Business Law 1-5

Business Law
Class 1: General Principles in the Civil and Commercial Code
Ajarn Chanisa Ngamapichon

Faculty of Law, Chulalongkorn University 1
Chanisa.n@chula.ac.th
Civil and Commercial Code of Thailand
Thailand is a civil law country which has all laws in writing.

The Civil and Commercial Code is the only Thailand’s private law
code dealing with the relationship of private individuals.
This code is divided into six parts typically called “books .
All the six books are composed into the Code which is divided
into 1,755 articles.
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Civil and Commercial Code of Thailand
Book 1 - General terms: person, things, juristic acts

Book 2 - Obligation, contract, wrongful acts or torts
Book 3 - Specific contracts including sale, exchange, gift, hire of
property, hire-purchase, hire of services, hire of work, loan,
deposit, mortgage, corporate entity e.g. partnership, company,
association
Book 4 - Property
Book 5 - Family
Book 6 - Succession
3
Some Words and their Meaning
Thing and Property
Thing (ทรัพย์)
• Section 137 of the Civil and Commercial Code
“Things are corporeal objects.”
• In legal terms, a thing is a corporeal object i.e. has a form,
shape, appearance and it is tangible.
• i.e. table, computer, car etc.
Property (ทรัพย์สนิ )
• Section 138 of the Civil and Commercial Code
“Property includes things as well as incorporeal objects,
susceptible of having a value and of being appropriated.”
• In legal term, a property includes things and incorporeal
objects that have a value and can be carried, possessed or
owned. 4
• i.e. personal rights, software program, intellectual property

etc.
Things vs. Property
5
Things: Section 139-142
Thing can be classified into:
• I. Immovable things (อสังหาริ มทรัพย์) and movable things (สังหาริ มทรัพย์)
• II. Indivisible things and divisible things
I. Immovable things and movable things

• Section 139 “Immovable property denotes land and things
fixed permanently to land or forming a body therewith. It
includes real right connected with land or things fixed to or
forming a body with land.”
• Immovable things including
• Land
• Things fixed permanently to land i.e. trees, bridge and
monument etc.
• Things forming a part of land i.e. river, rock etc.
• Right connecting with land i.e. ownership, title, possessory
right, servitude right over land (ภาระจายอม) etc.
Section 1387 “An immovable property may be subjected to a
servitude by virtue of which the owner of such property is
bound, for the benefit of another immovable property, to
suffer certain act affecting his property or to refrain from
exercising certain rights inherent in his ownership.”
Section 140 “Movable property denotes things other than
immovable things. It includes right connected therewith.”
• Movable things including
• Things other than immovable things; and
• Right connecting with movable things i.e. ownership of
bicycle, right to possess a computer.
Immovable Things vs. Movable Things
The differences between an immovable thing and a movable thing
are
• (1) An immovable thing like a plot of land must have an owner,
either belongs to a private owner or to the state; but a
movable thing may have no owner.
• (2) Ownership title of an immovable thing can be acquired by
open and peaceful possession of the thing for an uninterrupted
period of 10 years with the intention to be its owner (ครอบครอง
ปรปั กษ์ ). For a movable thing, all conditions remain the same
except that period is 5 years, instead of 10 years.
• Section 1382 “Where a person has, for an uninterrupted
period of ten years in case of an immovable, or five years
in case of a movable, peacefully and openly possessed a
property belonging to another, with the intention to be its
owner, he acquires the ownership of it.”
The differences between an immovable thing and a movable thing
are (Cont.)
• (3) Proof of ownership of an immovable property is by
registration i.e. registration of land ownership title at the Land
Office. Differently, proof of ownership in a movable property is
by possession i.e. possession and using a bicycle; and
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• (4) A juristic act or legal act to acquire right in an immovable
thing has to comply with a legal form i.e. a contract on leasing
land for three (3) years must be in writing and signed by the
parties of the contract. In general, no legal form for movable
things.
• Section “A sale of immovable property is void unless it

is made in writing and registered by the competent
official. The same rule applies to ships or vessels of six
tons and over, to steam launches or motor boats of five
tons and over, to floating houses and to beasts of burden.”
• Section 3 “A hire of immovable property is not
enforceable by action unless there be some written
evidence signed by the party liable. If the hire is for more
than three years or for the life of the letter or hirer, it is
11
enforceable only for three years unless it is made in
writing and registered by the competent official.”
II. Things that can be divided and things that cannot be divided
• Section 1 1 “Divisible things are those which can be

