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​ 

November 27, 2023
Thailand’s Electronic Transaction Development Agency (ETDA) has released two new subordinate regulations under the Royal Decree on Digital Platform Services: one detailing the assessment of digital platform services (DPSs) that will be deemed “high-risk” and subject to additional obligations, and another setting guidelines on user verification and authentication for all DPSs. The two subordinate regulations are summarized below. Impact Assessment of DPS Operations Under the Royal Decree on Digital Platform Services, DPS operations that have the risk of seriously impacting financial and commercial security, reliability and credibility of data message systems, or the general public are subject to additional obligations. The first subordinate regulation mentioned above (officially titled Notification of the Electronic Transactions Commission Re: Criteria for Impact Assessment on Operation of Digital Platform Services) outlines the criteria for the ETDA to determine which DPSs are “high-risk.” DPSs falling under this designation include: DPSs whose total value of transactions conducted through the platform in Thailand exceeds THB 100 million (approx. USD 2.8 million) per year; DPSs whose operators have not registered their entities with the Department of Business Development (DBD)—notably overseas operators—and that have 100 or more merchants or business users in Thailand or total users in Thailand between 5 and 10 percent of the country’s population (i.e., approx. 3.3–6.1 million users, calculated using official 2022 figures); DPSs that allow their users to freely post certain messages, or do certain acts, that may affect the public in certain cases, such as: (1) unlawful messages or acts; (2) messages or acts that may affect a child’s rights or people’s fundamental rights; and (3) messages or acts that may negatively affect political opinions of Thai citizens (whether before or after an election) or statements or actions likely to negatively affect other individuals due to gender differences or sexual violence. After considering
Read More
November 23, 2023
On November 14, 2023, Thailand’s Personal Data Protection Committee (PDPC) published a draft notification on collection of personal data regarding criminal records. The draft notification aims to provide clarifications and prescribe further criteria for processing criminal record data under the Personal Data Protection Act (PDPA), which generally requires the processing of criminal records to be carried out under the control of the relevant official authority under the law or under a data protection measure implemented according to rules prescribed by the PDPC. After its eventual passage, the draft notification will have important implications for businesses’ recruitment and human resources activities in relation to individuals with criminal records. Key aspects of the draft notification include the following: “Personal data regarding a criminal record” and “criminal record data” denote personal data related to the investigations of criminal offenses, criminal prosecution, or criminal punishment that is official information or certified by the relevant supervisory authority, regardless of whether that action is connected to a final judgment. Under the draft notification, data controllers may process criminal record data for the purpose of a recruitment process, checking the qualifications of personnel, and considering the suitability of a person for a position if the processing activities are required by law or when a data controller obtains explicit consent from the data subject. Furthermore, the necessity of processing the criminal record data must be announced at the beginning of the recruitment process. Data controllers’ requests for explicit consent to collect a data subject’s criminal record data must also notify the data subject of the consequences of not providing consent or withdrawing consent. The draft notification sets the allowable retention period for criminal record data at a maximum of six months from the end of the processing activities specified above. After the retention period ends, the criminal
Read More
November 17, 2023
On October 3, 2023, Thailand’s Board of Investment (BOI) issued a new regulation clarifying the eligibility criteria for investment promotion under the BOI category “5.10 Development of software, platforms for digital services, or digital content.” To be eligible for BOI promotion under the digital activity category, projects must meet criteria related to local development, minimum investment amount, machinery and equipment, and development processes. These criteria for category 5.10 activities, along with the latest clarifications from the BOI, are detailed in the table below. Tax Incentives The BOI also clarified the method for calculating corporate income tax (CIT) exemptions. The CIT cap amount is calculated on an annual basis from the prescribed expenses incurred after applying for BOI promotion and occurring during the year for which the CIT exemption is claimed. The allowances include 100% of expenses for salaries for newly hired Thai IT personnel, technology-related training, and obtaining quality standards (such as ISO 29110). The revenue of projects that qualify for CIT exemption must be from sales or services directly related to software, platforms for digital services, or digital content developed as promoted by the BOI, including licensing fees, subscription fees, pay-per-use expenses, in-app purchase fees, usage fees, revenue sharing, advertising fees, and so on. For more details on BOI promotion for digital activities, or on any aspect of investment promotion in Thailand, please contact Athistha (Nop) Chitranukroh at [email protected] or +66 2056 5600, Napassorn Lertussavavivat at [email protected] or +66 2056 5662, or Thammapas Chanpanich at [email protected] or +66 2056 5561.
Read More
November 15, 2023
Four decisions from the Expert Committee under Thailand’s Personal Data Protection Act B.E. 2562 (2019) (PDPA) indicate that there will no longer be any relaxation of PDPA enforcement. The enforcement of Thailand’s seminal data protection law had been relaxed for more than a year when, on October 18, 2023, the Personal Data Protection Committee (PDPC) published the first decision made by the Expert Committee on the imposition of administrative measures against a company pursuant to authority granted to it under the Notification of the PDPC Re: Rules for the Consideration of the Imposition of Administrative Penalties by the Expert Committee B.E. 2565 (2022), which was one of the first subordinate regulations issued under the PDPA. Shortly thereafter, on October 19, October 25, and November 15, three additional Expert Committee decisions were published. These three decisions made by the Expert Committee are summarized below. October 18 Decision The complainant in this case lodged a complaint with the Expert Committee alleging that an insurance company contacted him to offer the company’s products without his consent. The complaint further claimed that when the complainant requested the company to disclose how his personal data had been acquired and asked the company to stop contacting him through any channel, the company did not take any action on the requests. The insurance company appeared to have obtained the personal data of the complainant from another source prior to the PDPA becoming fully effective (i.e., June 1, 2022). As the Expert Committee explained in its order, the company failed to comply with its obligations under the PDPA regarding the collection of personal data from another source, which requires consent as a legal basis; failed to comply with the grandfather provision by not publicizing opt-out procedures to enable the data subject to withdraw his consent easily; and
Read More