Day: September 3, 2025

Intellectual Property in Thailand

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Intellectual Property laws allow businesses to claim exclusive rights over their inventions, designs, and brands. Protecting IP is essential for any company looking to thrive in Thailand.

In recent years, the government has been working to align Thailand’s IPR protections with international standards. This includes strengthening copyright protection and improving enforcement against counterfeiting and infringement.

Patents

Patents are a cornerstone of IP protection, providing inventors with exclusive rights to their innovations. Patents differ across jurisdictions, with a variety of criteria influencing whether an invention is eligible for patent protection. This includes the inventive step requirement, and a wide range of other considerations such as legal traditions, economic priorities, and policy objectives.

In Thailand, patent applications are filed with the Department of Intellectual Property. A patent statement identifying the inventor(s) must be submitted along with a power of attorney (if applicable), a payment receipt, and a priority document if available.

An invention must meet the requisites for patentability: novelty, industrial applicability, and non-obviousness. However, the Patent Act excludes certain subject matter, including scientific hypotheses and discoveries that do not constitute a new, inventive step. Additionally, the act does not permit the patenting of computer programs unless they are part of an underlying invention that has a technical effect.

The patent owner is granted the right to prevent others from making, using, selling, offering for sale, importing into or exporting into Thailand any patented product. Infringement actions must be brought before the Central Intellectual Property and International Trade Court (CIPITC), a special court that specialises in IP disputes. In addition, the law provides injunctive remedies and monetary damages in civil cases. In criminal proceedings, instigator liability may be established if the defendant is found to have induced another person to commit an infringement, either through employment, compulsion, threat, favour or instigation.

Copyrights

Copyrights protect the creators of original, physical expressions of ideas. These works include literary works, computer programs, dramatic works, artistic works and music, as well as audiovisual works, software, sculptures and pictures and works of applied art. In addition to ownership rights, copyrights grant moral rights to the author or artists, which include the right to be credited for their work and the right not to have their work used in a derogatory manner.

In Thailand, infringement of copyrights is a civil offence and, in certain instances, may also be punishable by imprisonment. A number of intellectual property law and enforcement agencies are active in combating piracy and counterfeiting, with the Department of Special Investigation and Royal Thai Police conducting thousands of raids each year to seize and destroy millions of dollars worth of illicit goods.

It is important for employers to familiarize themselves with the nuances of Thai copyright laws, as there are provisions and requirements that may differ from those in your home jurisdiction. For example, the transfer of copyrights is treated differently from that of trademarks and may require specific wording in contracts.

Copyright registration is not a requirement in Thailand, but it can be beneficial in the event of disputes. It also establishes a legally recognized basis of ownership of the work and provides evidence of its creation. Applicants must file an application with the Department of Intellectual Property in Thailand and provide a copy of the work, a declaration of its ownership, proof of identity, a power of attorney affixed with a duty stamp and a fee.

Trade Secrets

The UK ASEAN Business Council (UKABC) helps British businesses expand their investment in Thailand, ensuring their intellectual property is safeguarded from potential infringements. Understanding the intricacies of IP law in Thailand is crucial to protect your investments.

Thailand has a “first to file” patent system and is a member of the Patent Cooperation Treaty, which facilitates international patent applications. The country also has copyright protection for original works that are created with skill and effort. Under the act, creators of creative work have exclusive rights for a limited and substantial period. The creator can also license these exclusive rights to others, with or without conditions that cannot unfairly restrict competition.

Aside from patents and copyright, Thailand’s IP laws also provide protection for confidential information such as trade secrets. Under section 15 of the IP Act, anyone who unlawfully discloses or uses a secret that is used in their business could be liable to imprisonment and a fine.

Safeguarding confidential information is especially important in the technology sector where it can be a major source of competitive advantage for companies. With this in mind, it is essential for tech companies to understand how they can protect their IP through the proper channels and enforce those protections when necessary. Navigating the intricate landscape of IP law in Thailand requires more than just knowledge, it demands a partner who is dedicated to protecting your assets and investments.

