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November 1, 2024

ICLG: Franchise 2025—Thailand Chapter

Global Legal Group

Tilleke & Gibbins has contributed the Thailand chapter to Franchise 2025 from the International Comparative Legal Guides (ICLG) series published by Global Legal Group. This comprehensive guide provides detailed analysis of franchise laws and regulations across multiple jurisdictions worldwide.

Each chapter of the guide follows a Q&A format, organized into key sections covering critical aspects of franchise law and operations, including:

  • Relevant legislation and rules governing franchise transactions
  • Business organization options for franchised operations
  • Competition law considerations
  • Protection of intellectual property and brands
  • Liability issues and risk mitigation
  • Governing law and dispute resolution
  • Real estate matters
  • Online trading regulations
  • Termination requirements
  • Joint employer risks and vicarious liability
  • Currency controls and taxation
  • Commercial agency considerations
  • Good faith obligations and fair dealing requirements
  • Ongoing relationship management
  • Franchise renewal processes
  • Franchise migration procedures
  • Electronic signatures and document retention

The Thailand chapter, authored by Alan Adcock and Kasama Sriwatanakul, examines these topics in detail, with particular attention to recent developments like the Trade Competition Commission’s Franchising Guidelines which introduced new disclosure requirements and protections for franchisees.

The complete Thailand chapter is available as a PDF below.

The Thailand chapter—and the full Franchise 2025 guide—are also freely available on the ICLG website.

RELATED INSIGHTS​ 

February 22, 2021
Following the recent imposition of sanctions on Myanmar individuals and companies by the US, the UK and Canada have now imposed new sanctions. As with the US sanctions, these new measures impact UK and Canadian citizens and companies, and non-UK and non-Canadian companies and citizens with interests in those jurisdictions. The EU has indicated that it is planning to issue similar sanctions in the near future. New UK Sanctions In addition to the 16 individuals already sanctioned by the UK government, on February 18, 2021, the UK government announced that three individuals have been sanctioned for serious human rights violations and are now subject to asset freezes and travel bans. The full list of Myanmar individuals and companies sanctioned by the UK is available on the website of the Office of Financial Sanctions Implementation. Breaches of UK financial sanctions are criminal offences punishable in the UK by up to 7 years imprisonment and heavy fines. New Canadian Sanctions Also on February 18, timed to coincide with the UK sanctions, new Canadian sanctions were imposed on nine individuals. As with the UK, Canada already had a number of individuals in the Myanmar military on its sanctions list, and the new additions bring the total number of individuals sanctioned by Canada to 54. All assets of these individuals in Canada are now frozen, and they are banned from travelling to Canada. Canadian businesses or entities may not do business with any of the 54 individuals. Full details of the impact of the sanctions are available on the Government of Canada’s website, as is a database of the Myanmar individuals and companies subject to them. Breach of Canadian sanctions carries with it up to 5 years’ imprisonment in Canada and/or a large fine. Other Countries The EU is reportedly drawing up sanctions
February 18, 2021
As you will no doubt know, on February 1, 2021, the Myanmar military declared a state of emergency in Myanmar for a period of one year. State Counsellor Daw Aung Sang Su Kyi was detained, as were the president and various significant political and civil leaders. Min Aung Hlaing, commander-in-chief of the Tatmadaw (Myanmar armed forces) has installed himself as chairman of the State Administration Council, the current administration. New sanctions The reaction of the Biden administration has been swift. On February 10, 2021, President Biden issued Executive Order 14014, which provides bases to impose sanctions on individuals and companies deemed by the US to, among other things: operate in the defense sector of Myanmar; be responsible for policies that undermine democratic processes in Myanmar; have taken actions to undermine democratic processes or institutions, or prohibit, limit, or penalize the exercise of free speech, in Myanmar; or be a spouse or child of the foregoing. On the next day, February 11, the US Office of Foreign Assets Control (OFAC), imposed sanctions under the new executive order on ten individuals—including General Min Aung Hlaing—and three companies, including Cancri Gems & Jewelry Co, Myanmar Imperial Jade Co, and Myanmar Ruby Enterprise.  All such individuals and companies have now been designated on the US list of specially designated nationals (SDNs). Effect of sanctions As a result of such sanctions, the property of these individuals or companies that is located in the US or is under the possession or control of US companies and citizens is frozen, and US companies and citizens are generally prohibited from dealing deal with any such property.  Reportedly, roughly USD 1 billion of funds belonging to the individuals and companies blocked on February 11 are located in the US and thus now frozen. The SDN list As many
January 13, 2021
The Thai Industrial Standards Institute (TISI) has postponed a requirement to display QR codes next to the Thailand Industrial Standards (TIS) logo on certain product labels, linking to each product’s licensing information. Originally scheduled to take effect on January 21, 2021, TISI has agreed to extend this implementation date by a further six months owing to complexities involving product labeling and the COVID-19 pandemic. Manufacturers and importers therefore have an extra six months to prepare for compliance with the new regulations, which will now come into force on July 20, 2021. Thailand’s Ministry of Industry (MOI) requires various manufactured goods, such as gas water heaters, fans, light bulbs, rice cookers, fuel oils, toys, and so on, to meet Thailand’s industrial standards before they are imported or manufactured domestically. The standards, governing product qualities such as design, shape, manufacturing process, durability, safety, and packaging, are laid out in the Industrial Product Standards Act (No. 6) B.E. 2548 (2005) and overseen by the TISI (which operates as part of the MOI). As the MOI prescribes these compulsory standards, via TISI, to ensure product safety and prevent harm to consumers and the public, once a product becomes subject to them it cannot be manufactured or imported without an appropriate license from TISI. Such products must display the TIS logo on their labels. However, many products have been found to display the TIS logo dishonestly—that is, without having been evaluated or licensed by TISI. To deal with this dishonest use of the TIS logo, MOI Regulation Re: Format and Methods to Label and Use Markings on Industrial Products B.E. 2563 (2020) was issued in July 2020, mandating that various household appliances and other approved goods display a QR code linking to the TISI license information. With the postponement of this regulation, all affected