separated into real and distinct portions, each forming a
perfect whole.”
• Divisable thin are thing that, when it is divided, do not affect
its form or part except causing a reduction in its quantity; for
example, dividing a bag of rice, sugar, water and money.
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Things
• Section 142 “Indivisible things are those which cannot be
separated without alteration in its substance as well as
those which are considered indivisible by law.”
• Indivisible things
• (1) Things that cannot be divided due to its condition or
nature. Any division of the thing will cause a change in
condition or nature of the thing i.e. house, fan, chair and
computer etc.
• (2) Things which are unlawful to divide i.e. a company
share.
Section 1118 “Shares are indivisible.
If a share is held by two or more persons in common,
they must appoint one of them to exercise their rights as
shareholders. 13
Persons holding a share in common are jointly liable to
the company for payment of the amount of the share.”
Divisible Things vs. Indivisible Things
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Things vs. Property
https://www.youtube.com/watch?v=q-dQdSXnhAY
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Things:
A Component Part of a Thing (ส่ วนควบ)
Section 1 “A component part of a thing is that which, according to
its nature or local custom, is essential to its existence and cannot be
separated without destroying, damaging or altering its form or
nature.
The owner of a thing has ownership in all its component parts.”
Section 1 “Trees when planted for an unlimited period of time are

deemed to be component parts of the land on which they stand.
Trees which grow only for a limited period of time and crops
which may be harvested one or more times a year are not component
parts of the land.”
Section 1 “Things temporarily fixed to land or to a building do not

become component parts of the land or building. The same rule
applies to a building or other structure which, in the exercise of a 1
right over another person's land, has been fixed to the land by the
person who has such right.”
Things:
A Component Part of a Thing (ส่ วนควบ)
1
Accessory: Section 147
Section 147 “Accessories are movable things, which are,
according to the usual local conception or clear intention of
the owner of the principal thing, attached to such thing
permanently for its management, use or preservation, and,
by connection, adjustment or otherwise, brought by the
owner into the relation with the principal thing, in which it
must serve the principal thing.
Even though an accessory is temporarily served from
the principal thing, it does not cease to be an accessory.
Saving special disposition to the contrary, the accessory
follows the principal thing.”
1
An accessory (อปกรณ์ ) is a movable thing that serve a principal
things (ทรพย์ ประธ น). It can be either immovable or movable. For
example, a mouse (accessory) plugged into a computer (principal
thing).
An accessory is attached permanently or temporarily to a
principal thing for its management, use or preservation.
Unless agreed otherwise, a sale of principal thing is a sale of
accessory as well.
1
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Fruit: Section 148
Section 148 “By fruit of a thing is a natural fruit and legal
fruit.
Natural fruit denotes that which is a natural offspring of

and is obtained from a thing in the normal possession or in the
use thereof; and it is capable of acquisition at the time when it
is severed from the thing.
Legal fruit denotes a thing or other interest obtained

