A Special Feature of Mongolia in 1990's from an Aspect of Legislations
Muneyuki MURAI
What is the special feature of Mongolia in 1990's?
At least, from an aspect of legislations, there are rather successions of Mongolian socialism (1921-1990).
That is,
in LABOR LAW OF MONGOLIA (1992),
protection of laborers,
In case of an idle time the administration may transfer a worker to a job not provided for in the contract of employment within its own organization or to another locally situated organization for a mutually agreed period. (Article 17)
The administration, taking account of labor standards:
- shall determine the conditions of arduous, hazardous, noxious, hot and underground works, and
- has the obligation to decide on the reduction of the hours of work accordingly. (Article 26)
If a worker fails through his own fault to fulfill the standard output norm, he shall be paid remuneration corresponding to the work performed. (Article 42)
Where a worker produces through his own fault partly defective items, he shall be paid at a lower rate depending on the extent to which the items could be of use.(Article 43)
in THE CONSTITUTION OF MONGOLIA (1992),
limitation of private ownership,
The State may give for private ownership plots of land except pastures and areas under public and special use, only to the citizens of Mongolia. This provision shall not apply to the ownership of the subsoil thereof. (Article 6)
rural people's participation of the first stage lawsuit,
In passing a collective decision on cases and disputes, the courts of first instance shall allow representatives of citizens to participate in the proceedings in accordance with the procedures prescribed by law. (Article 52)
in LAW ON THE GOVERNMENT OF MONGOLIA (1993),
supervision over enterprises' activities by the government,
To supervise implementation of laws by the parties, public organisations and private sector entities within its competence. (Article 7)
adjustment of an economy,
Powers of the Government to ensures the sectoral, intersectoral, and regional development.
To link independence of local bodies and economic entities with the common interests of national development and security. (Article 10)
and in THE CIVIL CODE OF MONGOLIA (1994),
the definition of a mixture of private ownership and state ownership,
There shall be private and public property in Mongolia. (Article 74)
the definition of communal ownership in both property and immovable estate,
Common Ownership of Property.
Two or more persons may own property partly or jointly, and each of them has independent defense of their right of ownership. (Article 89)
Ownership of Property.
Owners shall possess, use and dispose the joint property subject to agreement thereupon. A court shall decide on disputes relating thereto. (Article 90)
Sale and Lease of Due Part of Property under Joint Ownership.
In case any of the joint owners sells or leases the property under joint ownership due thereto, then it shall be obliged to give notification thereof to the others, and the latter shall have the prerogative to buy or take such part on lease. If they do not give a response thereto within one month from such notification concerning the sale or lease, the common owner in question shall be entitled to sell and lease its part to the other person. (Article 91)
Partition of due property under joint ownership.
Each joint owner is entitled to claim partition of the part of such property due thereto.(Article 92)
The land except that in the private ownership of citizens of Mongolia, shall be the property of the State. (Article 100)
and so on.
Needless to say, there are reformations. That is,
in LABOR LAW OF MONGOLIA (1991),
encouragement of labour,
The worker shall strictly observe the internal labor regulations and fulfill the obligations taken under the contract of employment. (Article 5)
in THE CONSTITUTION OF MONGOLIA (1992),
freedom of movement,
The right to freedom of movement and residence within the country, to travel and reside abroad and to return to home country. The right to travel and reside abroad may be limited exclusively by law for the purpose of ensuring the security of the country and population and protecting public order. (Article 16)
in FOREIGN INVESTMENT LAW OF MONGOLIA (1993),
non-nationalization of foreign-owned corporations,
Foreign investment within the territory of Mongolia shall not be nationalized or be subjected to unlawful expropriation. (Article 8)
equal treatment of Mongolian and foreigners with regard to damage compensation,
Losses suffered by foreign investors due to a state of emergency or war in Mongolia shall be treated equally with losses suffered by Mongolian investors. (Article 8)
Mongolia shall accord to foreign investors no less favorable treatment regarding the possession, use, and disposal of their investments than that accorded to Mongolian investors. (Article 9)
Rights and Obligations of Foreign Investors.
1. Foreign investor shall enjoy the following rights:
i) to possess, use, and dispose of their property including the repatriation of investments which were contributed to the registered capital of the business entity with foreign investment;
ii) to manage or to participate in managing the business entity with foreign investment;
iii) to transfer their rights and obligations to other persons in accordance with the law;
iv) to transfer abroad promptly the following returns:
a) shares of profits and dividends;
b) proceeds from the sales of their assets and securities and from the transfer of their property rights to other persons, or from their withdrawal from or the dissolution of the business entity;
v) any other rights conferred by law .
2. Foreign investors shall have the following obligations:
i) to observe the laws of Mongolia
ii) to fulfill commitments which are stated in the Memorandum and in the Articles of Incorporation of the business entity with foreign investment;
iii) to implement measures to ensure the protection and restoration of the natural environment;
iv) to respect the customs and traditions of the people of Mongolia. (Article 10)
their obligation to employ Mongolian,
Labor and Social Security Relations.
A business entity with foreign investment shall primarily employ citizens of Mongolia. Persons may be hired from abroad for a job requiring special or high qualification. The Ministry of Demography and Labor shall consider and decide this matter.(Article 24)
in THE CIVIL CODE OF MONGOLIA (1994),
definition of usage lights by civil persons with regard to state-owned lands,
Public Use of Land.
Citizens are entitled to enter into the land under state ownership which may be subject to public use without any permission, and to use the natural things in such land within the legal framework. (Article 101)
and in LAW ON STATE AND LOCAL PROPERTY (1996),
definition of state properties
State property for public use.
2. The following immovable and movable property to be considered as State property for public use:
1) land that is not in citizens' ownership;
2) subsoil with its mineral wealth;
3) water and water resources;
4) forest and its wealth;
5) flora and fauna resources;
6) historical and cultural relicts and monuments;
7) archeological and paleonthological findings;
8) other items considered as State property for public use by law;(Article 4)
authority of State Property Committee.
State Property Committee.
1. State Property Committee is a Government Agency who's duties are to own, use, protect state property.
2. State Property Committee consists of the chairman, 8 non-established members. Government appoint s the members of the State Property Committee by the proposal of the chairman.
3. State Property Committee should have a State Property agency , who's duties are to implement state representation in juridical bodies with full or partly ownership of state property. Government should adopt Agency's charter.
4. State Property Committee should work on self-financing basis.
5. There should be a Property Commission in the capital city and State property representative in aimags (provinces).(Article 10)
State Property Committee's authority
1) organize the work on improvement of the ownership, use, storage, protection of the items of state property;
2) organize and conduct the works on preliminary registration, taking inventory, issue balance reports on items of state property, supervising use of items of state property, take measures to improve its efficiency;
3) stipulate with the organizations concerned planning, distribution of income and profit, salary standards to be followed by juridical bodies with state property;
4) organize the work of privatization in accordance with the list adopted by Government, report the fulfillment;(Article 11)
In brief, through an introduction of a mixed economy, a market-oriented economy, an open economy, a multi-political party system, freedom of speech, an expansion of social security, and progressive reform of education, Mongolia is making her way not by refusal but by succession of Mongolian Socialism.
*This paper was published at the Congress of the International Mongolists' Society in 1997.
