Thailand Legal and Business News: February 2010

Supreme Court Opinions

THE GROUND FOR DIVORCETS
Mrs. Prapai Tanonkaew vs. Mr. Kitipoom Phetyoi

The Defendant sent a letter of complaint to the Plaintiff’s superior and instructor that the Plaintiff committed adultery with other woman. This matter is regarded as the personal behavior of the Plaintiff. The Defendant who is the wife of the Plaintiff has the right to express her love and jealousness upon her husband. Her request to the Plaintiff’s superior and instructor to admonish the Plaintiff to think of his family is not regarded as humiliating the Plaintiff’s reputation. No severe disciplinary punishment was executed.

SUBLET AGREEMENT TRANSFER THE LEASED PROPERTY
Ms. Suwanna Sae-heur vs. Mr. Komrat Maliwongse

The 30 years land leased contract indicated that leased for construction the buildings and there was no tea money for the lease. T, the former lessor and the three Defendants did not designate the construction period and the amount of the buildings that the three Defendants is going to build up on the leased land. From the contract, it is cleared that the three Defendants have right to construct the building in any quantity and at any time during the leased period. And in setting the new agreement on constructing period.

NON-MONETARY DAMAGES AND ACTING ON BEHALF OF A MINOR
Mr.Chaot-uthai Fuungsiriviboon vs. Mr. Boonruen Netniyom

The plaintiff claims for compensation in cause of action on tort. The defendant argued that the plaintiff’s lawful father made a contract of compromise regarding damages so there is no current right to claim the compensation of the plaintiff. The Court judged that the legal representative of the Plaintiff made the contract of compromise relating to the property of the minor without Court consent which is a void act. The right to claim has therefore not expired.

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Rail Industry Guidelines Approved

23 February 2010

New recommendations regarding the development of the rail-transport industry have just been approved, local media reported. The feasibility study was conducted in part by the Industry Ministry.

The study produced a three-phase railway development plan: Phase one (2011-13) will assess the potential of Thai corporations in relation to the rail-transport industry; Phase two (2014-19) will focus on companies producing electrical systems for elevated railways and carriages; Phase three (2020-29) will develop computer-engineering human resources and capacity building of local electronics-parts producers.

The establishment of a development institute for rail and related industries was agreed to as well. The study further urged the rail industry to cooperate with other members of ASEAN, as well as international corporations like Siemens, Bombadier and Alstom.

Trade Competition Act Under Scrutiny

22 February 2010

The effectiveness of Thailand’s existing trade competition law is under question by the Internal Trade Department, media reported. The Trade Competition Act was passed in 1999 in order to ensure fair competition between businesses and consumer protection, but since then, no enterprises have been prosecuted under this Act, despite numerous complaints under the Act.

As the 2015 inception of the ASEAN Economic Community (AEC) is approaching, ASEAN members are expected to reassess their existing competition acts to ensure their effectiveness.

Although Thailand passed one of the earliest competition acts in the ASEAN region, Indonesia and Vietnam, for exShow Desktopample, had similar acts that were implemented later but are considered to be more effective at actually taking action on violations under their respective Acts.

Revisions are expected to be conducted by a special panel that will be convened by the Internal Trade Department. Increasing Thai business competitiveness will be one of the primary concerns of the reviewing panel, as well as making the Act more enforceable.