periodically by the owner from another person for the use of
the thing; it is calculated and may be acquired day by day or
according to a period of time fixed.”
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Fruit: Section 148
A fruit (ดอกผล) from a thing can come in 2 forms, a natural fruit
(ดอกผลธรรมดา)or a legal fruit (ดอกผลนิตินยั ).
Natural fruit a natural offspring obtained from a thing in the
normal possession i.e. apples, lemons, puppies, kittens, egg etc.
Legal fruit interest or thing obtained periodically by
someone from another person for using their thing. The fruit is
calculated and may be acquired day by day i.e. interest
received by a lender from a loan of money contract, rental fee
received by a landowner (lessor) from a lease of land contract,
dividends paid to a shareholder by a public company limited
etc.
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Fruit: Section 148
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Person: Section 15 and 65
(I) Natural person (บุคคลธรรมดา) - A human person with the full
completion of birth as a living child and end with death.
• Section 15 “Personality begins with the full completion of
birth as a living child and ends with death.”
(II) Juristic person (นิติบคุ คล) - A nonhuman person that comes into
existence by the law. A juristic person is formed by natural
person collectively and is registered as according to law. Upon
registration, a juristic person (i.e. a foundation, an association, a
company limited, a public company limited etc.) is considered as
a separate person or an entity from its members, owners,
founders or shareholders.
• Section 65 “A juristic person can come into existence only 24
by this Code or of other law.”
Rights
Rights are benefits verified and protected by the law.
Law provides two types of rights to a natural person and a juristic
person:
• (I) Personal rights (บคคลสทธ) are right to do something or refrain
from doing something. They can be called as “Contractual
rights or “Debt rights which are enforceable against
particular persons.
• For example, the right of a creditor to request for payment
of money debt from a debtor, the right of a creditor to claim
against a debtor in court for default in payment of loan etc.
• Personal right arises from a juristic (legal) act i.e. a contract
or a tort.
• Personal rights are only enforceable against a debtor or
successors of debtor.
**Debtor here includes anyone who has an obligation to 25
perform or to refrain from performing. It does not only refer to a
debtor of a money debt.
Rights
Law provides two types of rights to a natural person and a juristic
person (Cont.):
• (II) Real rights (ทรพยสทธ) are rights in property which arise from
specific provision of the law. Real right in property are binding
on everyone, not just parties of contract.
• Real rights in property cannot be provided through a juristic
act from a person.
Section 1298 “Real rights may be created only by the virtue
of this Code or other laws.”
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Rights
• For example: a person who has ownership tile of a property
has the rights in property to prevent anyone from owning or
using property.
Section 1336 . Within the limits of law, the owner of
property has the right to use and dispose of it and
acquires its fruits; he has the right to follow and recover
it from any person not entitled to detain it and has the
right to prevent unlawful interference with it.
• Other examples of real rights in property: right to a servitude

(ภาระจายอม), right to mortgage a plot of land and copyright or
right in a trademark etc.
2
Rights
Differences between personal rights and real rights
1. Personal rights are enforceable against person/ persons,
whereas real rights are exercised over things/property.
2. A contract which is signed between the parties creating the
debt right, whereas in real rights there may not be any legal
documents e.g. when you purchase something from a shop,
you are a legal owner. You have real rights to use the property
as your wish. Differently, you would have some kinds of
documentation stating your ownership of house, land or
swimming pool etc.
3. Subject of real right is thing; however, subject of personal
rights is other person(s).
2
A Juristic Act: Section 149-153
Section 149. Juristic act (นตก ) are voluntary lawful acts, the
immediate purpose of which is to establish between persons
relations, to create, modify, transfer, preserve or extinguish
rights.
A voluntary juristic (legal) act is, whereby its immediately
purpose “is to establish between persons juristic (legal) relations,
to create, modify, transfer, preserve or extinguish rights
Therefore, the elements of a juristic (legal) act from a person are:

(a)Having a declaration of intention to do a juristic (legal) act;
(b)A voluntary act;
(c) A lawful act;
(d)The act has the objective to achieve legal effect; and
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(e)Having an objective to create, modify, transfer, preserve or
extinguish rights
The different types of juristic (legal) acts are:
(a)One party juristic (legal) act i.e. making a will, setting up a
foundation etc.
(b)Two parties juristic (legal) act i.e. formation of a contract.
(c) Juristic acts that are effective when living i.e. a contract; or
effective for the dead e.g. a will.
(d)Juristic (legal) acts with remuneration or without
remuneration. Remuneration can be in the form of benefit,
property or payment of money.
(e)Juristic (legal) acts with a time condition or without a time
condition.
Section 191. If a time of commencement is annexed to a
juristic act, its performance cannot demand before such
time arrives. (เงือน ขบังคับก่อน) 30
If a time of ending is annexed to a juristic act, its effect
ceases when such time arrives. ( ง น ขบงคบหลง)
Legal Forms of Juristic Acts
Section 152. An act which is not in the form prescribed by law is void.
(a) Delivery of the property (i.e. Section 641);