Enforcement

In recent years, Thailand has made progress in improving IP protection and enforcement. This includes a focus on combating counterfeits and infringement in various industries such as fashion, electronics, pharmaceuticals and e-commerce. Copyright laws have been updated to address the use of unauthorized content in digital platforms and stricter privacy regulations have been implemented to prevent trade secrets theft in the e-commerce sector. Geographical Indications (GIs) are also protected by Thai law as a unique brand identity that recognizes a product as having its origin in a specific region, with a specific reputation or characteristic that is essentially attributable to that region such as jasmine rice from Surin province or Doi Tung coffee from Chiang Rai.

However, there is still significant infringement in the country and it is important for IP rights holders to understand how to enforce their IP in Thailand. The main enforcement avenues are customs, civil litigation and criminal prosecution.

The Central Intellectual Property and International Trade Court is a specialized court that adjudicates IP disputes including infringement. It has a panel of three judges, two of whom must be career judges with expertise in IP or IT matters. In addition, the court has the Anton Piller Order procedure which enables fast and efficient seizure of IP infringing goods in transit.

Civil actions to recover damages are available but they tend to be rare in practice. This is likely due to the time and cost of bringing such an action, the high burden of proof and the fact that it is difficult to assess or seize assets of a defendant in such cases.

Thai Limited Company Registration

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Thai Limited Company Registration is a multi-step process governed by precise legal requirements. Once registered, a business can apply for and receive a company corporate tax ID card from the Revenue Department, as well as register for value added tax (VAT) if required.

The first step involves reserving a name with the Department of Business Development (DBD). This name must be unique and comply with DBD’s naming regulations.

The Memorandum of Association (MOA)

A Memorandum of Association is one of the most important documents during the Thai limited company registration process. It acts as the company’s fundamental constitution, detailing its core objectives, capital structure, and internal governance procedures. A professionally drafted MOA can help protect shareholders’ interests, while also adhering to Thailand’s regulations.

The MOA begins by establishing the company’s name and registered office address, followed by a description of its business objectives and authorised capital. It must include the maximum amount that the company can raise through issuance of shares and how this sum will be divided into equity and preference shares. The MOA should also explain the company’s legal liability, stating that each company member’s liability cannot exceed the value of their shares in the company.

Any alterations to the MOA must be approved by the company’s board of directors and communicated to the Registrar of Companies. The company must also hold a general meeting to obtain the approval of shareholders for these alterations. If the alterations concern the company’s object clause, or any changes to the nature of the liabilities of its members, a special resolution must be prepared and submitted to the Registrar of Companies.

The Articles of Association (AOA)

The Articles of Association (AOA) is a document that establishes the internal management procedures of a company in accordance with Thai laws. This includes establishing operational procedures, setting up quorum numbers and voting thresholds, and defining the extent of business exercises that the company is permitted to take on.

The AOA must be filed with the Department of Business Development along with a copy of the MOA. It must include the company name that has been successfully reserved, the province where it will be located, its business objectives, the capital to be registered, and the names of the promoters. At least three promoters must sign the AOA. The promoters can be both foreign and Thai citizens.

In contrast to the Memorandum of Association, which outlines the company’s goals and authority, the AOA is more concerned with internal management rules and regulations. Changes to the AOA can be made by a special resolution passed at the annual general meeting of the company, and must be approved by the Registrar of Companies before becoming effective.

The AOA must be amended if the company’s business activities change. It should also be amended if it wishes to change its name, or if it wants to transfer the ownership of shares between shareholders. In addition, the list of shareholders must be filed with the Department of Business Development annually. The list must be certified by the company’s directors and authenticated by at least one director.

The Share Certificates

As a business owner, you will need to follow strict accounting procedures in accordance with the Civil and Commercial Code and Revenue Code. This includes the preparation of a set of accounts and an annual financial statement, certified by the auditor. This is a critical document that will help to ensure the company has sufficient assets and is not over-borrowed.

At the time of establishing a limited liability company, you will need to deposit a fixed amount of share capital in a bank account to be used for the company’s operation. The number of shares deposited and whether they are ordinary or preference shares can be changed only by an amendment to the memorandum of association or in another method authorized by the law.

