PRACTICE OVERVIEW
Hospitality
We represent and assist hotels, restaurants, bars, retailers, resorts and spas, amusement parks and entertainment venues on a wide range of legal issues. We have years of experience representing parties in the hospitality sector. We represent hotel owners and operators, tour guide operators, real estate owners, lessors and lessness, construction companies, franchisors and franchisees, parties involved in trademark and licensing matters and disputes, and litigants and parties to arbitration disputes in the hospitality sector. We assist our clients in setting up and acquiring businesses in the hospitality sector, including buyers and sellers of distressed assets. We know joint venture relationships and agreements – we drafted the Thai chapter of the American Bar Association’s International Joint Ventures: A Guide for U.S. Lawyers. We understand the unique Thai laws relevant to Thailand’s hospitality sector, such as the Foreign Business Act, the Tour Guide Act, and Thai law prohibitions on foreign land ownership and Thai zoning restrictions
Related Articles
- Will Gambling be Decriminalized in Thailand?In 1935, the Thai Royal Command enacted the Gambling Act (the “Gambling Act”). The Gambling Act prohibits any organization or participation in any form of betting excluding state-licensed lotteries and horse races. Although other Southeast Asian nations, including Laos, Malaysia, Cambodia, and Singapore, have legalized gambling, Thailand continues to criminalize gambling. Thailand’s strict prohibition on ...Read more
- No Notary Publics in Thailand, at least as that term is understood by any lawyer or business owner o…Many law firms in Thailand offer so-called “notarial service lawyers”. But what does that term mean? Are those lawyers really notaries? In brief, “no”, not at least as the term “notary” is generally understood outside of Thailand. But first some background on notary publics. Common and Civil Law Systems – Different In common law jurisdictions, notary publics ...Read more
- Toyota is a Japanese Company. Why are US Authorities Investigating Toyota and its Thai Subsidiary fo…After the Watergate scandals in the U.S. during the 1970s, the United States enacted the Foreign Corrupt Practices Act (the “FCPA”) in 1977 in response to revelations that U.S. companies had engaged in widespread bribery of foreign public officials. The FCPA was intended to halt the corrupt practices that had been revealed in the 1970s; ...Read more
- Thai Unit of Toyota Motor Corporation ordered to Pay Extra TaxesNikkei Asia reported that: Thailand Supreme Court on Thursday upheld a lower court ruling that the local unit of Toyota Motor Corp. owed the government 10 billion baht ($272.11 million) in extra taxes for importing components not subject to a reduced tariff. Nikki Asia reported that “Toyota’s Thailand unit in a written statement said it was paying ...Read more
- Foreign Ownership of Land Under Consideration (Again)The Bangkok Post is reporting that the Thai government is again considering opening up land ownership to foreigners in Thailand. Foreigners are generally prohibited from owning land in Thailand, and this often comes as a surprise to foreigners from more open and developed jurisdictions where there are no such restrictions. Not surprisingly, this is generating ...Read more
- Four Announcements about Thailand’s PDPA in the Royal GazetteOn 21 June 2022, just a few weeks after Thailand’s Personal Data Protection Act (“PDPA”) came into full force, the Data Protection Committee published four announcements in the Royal Gazette about the PDPA. These announcements provide more detail about the PDPA and are intended to provide holders of personal data with more information about their ...Read more
- Update on Thailand’s Long Term Resident VisaOn 2 June 20022, the Ministry of Interior – the ministry responsible for the implementation of immigration laws – published an announcement concerning regulations for long term resident visas (“LTR”) in the Royal Gazette (the “Announcement”). In summary, those regulations provide: The following types of foreigners (non-Thais) are eligible for an LTR visa: (a) Wealthy persons ...Read more
- Are you ready for the Thai Personal Data Protection Law?The Thai Personal Data Protection Act B.E. 2562 (2019) (“PDPA”) comes into full force on 1 June 2022. The PDPA technically came into force in 2019, but enforcement of the core provisions of the PDPA, including those imposing duties on data controllers and data processors as well as punishments for violations of the PDPA, was postponed was until ...Read more
- Thailand to Join Talks on the Indo-Pacific Economic FrameworkThe Thai government announced it will join other countries in negotiating rules and procedures for the Indo-Pacific Economic Framework (IPEF). According to Nikki Asia: “he Thai cabinet approved Tuesday a statement notifying the U.S. of its participation in the negotiations.” This is a historic stride by the current U.S. administration to restore American leadership in ...Read more