Section 641. A loan for use is complete only on delivery of the property
lent.
(b) Written evidence signed by the party liable; for example, a promise contract to sell
house and land, sale of movable property (sale price is 20,000 baht or more) etc. (i.e.
Section 456 Paragraph 2 and 3, Section 538);
Section 456 (paragraph 2). An agreement to sell or to buy any of
immovable property, or a promise of sale of such property is not enforceable by
action unless there is some written evidence signed by the party liable or unless
earnest is given, or there is part performance. The same rule applies to ships or
vessels of six tons and over, to steam launches or motor boats of five tons and over,
to floating houses and to beasts of burden.
The provisions of the foregoing paragraph shall apply to a contract of sale
of movable property where the agreed price is twenty hundred baht or upwards.
Section 538. A hire of immovable property is not enforceable by action

unless there be some written evidence signed by the party liable. If the hire is for
more than three years or for the life of the letter or hirer, it is enforceable only for 31
three years unless it is made in writing and registered by the competent official.
Form of Juristic Act
(c) Written document and its registration with a government
official; for example, a sale and purchase of land contract or
mortgage contract registered in the land title deed with an officer of
the Land Department (e.g. Section 456 Paragraph 1 and Section
714)
Section 456. A sale of immovable property is void unless
it is made in writing and registered by the competent official.
The same rule applies to ships or vessels of six tons and over,
to steam launches or motor boats of five tons and over, to
floating houses and to beasts of burden.
Section 714. A contract of mortgage must be made in

writing and registered by the competent official.
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(d) Other special forms of documents.
Q&A
Thank you 33
Business Law
Class 2: Juristic Acts and Obligations
Ajarn Chanisa Ngamapichon 34

Faculty of Law, Chulalongkorn University
Outline
Source of Obligations
Definition of Juristic Act
Types of Juristic Act
Essential Elements of a Valid Juristic Act
Person
Purpose
Form
Intention
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Juristic Act as Source of Obligations
Sources of Obligations
• I. Juristic act (นตกรรม)
• Contract
• Will
• II. Legal cause/ causative event (นต หต)
• Tort/ wrongful act
• Action that unfairly causes someone else to suffer, loss or harm resulting in
legal liability for the person who commits the tortious act, called a tortfeasor.
The victim of the harm can recover their loss as damages in a lawsuit.
• Section 420. A person who, willfully or negligently, unlawfully injures the
life, body, health, liberty, property or any right of another person, is said
to commit a wrongful act and is bound to make compensation therefore.
• Management of affairs without mandate
• A case where one person, the “manager assumes the management of the
affairs of another person, the “principal , without authority or delegation.
• Section 395. A person who takes charge of an affair for another without
having received mandate from him or being otherwise entitled to do so in
respect of him, shall manage the affair in such manner as the interest of
the principal requires, having regard to his actual or presumptive wishes.
• Undue enrichment
• A benefit by chance or mistake for which the one enriched has not paid or
worked.
• Section 406. Any person who, through an act of performance made by
another person or in any other manner, obtains something to the
prejudice of such other person without legal ground, must return it to the
latter. 3
• Legal duties e.g. duty to pay tax
Legal Cause:
Management of Affairs Without Mandate
• Section 395. A person who takes charge of an affair for
another without having received mandate from him or being
otherwise entitled to do so in respect of him, shall manage the
affair in such manner as the interest of the principal requires,
having regard to his actual or presumptive wishes.
• Management of affairs without mandate is a case where one
person, the “manager”, assumes the management of the affairs of
another person, the “principal”, without authority or delegation.
The manager must manage the affairs in accordance with the
wishes and needs of the principal as well as exercise care in
undertaking sufficient actions with respect to the particular
situation.
• Management of affairs without mandate arises when the principal
is unable to manage his/her own affairs. If the manager is not
aware of the intentions of the principal, the manager must
undertake the management of affairs pursuant to standards which
are suitable to the situation and circumstances 3
Source of
obligations
Legal
Juristic cause/
act causative
event
• Contract
• Will 1. Tort
Obligations 2. Management of affair
without mandate 3
3. Undue enrichment
4. Legal duties e.g. duty
to pay tax.
Definition of Juristic Act
Section 149. Juristic act are voluntary lawful acts, the
immediate purpose of which is to establish between persons
relations, to create, modify, transfer, preserve or extinguish
rights.
Elements of Juristic Act
• Act
• Lawfulness
• Voluntariness
• Intention of creating legal consequences
• Intention of establishing the person relations
• Intention of moving person’s right
• Movement of rights: to create the right that has not existed,
to modify the right that has existed to the different right, to
transfer the right to another person, to preserve the right
that has existed to be more stable, to extinguish the right
that exist to be invalid. 3
Types of Juristic Act
I. Divided by the numbers of parties
• Unilateral Act: will
• Bilateral Act: many agreements/ contracts i.e. purchase agreement (seller
vs. buyer), lease agreement (landlord vs. tenant)
• Multilateral Act: partnership agreement, company formation agreement
• Section 1012. A contract for the organization of a partnership or
company is a contract whereby two or more persons agree to
unite for a common undertaking, with a view of sharing profit
the profits which may be derived therefrom.
• Section 1097. Any three or more persons may, by subscribing
their names to a memorandum and otherwise complying with
the provisions of this Code, promote and form a limited company.
II. Divided by the validity of juristic act
• Validity: Juristic act is valid and enforceable.
• Invalidity
• Void ( มฆะ): A juristic act is not effective from the beginning.
• Voidable ( มฆยะ): A juristic act which is voidable can be ineffective and
unenforced if the person who has the right nullifies the act. 40
• Unenforceable: A juristic act is effective for parties, but law affords no
enforcement.
Essential Elements of a Valid Juristic Act
Person (Legal capacities of contractual parties)
• Section 153. An act which does not comply with the
requirements concerning capacity of person is voidable.
Purpose (Illegality/ Impossibility of purpose)
• Section 150. An act is void if its object is expressly
prohibited by law or is impossible or is contrary to public
order or good morals.
Form (Formalities requirements)
• Section 152. An act which is not in the form prescribed by
law is void.
Intention (Expression of intention)
• Section 151. An act is not void on account of its differing
from a provision of any law if such law does not relate to 41
public order or good moral.
I. Person
Types of Person
• Natural Person
• Juristic Person
I. Natural Person
Normally, a person can own and exercise his rights. There are
exceptions: some types of person who are owning right;
however, they cannot fully exercise their right.
Section 153. An act which does not comply with the
• Minor (ผ้ ย ว์)
• Unsound mind person (คนวกลจรต)
• Adjudged incompetent person (คน ร้คว มส ม รถ)
• Adjudged quasi-incompetent person (คน สมอน ร้คว มส ม รถ) 42
Natural Person
Minor (Section 19-27)
Section 15. Personality begins with the full completion of birth

