Section Code: 0693 - 0697

Thai Civil and Commercial Code


Chapter 3: Effects after performance

Section 693 Right to Recourse Against Debtor

The surety who has performed the obligation has a right of recourse against the debtor for the principal and interest, and for the losses or damages which he may suffer by reason of the surety ship.

He is subrogated to the rights of the creditor against the debtor.

Section 694 Defences Against Creditor

In addition to the defences which the surety has against the creditor, he can also set up defences which the debtor has against the creditor.

Section 695 Neglecting use of Defences by Surety

The surety who neglects to set up against the creditor defences of the debtor loses his right of recourse against the debtor to the extent of these defences, unless he proves that he did not know of such defences and that his ignorance was not due to his fault.

Section 696 Surety must inform debtor prior to performance

The surety has no right of recourse against the debtor, if he performs the obligation without informing the debtor who, in ignorance or the fact, performs it.

In such case, the surety may have only an action for undue enrichment against the creditor.

Section 697 Subrogation of Creditor’s Rights

If, owing to the creditor's own acts, the surety cannot be subrogated wholly or partially into the creditor's rights, mortgages, pledges and preferential rights which have been given before or at the time of suretyship for the performance of the obligation, the surety is discharged to the extent of the injury suffered by him thereby.