Thailand law, Thai law | Condotel

                           

                            Thailand law, Thai law | Condotel

Thailand Law

                       Here in Thailand especially in the big cities near large business districts the real estate trends are leasing and sub-leasing rather than buying and selling properties under Thai law. But there are downsides to this form of business, such as when you have a lease holder who owns the land with three , four splay sub-leases important to confusion, deception and contract attempts. This chain of sub-leasing is a flawed system that is open to exploitation .

Condotel

                       The problem under Thai law start when one major sub-leasee adjudges to develop the qualification either as a hotel, condo or business space and then onward leasing it out to a number of other buyers at a higher price. These contestant will be without the info of who the major lease holder is and think that the project developer is the property owner too. After the building is completed  the developer  then sell  the suitable to lease a segregated space or  room, this amount is calculated using the tenant rate over ten, twenty until thirty years depend on the length of the lease. This quantity can come up to be many millions normally paid upfront to encourage the payments of the program developer to the major lease holder.

Thai Law

                       By reason of the nature of the contracts that follow Thai law if a previous sub-leaser does not make his lease payments then the whole system will fall apart as the property owner will want his building back if he is not receiving any money. This leaves the people occupying the space in a very bad situation as even though they have a contract and have paid money they did not in fact have any suitable to the space.

Thailand Law

                     Our comment: On a situation like this we recommend you to make sure to double check with any project developer to make sure that they have the right from the landlord to lease to you. Likewise with any lease longer than three years you are required to register your name under the title deed which is done at the land department. When we have a case like this in court it is a very complicated situation for everyone involved, by Thailand law if the land owner does not receive payment from the first subleasee then he has the right to reclaim his property.

Thai Law

                     With this example we don’t want to concentrate on who is cheating who but rather to make sure that when you come to make a contract together the person who you are making it with has the right to sign this contract with you. If not then you may lose a lot of time and money as it is very difficult to prove your rights in court. Whenever it is necessary to make a contract please use a lawyer to check it for you and to protect yourself. If you have your own case or any questions regarding Thailand law please write in to us .