Thailand Civil and Commercial Code Sections-1298-1366

BOOK IV

PROPERTY

TITLE I

GENERAL PROVISIONS

Section 1298 Real rights may be created only by virtue of this Code or other laws.

Section 1299 Subject to a provision of this Code or other laws, no acquisition by juristic act of immovable property or of real right appertaining thereto is complete unless the juristic act is made in writing and the acquisition is registered by the competent official. Where immovable property or real right appertaining thereto is acquired otherwise than by juristic act, the acquirer’s right cannot be dealt with through the register unless it has been registered, nor can it, without registration, be set against a third person who has, for value and in good faith, acquired it and registered his right.

Section 1300 Where a transfer of immovable property or real right appertaining thereto has been registered to the prejudice of a person who was previously in a position to have his right registered, he may claim cancellation of such registration, provided that in no case can cancellation be claimed against a transferee for value in good faith.

Section 1301 The provisions of the two foregoing sections shall apply mutatis mutandis to modification, extinction, and revival of real rights appertaining to immovable property.

Section 1302 The provisions of the three foregoing sections shall apply mutatis mutandis to ships or vessels of six tons and over, to steam-launches or motor-boats of five tons and over, to floating houses, and to beasts of burden.

Section 1303 Where several persons claim to have acquired the same movable property under different titles, the person who is in possession of the property is preferred if he has acquired it for value and has obtained possession in good faith. This section does not apply to movable property specified in the foregoing section nor to lost property or property acquired through an offense.

Section 1304 The domaine public of State includes every kind of State property which is in use for public interest or reserved for the common benefit, such as:

(1) waste land and land surrendered, abandoned, or otherwise reverted to the State according to the land law;

(2) property for the common use of the people e.g., foreshores, waterways, highways, lakes;

(3) property for special use to the State e.g., a fortress or other military buildings, public offices, warships, arms, and ammunition.

Section 1305 Any property which forms part of the domaine public of the State is inalienable except by virtue of a special law or Royal Decree.

Section 1306 No prescription can be set up against the State with regard to any property which forms part of its domaine public.

Section 1307 No seizure of State property can be effected, whether such property forms part of its domaine public or not.

TITLE II

OWNERSHIP

CHAPTER I

ACQUISITION OF OWNERSHIP

Section 1308 Where land is formed by alluvion, it becomes the property of the riparian owner.

Section 1309 Islands formed in a lake or waterway or in territorial waters, and beds of waterways left dry, are the property of the State.

Section 1310 If a person has, in good faith, constructed a building upon another person’s land, the owner of the land becomes the owner of the building, but must pay the constructor for any increase in value accruing to the land due to the building. However, if the owner of the land can show negligence on his part, he may refuse to accept the building and require its removal by the constructor, restoring the land to its former condition, unless this cannot be done at reasonable costs, in which case he may require the constructor to purchase the whole or part of the land at market price.

Section 1311 If a person has, in bad faith, constructed a building on another person’s land, they must return the land to its former condition after having put it in its present condition, unless the owner of the land chooses to keep it in its present condition, in which case the owner must pay either the price of the building or a sum representing the increased value of the land, at his option.

Section 1312 If a person has, in good faith, constructed a building encroaching on another person’s land, the constructor owns the building, subject to paying the landowner for the use of the land and having rights on the encroached land registered as a servitude. The landowner may demand cancellation of the registration if the building is subsequently totally destroyed. If the constructor acted in bad faith, the landowner may require the removal of the building at the constructor’s expense, restoring the land to its former condition.

Section 1313 If the conditional owner of land constructs a building on it and the land subsequently becomes the property of another person due to the condition, the provisions of this Code concerning Undue Enrichment apply.

Section 1314 The provisions of Sections 1310, 1311, and 1313 apply mutatis mutandis to any kind of work fixed to land, and to the planting of trees or crops. However, in the case of paddy or other crops harvested one or more times a year, the landowner must either allow the person who planted them in good faith or the conditional owner to remain in possession of the land until after the harvest, upon payment of a sum based on the rental value of the land, or take immediate possession of the land, compensating the other party.

Section 1315 When a person constructs buildings, makes other work fixed to land, or plants trees or crops on his land using materials belonging to another person, he becomes the owner of the materials but must pay their value.

