Legal risks from the provision allowing enterprises to have multiple legal representatives

Abstract

The Enterprise Law 2014, which was passed by the National Assembly on November 26, 2014 and replaced the  Enterprise Law 2005, has brought about stronger and deeper reforms for businesses. In particular, the provisions on the legal representatives of the enterprises have been changed in a positive direction, especially allowing business with multiple legal representatives, has created favorable conditions for them to conduct business activities and get closer to international standards. However, its practical application shows some legal risks for the parties involved in the transaction. Therefore, the article analyzes these situations and makes some suggestions in order to complete the provisions of the enterprise’s legal representative in the Law on Enterprises 2014.