as a living child and ends with death.
Section 19. A person, on completion of twenty years of age

ceases to be a minor and becomes sui juris.
Section 20. A minor becomes sui juris upon marriage, provided

that the marriage is made in accordance with the provisions of
Section 1448.
Section 1448. A marriage can take place only when the man
and woman have completed their seventeenth year of age. But
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the Court may, in case of having appropriate reason, allow
them to marry before attaining such age.
Minor
Minor (Section 19-27) Cont.
**Section 21. For the doing of a juristic act, a minor must
obtain the consent of his legal representative. (ผ้ ทน ดยช บธรรม)
All acts done by him without such consent are voidable unless
otherwise provided.
Section 22. A minor can do all acts by which he merely acquires

a right or is freed from a duty.
Section 23. A minor can do all acts which are strictly personal.
e.g. Section 1547. A child born of the parents who are not married to
each other is legitimate by the subsequent marriage of the parents, or
by the registration made on application by the father, or by a
judgment of the Court.
Section 24. A minor can do all acts which are suitable to his
condition in life, and actually required for his reasonable
needs. e.g. buy food, apparel 44
Section 25. A minor, after completing fifteen years of age, can

make a will.
Minor
Minor (Section 19-27)
Section 153. An act which does not comply with the

**Section 21. For the doing of a juristic act, a minor must

obtain the consent of his legal representative. All acts done
by him without such consent are voidable unless otherwise
provided.
• Voidable in case that a minor has done the juristic act by
himself without any consent of his legal representative.
• Valid in case that a minor get a prior consent by his legal
representation to do act.
e.g. father, mother
45
Minor
Section 21. For the doing of a juristic act, a minor must obtain
the consent of his legal representative. All acts done by him
without such consent are voidable unless otherwise provided.
Section 1574. A person exercising parental power cannot enter

into any of the following juristic acts with regard to the property
of the minor except with permission of the Court;
(1) selling, exchanging, sale with right of redemption, letting out

