Thailand
Legal News Updates:
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The Ministerial
Notification sets forth the following
15 July 2003 |
On
12 March, 2003, the Ministry of Commerce prescribed
new bases respecting Proof of Specific Indication,
under section 7, Paragraph 3, amended by the Trade
Mark Act B.E. 2543(2000 CE).
The
Ministerial Notification sets forth the following:
1.
The previous Notification issued by the Ministry of
Commerce: Proof of Specific Indication, section 7,
Paragraph 3 of the Trade Mark Act B.E. 2534 (1991
CE) of 23 September 1999, is no longer valid.
2.
The proof of specific indication by the sale, propagation,
or advertisement of products or services through the
use of commonly known trade, service, guarantee, or
joint marks will be determined as follows:
2.1
The products or services using that particular mark
must have been sold, published, or advertised for
a continuous or considerably lengthy period to a degree
that the general public or the public interested in
that particular field are aware that those products
or services are distinct from other products or services.
2.2
For the sale, publication, or advertisement of any
product or service to a degree that the mark has that
awareness of the Thai public, it must follow that
the mark has specific indication solely for use with
that product or service.
2.3
The mark that can prove specific indication under
this Notification must be the same one that is submitted
for registration.
3.
When proving the facts in 2, an applicant must send
evidence regarding the sale, publication or advertisement
of the products or services using the mark that is
undergoing application for registration, such as,
a copy of a receipt for the price of the products,
a copy of a receipt of advertisement, a copy of a
delivery note, a copy of a purchase order, a copy
of a license to establish a factory, a copy of evidence
of an advertisement in a particular media, and also
samples of the products, or other evidence, witnesses
to these facts, etc.
4.
In submitting the evidence for establishing proof
of facts under 3, an applicant must proceed as follows:
4.1
An applicant must send evidence along with the application
form, and the Registrar must consider the application
in light of the facts submitted by the applicant alone.
4.2
In the event an applicant does not include evidence
at the time the application is submitted and the Registrar
believes that the mark on the application does not
fall under the bases for specific indication set forth
in Section 7, the Registrar must notify the applicant
in writing that evidence must be submitted within
60 days of the receipt of that notice.
Once the applicant has sent this evidence to the Registrar
within the specified time period, the Registrar must
consider the application, in light of the evidence
submitted by the applicant alone.
In
the event the applicant does not send this evidence
within the specified time period, or submits a notice
stating that he has no intention to send any evidence,
the Registrar must proceed with the application accordingly.
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Amendment
to Money Laundering Prevention Act to include Terrorism
19 August 2003 |
The
Money Laundering and Suppression Act B.E. 2542, Section
3 has been amended to include a new definition of
a "basic offense". The 8th definition will
now be: "Offenses relating to terrorism under
the Penal Code." The inclusion is hoped to support
enforcement of the Penal Code with regards to offenses
relating to terrorism. The Royal Proclamation aims
to bolster the security of the country by making it
illegal to render financial support to terrorist organizations. |
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Amendment
to Penal Code outlines Terrorist Offenses
15 August 2003 |
According
to an amendment in the Penal Code, Section 7 now provides
definitions for "Offenses Relating to Terrorism".
Under Section 134/1 individuals who endanger or harm
other individuals or their freedom, cause serious
damage to public works or infrastructure, or cause
economic damage to the property of a state or individual
can be punished for committing terrorist acts. If
any of the aforementioned actions are committed with
the purpose of threatening the Thai or Foreign Governments
or causing fear among the public an offender shall
be punished with fines from sixty thousand to one
million baht, and three years to life imprisonment
or punishment of death. The amendment goes on to include
other offenses relating to threats of terrorism, supporting
or assisting terrorists, and even membership in known
terrorist organizations as further criminal offenses. |
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Study
Concerning Post-1997 Crisis Economic Laws Completed
5 August 2003 |
A
government panel, organized to analyze the 11 economic
laws initiated following the 1997 economic crisis,
has completed its study. The panel has concluded that,
of the 11 laws, their recommendations for the future
are centered around four principles. The four principles
that the panel suggests the government focus on are
in the following areas: privatization of state enterprises,
bankruptcy, alien business, and land ownership.
They
recommended that the corporatisation law be rescinded
and replaced with one that boosts the efficiency of
state enterprises. Further, it is the panels belief
that state enterprises be separated into three categories.
The first, containing industries such as utilities
and railroads, must not be privatized. The second,
including the telephone industry, may be privatized,
but only up to 25%. The third, may be fully privatized.
In
regards to bankruptcy law, the panel proposes that
business rehabilitation be separate from bankruptcy
so that financially lackluster businesses may recover
more expeditiously, and that bad records should be
cleared once businesses have fully rehabilitated.
