Dear Dean Brand,
Vietnam is a blast, largely because Paige is not here. Thanks for
sending her to another country.
Also, they don't play Superman on HBO here. Please look into that for me.
Thanks,
Brian
Vietnam really is a blast. Hanoi, where I stayed during my first week
in Vietnam, is a bustling, cramped and stiflingly hot bundle of
energy. It has a real charm about it, and the people go out of their
way to make you feel more than welcome. Ho Chi Minh City, on the
other hand, is downright genteel, open and pleasantly warm by
comparison (take that with a grain of salt, because it's still
freakin' hot and your life is at risk whenever you are within twenty
feet of an intersection). Because this is my first trip to Southeast
Asia, I have no way to know whether HCMC is on its way to becoming a
Singapore or a Hong Kong, as some observers have suggested. I can
report that HCMC offers many more western conveniences, high-end
restaurants and general comfort than I was expecting. The city is
growing exponentially, and in every direction you can find high-rises
with giant neon signs on them. Despite their differences, you cannot
go wrong in either city; Hanoi for its quaint (authentic?) charms,
HCMC for its cosmopolitan zeal.
I do, however, have one small qualm applicable to both: eating from
street kitchens would be far more enjoyable if I was not sitting on an
8-inch-tall plastic stool. For the record, I have already one of
them. I love the food at these joints, and have become adept at
conveying what I would like, cleaning my chopsticks appropriately and
generally not seeming completely like a foreigner. But nothing ruins
a good meal like crashing to the floor and throwing your chopsticks
across the table. I think I need to start carrying a fold up chair
around with me. Or drop a hundred pounds.
Work has been good so far. My co-workers are a great bunch of people
and I am really enjoying my placement. The projects I am assigned
range from tedious translation work to interesting research. The
latter especially has given me a chance to engage with the law and get
a feel for the burgeoning Vietnamese legal system.
In general, I am struck by how similar much Vietnamese legislation is
to American law. Nonetheless, the socialist objectives of the state
still manage to infiltrate pretty much everything. For example, to
enter into a contract in Vietnam, the parties must have capacity to
contract, the objectives of the contract must not contravene the law
and offer and acceptance must be voluntary, all notions that American
law students learn in a first year contracts course. In addition,
however, there is a requirement that the terms of the contract not
contravene "social morals," adding a high degree of subjectivity to
whether a given contract can be enforced. What these morals are and
who determines whether they have been breached is not stated in the
Civil Code – or anywhere else. This might not be a problem if there
were some interpretative body to decipher the meaning of the law. But
no such body exists.
One would imagine that many foreign investors (and their lawyers)
would be scared off by such a clause because of the uncertainty it
creates as to the enforceability of contracts. This is especially
true because there are plenty of other examples of subjective criteria
to allow or disallow particular acts, such as one which found its way
into Vietnam's WTO commitments, on the list of "Import Prohibitions."
You can find items, many of which are likely on a similar list in the
U.S., like opium, guns, bombs, tanks, environmental pollutants (not
stuff that creates pollutants, mind you, just the pollutants
themselves) and asbestos products. You will also find that you cannot
import "depraved and reactionary cultural products." Now we're
talking!
So, you ask yourself, "what cultural products are depraved and
reactionary?" Well, most likely pornography falls into the depraved
category. I would probably throw in Lady Gaga, British rom-coms,
tighty-whities and vegemite as well. What about reactionary? Photos
of Dubya, perhaps? Films with Mel Gibson? Sleep Number beds
(endorsed by Rush Limbaugh)? The Teletubbies? Well, definitely not
the last one; after all, there was allegedly a gay Teletubby. They
probably go into the depraved category. Facebook on the other hand?
Let's just say the Vietnamese government thinks Mussolini would have
had a lot of friends.
Whatever you or I think is depraved and reactionary doesn't matter,
however. Such decisions are subject to the whims of various customs
control officials. These types of subjective loopholes would usually
scare the bejeezus out of prudent business people. But business in
Vietnam is booming, and foreign investment is driving the growth. In
fact, there are foreign businesses moving operations into Vietnam from
China. Why you ask? Frankly, I'm not entirely sure, and hopefully it
is something I will more fully understand the longer I am here. What
is clear is that the government is actively courting foreign
investment, and foreign investors seems to take the government at its
(spoken) word. For the largest investment projects, the government
will go out of its way to ensure that foreign capital finds its way
into the country, written laws be damned.
But when it comes right down to it, decisions to invest in Vietnam are
based on thorough cost-benefit analyses. Is it a legal risk to invest
in Vietnam and open, say, a manufacturing plant? Sure. If the wrong
bureaucrat gets his hands on your investment certificate request, the
party is over, take your losses, and go home. But the benefits of
cheap workers, relaxed (or unenforced) labor laws, unbelievable tax
incentives and nonexistent regulatory enforcement are a potent and
winning mix for foreign investors.
So Vietnam will continue to boom, so long as it continues to offer
investors attractive incentives and despite the arbitrariness of some
(most?) of its legal enactments. At least all of the socialist
rhetoric makes legal research fun. And just imagine the memos to
clients:
Dear Dean Brand,
I regret to inform you that an official at the Ministry of Labour, War
Invalids, and Social Policy has determined that American law school
deans are generally considered "reactionary," contravening Article __
of Decree __ regulating visa issuance. Our law firm cannot,
therefore, assist you in obtaining a visa to Vietnam.
Have a great day.