- Sanction Tracker – RussiaAs part of our compliance and international trade practice, we strongly encourage all of our clients and other interested parties to take appropriate measures to determine if they are directly or indirectly doing business with any party subject to the sanctions that have been imposed against Russia. You can view Correctiv’s sanction tracker here. We do ...Read more
- Thailand’s New Credit Term RegulationBy Douglas Mancill and Nat Uawithya The Policy Rationale Behind Thailand’s Credit Regulation Negotiated terms between commercial parties of equal bargaining power are generally considered better than dictated terms. But regulatory authorities don’t always agree. Last year Thailand’s Trade Competition Commission (“TCC”) promulgated a credit terms regulation (the “Regulation”) intended to protect small-to-medium size enterprises (“SME”) from what it ...Read more
- Predications for Thailand – 2022Random thoughts and musings about what we can expect in 2022. Not scientific in any sense of the word; entirely tongue-in-cheek. 1.Thailand’s Economic Growth: 3.3% Not terribly robust, but not as bad as it could be. Siam Commercial Bank’s research house recently downgraded its economic forecast for Thailand’s economic growth from 3.4% to 3.2% because of the ...Read more
- Franchising Law in Thailand
When someone mentions franchises, fast food burger joints are probably the first thing that comes to mind. But franchising can and is used for many other businesses. Franchising relationships include fitness clubs, food delivery services, cleaning services, property management services, financial and bookkeeping services, private schools, assisted living facilities, management consulting services and medical service providers. Almost ...Read more - Cross Examination in International Arbitration – ThailandConducting a cross examination in an international arbitration proceeding is like conducting a cross examination in a domestic arbitration or trial, but there are some differences. International arbitrations, by definition, involve witnesses, arbitrators, and parties from different countries. Adopting a more civil and polite tone is almost always the best approach when you are representing ...Read more
- Real Estate Scams in ParadiseYears ago I saw an English language posting on Linked-In advertising the “sale” of land on Koh Chang (a Thai island) through the use of three consecutive 30 year “registered” leases for a total of 90 years. The advertisement went so far as to highlight the land’s location in a national park. When I posted ...Read more
- Toyota Reports “Possible” Corrupt Activity in ThailandMultiple media resources are reporting that Toyota “alerted the U.S. Department of Justice and the Securities and Exchange Commission to possible antibribery violations involving a subsidiary in Thailand”. Those media sources include, among others, the Wall Street Journal (the quoted language is from the Wall Street Journal), Nikki Asia, Bloomberg, and Bangkok’s English newspaper, the Bangkok Post. The Bangkok Post cites Reuters ...Read more
- New Service Added: Work Permits and VisasThrough new additions, Analytics will now offer work permit and visa services to existing clients and parties that retain the firm for corporate formation work. Because the fees for these services will be heavily discounted (e.g., fees for work permits could be as low as several hundred dollars), these services will only be provided to ...Read more
- Thailand Falls Another Three Places on Transparency International’s Corruption IndexThailand ranked 104th among 180 countries surveyed, down from 101st a year earlier, with an overall score of 36 out of 100. The higher the ranking the greater the perception of corruption, and the lower the score, the higher the perception of corruption. Although there have been minor changes, Thailand’s ratings on Transparency International’s Corruptions ...Read more
- Airbus Corruption Probe Likely to ContinueAlthough the Trump administration unexpectedly imposed record fines under the Foreign Corrupt Practices Act (“FCPA”), it also initiated “fewer and fewer new FCPA investigations”. The National Law Review reports that it expects the incoming Biden administration to “continue the trend of increasing FCPA enforcement settlement values, while also increasing the pace of initiating new FCPA ...Read more
- Conducting Corruption Compliance Interviews Abroad – ThailandForeign Corrupt Practices Act (“FCPA”) investigations typically involve third parties or subsidiaries located outside the US since most FCPA violations arise out of the activities of foreign third parties or foreign subsidiaries. But most guides on how to conduct FCPA investigations and interviews seem to ignore this rather obvious fact. It has not however escaped the attention of ...Read more
