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

July 8, 2020

Regional Guide to Franchising Law in Mainland Southeast Asia

The popularity of the franchise business model has been growing rapidly in mainland Southeast Asia in recent years, with some of the world’s top brands becoming common sights in the commercial districts and shopping malls of major regional cities in Cambodia, Laos, Myanmar, Thailand, and Vietnam.

While for most countries in this part of the world, franchising has not been explicitly mentioned in legislation, well prepared franchise business operations can comfortably adapt to each country’s regulatory framework, and the growth is poised to continue even as the global retail sector redesigns and redoubles its efforts in the wake of the COVID-19 outbreak. In fact, the franchise business model, which is both global and hyper-local at once, is one of the most promising solutions that entrepreneurs are turning to in their quest to overcome the challenges of the new economic reality.

The Regional Guide to Franchising Law in Mainland Southeast Asia provides key, up-to-date insights into the legal frameworks regulating franchise operations in these mainland Southeast Asian countries, and helps brand owners understand the most relevant laws, authorities, and procedures for their business. Some of the essential topics covered for each jurisdiction include considerations in negotiating and designing franchise agreements, protecting intellectual property rights , and important information on judicial and arbitral procedures should a dispute arise between franchisor and franchisee. Practitioners from Tilleke & Gibbins’ offices in Cambodia, Laos, Myanmar, Thailand, and Vietnam contributed to guide—not only by providing legal expertise on the laws and mechanisms applicable in each jurisdiction, but also by examining strategies for establishing and running resilient franchise operations in mainland Southeast Asia.

The full guide can be accessed as a PDF through the button below. 