A private limited company is Thailand’s most popular business structure and suits businesses that have scale, high income or value and require systematic management. It is managed by a board of directors and liabilities are limited to the par value of the shares held by shareholders.

To register a private limited company, the company promoters must be natural persons over twenty years of age and must be available to sign documentation during the registration process. A statutory meeting is convened to make all the appointments including those for directors, officers and auditors. Once the appointments have been made, a bank certificate must be presented and an application submitted to the Department of Business Development.

The Tax Identification Number (TIN)

A TIN is an alphanumeric code that identifies your business in the Thai tax system. Your TIN is assigned once your company is registered by the Department of Business Development. It will also be your tax ID number when you register for Value Added Tax (VAT).

All Thai companies must acquire and display their TIN in public places. This is to ensure that third parties, including investors and lenders, have a clear picture of the company’s financial state. Failing to obtain a TIN may result in legal penalties, especially when it comes to reporting foreign income. It can also complicate matters such as opening a bank account and securing loans.

As a result, the TIN registration process can be lengthy and complicated. It is important to work with an experienced team to avoid delays. Professional assistance can also minimize the risk of mistakes, as Thailand has strict regulations regarding the validity and legality of documents submitted for TIN registration.

In addition to establishing the legal structure of your company, a TIN allows you to secure a work permit and visa for your foreign employees. This, in turn, can expedite the hiring process while also enhancing your company’s credibility and reputation for legal compliance and professionalism. For overseas investors, a TIN can help to limit liability and protect their personal assets from the risks of operating in Thailand.

Power of Attorney in Thailand

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Power of Attorney allows an Agent to act on behalf of a legally named Principal in a variety of situations. It can be either General, granting broad legal authority or Special, which is limited to specific transactions. POAs must comply with formal and substantial requirements to be valid, enforceable and binding in Thailand.

Legally Binding

Power of Attorney is a legal instrument that allows you to delegate your authority and decision-making to another person. It can be either General or Special and must comply with formal and substantial requisites in order to be valid and legally binding. When drafted properly, it provides convenience and flexibility in many transactions and situations.

A reputable lawyer can assist you in drafting the appropriate POA to meet your personal and professional needs. They will ensure that the document complies with Thai law and is tailored to your situation. The document must clearly outline the scope of powers granted to the agent as ambiguities can lead to confusion and misuse of authority. The duration and revocation process should also be specified.

For instance, a Norwegian property owner who had been involved in a land dispute with a neighbor was able to use his POA to empower his lawyer in Thailand to represent him in court, collect evidence, and negotiate a settlement on his behalf. This enabled him to continue his investment in Hua Hin while simultaneously resolving the matter without having to travel to Thailand.

It is essential to choose an Attorney-in-Fact who you trust and who will not abuse the powers granted to him. You will also need to ensure that the document is signed in your presence in front of witnesses or a notary public in Thailand and that the identity documents of both parties are attached. Depending on the type of transaction, it may also be necessary to register the document with a government office, for example, for property matters with the Land Department.

Practical

In an increasingly globalized world, a POA provides individuals with the peace of mind to delegate authority to trusted agents for many reasons. The legal document can be used to manage bank accounts, complete real estate transactions, and make business decisions. A POA can also grant legal representation, allowing the agent to act on your behalf in court proceedings and negotiations.

The legal instrument allows you, the Principal, to legally empower an agent known as the Attorney-in-Fact to perform various actions on your behalf. These powers can be either General, which grants broad authority, or Special, which limits the agent to specific acts and circumstances. In both cases, the POA must meet certain formal and substantial requisites to be valid and binding in Thailand. These include notarization, which authenticates the signatures of both parties and requires a certified copy of their identification documents with duty stamps.

The scope, authority, and limitations of the powers granted must be clearly outlined in the document to minimize ambiguity and potential unauthorized activities. You should seek legal advice to ensure that your PoA complies with Thai law and is tailored to your specific needs. For instance, some government agencies may require that their own standard POA form be used for a particular transaction, such as transferring property ownership. In addition, the revocation of a POA must be officially documented and, in some cases, filed with the agency (e.g., with the Land Department for real estate transactions).