Section 1316 If several movables belonging to different persons are joined so that they become component parts or indivisible, the different persons become co-owners of the composite thing, with each person’s share proportionate to the value of their thing at the time of joining. If one of the things can be regarded as the principal thing, the owner becomes the sole owner of the composite thing but must pay the value of the other things to their respective owners.

Section 1317 If a person uses materials belonging to another person to create a new thing, the latter becomes the owner of such thing regardless of whether the materials can assume their former condition, but must pay for the work. However, if the value of the work greatly exceeds the value of the materials used, the worker becomes the owner of the resulting thing, but must pay the value of the materials.

Section 1318 A person may acquire ownership of ownerless movables by occupation, unless occupation is forbidden by law or violates another person’s right to occupy such movables.

Section 1319 A movable becomes ownerless if the owner relinquishes possession with the intention of renouncing ownership.

Section 1320 Subject to special laws and regulations, wild animals are ownerless as long as they remain free. Wild animals in zoological gardens and fish in pounds or other enclosed private waters are not ownerless. A captured wild animal becomes ownerless if it regains its freedom and the owner does not pursue or gives up pursuit. A tamed animal becomes ownerless if it abandons the habit of returning.

Section 1321 Subject to special laws and regulations, a person who catches a wild animal on waste lands or in public waters, or on private lands or in private waters without opposition of the owner, becomes its owner.

Section 1322 If a wounded wild animal pursued by one person is caught by another or falls dead on another’s land, the first person becomes its owner.

Section 1323 A person who finds lost property is obligated: (1) to deliver it to the loser, the owner, or any other person entitled to receive it; or (2) to promptly inform the loser, the owner, or any other entitled person; or (3) to deliver it within three days to the police or other competent official, providing all relevant circumstances within their knowledge which may be material for the rightful claimant. However, subsection 3 must be followed if the loser, owner, or entitled person is unknown or does not claim the property.

Section 1324 A finder of lost property may claim from the person entitled to receive it a reward of ten percent of its value up to thirty thousand baht, and five percent on any additional value. However, if the property is delivered to the police or other competent official, an additional two and a half percent of the value shall be paid as a fee to the concerned government service, not exceeding one thousand baht. The finder is not entitled to any reward if they do not comply with the provisions of the preceding section.

Section 1325 If the finder of lost property complies with Section 1323 and the entitled person does not claim it within one year from the date of finding, ownership vests in the finder. However, if the unclaimed property is an antique object, ownership vests in the State, but the finder is entitled to a reward of ten percent of its value.

Section 1326 The finding of property thrown into the sea, waterways, or washed ashore is governed by relevant laws and regulations.

Section 1327 Subject to criminal law provisions, ownership of anything used for committing or acquired through an offense and placed under government department care vests in the State if not claimed by the owner within one year of placement or, in case of a criminal action, from final judgment. If the owner is unknown, the period extends to five years. If the property is perishable or delay entails risks or expenses disproportionate to its value, the government department may sell it at public auction before the expiration of these periods, ensuring proper measures for recording details enabling identification and proof of rights. The net proceeds substitute the property.

Section 1328 When a valuable movable hidden or buried is found under circumstances where no person can claim ownership, ownership vests in the State. The finder must deliver it to the police or other competent official, receiving a reward of one-third of its value.

Section 1329 The right of a person who acquires property for value and in good faith remains unaffected even if the act under which their transferor acquired the property was voidable and subsequently avoided.

Section 1330 The right of a person who, in good faith, purchases property at a public auction under a court order or by the Official Receiver in bankruptcy remains unaffected even if it is subsequently proven that the property did not belong to the defendant, judgment debtor, or bankrupt.

Section 1331 The right of a person who acquires money in good faith remains unaffected even if subsequently proven that it did not belong to the person from whom acquired.

Section 1332 A person who, in good faith, purchases property at a public auction or from a trader dealing in such things is not obligated to return it to the true owner unless the latter reimburses the purchase price.

Section 1333 Ownership may be acquired by prescription under the rules provided in Title III of this Book.

Section 1334 Waste land and land surrendered, abandoned, or reverted to the State according to land law may be acquired according to said law.

CHAPTER II

EXTENT AND EXERCISE OF OWNERSHIP

Section 1335 Subject to the provisions of this Code or other laws, the ownership of land extends above and below the surface.

