Thailand Law Library

by Thailand Lawyer

In applying for permission for the operation of a business, the foreigner shall file an application to the Minister or the Director‐General in accordance with the rules and procedures prescribed in the Ministerial Regulation; and the Council of Ministers, in the case of businesses in List Two, or the Director‐General, in the case of businesses in List Three, shall complete the consideration as to whether to give approval or grant permission, as the case may be, within the period of sixty days as from the date of the filing of the application.

In the case where, with respect to the consideration by the Council of Ministers as to whether to give approval, there exists an inevitable cause preventing the Council of Ministers from completing its consideration within such period of time, that period may be extended as is necessary, provided that the extension shall not be in excess of sixty days as from the expiration thereof.

When the Council of Ministers has given approval or the Director‐General has granted permission under paragraph one, the Minister or the Director‐General shall issue a license within fifteen days as from the date of the approval by the Council of Ministers or the permission by the Director‐General.

In granting permission, the Minister may, with respect to the businesses in List Two, prescribe conditions as prescribed by the Council of Ministers or as prescribed in the Ministerial Regulation issued by virtue of section 18, or the Director‐General may, with respect to the businesses in List Three, prescribe conditions as prescribed in the Ministerial Regulation issued by virtue of section 18.

In the case where the Council of Ministers refuses to give approval to a foreigner for the operation of businesses in List Two, the Minister shall, in writing and within thirty days, notify such foreigner of the refusal to give approval and shall also make a clear indication of the reason for such refusal to give approval.

In the case where the Director‐General refuses to grant permission to a foreigner for the operation of businesses in List Three, the Director‐General shall, in writing and within fifteen days, notify such foreigner of the refusal to grant permission and shall also make a clear indication of the reason for such refusal to grant permission. Such foreigner has the right to lodge with the Minister an appeal against the order refusing to grant permission, and the provisions of section 20 shall apply mutatis mutandis.

The Minister, with the recommendation of the Commission, has the power to issue Ministerial Regulations prescribing any of the following conditions to be observed by foreigners who are license grantees:

1. the ratio of the capital to loans for the operation of permitted businesses;
2. the number of foreign directors who must have a domicile or residence in the Kingdom;
3. the amount of, and the period of time for maintaining, the minimum capital in the country;
4. technology or property;
5. other necessary conditions.

When it appears that any license grantee or certificate grantee:

1. violates any conditions prescribed by the Ministers under section 7 paragraph one;
2. fails to comply with any conditions prescribed under section 11 paragraph two or section 17 paragraph three;
3. violates section 15;
4. becomes disqualified or is under any prohibitions under section 16;
5. commits the offence under section 35, then, in the case of circumstances under (1), (2) and (3), the Director‐General shall serve on the license grantee or certificate grantee a written notification instructing such person to comply with the conditions under section 7 paragraph one, section 11 paragraph two or section 17 paragraph three or to perform in compliance with section 15, as the case may be, within such time as the Director‐General deems appropriate. If the license grantee or certificate grantee fails to take action as instructed by the Director‐General in the written notification without any reasonable cause, the Director‐General has the power to give an order suspending the license temporarily or compelling temporary cessation of the business for a period of time as the Director‐General deems appropriate which must not be in excess of sixty days as from the date of the order. If, upon the lapse of such period, the foreigner has not accomplished the action as instructed, the Director‐General shall consider giving an order revoking the license or certificate or making a recommendation to the Minister for considering giving an order revoking the license, as the case may be.

In the case of circumstances under (4) and (5), the Director‐General shall consider giving an order revoking the license or making a recommendation to the Minister for considering giving an order revoking the license, as the case may be.

In the case where the Director‐General gives an order suspending the license temporarily or compelling temporary cessation of the business or gives an order revoking the license or certificate under section 19 paragraph two, the license grantee or the certificate grantee has the right to lodge with the Minister an appeal in writing within thirty days as from the date of receipt of the notification of the order.

The appeal does not stay the execution of the order given by the Director‐General, unless such stay is granted by the Minister with the recommendation of the Commission.

The Minister shall decide on the appeal within thirty days as from the date of the filing of the appeal. The decision of the Minister shall become final.

Subject to section 7, section 19 and section 20, a license shall be valid for an indefinite period until cessation by the license grantee of the permitted business. A certificate shall be valid for such period as permitted by the Government of the Kingdom of Thailand or as prescribed by the treaty permitting the operation of the business in question or throughout the period in which the business in question is under investment promotion or under permission for the operation of the industry or the operation of trade for export, as the case may be, unless the certificate grantee ceases to operate the permitted business prior to the expiration of such period, in which case the certificate shall be valid until such cessation.

The license grantee or the certificate grantee shall display the license or certificate at an overt location at his place of business.

If the license or certificate is damaged or lost, an application for a substitute shall be submitted to the Registrar within fifteen days as from the date of the knowledge of the damage or loss.

The application for, and issuance of, license or certificate substitutes shall be in accordance with the forms and procedures prescribed by the Minister, provided that the time within which substitutes are issued shall not be in excess of thirty days as from the date of receipt of the applications, and such substitutes shall be deemed as valid documents in substitution for the licenses or certificates until new licenses or certificates are granted.

When a license grantee or a certificate grantee ceases to operate the business or relocates an office or a place of business, notification of such cessation or relocation shall be made to the Registrar within fifteen days as from the date of such cessation or relocation in accordance with the form and procedures prescribed in the Ministerial Regulation.