Thailand has issued a regulation on advertising content—including language-related requirements—securing the right of consumers to clear and fair advertising. The Committee on Advertisement, a subcommittee of the Consumer Protection Board under the Consumer Protection Act B.E. 2560 (2017) (the CPA), laid out the rules in Notification Re: Guidelines on Use of Advertisement Statements by Confirming Facts that are Difficult to Prove and Guidelines on Proof of Advertisement Statements B.E. 2565 (2022). The notification, which repeals and replaces two previous guidelines on the same subject matter, was published in the Government Gazette on January 13, 2023, and took effect the following day. Under the CPA, advertisements must not be false or exaggerative. If the Committee on Advertisement suspects an advertisement of breaching this restriction, the business operator may have to provide proof of the claims in their advertisement. This new notification clarifies the criteria for determining whether advertisements are false, exaggerative, or unfair to consumers, and also outlines the procedure and evidence for proof of the advertisement at issue. Mandated Content The notification requires that advertisements fulfill several requirements: Advertising statements must be in Thai; must be easily seen, heard, or read; and must not be misleading. If the advertisement is in a foreign language, the Thai translation must also be made available. The notification additionally sets detailed requirements for different types of advertisement media. The primary purpose of the advertisement must be to give consumers clear and sufficient understanding. For example, if an advertisement claims that services will be provided free, the services must not be conditional on any fees, so consumers understand correctly that they do not have to pay any fee for the services. Descriptions mentioned in advertisements—such as quantity, volume, size, number, or ingredients or elements—must reflect the actual products or services sold to the consumers.

Thailand’s Energy Regulatory Commission (ERC) has issued four new regulations under the Energy Business Act B.E. 2550 (2007) setting forth competition regimes to control both anticompetitive conduct and market structure in the energy business sector. The regulations were published in the Government Gazette on December 19, 2022, and took effect the following day. The key provisions of these ERC competition regulations largely mirror those articulated in the Trade Competition Act B.E. 2560 (2017) and its subordinate legislation. The most significant features of these competition regulations are summarized below. Market Definition Regulation The ERC’s market definition regulation (officially the ERC Regulation re: Market Definition and Relevant Market of Related Energy Services B.E. 2565) outlines the general framework for defining relevant markets in the energy sector. The factors to be taken into consideration include types of energy licenses, geographical areas, competition conditions, and interchangeability of energy services. In the annex to this regulation, the ERC has classified the relevant energy service markets as follows: Power business activities include power generation, power transmission system services, power distribution system services, power distribution services, and power system control services. Natural gas business activities include natural gas transmission through pipelines via natural gas transmission systems, natural gas procurement and wholesale via natural gas distribution systems, natural gas retail via natural gas distribution systems, and storage and regasification of liquefied natural gas. The ERC will review its market definitions and relevant energy service markets from time to time, taking into account changes in technology and competition conditions as well as feedback from public hearings. Market Dominance Regulation Under the ERC’s market dominance regulation (officially the ERC Regulation re: Criteria on Business Operator having a Market Dominance B.E. 2565), the ERC is empowered to proactively determine and declare which license-holding energy business operators have a dominant position

The January–March 2023 issue of Asia Franchise & Business Opportunities magazine features an article by two franchising specialists in Tilleke & Gibbins’ Bangkok office. Written by Alan Adcock, partner, and Sher Hann Chua, consultant, the article provides a summary of the legislative developments of 2022 most relevant to franchisors and franchisees. The update looks especially at amendments to Thailand’s unfair trade practices in franchising, as well as the far-reaching Personal Data Protection Act, which is reshaping the way businesses—including franchises—are handling the personal data of customers, partners, and employees. The article is accompanied by a Chinese-language summary of the developments. The full article can be read online in the January–March 2023 issue of Asia Franchise & Business Opportunities.

Rules for franchising in Indonesia were first published in 1997 through a government regulation and a ministerial decree, which was subsequently amended several times. The franchising regulations currently in effect are Government Regulation No. 42 of 2007 concerning Franchises and Regulation issued by the Minister of Trade No. 71 of 2019 concerning the Implementation of Franchising (MOT No. 71 of 2019). Franchises in Indonesia must meet certain criteria that distinguish them from other types of businesses, and franchising must be based on a franchise agreement governed by Indonesian law. Prior to entering into a franchise agreement, a franchisor must provide a prospectus (disclosure document) to the prospective franchisee at least two weeks before the execution of the franchise agreement so that the prospective franchisee has sufficient time to review the reputation and goodwill of the franchisor through the prospectus. The prospectus must contain various details about the franchise business, its management, its operations, and other relevant aspects. Both local and foreign franchisors must obtain a franchise registration certificate—referred to as an STPW—from the Ministry of Trade before offering their franchises to prospective franchisees. The franchisee is also required to obtain an STPW. The STPW for the franchisor is the proof of prospectus registration, while the STPW for the franchisee is the proof of registration of the franchise agreement. Franchisors and franchisees who have STPWs are required to submit reports on franchise business activities to the Ministry of Trade’s director of business development and distribution by the end of June each year. Up to three written warnings will be served on a franchisor or franchisee who does not comply with the registration requirements. A fine of up to IDR 100 million (approx. USD 6,400) will be imposed if the franchisor or franchisee fails to respond to the warnings. MOT No.