Thailand Legal and Business News: May 2011

Supreme Court Opinions

GROUNDS FOR DIVORCE
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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Extension of Privileges Sought by Thailand and Nine Other Countries

30 May 2011

Thailand joined Nine International Embassies in seeking an extension of US tax privileges after the privileges expired and were not renewed earlier this year. Exporters from these nations lost over 2 billion baht in higher duties due to the expiration (and non-renewal), of these tax privileges.

The United States did not extend its generalized system of preferences to Thailand and the nine other nations. These nations include Nepal, Paraguay, Indonesia and Sri Lanka. The exporters filed a complaint with the Thai Trade Representative in the US, claiming a loss in export competitiveness in the US market.

Thailand and the nine other countries are still considered developing nations, and state that as such they have lower competitiveness and still rely on the US government’s preference system to reduce their costs and create equal leverage in the playing field.

Thai exporters have had to pay an import duty of 10 to 15 %, or 2.5 million baht, of its total exports to the United States. However, Thai exporters also expect to receive a refund of 1 billion baht in duties this year.

Thai shrimp exporters will soon receive a lower duty of .7 percent, lowered from the rate of 2.6 percent that is currently paid.

Firms Given Deadline to Abide by Industrial Waste Disposal Law

18 May 2011

For a country that produces more than 3 million tons of industrial waste a year, Thailand is need of a waste management system that can insure that industrial waste is legally disposed of. Currently, Thailand only properly treats about 2 million tons of the industrial waste produced.

Thailand’s Ministry of Industry has announced a new target set to dispose of the country’s industrial waste by the end of August this year.

Along with the Department of Industrial Works (DIW), The Ministry of Industry has developed a global positioning system (GPS) that can follow the transport of industrial waste from the plants to the proper disposal sites. This system can provide a way to check if the waste is being disposed of legally.

There is potentially value to be found in recycling or reusing waste, which could serve to provide incentive for firms to dispose of their waste through legally sanctioned channels. Many types of hazardous waste can be transformed as an alternative fuel source, particularly for cement kilns which provide heat at a temperature high enough to prevent harmful emissions while incinerating waste.

In the past, Thailand faced a problem with illegal dumping of industrial waste in landfill sites without being correctly treated.

The DIW has a server installed in Chon Buri to enable the GPS system to function, with a backup server available at the Industrial Works Department in Bangkok.

The Ministry of Industry is also considering an amendment to the current law in order to develop industrial waste transport centers to collect and receive waste and lower the current waste transport costs. The centers would be given particular priority for areas where no waste disposal plants currently exist.

The Ministry of Industry plans to organize a meeting at the end of May for the committee for industrial waste management, in order to discuss adding plants to become part of the industrial waste management system. This system encompasses 15 types of plants that emit large amounts of industrial waste and are larger than 100 horsepower, such as paint, paper, ink, fertilizer, petroleum and chemical production plants. The committee released figures that show that over 45% of plants involved in the industrial waste management system dispose of waste in a legal fashion.

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