- Overview of Thai Bankruptcy Reorganization Law
Overview of Thai Bankruptcy Reorganization Law Bankruptcy laws often require courts and parties to make hard choices. In a bankruptcy there is simply not enough money to satisfy everyone, and difficult decisions must be made about who gets what. In a bankruptcy, property is seized, reputations are ruined, contracts are dismembered and jobs are lost. Thai law ...Read more - Thai to Seek Extension to File Bankruptcy Reorganization PlanThai Airways International Plc (“Thai”) will seek an extension to submit a bankruptcy rehabilitation plan from the end of this year until February of 2021. This could change. To recap Thai’s own history of the bankruptcy reorganization proceedings filed on behalf of or by Thai thus far: 26 May 2020 – Thai submitted a petition to enter bankruptcy ...Read more
- Draft Regulations Provide for Some Relaxation of the Foreign Business ActThe primary restriction on foreign ownership of businesses in Thailand is set out in the Foreign Business Act (“FBA”). To legally engage in activities restricted under the FBA, an alien company must obtain a Foreign Business License (“FBL”) or a Foreign Business Certificate (“FBC”) from the Department of Business Development of the Thai Ministry Commerce ...Read more
- Words That Have No Place in Your Legal Documents: “And/Or”Never use “and/or” in legal drafting, particularly when describing an obligation. It has been correctly described as an “ugly legalism”; William Strunk, Jr., and E.B. White, in their classic, The Elements of Style, say and/or is “A device, or shortcut, that damages a sentence and often leads to confusion or ambiguity”. They are right. Justice Fowler, more colorfully, described ...Read more
- Things You Never Want to Hear from Your Lawyer in ThailandCompliance with the U.S. Foreign Corrupt Practices Act is challenging in some jurisdictions, and there are some things you never want to hear from your lawyer, particularly in high-risk jurisdictions such as Thailand. Here are a few “innocent” statements that have been “repeated” as purported anecdotes, followed by comments on why these statements are dangerous ...Read more
- New Franchise Regulations in Thailand are a “Game Changer”For at least the past two decades, Thailand has been on the verge of enacting a franchise law. Law firms would issue bulletins to their clients announcing that a new law was about to be enacted on franchising relationships. The announcements would often say that the draft law would be enacted by year’s end. We ...Read more
- Effective and Persuasive English Language Advocates for Disputes in ThailandInternational arbitration is the best way to resolve cross border disputes. If the arbitration is conducted by a truly international arbitration institute, such as the Singapore International Arbitration Centre or the Thailand Arbitration Centre (THAC), the arbitration can be conducted in English, provided the arbitrator and counsel are capable of handling the proceedings in English. ...Read more
- More FCPA Enforcement Activity Predicted under Biden PresidencyAlthough the Department of Justice (DOJ) under Trump imposed record penalties under the U.S. Foreign Corrupt Practices Act (FCPA”) from 2017 through 2020, it also initiated fewer and fewer new FCPA investigations during that period. Indeed, White House Economic Advisor Larry Kudlow reportedly said in January 2020 that the administration was “looking at” making changes to the ...Read more
- High Level Overview of Steps Required to Register a Private Limited Company in ThailandThe steps required to establish a private limited company in Thailand are: Reservation of Name The first step involved in establishing a Thai company is to file via online an application to register the company’s proposed name(s) with the Registrar (the Registrar) of the Partnerships and Companies Registration Office, Department of Business Development (DBD), Ministry of Commerce. Within ...Read more
- Practical Tip on Arbitration Clauses for Thailand that Allows You to Have Your Cake and it Too.There is little dispute that international arbitration is the best way to resolve cross-border disputes. A 2018 International Arbitration Survey carried out by Queen Mary University of London in partnership with the White & Case law firm demonstrates that international arbitration is the accepted and expected means of resolving cross border disputes. The survey reports that 97% of the ...Read more
- Higher Returns for Property, Tourism, Entertainment, etc. Sectors After Pandemic EndsHigher Returns in Tourism, Property, etc., after the Pandemic Ends The Bangkok Post reported on 20 November 2020 that “Thailand’s biggest manager of distressed assets is bracing for another difficult year in 2021, as the economy faces more headwinds from the pandemic”. This article goes on to quote Bungyong Visatemongkolchai, the chairman of Bangkok Commercial Asset ...Read more
