You are using an outdated browser and your browsing experience will not be optimal. Please update to the latest version of Microsoft Edge, Google Chrome or Mozilla Firefox. Install Microsoft Edge

January 24, 2017

PLC Doing Business in … Global Guide 2017 – Thailand Chapter

Practical Law Company in Association with Lex Mundi

The 2017 edition of Doing Business In…, a Q&A-style guide published by Practical Law Company in collaboration with Lex Mundi, presents an overview of recent legal developments affecting doing business in 51 jurisdictions worldwide. The Thailand chapter of the guide was written by attorneys from Tilleke & Gibbins and presents an overview of Thailand’s legal system and key laws applicable to foreign companies doing business in the Kingdom. The chapter specifically covers the following main topics:

  • Legal System: Thailand’s codified legal system and hierarchy of laws including Constitutional Acts, Organic Acts, Royal Ordinances, Royal Decrees, and Ministerial Regulations.
  • Foreign Investment: Lists of reserved business activities, restrictions on doing business with certain jurisdictions, exchange controls and currency regulations, and grants and incentives—including merit-based incentives—available to investors.
  • Business Vehicles: Ordinary partnerships, registered ordinary partnerships, limited partnerships, private limited companies, and public companies.
  • Employment: Laws, employment contract requirements, work permits, and termination and redundancy.
  • Tax: Taxes on employment, tax and nontax resident employees and businesses, corporate income tax, value added tax, special business tax, municipal tax, stamp duty, dividends, interest, intellectual property royalties.
  • Competition: The existing and new draft version of Thailand’s Trade Competition Act, as well as merger control.
  • Intellectual Property: Patents, trademarks, registered and unregistered designs, and copyright.
  • Advertising: Thailand’s Consumer Protection Act and role of the Consumer Protection Board and Food and Drug Administration.
  • Product Liability: The Unsafe Goods Liability Act and the Consumer Case Procedure Act.

To read the Thailand chapter, please visit the PLC website or click on the PDF below.

