IS THE USE OF A FOREIGN LANGUAGE ON A BUSINESS SIGNBOARD A VIOLATION OF VIETNAMESE LAW?

Many startups today—particularly those operating in the fashion, café, and creative services sectors—prefer to display their business signboards entirely in foreign languages in order to project a modern and sophisticated brand image. However, omitting Vietnamese from a business signboard is not merely an aesthetic choice; it may constitute an administrative violation under Vietnamese law.

Let legal expert M.A. Nguyễn Hữu Long analyze the legal risks associated with this issue.

1. Case Summary (The Case)

Company T recently launched a minimalist-style coffee shop. To complement its interior design, the founder decided to install a signboard displaying only the English name:

“THE COFFEE GARDEN.”

After only two weeks of operation, the Market Surveillance Authority conducted an inspection and issued an administrative violation record because the signboard did not contain any Vietnamese wording.

The founder was surprised, believing that the sign represented the company’s brand name and therefore fell within the enterprise’s freedom to choose its business name.

As a consequence, the company was not only subject to an administrative fine but also incurred additional expenses to redesign and reinstall a compliant signboard.

2. Legal Perspective – A Solid Legal Shield

The use of language on commercial signboards is specifically regulated by the Law on Advertising 2012, as amended and supplemented by Law No. 75/2025/QH15.

Language Used in Advertisements

Article 18 of the Law on Advertising 2012 provides that advertising products must contain Vietnamese-language content, except in certain circumstances such as foreign trademarks, slogans, brand names, proper names, or internationally recognized terms that cannot reasonably be translated into Vietnamese.

The law further provides that:

• Vietnamese text must preserve the clarity and integrity of the Vietnamese language.
• Where both Vietnamese and foreign languages appear in the same advertisement:
  • the foreign-language text must not exceed three-quarters (3/4) of the size of the Vietnamese text;
  • the foreign-language text must be positioned below the Vietnamese text;
  • for audiovisual advertising, Vietnamese must be presented before the foreign language.

Requirements for Business Signboards

Article 34 of the Law on Advertising 2012 (as amended by Law No. 75/2025/QH15) requires business signboards to contain the following information:

• the name of the supervising authority (if applicable);
• the registered name of the business establishment exactly as stated in the Enterprise Registration Certificate;
• the business address and telephone number.

The display of language on signboards must comply with Article 18 of the Law.

Accordingly:

• Vietnamese must be the principal language displayed on the signboard.
• Foreign-language names, abbreviations, international trade names, or other foreign wording may be displayed only as supplementary information.
• Such foreign-language text must be placed beneath the Vietnamese wording and must be smaller in size.

The Law also prescribes technical requirements regarding signboard dimensions and prohibits signboards from:

• obstructing emergency exits or fire escape routes;
• encroaching upon sidewalks or roadways;
• adversely affecting public traffic.

Administrative Penalties

Pursuant to Clause 2, Article 48 of Decree No. 38/2021/ND-CP, as amended by Decree No. 128/2022/ND-CP, an administrative fine ranging from VND 10,000,000 to VND 15,000,000 may be imposed for any of the following violations:

• failing to display the Vietnamese business name correctly or completely on a signboard;
• displaying only foreign-language text without Vietnamese;
• placing the foreign-language name above the Vietnamese name;
• using foreign-language lettering larger than three-quarters of the size of the Vietnamese lettering;
• installing a vertical signboard exceeding the height of the building floor where it is mounted.

3. Psychological, Educational, and Governance Perspective – The Human-Centered Approach

Risk Management Perspective

Ignoring statutory requirements governing business signboards reflects an inadequate legal compliance review prior to commencing business operations.

From a corporate governance perspective, every element directly representing the company’s public identity—including signboards, business licenses, and promotional materials—should undergo legal compliance verification before use.

A visually attractive signboard should never come at the expense of regulatory compliance.

Behavioral and Cultural Perspective

Using a foreign language solely to convey prestige reflects an outdated branding mindset.

In today’s business environment, a truly premium brand is one that successfully balances national cultural identity with international integration.

Displaying Vietnamese prominently does not diminish a brand’s elegance. On the contrary, it demonstrates:

• respect for domestic consumers;
• appreciation of Vietnamese cultural identity;
• and a strong commitment to the rule of law and regulatory compliance.

4. Comprehensive Solutions Recommended by Expert Nguyễn Hữu Long

To ensure that your business signboard is both aesthetically appealing and legally compliant, M.A. Nguyễn Hữu Long recommends the following three-step approach:

Step 1 – Follow the Letter Size Rule

Always prioritize Vietnamese text by placing it in the most prominent position and using lettering larger than any foreign-language text.

This is the fundamental compliance principle for avoiding administrative penalties.

Step 2 – Adopt a Localization Strategy

Incorporate the Vietnamese name into the overall visual design rather than treating it as an afterthought.

If the English name is lengthy, consider translating or creatively adapting it so that the Vietnamese wording complements the signboard’s aesthetic design.

Step 3 – Conduct a Comprehensive Compliance Audit

Review all branding and advertising materials, including:

• business signboards;
• banners;
• promotional posters;
• brochures;
• marketing materials.

A seemingly minor violation on a signboard may trigger a broader regulatory inspection covering the company’s overall business operations.

Conclusion

A business signboard is often the very first impression a startup makes on its customers.

Ensure that this first impression is not only visually compelling but also legally compliant, culturally respectful, and professionally presented.

Expert Insight

This article has been prepared based on the professional consultation and expert opinions of M.A. Nguyễn Hữu Long, an expert in Leadership, Law, Psychology, and Education.

Through an interdisciplinary approach, we provide not only a solid legal shield but also comprehensive solutions in legal risk management, organizational governance, and psychological support, contributing to the sustainable development of businesses and communities.

If you or your organization is facing similar legal issues relating to land matters, education, or business compliance, please contact us via our hotline or submit your inquiry through tuvanphapluattamlygiaoduc.vn or call (+84) 898 627 762 for timely professional assistance.