Short answer: Yes. Voluntary remediation is a mitigating circumstance specific to commercial legal entities: Article 84(1)(b) of the Criminal Code — “voluntarily repairing, compensating for damage, or remedying consequences.” At the highest level, an entity that has remedied all consequences and compensated all damage may be exempted from punishment under Article 88 of the Criminal Code.
1. The direct legal basis: Article 84(1)(b) of the Criminal Code
The Criminal Code (consolidated document 135/VBHN-VPQH, 05/9/2025; Law 86/2025/QH15, promulgated 25/6/2025, effective 01/7/2025, which did not alter the substance of these articles) provides a dedicated mitigation regime for commercial legal entities in Article 84. Article 84(1)(b) recognises the circumstance where the entity “voluntarily repairs, compensates for damage, or remedies consequences.”
Critical note: Article 51 of the Criminal Code applies to individuals; commercial legal entities use Article 84. Never write that “the legal entity is mitigated under Article 51” — a serious citation error.
The handling principles reflect the same leniency: Article 3(2)(d) provides leniency toward commercial legal entities that “voluntarily repair, compensate for damage caused, and proactively prevent or remedy consequences.”
2. Other mitigating circumstances for legal entities (Article 84(1))
Besides point (b), Article 84(1) recognises:
- (a) having prevented or reduced the harmful effects of the crime;
- (c) committing the crime without causing damage or causing insignificant damage;
- (d) actively cooperating with competent authorities in detecting the crime or during case resolution;
- (đ) having made significant contributions to implementing social policies.
Additionally, Article 84(2) allows courts to treat other circumstances as mitigating, provided the reasons are clearly stated in the judgment.
And Article 84(3) sets a limit: a circumstance already defined as a crime-constituting or sentencing-framework element may not be double-counted as a mitigating circumstance at sentencing.
3. The highest level: possible exemption from punishment (Article 88)
Article 88 of the Criminal Code provides that a commercial legal entity that committed a crime “may be exempted from punishment” when it has remedied all consequences and compensated all damage caused by the criminal act.
The word “may” is crucial: exemption is not automatic — the decision rests with the court after comprehensive consideration. “Mitigation” also does not mean “exoneration”: voluntary remediation is only a mitigating factor at sentencing, unless the full-remediation threshold of Article 88 is reached.
Example (illustrative): A company prosecuted for environmental pollution voluntarily pays to clean up the entire polluted area and fully compensates affected households before trial. The court will consider this a mitigating circumstance (Article 84(1)(b)); if the remediation and compensation are complete, the company may be considered for exemption under Article 88 — but the final decision belongs to the court.
4. Courts must consider it at sentencing (Article 83)
Article 83 of the Criminal Code requires that when deciding punishment for a commercial legal entity, the court consider “the entity’s law compliance and the mitigating and aggravating circumstances.” Voluntary remediation is therefore not merely an abstract “plus point” — the law obliges courts to weigh it at sentencing.
5. Practical notes: timing of remediation and the investigation stage
- Timing: the law does not require remediation before or after prosecution is initiated. In adjudication practice, good-faith remediation is usually recognised if it occurs before judgment — note this is practice, not a statutory rule.
- Investigation stage: early remediation demonstrates the entity’s good faith and may affect the application of coercive measures against the entity (Articles 436–439 of the Criminal Procedure Code, consolidated document 104/VBHN-VPQH, 27/8/2025). However, do not overstate this as “release on bail” or “suspension of investigation” — the law provides no such thing.
6. Related foundations
- Article 75 of the Criminal Code: conditions for corporate criminal liability; paragraph 2: corporate liability does not exclude individual liability — the entity’s voluntary remediation does not “cover” the related individuals’ share.
- Article 88(2): a convicted commercial legal entity’s criminal record is automatically expunged after 2 years from completion of punishment if no new offence is committed.
FAQ
Q: The company remedied only part of the consequences — any mitigation?
A: Possibly — Article 84(1)(b) does not require full remediation for the mitigating circumstance to apply. Full remediation plus full compensation is required only when seeking exemption under Article 88.
Q: Does remediation after prosecution still count?
A: The law sets no timing limit; adjudication practice usually recognises remediation made before judgment.
Q: Is the legal entity mitigated under Article 51 of the Criminal Code?
A: No. Article 51 applies to individuals; commercial legal entities are governed by Article 84.
Legal sources
- Criminal Code 2015 — consolidated document 135/VBHN-VPQH (05/9/2025) — Articles 3, 75, 83, 84, 88 — in force (Law 86/2025/QH15, promulgated 25/6/2025, effective 01/7/2025, did not alter the substance of these articles)
- Criminal Procedure Code — consolidated document 104/VBHN-VPQH (27/8/2025) — Articles 436–439 — in force
- Full texts: thuvienphapluat.vn (accessed 14/10/2026)
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Transparency note: this draft is under internal review and has not been published. It is for general information only and does not replace legal advice for a specific case; it is not a lawyer’s opinion and is not marked as “reviewed by a lawyer”.
For reference only, not legal advice. Content quality-checked by the AI Legal Council; not yet reviewed by a human lawyer.