Legal basis: This article summarizes core terms in Article 3 – Interpretation of terms, Chapter I – General provisions of:

• Construction Law 2014 (No. 50/2014/QH13) – official Vietnamese PDF: 50_xaydung.signed.pdf
• Law No. 62/2020/QH14 amending the Construction Law: 62/2020/QH14

1. Why do definitions matter?

Article 3 functions as the “internal glossary” of the Construction Law. Whenever a technical term appears later in the text, it must be interpreted according to this article rather than everyday usage. For investors, contractors and consultants, mastering these definitions helps reduce ambiguity and potential disputes.

2. Selected key terms (plain-language summary)

2.1. Construction investment activities
This covers the entire process from project preparation and implementation to completion and operation of a construction work. In practice: from the moment an idea is formed until the work is put into use, all related activities are construction investment activities.

2.2. Construction investment project
A collection of proposals on the use of capital for new construction, repair, renovation or expansion of a work, in order to develop, maintain or improve the quality of the work, products or services.

2.3. Construction work
A construction work is a product created by human labor, construction materials and equipment installed in the work, attached to land or a fixed location, possibly above or below ground or water. Houses, factories, bridges, roads, ports and irrigation works are all construction works.

2.4. Pre-feasibility and feasibility study reports

• Pre-feasibility study report: provides a preliminary study on the necessity, feasibility and effectiveness of the investment, serving as a basis for the construction investment policy decision.
• Feasibility study report: provides detailed analysis of technical solutions, financial plan and socio-economic effectiveness, serving as a basis for the investment decision.

2.5. Project owner
The project owner is the organization or individual that owns, borrows or is assigned capital to manage and use for implementing a construction investment project, and takes primary responsibility for quality, schedule, efficiency and legal compliance within its rights and obligations.

2.6. Contractors, general contractors and subcontractors

• Contractor: an organization or individual with adequate capacity, entering into contracts with the project owner to perform survey, design, construction, supervision, consulting or equipment supply.
• General contractor: a contractor directly signing with the project owner and bearing overall responsibility, possibly subcontracting parts of the work.
• Subcontractor: a contractor performing part of the work under a contract with the general or main contractor.

2.7. Construction planning and construction permit

• Construction planning: the arrangement of space, technical and social infrastructure and architecture over a defined territory, serving as a basis for construction projects.
• Construction permit: a legal document issued by a competent authority, allowing new construction, renovation, repair or relocation of a work in accordance with planning, standards and regulations.

3. Practical tips

• When a term appears frequently (e.g. “important national project”, “special-grade work”), refer back to Article 3.
• When drafting contracts, consider quoting definitions from the Law to avoid misinterpretation.
• Create an internal glossary for each project, aligned with Article 3, so all parties use the same language.