Versatile

Power of Attorney is a versatile legal tool that allows you to delegate decision-making to a trusted representative. It can help simplify complex transactions, facilitate legal proceedings and ease financial management duties. However, it is crucial to understand the different types of POA and their varying requirements when using them for specific purposes. With legal guidance, you can avoid procedural hiccups and ensure that your POA is legally binding and compliant with Thai law.

It is a powerful instrument that can be used in a variety of situations and transactions, including real estate purchases, business operations and healthcare decisions. It can be temporary, completing specific transactions that the principal cannot attend to personally, or it can continue indefinitely (durable power of attorney). A POA can also include a living will, which specifies what should be done should the writer become incapacitated before their death.

When granting Power of Attorney, it is essential that the scope of powers granted is clearly outlined to avoid ambiguity and misuse of authority. You must carefully consider the duration and revocation process and make sure your agent is a trustworthy individual who is capable of handling your affairs responsibly. Moreover, it is vital to seek legal advice to ensure that your document complies with all formal and substantial requisites when dealing with government departments and in legal transactions such as property transfers.

Customized

A PoA enables you to delegate authority in the event that you are unavailable, allowing your trusted agent to manage transactions, sign contracts and documents, and make decisions on your behalf. It can be General or Special, granting broad legal authority or limited to specific powers and actions. The agent’s actions within the authorized scope are legally binding on you and must comply with Thai law.

The document is drafted with care to clearly specify the power granted, including any limitations or restrictions. Depending on the circumstances, it may need to be notarized or legalized for recognition by government agencies and Thai banks. In particular, certain government departments require specific Thai-language PoA templates for transactions like registering property on behalf of the Principal or selling a condominium.

PoAs are typically revocable at any time by issuing a written revocation letter. This should be notarized and submitted to any entities that could be affected by the revocation, such as banks or business partners, to prevent the agent from continuing to act on your behalf. However, it is also possible to draft a durable POA that remains in effect even after your death or mental incapacity, allowing you to choose who takes over management and decision-making on your behalf in the future. This is particularly important for foreigners wishing to complete property transactions or engage in other long-term activities in Thailand.

Notary Public in Thailand

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Many individuals need their signatures authenticated to make a document legally binding. This is where Notary Public or a Thailand notary comes in.

Notaries are official government representatives that can verify a signature, witness documents with stamps or seals and administer oaths. They are commissioned as ministerial officials and expected to follow written rules without exercising significant discretion like a judicial official would.

Authentication of Signatures and Documents

Authenticating signatures and documents is the most common service provided by a Notary Public. This involves verifying the identity of individuals signing legal documents, certifying copies of original documents and administering oaths or affirmations to persons making sworn statements. Documents authenticated by a notary include contracts, agreements, affidavits and statements of persons under oath.

Notaries are regulated by law in most countries to perform these functions. In Thailand, notaries are typically lawyers licensed by the Lawyers Council of Thailand to serve as notary services attorneys and undergo a special licensing assessment. GAM Legal Alliance is a notary services attorney accredited by the Thai Lawyers Council and can be trusted to provide authentication services regulated by the law of Thailand.

Documents authenticated by notaries are recognized and accepted in foreign jurisdictions, allowing individuals to pursue international business opportunities and engage in cross-border transactions with confidence. Authenticating documents is often a precondition for further processes like legalization and an apostille, which are used to confirm the authenticity of the document in the eyes of foreign authorities and institutions.

Virtual notary services have emerged as a convenient solution for individuals looking to authenticate their documents. These online notary services facilitate the authentication process by connecting signers with a notary in as little as two seconds and are available 24/7. With advanced security measures including knowledge-based authentication, credentials analysis and native platform tools, these online notary services ensure that the people signing documents are indeed the ones they claim to be.

