with the guidelines’ requirements may result in penalties under relevant laws. The E-commerce Guidelines come as Myanmar seeks to increase its regulation of e-commerce activities. The guidelines were preceded by a July 2023 notification requiring e-commerce business operators to register their activities with the Ministry of Commerce by January 21, 2024. Definitions “E-commerce” is defined as the sale of goods or services on the internet or other digital platforms. The term also covers sales promotions, marketing, logistics, ordering, and delivery. An “e-commerce platform entrepreneur” is a person who manages an e-commerce platform where two or more entrepreneurs can conduct e-commerce. An “e-commerce business operator” is a person operating or authorized to operate e-commerce activities. This includes e-commerce platform entrepreneurs, entrepreneurs selling on e-commerce platforms, and sellers through social media platforms. Electronic Contracts Acceptable forms of electronic contracts, which must comply with the Electronic Transactions Law, Contract Act, and other relevant laws, include: Click-wrap, click-through, and web-wrap contracts; Browse-wrap contracts; and Agreements between seller and buyer on social media platforms, such as by accepting or rejecting an offer via direct message. Samples of contract forms are appended to the guidelines. Consumer Protection Disclosure notices for consumers must be comprehensible, correct, consistent, simple, accessible, and visible. They can be written in Myanmar language, English, or Myanmar language and another language. They must also comply with the relevant provisions of the Consumer Protection Law. The guidelines provide that if the agreed delivery date is eclipsed by more than 15 days, the consumer may terminate the contract and request a full refund of
Read More