Top 5 Thai Law Updates for Early 2010
http://www.lawsays.net/articles/4740/1/Top-5-Thai-Law-Updates-for-Early-2010/Page1.html
Gregory Smyth
For nearly 30 years, Bamrung Suvicha Apisakdi Law Associates (BSA Law) has focused on providing reliable legal advice and services to the Thai and foreign business community in Thailand. We provide international standards of legal services while retaining the customs of the Thai business culture. By Gregory Smyth
Published on 03/8/2010
Early 2010 has been a busy time for both Thai law-makers and Thai law consulting firms, with far-reaching updates in several key areas of society and industry. Today we are reviewing the 5 most important Thai law updates from the early months of 2010.
The early part of the year is often time for a flurry of activity in a range of areas, in industry, in government, and in homes across the country. 2010 has been no different - in addition to the 5 major updates that have already been written into Thai law (described below), there are several anticipated or hoped-for changes on their way. Thailand and the UAE will soon sign an extradition treaty, and tourism operators in the country will not join the ASEAN agreement until at least 2015, after a recent decision.
The US is also pushing for tougher child protection laws, saying that they will enforce import bans from Thailand if the child labor issue is not satisfactorily resolved. However, law firms in Thailand see the following as the most important updates to Thai law so far this year.
Minimum wage increased across the board
All companies should be aware that the minimum wage in Thailand has been increased to between 151 and 206 baht per day, depending on the province that the business is located in. The increase is aimed at offsetting the effects of inflation, and while some provinces saw only a TB1 increase, others saw wages rise by TB8. The new Thai laws came into effect on July 1, Thailand lawyers are urging their clients to get in contact if they have not yet adjusted wages.
Independent director numbers increased
The Thai Securities and Exchange Commission now requires that either three directors or a third of the total number of directors, whichever is higher, should be classified as independent. Some of the important characteristics that define a director as independent are:
.Holds less than 1% of the voting share of the company or its other affiliated companies.
.Does not receive wages from the company, and has not for at least two years.
.Is not related to another director.
.Is not an auditor of the company, nor has any other business relationship with the Company.
.Does not have any other characteristics that would hinder an independent view on the company's operation.
This is not the full list of characteristics, which is quite extensive. Companies can see their Thailand business law firm for advice on how to appoint independent directors and ensure they retain their independence.
Oil Pollution Legal guidelines drafted
The Thai Cabinet has now identified and approved a draft set of regulations for dealing with civil liability for oil spills. The Thai laws will apply to many ships docking in Thai waters, as lubricating oil, bunker oil and heavy diesel which may be used in the ship's operation, come under the law in addition to crude oil.
Thai Infrastructure Fund Approved in Principle
The Thai SEC has approved (in principle) the formation of a Thai Infrastructure Fund, which would give investors an alternative investment avenue for their funds. Initial projects to be invested in will include infrastructure for the Electricity, Metropolitan Waterworks and Expressway Authorities of Thailand.
Hotel Fees waived for 2010
Thai hotels have been given a minor reprieve, aimed at redressing some of the financial harm caused by the airport takeover. The usual operation fee of TB80 per room has been waived for 2010, for hotels whose license was issued before this year. Thai lawyers can explain how to go about claiming the exemption.
The US is also pushing for tougher child protection laws, saying that they will enforce import bans from Thailand if the child labor issue is not satisfactorily resolved. However, law firms in Thailand see the following as the most important updates to Thai law so far this year.
Minimum wage increased across the board
All companies should be aware that the minimum wage in Thailand has been increased to between 151 and 206 baht per day, depending on the province that the business is located in. The increase is aimed at offsetting the effects of inflation, and while some provinces saw only a TB1 increase, others saw wages rise by TB8. The new Thai laws came into effect on July 1, Thailand lawyers are urging their clients to get in contact if they have not yet adjusted wages.
Independent director numbers increased
The Thai Securities and Exchange Commission now requires that either three directors or a third of the total number of directors, whichever is higher, should be classified as independent. Some of the important characteristics that define a director as independent are:
.Holds less than 1% of the voting share of the company or its other affiliated companies.
.Does not receive wages from the company, and has not for at least two years.
.Is not related to another director.
.Is not an auditor of the company, nor has any other business relationship with the Company.
.Does not have any other characteristics that would hinder an independent view on the company's operation.
This is not the full list of characteristics, which is quite extensive. Companies can see their Thailand business law firm for advice on how to appoint independent directors and ensure they retain their independence.
Oil Pollution Legal guidelines drafted
The Thai Cabinet has now identified and approved a draft set of regulations for dealing with civil liability for oil spills. The Thai laws will apply to many ships docking in Thai waters, as lubricating oil, bunker oil and heavy diesel which may be used in the ship's operation, come under the law in addition to crude oil.
Thai Infrastructure Fund Approved in Principle
The Thai SEC has approved (in principle) the formation of a Thai Infrastructure Fund, which would give investors an alternative investment avenue for their funds. Initial projects to be invested in will include infrastructure for the Electricity, Metropolitan Waterworks and Expressway Authorities of Thailand.
Hotel Fees waived for 2010
Thai hotels have been given a minor reprieve, aimed at redressing some of the financial harm caused by the airport takeover. The usual operation fee of TB80 per room has been waived for 2010, for hotels whose license was issued before this year. Thai lawyers can explain how to go about claiming the exemption.