property on hire-purchase, mortgaging, releasing mortgage to
mortgagor or transferring the right of mortgage on immovable
property or on mortgageable movable property;
(2) extinguishing the whole or a part of real right of the minor on
immovable property;
(3) creating servitude, right of inhabitation, right of superficies,
usufruct or any charge on immovable property;
(4) disposing of the whole or a part of the claim the purpose of
which is to create real right on immovable property or on
mortgageable property, or the claim the purpose of which is to 4
have a real right on such property of the minor relieved;
Minor
Section 1574. (Cont.)
(5) letting immovable property for more than three years;
(6) creating any commitments the purpose of which is to achieve
the objective as provided in (1), (2) and (3);
(7) making a loan of money;
(8) making a gift, except out of the income of the minor on the
minor’s behalf for charitable, social or moral purposes, and
suitable to the minor’s condition in life;
(9) accepting a gift subject to any condition or charge, or refusing
a gift;
(10) giving guarantee by any means whatsoever which may cause
the minor to be compelled to perform an obligation or to enter
into other juristic act, as requiring the minor to perform an
obligation to other person or on behalf of other person;
(11) making benefit out of the property other than those provided
in Section 1598/4 (1), (2) or (3)
(12) making a compromise;
(13) submitting a dispute to arbitration. 4
Unsound Mind Person
Unsound mind person (Section 30)
**Section 30. An act done by a person of unsound mind but not
adjudged incompetent is voidable only when the act was done
at a time he was actually of unsound mind, and the other party
had knowledge of such unsoundness.
• Voidable only when unsound mind person exercised his right
at the time when he was actually of unsound mind and the
other party has knowledge of such unsoundness.
4
Adjudged Incompetent Person
Adjudged incompetent person (Section 28, 29, 31)
Section 28. A person of unsound mind may be adjudged
incompetent by the Court on the application of any spouse,
ascendants, descendants, guardian or curator, a person taking
care of the person or the Public Prosecutor.
The person adjudged incompetent under paragraph one
must be placed under guardianship. The appointment of guardian
(ผ้ ทน ดยช บธรรม), power and duties of guardian, and termination of
guardianship shall be in accordance with provisions of Book V of
this Code.
**Section 29. An act done by a person adjudged incompetent is

voidable.
Section 31. If the cause of the incompetence ceases to exist, the

Court shall, on the application of the person himself or of any of
the persons mentioned in Section 28, revoke the adjudication.
• Act done by an adjudged incompetent person is voidable. 4
• His guardian will act on behalf of him.
Adjudged Quasi-Incompetent Person
Adjudged Quasi-Incompetent Person (Section 32-36)
Section 32. A person who has physical or mental infirmity, habitual prodigality or
habitual intoxication or other similar causes that make him incapable of managing
his own affairs, or whose management is likely to cause detriment to his own
property or family, may be adjudged as quasi incompetent by the Court upon
application by any of the persons specified in Section 28.
The person adjudged quasi-incompetent under paragraph one must be
placed under curatorship. (ผ้ พทก ์ )
The appointment of curator shall be in accordance with the provisions of
Book V of the Code.
The order of the Court under the Section shall be published in the
Government Gazette.
Section 28. A person of unsound mind may be adjudged incompetent by the Court on
the application of any spouse, ascendants, descendants, guardian or curator, a
person taking care of the person or the Public Prosecutor.
The person adjudged incompetent under paragraph one must be placed 50

