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Necessary Regulations For The Compensation Claim For Property Damage

regulations for compensation claim for property damage

Necessary Regulations For The Compensation Claim For Property Damage

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Sometimes we will encounter situations where we cause damage to the property of an individual or an organization and we do not know how to handle them because there is not always a contract in place to resolve these problems. This article will provide the reader with the necessary regulations for the compensation claim for property damage to know the regulations of law and protect yourself better in the case of the compensation claim for the property damage.

  1. The necessary regulations for the compensation claim for property damage are subject to the grounds giving rise to liability for damage compensation

The liability for compensation for property damage in the case of lack of a contractual relationship shall arise when all the following elements appear:

1.1. There must be actual property damage caused

Under civil law, the actual property damage includes:

  • the property which was lost, destroyed, or damaged;
  • the interests associated with the use and exploitation of the lost or impaired property;
  • reasonable costs for prevention, mitigation, and remedy of the damage; and
  • other damage as prescribed by law.

1.2. There must be an illegal act committed.

The necessary regulations for the compensation claim for property damage state that the illegal act means specific human behaviors expressed through action or non-action contrary to the regulations of law.

1.3. There must be a cause-effect relation between damage and illegal acts.

The necessary regulations for the compensation claim for property damage provide that the property damage caused must be the indispensable results of the illegals acts and vice versa the illegal acts are the cause of the property damage.

1.4. There must be an intentional or unintentional fault of a person causing property damage.

However, the necessary regulations for the compensation claim for property damage provide compensation for property damage even if there is no fault of the person taking liable for damage compensation, such as compensation for damage caused by sources of extreme danger, or/and caused by environmental pollution, etc.[1]

  1. The necessary regulations for the compensation claim for property damage are subject to the principles of compensation for damage

2.1. The actual property damage must be compensated in full and promptly. Unless otherwise provided by law, parties may agree on the amount of compensation; in the form of compensation, which may be money, in-kind, or the performance of an act; lump-sum payment or payment in installments[2].

2.2. The compensation payable by a person who is responsible for compensation for property damage may be reduced if[3]:

  • such person has no fault or has an unintentional fault; and
  • the damage is very large in comparison to the financial capacity of such a person.

2.3. If the amount of compensation becomes unrealistic, both parties have the right to request a court or another authorized state body to change the amount of compensation, which is one of the necessary regulations for the compensation claim for property damage[4].

2.4. If the aggrieved party is partly his/her fault for causing the damage, that part of the damage shall not be compensated. In order not to make compensation for property damage or to reduce the amount of compensation for property damage, a person who is responsible for compensation for property damage shall know the necessary regulations for the compensation claim for property damage to prove that the property damage is caused by the entire fault of the aggrieved person or a part of the fault of the aggrieved person. Besides the person causing damage shall be discharged from liability for compensation if the property damage occurs due to a force majeure event or an emergency situation.

2.5. The aggrieved person shall not be compensated if the damage occurs because such person fails to adopt necessary measures to prevent such damage.

  1. One of the necessary regulations for the compensation claim for property damage is the limitation period for filing a lawsuit of the damage compensation To protect the right and interest, the aggrieved person shall file a lawsuit of damage compensation claim within 03 years of the date of being aware or forcing to know be aware of the infringed property[5].

The above is an overview of the necessary regulations for the compensation claim for property damage. If you have trouble with legal issues regarding the necessary regulations for the compensation claim for property damage, please contact us: Phuoc & Partners is a professional consulting firm established in Vietnam which currently has nearly 100 members working in three offices in Ho Chi Minh City, Hanoi and Danang. Phuoc & Partners. It is rated as one of the leading consulting firms specializing in business law in Vietnam that has leading practice areas in the legal market such as Labour and EmploymentTaxationMerger and acquisitionLitigation. We are confident in providing customers with optimal and effective service.

[1] Article 601, 602 of the Civil Code 2015.

[2] Article 585.1 of the Civil Code 2015.

[3] Article 585.2 of the Civil Code 2015.

[4] Article 585.3 of the Civil Code 2015.

[5] Article 588 of the Civil Code 2015.

Summary
Necessary Regulations For The Compensation Claim For Property Damage
Article Name
Necessary Regulations For The Compensation Claim For Property Damage
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This article will provide the reader with the necessary regulations for the compensation claim for property damage to know the regulations of law
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Phuoc & Partners
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