What is contract price slippage adjustment under kết quả bóng đá trực tiếp law in Vietnam? What are kết quả bóng đá trực tiếp methods for determining contract price slippage in Vietnam?

Regarding this matter, LawNet would like to answer as follows:

1. What is contract price slippage adjustment under kết quả bóng đá trực tiếp law in Vietnam?

Contract price slippage adjustment or contract price adjustment due to inflation and deflation is specified in Clause 1, Article 107 ofDecree 24/2024/ND-CPon adjustment of contract price due to inflation and deflation in Vietnam as follows:

Contract price adjustment due to inflation and deflation (hereinafter referred to as contract price slippage adjustment) for adjustable unit price contracts is carried out in accordance with Clauses 2 and 3 of this Article. For time-based contracts, output-based contracts, contract price slippage can be applied to contracts with long performance periods or in market situations with large price fluctuations.

kết quả bóng đá trực tiếp application of price slippage adjustment must be specified in kết quả bóng đá trực tiếp bidding documents or RFPs and be finalized during kết quả bóng đá trực tiếp contract negotiation process (if any) and contract finalization.

kết quả bóng đá trực tiếp contract must stipulate kết quả bóng đá trực tiếp principles and time for calculating adjustments; input database to calculate adjustments; time to calculate kết quả bóng đá trực tiếp price index or original price as a basis for determining kết quả bóng đá trực tiếp difference due to price slippage for each contract instalment.

kết quả bóng đá trực tiếp content of kết quả bóng đá trực tiếp contract price must include a provisional price slippage value calculated on kết quả bóng đá trực tiếp basis of expected price slippage and legal regulations on cost management as a basis for payment. kết quả bóng đá trực tiếp management and payment of price slippage according to kết quả bóng đá trực tiếp terms and conditions already in kết quả bóng đá trực tiếp contract, does not require signing a contract modification document; if price fluctuations cause subsequent instalments and total contract price to exceed kết quả bóng đá trực tiếp originally fixed budget, kết quả bóng đá trực tiếp employer must seek approval from kết quả bóng đá trực tiếp competent person. If approved by kết quả bóng đá trực tiếp competent person, kết quả bóng đá trực tiếp parties sign a contract modification document before making payment.

Thus, contract price slippage adjustment is contract price adjustment due to inflation and deflation according to legal regulations. For time-based contracts, output-based contracts, contract price slippage can be applied to contracts with long performance periods or in market situations with large price fluctuations.

2. What are kết quả bóng đá trực tiếp methods for determining contract price slippage in Vietnam?

According to kết quả bóng đá trực tiếp provisions of Clause 3, Article 107 ofDecree 24/2024/ND-CP, contract price slippage is determined according to kết quả bóng đá trực tiếp following methods in Vietnam:

(1) Direct compensation method;

(2) Adjustment method using adjustment formula based on application of price index. kết quả bóng đá trực tiếp price index used as a basis for calculating price slippage is determined according to kết quả bóng đá trực tiếp bidding documents, RFPs, detailed contract negotiation (if any) and contract finalization. kết quả bóng đá trực tiếp index source can be specified according to kết quả bóng đá trực tiếp price index announced by kết quả bóng đá trực tiếp General Statistics Office of Vietnam or kết quả bóng đá trực tiếp construction price index announced by kết quả bóng đá trực tiếp Ministry of Construction and kết quả bóng đá trực tiếp Provincial People's Committee.

For foreign-sourced cost items subject to price slippage adjustments, kết quả bóng đá trực tiếp price index published by kết quả bóng đá trực tiếp independent statistical agency in kết quả bóng đá trực tiếp foreign country where kết quả bóng đá trực tiếp cost incurs may be applied.

Determining kết quả bóng đá trực tiếp method and formula for calculating price adjustments must be based on a scientific basis, consistent with kết quả bóng đá trực tiếp nature of kết quả bóng đá trực tiếp package, and specific regulations on price slippage risk management in kết quả bóng đá trực tiếp contract. Employers can apply adjustment formulas that are widely applied in kết quả bóng đá trực tiếp international market, including regulatory templates of kết quả bóng đá trực tiếp Fédération Internationale des Ingénieurs Conseils (FIDIC), and guidance from kết quả bóng đá trực tiếp World Bank ( WB), Asian Development Bank (ADB) and other templates;

(3) Other adjustment methods specified in Points a and b of Clause 3, Article 107 ofDecree 24/2024/ND-CPas per kết quả bóng đá trực tiếp law

Note: Contract price slippage adjustment for contracts based on adjustable unit price contracts, time-based contracts, output-based contracts (if any) shall fall under situations where kết quả bóng đá trực tiếp contract price, volume, or other specified terms can be changed without requiring contract modifications or signing a contract modification document as outlined in Clause 5 of Article 70 in kết quả bóng đá trực tiếp Bidding Law 2023.

Thus, contract price slippage is determined by kết quả bóng đá trực tiếp following methods:

- Direct compensation method;

- Adjustment method using adjustment formula based on application of price index. (index announced by kết quả bóng đá trực tiếp General Statistics Office of Vietnam or kết quả bóng đá trực tiếp Ministry of Construction or foreign-sourced index)

- Other adjustment methods according to law.

At kết quả bóng đá trực tiếp same time, investors can apply adjustment formulas that are widely applied in kết quả bóng đá trực tiếp international market, including regulatory forms such as (FIDIC), (WB), (ADB) and other forms.

Best regards!

Key word: contract price slippage adjustment | Vietnam | in Vietnam | contract price |

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