under guardianship. The appointment of guardian, power and duties of guardian,
and termination of guardianship shall be in accordance with provisions of Book V of
this Code.
Adjudged Quasi-Incompetent Person (Section 32-36) Cont.
**Section 34. A quasi incompetent person must obtain the consent of his curator for
doing the following acts:
(1) Investing his property.
(2) Accepting the return of the invested property, principal or other capital.
(3) Contracting a loan or lending money, borrowing or leasing value movable.
(4) Giving security by any means whatever that effects him to make a forced
payment.
(5) Hiring or letting property longer than six months if the property is movable or
three years if the property is immovable.
(6) Making a gift, except the gift made suitable for situation in his life, for
philanthropy, social or moral obligations.
(7) Accepting a gift encumbered with a charge or refusing a gift.
(8) Doing any act whose object is the acquiring of, or parting with, a right in an
immovable or a valuable movable.
(9) Constructing, modifying building or other structures, or making extensive
repairs.
(10) Entering an action in Court or doing any legal proceedings except the 51
application made under Section 35 and the application for removal of his curator.
(11) Making a compromise or submitting a dispute to arbitration.
Any act contrary to the provisions of this Section is voidable.
Adjudged Quasi-Incompetent Person (Section 32-36)
• He can do anything by himself except the acts listed in Section
34 which will be voidable without the consent of his curator.
• Voidable only when he does not obtain the consent of his
curator for the following acts: e.g.
• Investing his property.
• Contracting a loan or lending money, borrowing or leasing
value movable.
• Doing any act whose object is the acquiring of, or parting
with, a right in an immovable or a valuable movable.
52
Juristic Person
II. Juristic Person (Section 65-77)
• Example
• Administrative Department
• Temple
• Partnership: limited, unlimited
• Company: private, public
• Chulalongkorn University
53
Juristic Person
II. Juristic Person (Section 65-77)
Section 66. A juristic person has rights and duties conformity
with the provisions of this Code or of other law within the
scope of its power and duties, or its object as provided by or
defined in the law, regulation or constitutive act.
Section 67. Subject to Section 66, a juristic person enjoys the
same rights and is subject to the same duties as a natural
person, by reason of their nature, may only be enjoyed or
incurred only by a natural person.
Section 70. A juristic person must have one or several
representatives as prescribed by the law, regulations or its
constitutive act, decisions as to the affairs of juristic persons
are made by a majority of the representatives.
• Acts of juristic person must be done by its representative e.g.
directors.
• A juristic person enjoys the same rights and is subject to the same
duties as a natural person except some rights which may only be 54
enjoyed or incurred only by a natural person by its nature.
• A juristic person can be sued under both civil and criminal law.
II. Purpose
Purpose of Juristic Acts
• e.g. sale agreement
• Seller’s purpose: payment
• Buyer’s purpose: transferring of title/ownership of goods
• Section 150. An act is void if its object is expressly
prohibited by law or is impossible, or is contrary to public
order or good morals.
• The purpose must be lawful, possible and not contrary to
public order or good morals; otherwise, the act will be void.
• ***The Principle of Freedom of Contract***
• Section 151. An act is not void on account of its
differing from a provision of any law if such law does
not relate to public order or good moral.
55
II. Purpose
Example: some sections in Civil and Commercial Code of Thailand
regulates the loan agreement
Section 651. Costs of the contract, costs of delivery of the

property lent and costs of return are borne by the borrower.
Section 654. Interest shall not exceed 15% per year; when a
higher rate of interest is fixed by the contract, it shall be
reduced to 15% per year.
5
Q&A
Thank you 57
Business Law
Class 3: Juristic Acts and Obligations (Part 2)
Ajarn Chanisa Ngamapichon 5

Form
Section 152. An act which is not in the form prescribed by law is void.
For some juristic acts, forms provided by law (e.g. written form,
registration) must be applied so that the act will legally effective. In other
cases, parties have a freedom to choose the form of act.
Types of form
• Oral form
• Written Form
• Written form vs. written evidence
• Registration
Section 456. A sale of immovable property is void unless it is
made in writing and registered by the competent official. The
same rule applies to ships or vessels of six tons and over, to steam
launches or motor boats of five tons and over, to floating houses
and to beasts of burden.
Section 538. A hire of immovable property is not enforceable by
action unless there be some written evidence signed by the party 5
liable.
Form
Section 456. A sale of immovable property is void unless it is made in
writing and registered by the competent official. The same rule applies
to ships or vessels of six tons and over, to steam launches or motor
boats of five tons and over, to floating houses and to beasts of burden.
An agreement to sell or to buy any of the aforesaid property, or a promise

of sale of such property is not enforceable by action unless there is some
written evidence signed by the party liable or unless earnest is given, or
there is part performance.
The provisions of the foregoing paragraph shall apply to a contract of sale

of movable property where the agreed price is twenty thousand baht or
upwards.
Section 653. A loan of money for a sum exceeding twenty thousand baht
in capital is not enforceable by action unless there be some written
evidence of the loan signed by the borrower.
No repayment of a loan of money evidenced by writing may be proved

