According to Vinasun’s allegations, it was illegal for Grab to hold promotions, particularly zero cost trips and that Grab would be liable for compensation of VND41.2 billion (USD1.8 million) to Vinasun. 

The HCM City Supreme People’s Procuracy recently ruled that Grab should pay compensation to Vinasun. The HCM City People’s Economic Court has once again adjourned the hearing, saying that it would be resumed on November 22 to collect more evidence.

Lawyer Tran Minh Hung from HCM City Lawyers’ Association said that the case should have been jointly settled by the Ministry of Industry and Trade’s Competition Management and Consumer Rights Protection Department and the Ministry of Transport, instead of a court.

The Ho Chi Minh City People’s Economic Court said Vinasun’s losses assessed by Cuu Long Company needed to be further clarified in a more persuasive way.

Another lawyer from the HCM City Lawyers’ Association Vo Thanh Khuong said that it was groundless to blame Vinasun’s losses on Grab’s competition as there could be other factors such as Vinasun’s management, market demand and related policies that could impact on earnings. So, the court needs to carefully consider the case in line with laws.

“It is essential to prove how Vinasun could suffer from such losses in an appropriate manner, but not just base their opinions on Cuu Long Company’s assessments,” Khuong noted.

Representatives from Cuu Long Company and the Ministry of Transport did not participate in the recent hearing as regulated, a move that delayed any conclusion to the case.

If Vinasun beats Grab in this lawsuit, it’ll be ‘a slap in the face’ for Vietnam’s business environment and culture in general, particularly in the context of defining the country’s direction during the current Industrial Revolution 4.0. This would also open for other taxi companies to sue Grab later, said Dr. Luong Hoai Nam, a transport specialist.

Some days ago, Grab Vietnam Country Head Lim Yen Hock petitioned Prime Minister Nguyen Xuan Phuc to oppose the Ministry of Transport’s proposal to amend the operation of app-based taxi services.