Section 1336 Within the limits of the law, the owner of property has the right to use and dispose of it, and acquires its fruits; he has the right to follow and recover it from any person not entitled to detain it, and has the right to prevent unlawful interference with it.

Section 1337 If a person, in the exercise of his rights, causes greater injury or inconvenience to the owner of an immovable property than should naturally and reasonably be expected or anticipated, considering the nature and situation of such property, the owner is entitled, without prejudice to any claim for compensation, to have such injury or inconvenience abated.

Section 1338 Restrictions imposed by law on the rights of an owner of immovable property need not be registered. Such restrictions imposed by law on the rights of an owner of immovable property need not be registered. Restrictions imposed in the public interest cannot be removed or modified.

Section 1339 The owner of a piece of land is bound to take the water that flows naturally onto it from higher land. Water that flows naturally onto lower land and is necessary to such land may be retained by the owner of the higher land only to the extent indispensable to his land.

Section 1340 The owner of a piece of land is bound to take water coming to it from higher land as a consequence of artificial drainage of the higher land, if before the drainage the water flowed naturally onto his land. If any damage is suffered due to such artificial drainage, the owners of the lower lands may, without prejudice to any claim for compensation, require the owner of the higher land, at the latter’s expense, to carry the drainage right through the lower lands to a public waterway or drain.

Section 1341 The owner of an immovable property must not construct roofs or other structures that cause rainwater to fall upon the adjoining property.

Section 1342 No well, pond, cesspool, or receptacle for manure or refuse may be dug within two meters of the boundary line. No ditch or excavation for laying underground water-pipes or similar installations may be made nearer to the boundary line than half the depth of such ditch or excavation, provided that it may be made at a distance of one meter or more. In any case when the works mentioned in the foregoing paragraphs are carried out near the boundary line, due care must be taken to prevent earth or sand from falling in, or water or filth from percolating through.

Section 1343 Land may not be excavated or overloaded in such a manner as to endanger the stability of soil of an adjoining piece of land, unless adequate measures are provided for prevention of injury.

Section 1344 Fences, walls, hedges, or ditches that serve as a boundary are presumed to belong to the owners of the adjoining properties in common.

Section 1345 When a hedge or ditch, which is not used as a drain, belongs to the owners of two adjoining pieces of land in common, each of the owners is entitled to cut down the hedge or fill up the ditch to the boundary line, provided he builds a wall or erects a fence along the boundary line.

Section 1346 A tree standing upon a boundary line is presumed to belong to the owners of the adjoining pieces of land in common. Its fruits belong to such owners in equal shares, as well as the timber itself if the tree is felled. Either owner may require the removal of the tree, the cost of removal being borne by them equally. However, the neighbor who requires the removal shall bear the cost alone if the other waives his right to the tree. Removal may not be required if the tree serves as a boundary mark and cannot be replaced by any appropriate boundary mark.

Section 1347 The owner of a piece of land may cut off and keep roots of a tree or bush that have penetrated from the adjoining piece of land. He may also cut off and keep overhanging branches after giving the possessor of the adjoining piece of land reasonable notice to remove them, if such notice is not complied with.

Section 1348 Fruits falling naturally upon adjoining land are presumed to be the fruits of such land.

Section 1349 If a piece of land is surrounded by other pieces of land such that it has no access to public ways, the owner may pass over the surrounding land to reach a public way. The same applies if passage can only be had over a pond, marsh, or sea, or if there is a steep slope with a considerable difference in level between the land and the public way. The place and manner of passage must be chosen to meet the needs of the person entitled to passage and at the same time cause as little damage as possible to the surrounding land. The person entitled to passage may, if necessary, construct a road for passage. The person entitled to passage must pay compensation for any damage suffered by the landowner due to the establishment of passage. Such compensation, except for damages arising from the construction of a road, may be made by annual payments.

Section 1350 Where land has been partitioned or partially transferred such that a plot is left without access to a public way, the owner of such plot may claim a right of way under the foregoing section only over the land that has been partitioned or partially transferred. In such a case, no compensation needs to be paid.

Section 1351 The owner of a piece of land may, after reasonable notice, use adjoining land as necessary for erecting or repairing a fence, wall, or building on or near his boundary line, but he may not enter the dwelling house of a neighbor without the latter’s consent. If damage is caused, the neighbor may claim compensation.

