Landlord frustrates Big C Danang operation

Out of the blue, Vinh Trung Plaza closed the underground parking lot, effectively preventing shoppers as well as employees from parking their motorbikes.

A representative of Big C Danang said that according to the contract signed between Big C Danang and Duc Manh JSC, owner of Vinh Trung Plaza, the shopping centre is going to rent the space for 40 years starting March 1, 2016. The two sides have honoured their contract for 10 years without any interruption, till November 26, 2015, when Duc Manh notified Big C about annulling the contract and asking the latter to leave by the end of the year. Big C Danang did not agree and asked the Vietnam International Arbitration Centre (VIAC) to interfere.

The representative said that Duc Manh has done other things to hinder the operation of Big C Danang, such as closing its wastewater valve and stopping its frozen food trucks from entering the premises. On July 6 and 7, Duc Manh sent a letter to shop owners inside Big C Danang, announcing the retrieval of the space, and putting on fences to prevent people from entering the trade centre. These measures, according to the representative, seriously harmed the operation of Big C Danang. The representative said the company requested other authorities to interfere.

This morning, the Danang Department of Enforcement of Civil Judgments held a meeting with the two companies, but Duc Manh failed to show up. The department said it would soon summon both parties to court then gave Big C Danang the contact of an officer to call in case Duc Manh continues to harass it.

Earlier, in March, Tan Duc Industrial Park in the southern province of Long An also prevented Japanese tenant Tango Candy from operating because the latter refused to pay the infrastructure fee, deeming it too high. Legal difficulties arose as the contract between the two parties did not provide specific guidance on this fee. After the interference of the Ministry of Planning and Investment, one month later, Tan Duc agreed to charge a more reasonable fee based on the regional average and current regulations.