Authentication of Affidavits or Statements of Persons Under Oath

A Notary Public is a government official authorized to authenticate signatures or documents as well as witness affidavits and statements of persons under oath. He is also the one who certifies certain legal documents, such as proof of identity, power of attorney in Thailand and title deeds. He can also verify whether a person signing the document is qualified to do so. Some documents cannot become enforceable or binding until they have been notarized.

In Thailand, only accredited attorneys who have passed the training course of Notary Public are licensed to perform this function. The authentication services that they provide are regulated under the Lawyers Act B.E. 2528 and by the Lawyers Council of Thailand. Consequently, notarized documents issued by these lawyers are considered valid internationally.

Several types of documents need to be notarized, including certified copies of passports, visa applications, marriage certificates and bank statements. Additionally, some documents are required to be notarized before they can be submitted to foreign embassies, such as embassy forms, bank statements and proof of address. In all these cases, a notarized certificate will ensure that the document is authentic and is signed by the right person. In addition, it will help in speeding up the process of submitting the documents to the embassy. This will save time and money for the applicant.

Authentication of Translations

Many individuals and organizations require document translations to be authenticated by a Notary Public for international use. This is often necessary for legal matters such as business agreements, immigration processes and academic pursuits.

Generally, the notarization of translations will include verifying the translator’s identity and confirming that they were hired to translate the documents. The notary will then sign and affix their official seal to the translated documents. It is important to ensure that the notarized translations have been reviewed by an expert translator in order to guarantee accuracy.

The notarization process is typically followed by another step of further authentication by the embassy or consulate of the destination country. For example, if your documents were originally issued in Canada and you require them for use in Thailand, the documents will need to be further authenticated by the Thai Ministry of Foreign Affairs.

A Notary Public is a state-licensed public official who is authorized to witness and certify, with their signature and official seal, certain classes of documents in order to give them validity in a foreign jurisdiction. In most countries, Notary Public services are available through government departments. However, many professional translation companies and certified notary services are also able to provide Notary Public services to their clients. This can save you time, money and hassle by eliminating the need for multiple visits to different governmental offices.

Legalization of Documents

Notarized documents are accepted internationally and are vital for international business, real estate transactions or legal proceedings. However, some documents might require further authentication or certification and legalization before they can be used in other countries. H&P has extensive experience helping clients through the entire process.

In most countries, the state officially licenses a Notary Public to authenticate signatures and documents as well as witness affidavits or statements of persons under oath. In Thailand, the Lawyers Council has a regulation allowing certain lawyers to function as Notary Services Attorney and to undergo a professional training course to ensure they are qualified for this role.

Documents notarized by a Notary Public can be recognized abroad, as long as they are presented to the appropriate foreign authority or embassies. The Notary can also certify a copy of a document as a true and accurate reproduction of the original, a service required by banks, schools or authorities abroad.

As Thailand is not a member of The Hague Convention, the country’s documents might need to be further verified by the Ministry of Foreign Affairs in Bangkok or the relevant embassy for the country of destination before they can be considered valid abroad. This additional step is called “legalization”. Schmidt & Partner has the expertise to handle all aspects of legalization in Thailand.

Breach of Contract in Thailand

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Breach of Contract is a serious legal issue that can have severe implications for both individuals and businesses. Ensuring that contracts are taken seriously, and establishing clear terms in agreements, reduces the likelihood of disputes.

The legal system outlines clear requirements for valid contracts in Thailand, including mutual consent and a lawful purpose. It also establishes clear avenues for resolving breach of contract through civil litigation and arbitration.

Damages

Contracts weave the fabric of commerce in Thailand, binding parties to their obligations and fostering trust in agreements. When breach occurs, it’s essential that individuals and businesses understand the legal implications and available remedies. In many cases, the timely and effective resolution of contract disputes can limit damages and protect reputations.

By recognizing and penalizing breaches, Thai contract law promotes legal certainty and reduces ambiguity. This helps companies plan operations with confidence, build relationships, and strengthen their positions in the business ecosystem. Additionally, the enforceable nature of contracts reassures foreign investors and entrepreneurs that their agreements will be honored and they can seek recourse when necessary.