- Top 12 Things to Keep in Mind When Planning on Doing Business in ThailandThe top 12 things to keep in mind when planning to do business in Thailand: 1. Foreign Ownership of Companies and Land: This is often a surprise for business people and lawyers operating in more open economies, but foreigners are prohibited from owning land (absent narrow exceptions) and foreign majority owned businesses are prohibited from engaging in a ...Read more
- International Arbitration in Thailand – A Work in ProgressThailand has made some progress on international arbitration, but it’s still a work in progress. Thailand has, for example, made it possible for foreign representatives and arbitrators to conduct and participate in arbitration proceedings in Thailand, but some restrictions on foreign representatives and arbitrators remain. Judicial hostility towards arbitration awards against governmental bodies and other local parties ...Read more
- Facing the Foreign Business ActTo legally engage in activities restricted under the FBA, an alien company must obtain a Foreign Business License (“FBL”) or a Foreign Business Certificate (“FBC”) from the DBD. This is often easier said than done, but there are some exceptions.Read more
- Serious and Real Reform of the Thai FBA is Overdue.The Bangkok Post reported on 21 May 2018 that the foreign business community is (again) pressing for reform of the Foreign Business Operations Act (FBA). We are seeing that again now. Reform is absolutely necessary, but the foreign business community needs to look carefully at reform proposals, because many past proposals, if they had been enacted, would have made ...Read more
- Compliance in the Time of CovidCovid-19 has created a perfect storm for regulatory lapses and failures: an unprecedented combination of business and regulatory disruption in a condensed time of period. Compliance requirements and safeguards are ignored, and compliance investigations hindered, delayed, or canceled. But do not expect the Department of Justice or the Securities and the Exchange Commission(“SEC”) to relax enforcement ...Read more
- Compliance Investigations in Thailand: Caste and CandorThere is one word that should start any real discussion about corruption in Thailand, and that word is Sakdina (ศักดินา). Sakdina is a historical system of social hierarchy that went so far as to assign a specific numerical rank to every person in Thailand depending on their status. Although officially abolished, it persists, in a less recognizable ...Read more
- A Perfect Storm For Thailand’s Tourism SectorPfizer and BioNTech have announced the development of a vaccine that is over 90% successful in preventing Covid-19. This should open investment opportunities in Thailand, particularly in Thailand’s tourism sector. Thailand’s tourism sector and much of its economy has been in a slump since the Thai government took stringent measures to prevent the spread of Covid-19 in Thailand. Thailand’s ...Read more
- TAT Sentence Upheld on AppealThe Bangkok Post is reporting that the convictions of the former Governor of the Tourism Authority of Thailand (TAT), Ms. Juthamas Siriwan, and her daughter, Jittisopa Siriwan, have been held up on appeal to the Thai Supreme Court. This presumably brings an end to the long saga of the Bangkok Film festival corruption case.Read more
- Corruption & Defamation: The Recent TripAdvisor ControversyThe press reports about the American jailed for allegedly posting a defamatory review on TripAdvisor about the Seaview hotel in Koh Chang have cast a spotlight on Thailand’s strict defamation laws. Reports about the jailing of the American appeared on the BBC website, the New York Times and the Bangkok Post.Read more
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- The Not So Simple Amity Treaty Exception to the Foreign Business ActThailand’s Foreign Business Act, B.E. 2542 (FBA), which repealed and replaced a decree issued by the Thai government in 1972 known as NEC 281 (often also referred as the “Alien Business Law”), provides that “alien companies” – defined solely in terms of foreign share ownership – are not permitted to engage in a wide range ...Read more
- International Anti-Corruption LawsEven before Barrack Obama became the 44th President of the U.S, a sea change in the enforcement of international anticorruption laws had started. The extent of that sea change became evident in December 2008 when Siemens AG and three of its subsidiaries agreed to pay a record U.S. $1.6 billion in fines to U.S. and ...Read more
- The Controversy Over Proposed Changes to the Foreign Business ActOver the last several months the local and international press have carried articles about foreign chambers of commerce and embassies appealing to the Thai government to rethink the draft changes to the Foreign Business Act, B.E. 2542 (FBA), arguing these proposed changes to Thai law will hurt future and existing foreign investors and violate Thailand’s ...Read more