RELATED INSIGHTS​ 

July 25, 2025
Over the first half of 2025, the government of Vietnam has implemented a comprehensive suite of legislative reforms that significantly impact the country’s intellectual property (IP) framework. These amendments, most of which took effect on 1 July 2025, span the criminal, civil, administrative, and judicial sectors, and are part of a broader initiative to modernize Vietnam’s legal infrastructure, strengthen enforcement mechanisms, and harmonize domestic regulations with international standards. A summary of the key legislative changes and their potential implications for IP protection and enforcement across Vietnam is provided below. Criminal Code: Stricter penalties Under the 2025 amendments to Vietnam’s Criminal Code, penalties for offenses involving the manufacturing and trading of counterfeit goods have been significantly escalated. Individuals convicted of such violations now face fines ranging from VND 200 million to VND 2 billion (approximately USD 7,700 to USD 77,000; up from VND 100 million to VND 1 billion). For corporate entities, the penalties are even more severe, with fines ranging from VND 2 billion to VND 40 billion (roughly USD 77,000 to USD 1.54 million; up from VND 1 billion to VND 20 billion). These heightened penalties reflect the government’s intensified efforts to deter counterfeit-related crimes and protect consumer rights. Law on Handling Administrative Violations: Extended statute of limitations and application of electronic procedure The statute of limitations for addressing administrative violations in the IP sector is still two years. However, in cases where such violations are referred by procedural authorities, this period is extended by one year. The time taken by these authorities to process the case is now included within the overall limitation period. In addition, the Law on Handling Administrative Violations facilitates the use of electronic procedures, provided that the necessary infrastructure, technical systems, and information conditions are in place. Specifically, enforcement authorities are now permitted
July 23, 2025
In cross-border disputes, a recurring concern for claimants is whether they can protect respondents’ assets located in jurisdictions other than the seat of arbitration. This article explores whether Thai courts can issue interim measures, such as freezing orders, under Section 16 of the Thai Arbitration Act (2002) to support an arbitration seated outside of Thailand. Requesting Interim Measures Section 16 provides that a party to an arbitration agreement may request that the court impose interim measures, either before or during arbitral proceedings. If the court determines that it would have been able to impose such measures had the proceedings been conducted in court, it may proceed as requested. Notably, Section 16 does not limit its application to arbitrations seated in Thailand. It simply refers to “a party to an arbitration agreement,” which arguably includes both domestic and international arbitrations. Further, it allows for applications even before arbitration is commenced, provided that the arbitration is initiated within thirty days from the issuance of the order (or other period the court prescribes). A Hypothetical Scenario Consider the following scenario: Company A, incorporated in the Netherlands, and Company B, incorporated in the Cayman Islands, have entered into a contract containing a clause requiring arbitration at the Singapore International Arbitration Center (SIAC). A dispute arises, and Company A commences arbitration at SIAC. Company B holds significant assets in Thailand, such as bank accounts or real estate. Concerned that Company B might dispose of its assets before an award is rendered, Company A applies to the Thai court seeking a freezing order over those assets. Can the Thai court issue such an interim measure? The answer is not straightforward. Thai law is silent regarding whether Section 16 applies to arbitrations seated outside Thailand, leaving the door open for argument. Some academic sources suggest that
July 21, 2025
Distinctiveness is a fundamental requirement for a trademark’s registration and protection under Thai law. The Thai courts typically assess distinctiveness based on a mark’s inherent characteristics rather than its use, as proving acquired distinctiveness through use requires substantial evidence, including the duration of use, extent of distribution and promotional efforts. However, the Intellectual Property and International Trade Court (IP & IT Court) has recently ruled that the figurative mark WEPLAY had acquired distinctiveness through use – an uncommon ruling under Thai trademark law. Subsequently, the Court of Appeal for Specialised Cases affirmed the mark’s inherent distinctiveness based on a holistic assessment of its components. This article discusses the criteria for proving both inherent and acquired distinctiveness, offering examples from both courts to provide valuable insights into case preparation and understanding of how the courts assess distinctiveness. Background In 2017 the plaintiff filed a trademark application for the mark depicted below for goods in Class 28, including toy building blocks: The registrar rejected the application on the grounds of non-distinctiveness under Section 7 of the Trademark Act. The plaintiff appealed to the Board of Trademarks, which considered that, when the term ‘weplay’ is used for goods in Class 28, it is descriptive of the nature of the goods applied for as “playthings”. Therefore, ‘weplay’ was deemed nondistinctive under Section 7, Paragraph 2(2) of the Trademark Act. IP & IT Court decision In 2024 the IP & IT Court ruled that the term ‘weplay’ is not a coined or invented word; instead, it is a combination of ‘we’ and ‘play’, conveying the meaning of ‘we play’. When the term is used for goods in Class 28, it describes the nature of the goods as “playthings”. Consequently, the mark was deemed non-distinctive. However, the court considered the evidence presented by the plaintiff,
July 18, 2025
Vietnam’s electric vehicle (EV) industry is experiencing rapid growth, driven by a strong wave of new legislation, strategic plans, and government incentives. The government’s clear commitment to electrification is attracting foreign investment, supporting advanced production, and reducing reliance on internal combustion engine (ICE) imports. Recent national strategies, sector regulations, and technical standards demonstrate a rare level of regulatory momentum in Southeast Asia, positioning Vietnam as a competitive player in the global EV supply chain and an attractive market for foreign investors. An overview of legal developments for the EV sector in Vietnam is presented below. National Action Program for Green Transportation A key driver of Vietnam’s EV growth has been the National Action Program for Green Transportation through 2050 stipulated in Decision No. 876/QD-TTg of the prime minister dated July 22, 2022. The National Action Program sets a detailed roadmap for the green energy transition in road transport. For the period 2022–2030, the focus is on promoting the manufacturing, assembly, import, and conversion of road motor vehicles to electric power, expanding the use of 100% E5 gasoline for road vehicles, developing charging infrastructure to meet the needs of residents and businesses, and encouraging both new and existing bus stations and rest stops to meet green criteria. For the period 2031–2050, the roadmap aims to gradually restrict and ultimately cease by 2040 the manufacturing, assembly, and import of fossil fuel-powered cars, motorcycles, and mopeds for domestic use. By 2050, the goal is for 100% of road motor vehicles and construction vehicles participating in traffic to use electricity or green energy, for all bus stations and rest stops to meet green criteria, and for all machinery and equipment for loading and unloading to transition from fossil fuels to electricity or green energy. The program also calls for the completion of nationwide