Procedures for land allocation and land lease in case of unsuccessful auction of land use rights

Procedures for land allocation and land lease in case of unsuccessful auction of land use rights

Legal basis
- Land Law 2013.
- Housing Law 2014.
- Real estate business law 2014.
- Auction Law 2016.
- Investment Law 2020.
- Bidding Law 2023.

A. Land allocation or land lease in case the auction is unsuccessful

Pursuant to Clause 3, Article 29 of the Investment Law 2020 as follows:
In cases where an auction of land use rights is held but only one person registers to participate or the auction is unsuccessful according to the provisions of law on auctions (Article 49; Article 52, Article 59) or in cases where the auction is held, select investors but only one investor is registered according to the provisions of the law on bidding, the competent authority carries out investor approval procedures when the investor meets the prescribed conditions of relevant laws.
In cases where the investor is approved according to the provisions of Clause 3, Article 29 of the Investment Law 2020, the order and procedures for land allocation, land lease, and permission to change land use purpose specified in Clause 1 of this Article will apply. Clause 3 Article 68 Decree Decree 43/2014/ND-CP.
Article 49. Auction in cases where there is only one person registering to participate in the auction, one auction participant, one bidder, and one price acceptor
1. Asset auctions in cases where there is only one person registering to participate in the auction, one auction participant, one bidder, and one price acceptor can only be conducted after the auction has been organized. The first time but failed and is done as follows:
a) In the case of an asset auction using the up-bid method, when the registration deadline has expired and only one person registers to participate in the auction or many people register to participate in the auction but only one person registers to participate in the auction. participate in the auction, or there are many people participating in the auction but only one person bids, or there are many people bidding but only one person bids the highest and is at least equal to the starting price, then the asset is sold. to that person if the person whose property is auctioned agrees in writing;
b) In the case of a down-bid auction where only one person registers to participate in the auction or many people register to participate in the auction but only one person participates in the auction and accepts the starting price or accept the reduced price, the property will be sold to that person if the person whose property is being auctioned agrees in writing.
2. The asset auction as prescribed in Clause 1 of this Article may only be conducted after the asset auction order and procedures have been fully implemented in accordance with the provisions of this Law and there are no complaints related to the process. order and procedures until the date of the auction.
Article 52. Unsuccessful auction
1. Cases of unsuccessful auctions include:
a) The registration period has expired and no one has registered to participate in the auction;
b) At the auction there is no bidder or no bidder;
c) The highest bid price is still lower than the starting price in case the starting price is not publicized and the auction is conducted according to the up-bid method;
d) The auction winner refuses to sign the auction record as prescribed in Clause 3, Article 44 of this Law;
d) The person who has bid withdraws the price paid, the person who has accepted the price withdraws the accepted price according to the provisions of Article 50 of this Law without any further bidders;
e) In case of rejection of winning auction results as prescribed in Article 51 of this Law;
g) The registration period has expired and only one person has registered to participate in the auction in the case of asset auction specified in Article 59 of this Law.

2. Within 03 working days from the date the auction is unsuccessful, the asset auction organization returns the assets and documents related to the auctioned assets to the person who has the auctioned assets, except in the case of The parties have an agreement or the law has other provisions.
3. Handling of unsuccessfully auctioned assets is carried out in accordance with the provisions of law or re-auctioned according to the agreement between the person having the auctioned asset and the asset auction organization.
Article 59. Auctioned assets in cases where there is only one person registering to participate in the auction, one auction participant, and one bidder
The auction of assets in cases where there is only one person registering to participate in the auction, one auction participant, and one bidder specified in Article 49 of this Law does not apply to the following assets:
1. State assets according to the provisions of law on management and use of state assets;
2. Land use rights when the State allocates land with collection of land use fees or leases land according to the provisions of land law;
3. Other assets that the law stipulates cannot be auctioned in cases where there is only one person registering to participate in the auction, one auction participant, and one bidder.

B. Procedures for land allocation and land lease in case of unsuccessful auction

Pursuant to the provisions of Clause 3, Article 68 of Decree 43/2014/ND-CP, procedures for land allocation and land lease without auction are carried out as follows:
Step 1. Submit application at the Department of Natural Resources and Environment/Division of Natural Resources and Environment where the land is located.
Step 2. Enter profile
In case an incomplete or invalid application is received, within no more than 03 working days, the agency receiving and processing the application must notify and instruct the applicant to supplement and complete the application according to regulations.
Step 3. Resolve the request
Department of Natural Resources and Environment/Division of Natural Resources and Environment performs the following tasks:
- Guide applicants for land allocation or land lease to fulfill financial obligations; People who are allocated land in the form of land allocation with collection of land use fees pay land use fees, and those who rent land pay land rent.
- Submit to the Provincial/District People's Committee for decision on land allocation and land lease; Sign a land lease contract in case of land lease;
- Submit to the Provincial/District People's Committee for a Certificate of land use rights, ownership of housing and other assets attached to land;
- Department of Natural Resources and Environment/Division of Natural Resources and Environment directs updating and adjusting land database and cadastral records.
Step 4. Return results
The results of the procedure include:
- Decision on land allocation (in case of land allocation);
- Land lease decision, land lease contract (in case of land lease).
After the decision to allocate or lease land, the Department of Natural Resources and Environment/Division of Natural Resources and Environment organizes land allocation on the ground and gives the Certificate of land use rights, ownership of houses and other assets attached to land to the recipient. land allocation, land lease.
Resolution deadline
- No more than 20 days from the date of receipt of valid documents (excluding time for site clearance and time for fulfilling financial obligations of the land user).
- No more than 30 days for mountainous communes, islands, remote areas, and areas with difficult socio-economic conditions.