The
panels recommendations regarding alien business call
for the government to put matters of national interest
in front of those of foreign investors. This would
include public hearings for large foreign investments
in Thailand. Finally, the panel calls for land ownership
laws to follow the lead of the new land reform policy. |
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Price
Increase for Visas and Residence Permits
16 July 2003 |
As
of August 26, the fees for visas and residence permits
will increase substantially, in some instances tripling
or quadrupling in price. Under the new fee structure
a non-immigrant, single entry visa will cost 2,000
baht, and a multiple entry visa will cost 5,000. The
fee for extending a visa will become 1,900 baht, while
prices for single and multiple re-entry permits will
rise to 1,000 and 3,800 baht respectively. Increases
in charges for residence permits are as follows: application
7,600, approval 191,400 baht (95,700 for spouses and
children of Thai nationals). However, individuals
from the 39 countries who had been allowed a free
30 day tourist visa will be extended that privilege. |
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Revenue
Department Aims to Crack Down on Delinquent Taxpayers
16 June 2003 |
In
an effort to prevent delinquent taxpayers from hiding
their assets, the Revenue Department is planning to
create on-line links with local banks, to expedite
the seizure of funds. Under the current system, a
formal notification must be mailed to a taxpayers
bank, allowing the taxpayer time to move their funds.
The new system will allow the Revenue Department to
e-mail the banks directly and send the formal notice
afterward. In addition, the Land and Revenue Departments
have initiated a new procedure that requires property
sellers to pay taxes at the time of registering a
transaction to prevent these individuals from later
attempting to avoid paying such taxes. |
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Protection
of Indigenous Plant and Animal Strains in Dispute
15 June 2003 |
The
Commerce Ministry and the Natural Resources Ministry
are at odds over the necessity of protecting indigenous
plants and animals under the Geographical Indication
(GI) Bill. The aim of the bill is to provide name
protection for unique plant and animal strains in
order to prevent imitations from sullying the reputations
of the original products. The Natural Resources Ministry
does not wish for certain Thai plants, such as jasmine
rice, orchids, fruits, and herbs to be considered
generic. Generic products would not be protected by
the World Trade Organization's Trade-related Aspects
of Intellectual Property Rights pact. |
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US- Thailand
Treaty of Amity Scheduled to Expire
13
June 2003 |
In
compliance with World Trade Organization rules requiring
member nations to extend most favored nation status
equally to all other WTO members, Thailand has announced
that it will not renew the US- Thailand Amity Treaty.
The 1966 Amity Treaty will soon be replaced by the
Thailand-US Free Trade Area (FTA) agreement, scheduled
to be unveiled at the October APEC summit in Bangkok.
Existing privileges of the amity treaty will be extended
to the new FTA agreement, and Thailand may even have
to open up more of its services sector under the new
agreement. The model for the Thai-US FTA agreement
is the US-Singapore Free Trade Agreement, the first
free trade agreement between the United States and
an Asian nation. The Thai-US FTA agreement would be
the 6th between the US and a foreign nation. In 2006,
Thailand will be required to open up to all WTO member
nations, as per WTO rules. |
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Rules
for Reporting of Remuneration for Use of Copyrighted Music Specified
12 June 2003 |
Because
earlier regulations have been repealed regarding the
issuance and control of granting rights to publish
copyrighted music for trading purposes, new provisions
have been issued.
These
new regulations outline the requirements for the owners
of copyrights, or their authorized agents, in regards
to reporting their remunerations, costs, expenses,
bases, procedures, and conditions for granting rights
to publish their copyrighted music for trading purposes.
The
new rules are specifically designed to make the collection
of remuneration fair to the purchasers of said goods,
namely operators of food shops, entertainment venues,
hotels, and consumers. The provisions specifically
require owners or their agents to report all the details
of remuneration for each category of business in which
they operate to the Secretary General of the Department
of Internal Trade, Ministry of Commerce, 10 days prior
to collecting any remuneration. Other information
contained in the Act include instances whereby an
owner may be granted an extension under special circumstances,
and the method for reporting the required information. |
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New Laws Aim to Control
Compact Disc Piracy |
In
an attempt to further control the infringement of
copyrights of compact discs, the Central Committee
Governing Prices of Goods and Services has issued
legal requirements for manufacturers and sellers of
compact discs.
The
regulations require all persons who possess machinery
that could be used to illegally reproduce compact
discs to report the quantity and location of said
machinery. Furthermore, compact disc manufacturers
must now submit monthly reports containing the quantity
of manufactured product, the quantity they were contracted
to manufacture, the quantity actually delivered, as
well as the quantity remaining at the end of the month.
The new requirements also will hold sellers of compact
discs to greater levels of responsibility.