The most common remedy for a breach of contract is monetary compensation. This compensates the non-breaching party for their financial losses and aims to return them to their position had they fulfilled their contractual obligations. Damages may include liquidated damages, pre-agreed amounts specified in the contract, or foreseeable indirect losses. Punitive damages are rare in Thai courts, but can be awarded if the breach was particularly egregious.

Other available remedies include rescission and specific performance. Rescission, as outlined in Section 388 of the CCC, allows an aggrieved party to terminate the contract and receive restitution. In some cases, a court may also order specific performance, forcing the breaching party to fulfill their original obligations.

Rescission

A breach of contract can damage not only a business relationship but also a company’s reputation in the wider Thai and international business communities. The legal system provides for structured pathways to resolving disputes, ensuring that parties take their obligations seriously and that any damages incurred as a result are compensated.

This is achieved through a variety of legal remedies, including specific performance, compensation for damages, and rescission. Specific performance involves a court ordering the breaching party to fulfil their original contractual commitments. Compensation for damages covers any financial losses resulting from the breach. Rescission allows the injured party to cancel the contract and be released from further obligations, particularly in contracts involving unique assets like real estate.

Contract law in Thailand also acknowledges implied terms, which are contractual obligations that may not be expressly outlined but can be inferred from industry standards, legal norms, or past dealings between the parties. In such cases, courts may prioritize equitable interpretations in order to discourage exploitation and unfairness.

Despite these legal mechanisms, it is essential to ensure that contracts are drafted clearly and correctly in order to minimize the risk of disputes and violations. It is also crucial to seek proper legal advice when entering into any commercial transaction in Thailand, especially for foreign investors who may be unfamiliar with local contract laws and practices.

Specific Performance

Contracts weave the fabric of commerce in Thailand binding parties to mutual obligations and fostering trust in agreements. When these contractual threads unravel resulting in breach of contract, it can have significant legal implications. Navigating these implications requires a comprehensive understanding of the legal landscape, types of breach and available remedies.

Remedies for breach of contract in Thailand include compensation for damages, specific performance (compelling the breaching party to fulfil contractual obligations as stipulated in the original agreement), and rescission (allowing the non-breaching party to legally terminate the contract). These legal remedies ensure that parties take their commitments seriously and that individuals and businesses have the means to recover financial losses caused by failed promises or abandoned duties.

Damages are the primary remedy for breach of contract in Thailand and involve monetary compensation aimed at covering financial losses incurred as a direct result of the breach. Contracts often stipulate pre-agreed liquidated damages avoiding lengthy litigation over the determination of actual losses.

If informal methods like demand letters fail to resolve a dispute, civil lawsuits may be filed in Thailand courts. However, pursuing these avenues is time-consuming and costly. To minimize the risks of litigation, it is best to seek legal advice at an early stage. A lawyer can provide guidance on alternative dispute resolution techniques, which can be quicker and cheaper than filing a lawsuit.

Litigation

The vibrant tapestry of commerce in Thailand is woven with intricate agreements binding parties to their contractual promises. However, when those contractual threads unravel and result in breach of contract, litigation is often necessary. Thailand Dispute resolution techniques, such as negotiation, mediation and arbitration, are commonly used prior to resorting to litigation when possible.

Litigation associated with a breach of contract can involve civil lawsuits filed in court to compel breaching parties to fulfill their original obligations, compensate the innocent party for financial losses or legal damages, and terminate contracts in cases of fundamental breaches. To prevail, plaintiffs must prove a violation of the contract’s essential terms with “substantive certainty.” In addition, if a claim involves consideration, such as money or services, it must also include a valid and enforceable agreement and the existence of a cause of action.

By making clear that breaches have consequences, Thai law encourages individuals and businesses to take their commitments seriously, promoting integrity and providing a reliable framework for dispute resolution. Enforcing contractual rights in the event of a breach ensures that both parties are held accountable for their respective obligations, and it allows businesses to plan operations with confidence without fear of arbitrary disruption or legal ambiguity. This level of predictability is especially vital for long-term or high value contracts, including those involving construction, intellectual property and international trade.