The financial year will now run from April 1 to March 31, from the 2022–2023 financial year onward, and October 2021 to March 2022 will be considered an interim budget period.

Multilaw has published its new Global Business Entities Guide, which collects expert advice from Multilaw’s member firms in more than 65 jurisdictions around the world. The guide provides answers to the key issues concerning international business operations, investments, and joint ventures. Each country section lists the main types of business vehicle that exist in the jurisdiction, and gives a detailed review of each business type through a standardized template that covers the following topics: General principles Incorporation, formation, or organization Registers Governance Ownership interests Costs and taxes Jurisdiction-specific matters Multilaw is a global network of carefully selected, independent law firms consisting of over 10,000 commercial lawyers in more than 100 countries, able to provide expert legal advice in complex environments around the globe. The full guide is available for free on the Multilaw website.

COVID-19 and the resulting lockdown measures to limit outbreaks in Thailand have caused significant financial difficulties for many business operators, large and small. Whether a business is a creditor or debtor, there is a high likelihood they have faced or will face a default caused by the pandemic. This article identifies three legal options available when a party defaults—civil cases, bankruptcy actions, and business rehabilitation actions—and compares key elements associated with each option. For context, those three options are defined as follows: Civil case. A legal proceeding in which a creditor files a civil lawsuit (or arbitration claim) against a debtor for debt collection. If a debtor fails to settle a debt in accordance with a judgment, the creditor can ask the court to enforce the judgment by seizure and sale of the debtor’s assets through public auction. Bankruptcy action. A legal proceeding under the Bankruptcy Act in which a government authority can collect a debtor’s assets, sell the assets by public auction, and distribute the net proceeds among creditors. In bankruptcy proceedings, the creditors will receive repayment in proportion to the size of the outstanding debts. Business rehabilitation action. A legal proceeding under the Bankruptcy Act aimed at helping a debtor recover from insolvency and continue its business. Debtors are given debt relief and a “new start” through business rehabilitation, while creditors are able to collect a higher percentage of outstanding debt under rehabilitation than they would under a bankruptcy action. In short, a civil case is a claim in court for repayment of a specific debt, a bankruptcy action results in distribution of the debtor’s assets among the creditors, and a business rehabilitation action aims to enable the debtor to stay in business while repaying their debts to some degree. A civil case may be appropriate when the debtor defaults on debt repayment and is indebted to only the creditor bringing the action. A bankruptcy action should be considered when the debtor’s liabilities are greater than its assets, and its business cannot continue. Business rehabilitation may be a good option when there is still a reasonable chance of reforming and rebuilding the debtor’s business. The three options also differ in a number of other ways, as laid out below.   Legal Particulars   Requirements for Initiating Action   Proceedings   Advantages and Disadvantages   Conclusion An essential step in pursuing any of these actions is retaining experienced local counsel who can offer tailored advice. Creditors should consider which of these three legal actions in Thailand best suits their needs and circumstances, and chart their course with the help of their legal advisor in Thailand. As noted above, a civil case might be the right option for a single creditor pursuing repayment, while bankruptcy actions and business rehabilitation are more far-reaching options that may be appropriate when there are serious underlying financial or structural issues affecting the debtor. With the aid of a specialist in debt recovery, bankruptcy, and business rehabilitation in Thailand, the creditor can consider the specific circumstances, lay out and execute a winning strategy, and resolve their debt recovery problems efficiently and cost-effectively.

Attorneys from Tilleke & Gibbins have prepared the Thailand section of the Foreign Investment Restrictions Guide, published by Lex Mundi. The guide provides answers to key questions related to the regulatory regime for foreign investments in the jurisdictions of Lex Mundi member firms in 57 jurisdictions around the world. Each country-specific section contains in-depth information on the jurisdiction’s legal framework governing employment relationships, addressing the following questions and topics: General overview of the country’s foreign investment restrictions Sectors subject to investment restrictions Relevant thresholds, notification obligations, and approval requirements Grounds to block a foreign investment Information specific to COVID-19 and other relevant potential developments The guide draws on the expertise of Lex Mundi member firms from around the world. Its innovative format allows users to compare current information from multiple jurisdictions in a side-by-side customizable report. To browse the contributions, generate country-specific reports, and compare regulatory guidance on cross-border investment and transactional activity across multiple jurisdictions, please visit the Lex Mundi website.