RELATED INSIGHTS​ 

December 30, 2025
The Intellectual Property Office of Vietnam (IP Office), with support from the Japan International Cooperation Agency (JICA), is drafting additional annexes to its Guidelines for Patent Examination, focusing on the examination of patent applications in the pharmaceutical and biotechnology sectors. The new annexes are expected to be officially issued in early 2026 as Annexes III and IV, following the successful issuance in 2023 of Annexes I and II addressing computer program-related inventions. The IP Office recently organized a seminar to gather feedback on the draft annexes from intellectual property representatives, academic institutions, research institutes, and other interested parties, emphasizing its intention to receive further constructive opinions to refine the guidelines for pharmaceuticals and biotechnology. Why These Guidelines Matter Patent examination in Vietnam has traditionally relied on the Guidelines for Patent Examination issued under Decision No. 487/QD-SHTT (2010), recently supplemented by Annexes I and II. While these documents provide a solid foundation, they do not fully address practical challenges in examining pharmaceutical and biotech inventions, particularly issues related to clarity, sufficiency of disclosure, enablement, features of function and utility, combination therapies, and inventions involving artificial intelligence (AI) applications in these fields. Annexes III and IV aim to close these gaps by introducing structured principles and illustrative examples. Guidance on Patent Specification Requirements Annex III provides detailed guidance on the requirements for patent specifications in pharmaceuticals and biotechnology, covering two main parts: Part A addresses sufficiency of disclosure, clarity of specifications, and consistency between claims and descriptions. Part B covers inventions related to Markush-type compounds, claims containing exclusion statements (disclaimers), and additional experimental data submitted during examination. The Guidelines outline specific disclosure requirements for subject matters such as compounds, formulations, pharmaceutical compositions, genes, polypeptides, proteins, vectors, transgenic organisms, modified organisms, and hybrid cells. Annex III emphasizes that disclaimers are not accepted
December 30, 2025
On December 17, 2025, Laos’ Ministry of Industry and Commerce (MOIC) issued a notice introducing a new digital system that allows e-commerce businesses to obtain required certificates and licenses through an online, application-based platform. Notice No. 3988, which will take effect on February 1, 2026, introduces the E-Trust platform, a downloadable application that allows e-commerce businesses to remotely obtain acknowledgement certificates and business operating licenses. New Digital Registration Options Under the previous framework established by the Decree on E-commerce (2021), businesses were required to complete registration exclusively through paper-based submissions. The new system now offers businesses two registration options: Traditional paper-based process at the Division of E-commerce Management within the MOIC; or Electronic registration and renewal through the E-Trust platform. This change is expected to streamline procedures, reduce administrative burdens, and enhance accessibility for businesses operating outside Vientiane. The E-Trust platform facilitates compliance for both individuals and legal entities required to submit applications and renewals for required certificates and licenses. The development is particularly beneficial for businesses located in remote provinces, as it eliminates the need for physical travel and significantly accelerates processing times. Compliance Requirements and Penalties Businesses must obtain or renew the required certificates and licenses to avoid sanctions under the Decision on Fines and Other Measures for Violation of the Decree and Regulations on E-commerce (No. 2828/MOIC, dated November 11, 2025). Penalties for noncompliance may include monetary fines and other enforcement measures.
December 26, 2025
Thailand has granted ride-sharing platforms additional time to comply with new regulatory requirements, extending the compliance deadline to March 31, 2026 (replacing the previous deadline of October 2, 2025). The postponement was made official on December 18, 2025, when Thailand’s Electronic Transactions Development Agency (ETDA) published the second Notification Regarding Supervision of Ride-Hailing Platforms Classified as High-Impact Digital Platform Services under the Royal Decree on Digital Platform Service Businesses. The notification provides additional time for ride-sharing platforms and drivers to transition to full regulatory compliance. The extension replaces the effective date provision of the earlier notification and applies specifically to ride-hailing activities. Background The postponement responds to feedback from operators and driver groups regarding challenges converting private vehicles into legally registered public vehicles, including complex registration procedures, high compliance costs, and operational delays. The Department of Land Transport (DLT) is concurrently reforming its vehicle registration and driver verification processes to streamline operations. Given these issues, the Electronic Transactions Committee has deferred enforcement to provide an adjustment period for operators and drivers to meet compliance requirements. Ongoing Obligations While the effective date has been deferred, the substantive obligations imposed on ride-sharing platforms remain fully intact. Operators must continue preparing to comply with the additional duties applicable to high-impact digital platform services, beyond the general requirements under the digital platform services framework. Operators are expected to use the extended transition period to finalize operational and compliance readiness ahead of enforcement on March 31, 2026. Key focus areas include: Integration with DLT vehicle-registration systems Deployment of robust driver and passenger identity verification mechanisms Updates to platform terms of service, driver-onboarding standards, and internal operational policies Preparation for ETDA reporting obligations and future audit and review processes Next Steps While the postponement replaces the previous effective date with the new March 31, 2026,
December 26, 2025
The Bank of Thailand (BOT) has released the Guidelines for Digital Fraud Management, which took effect on December 17, 2025, incorporating certain amendments to the draft guidelines issued in March 2025. These official guidelines aim for end-to-end digital fraud prevention, with a particular focus on mule accounts, to enhance trust and security in Thailand’s financial system. The guidelines apply to “financial service providers,” including: Financial institutions and special financial institutions under the Financial Institution Business Act; and Operators of Inter-institutional Fund Transfer System e-money services and e-fund transfer services under the Payment Systems Act. Besides commercial banks and e-money operators that offer fund-transfer services, other providers may adopt requirements based on risk proportionality and baseline standards set out in the guidelines (for instance, an e-money operator that does not offer e-fund transfer services could consider implementing a fraud monitoring and detection system according to the risk level of its service). The guidelines establish the following key requirements: Policy and oversight. Directors and senior executives of financial service providers must adopt appropriate “end-to-end” fraud management policies and KPIs to manage digital fraud, covering prevention, monitoring, detection, management, resolution, and support for affected customers. The fraud management policy must be regularly reviewed, and whenever there is a situation or change that significantly affects the efficiency of the fraud management. Any significant update to the policy must first be approved by the board of the financial service provider. The BOT also encourages providers to collaborate in establishing industry standards aligned with applicable laws and regulations to ensure consistency and best practices across the sector. Fraud management processes. Financial service providers must establish a clear framework for managing digital fraud throughout the customer lifecycle—from customer onboarding to service termination—covering at least the following processes: Know your customer (KYC) and customer due diligence (CDD):