Section 1352 The owner of a piece of land is bound, subject to reasonable compensation being paid to him, to allow the laying through his land of water-pipes, drainage pipes, electric wires, or similar installations for the use of the adjoining land, if without using his land they could not be laid or could only be laid at excessive cost. In exceptional cases where the installations are to be above ground, he may require that a reasonable proportion of his land over which such installations are to be laid, shall be bought from him at a price covering the value of the land and compensation for any damage arising from the sale. Where circumstances change, he may require that the installations be moved to such different part of his land as may be suitable to his interests. The cost of removal must be borne by the owner of the adjoining land. However, if the special circumstances of the case so require, the other landowner may be held liable for a reasonable proportion of the cost.

Section 1353 A person may lead his cattle into or through another person’s unenclosed land for grazing and watering; he may fetch water from a well or pound within such land, provided that it is not a plantation and is not prepared for cultivation, sown, or covered with a crop. The owner may, however, forbid such action.

Section 1354 A person may, if permitted by local custom, enter a wood, forest, or pastureland owned by another person to collect fuel or gather wild fruits, vegetables, mushrooms, and the like, provided that the owner does not prohibit it.

Section 1355 The owner of a piece of land through which a waterway passes is not entitled to draw more water than necessary for his reasonable needs to the prejudice of any other piece of land on the waterway.

CHAPTER III

CO-OWNERSHIP

Section 1356 If a property belongs to several persons in common, the provisions of this chapter apply unless otherwise provided by law.

Section 1357 Co-owners are presumed to have equal shares.

Section 1358 Co-owners are presumed to have the right to manage the property in common. Matters of ordinary management are decided by the majority of the co-owners. However, each co-owner may perform acts of ordinary management unless the majority has decided otherwise; in any case, acts of preservation may be performed by any co-owner. All important matters of management must be decided by a majority of co-owners who also represent at least half of the value of the property. A change of purpose may be decided upon only with the consent of all the co-owners.

Section 1359 Each co-owner may exercise, as against third persons, any right arising from ownership in respect of the whole property, subject, however, in case of a claim for the recovery of the property, to the conditions specified in Section 302 of this Code.

Section 1360 Each co-owner is entitled to use the property insofar as such use is not incompatible with the rights of the other co-owners.

Section 1361 Each co-owner may dispose of, mortgage, or create a charge on his share. The property itself may be disposed of, pledged, mortgaged, or made subject to a charge only with the consent of all the co-owners. However, if a co-owner has disposed of, pledged, mortgaged, or created a charge on the property without the consent of all the other co-owners, and he subsequently becomes the sole owner of it, such act shall become valid.

Section 1362 Each co-owner is obligated to bear, in proportion to his share, the costs of management, taxation, expenses for the preservation of the property, as well as for its common use.

Section 1363 Each co-owner is entitled to demand partition of the property, unless debarred by a juristic act or due to the permanent character of the purpose of the co-ownership. The right to demand partition may not be excluded by a juristic act for a period exceeding ten years at a time. A co-owner may not demand partition at an unreasonable moment.

Section 1364 Partition is effected by actually dividing the property or by selling it and dividing the proceeds of the sale between the co-owners. If the co-owners cannot agree on the manner of partition, the Court may, upon the application of any of them, order the actual division of the property, and any inequality in the shares allotted may be rectified by compensation in money. If such division is not possible or is likely to cause serious loss, the Court may order the sale of the property by private auction among the co-owners or by public auction.

Section 1365 If the co-owners are jointly liable to a third person for an obligation regarding the common property or for another obligation incurred for fulfilling such obligation, each may, at the time of partition, require that performance be made out of the common property or secured therefrom. If a co-owner is liable to another co-owner for an obligation arising out of co-ownership or for another obligation incurred for the purpose of fulfilling such obligation, the latter may, at the time of partition, require that performance be made out of the share of the common property allotted to his debtor or secured therefrom. These rights may be exercised against a transferee of a co-owner’s share or a successor to the same. If sale of the common property is necessary, the provisions of the foregoing section shall apply.

Section 1366 Each co-owner has, in proportion to his share, the same liabilities as a seller in respect of the property which the other co-owners have received under the partition.

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