These
additions to the Act Governing the Prices of Goods
and Services were passed following a less than successful
crack-down on pirated goods earlier in the year. At
that time, the Commerce Ministry accused copyright
owners and producers for not providing adequate assistance
to state officials. Further, they claimed that some
manufacturers were writing off up to 20% of their
inventory as damaged goods, leading officials to suspect
that manufacturers were distributing pirated goods. |
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Thailand
Considers Ratifying Treaty to Restore Genetic Diversity in Crops
26 May 2003 |
Thailand
is considering ratifying the International Treaty
on Plant Genetic Resources for Food and Agriculture,
developed by the United Nations Food and Agriculture
Organization. The goal of the treaty is to help farmers
benefit by allowing them to share plant varieties
from a pool of 64 foods, including maize, rice, and
wheat, with other member nations. If the requisite
number of nations sign on to ratify the treaty each
member would contribute native plants to international
gene banks for the use of other members. Furthermore,
the treaty would prevent nations from claiming intellectual
property rights on certain agricultural products that
could be a benefit to farmers, particularly in developing
nations. However, some in Thailand believe that the
treaty would prevent the Kingdom from receiving benefits
from its own genetic resources, namely cash crops
such as rice, coconut, sweet potato, and cassava.
A panel of Thai experts on agriculture is currently
evaluating the costs and benefits of endorsing the
treaty. So far, only 25 of the necessary 40 countries
needed to ratify the treaty have signed on. |
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New Zoning
Prohibits Large Retailers from Opening in Town Centers
16 May 2003 |
The
Public Works and Town and Country Planning Department
produced new rules for retail zoning in the 75 Thai
provinces, excluding Bangkok. The new rules require
large retail stores, ones with at least 1,000 square
meters of retail space, to be built no closer than
15 kilometers from commercial town centers. The rules
also specify the area of land these stores must occupy
and the amount of setback and green space which surround
them. Similar restrictions on plot size and setback
were drafted for medium sized businesses, those with
300 to 1,000 square meters of space. In addition to
specific zoning regulations, large retailers who wish
to open such businesses will now require approval
from a provincial planning subcommittee. Each committee
will be chaired by the provincial governor and consist
of 21 individuals, including members of the local
chamber of commerce and the provincial branch of the
Federation of Thai Industries. |
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Stock
Exchange to End Corporate Tax Benefit
8
May 2003 |
Following
two years of reduced corporate income tax rates for
new businesses listing on the SET, the exchange will
voluntarily end the benefit. In 2001, the Finance
Ministry agreed to allow companies listing on the
SET to pay a corporate tax rate of 25% for 5 years
following their listing approval; a tax rate 5% lower
than the normal corporate rate. However, SET officials,
citing other factors more important to businesses
deciding on whether or not to go public, feel the
reduced rates are no longer necessary. While the number
of new listings on the SET and MAI (where businesses
will no longer receive a 20% corporate tax rate) was
lower than expected this year, officials point to
SARS and the war in Iraq as major factors. With the
tax incentives due to expire at the end of 2003, SET
officials feel market atmosphere and sentiment will
increase the number of new listings this year in time
to profit from the existing benefits. |
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Crooked Gem Shops
May Face Closure |
In
an effort to protect both the image of the Thai gem
trade and unsuspecting tourists, the government has
targeted jewelry shops that are known to cheat visitors
to Thailand. Plans are underway to organize a special
committee including members of the Tourist Police,
the Revenue Department, the Anti-Money Laundering
Office, and the Customs Department. Gem and jewelry
shops that are repeat offenders are the main targets
of the new initiative and will now be subject to assets
seizure laws as well as anti-fraud and consumer protection
laws. There are approximately 5-10 shops currently
under watch and subject to asset seizure and permanent
closure if found guilty again. |
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BoI
Waives Export Rule
9 April 2003 |
400
Board of Investment (BoI) promoted projects, primarily
involving integrated circuit producers, will be able
to sell more of their products locally after the BoI
waived their 80% export requirements. The decision
is in line with a WTO agreement that requires member
nations to eliminate export subsidies. Under the agreement
with the WTO, the BoI would have been required to
rescind tax benefits for businesses exporting up to
80% of their products, but the BoI has negotiated
with the WTO to procure an extension until 2005. Currently
the BoI is considering waiving the requirements for
other promoted projects, primarily electronics and
other electrical related products. The BoI is also
reviewing other privileges that are intended to extend
beyond the new 2005 WTO deadline. |
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BOI Filmmaker
Incentives |
The
BoI has decided to extend the privilege initiated
in 1997 that allows foreign investors to own land
used for business offices and living residences. Originally
intended to encourage development of industry in provincial
areas, the privilege has resulted in the development
of factories on over 10,000 rai of land and is considered
to benefit business owners operating outside of urban
areas who can build housing for their factory workers
and themselves. The BoI has extended this benefit
for an additional 5 years. |
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