unless there be some written evidence signed by the lender, or the 0
document evidencing the loan has been surrendered to the borrower or
cancelled.
Intention
Motive - Decision (internal intention) - Act of expression
(declared intention)
Validity of declaration of intention
• (1) Internal and declared intentions must be the same. (If not,
Void); and
• (2) There is no motive which distorts the decision-making
process. (If not, Voidable)
(1) Difference between internal and declared intentions
• 1.1 Hidden intention ( จตน ซ่อน ร้น) Section 154
• 1.2 Fictitious declaration of intention ( จตน ลวง) Section 155
Paragraph 1
• 1.3 Concealed act (นตกรรมอ พร ง) Section 155 Paragraph 2
• 1.4 Mistake as to an essential element of the juristic act (ส คญผด
นสงซง ปนส ระส คญ ห่งนตกรรม) Section 156 1
Intention
• 1.1 Hidden intention ( จตน ซ่อน ร้น) Section 154
Section 154. A declaration of intention is not void on the
ground that the declarant in the recesses of his mind does not
intended to be bound by his expressed intention.
e.g. A agrees to buy B’s diamond ring but, in his mind, just wants to
borrow it from B.
2
3
Intention
(1) Difference between internal and declared intentions (Cont.)
• 1.2 Fictitious declaration of intention ( จตน ลวง) Section 155
Paragraph 1
Section 155. A declaration of intention made with the
connivance of the other party which is fictitious is void; but
its invalidity cannot be set up against third persons injured
by the fictitious declaration of intention and acting in good
faith.
e.g. A conspires with B to sell his car to B in order to avoid C to
legally take it. The sell agreement between A and B will be void
under Section 155. However, if B sold the car to D, who bought it
in good faith, the car will belong to D.
4
Section 155. A declaration of intention
made with the connivance of the other
party which is fictitious is void. 5
Section 155. A declaration of intention
made with the connivance of the other
party which is fictitious is void; but its
invalidity cannot be set up against third
persons injured by the fictitious
declaration of intention and acting in good
faith.
Intention
(Cont.)
• 1.3 Concealed act (นตกรรมอ พร ง) Section 155 Paragraph 2
Section 155 (the second paragraph). If a declaration of
fictitious intention under paragraph one is made to conceal
another juristic act, the provisions of law relating to the
concealed act shall apply.
e.g. A wants to give B (A’s daughter) a diamond ring but does not
want C (A’s another daughter) to be sad. Then, A discloses that
she sells it to B.
Intention
(1) Difference between internal and declared intentions (Cont.)
• 1.4 Mistake as to an essential element of the juristic act (ส คญผด นสง
ซง ปนส ระส คญ ห่งนตกรรม) Section 156
Section 156. A declaration of intention is void if made under a
mistake as to an essential element of the juristic act.
The mistake as to an essential element of the juristic act under

paragraph one are for instance a mistake as to a character of
the juristic act, a mistake as to a person to be a partner of the
juristic act and a mistake as to a property being an object of the
juristic act.
Section 158. If the mistake under Section 156 or Section 157

was due to the gross negligence of the person making such
declaration, he cannot avail himself of such invalidity.
A mistake as to a character of the juristic act.
0
A mistake as to a person to be a
partner of the juristic act.
1
A mistake as to a property being an object
of the juristic act.
2
Intention
(2) Distorted declaration of intention
• 2.1 Mistake as to quality of person or property (ส คญผด นคณสมบต
ของบคคลหรอทรพย์สน) Section 157-158
• 2.2 Fraud (กลฉ้อฉล) Section 159-163
• 2.3 Duress (ข่มข่) Section 165-166
3
Intention
• 2.1 Mistake as to quality of person or property (ส คญผด นคณสมบต
ของบคคลหรอทรพย์สน) Section 157-158
Section 157. A declaration of intention is voidable if made
under a mistake as to a quality of the person.
Mistake under paragraph one must be a mistake as to the

quality of the person which is considered as essential in the
ordinary dealings, and without which such juristic act would
have not been made.
Section 158. If the mistake under Section 156 or Section 157

was due to the gross negligence of the person making such 4
declaration, he cannot avail himself of such invalidity.
A mistake as to a quality of the person.
5
A mistake as to a quality of the object.
Intention
• 2.2 Fraud (กลฉ้อฉล) Section 159-163
Section 159. A declaration of intention produced by fraud is
voidable.
An act under paragraph one is voidable on account of fraud

only when it is such that without which such juristic act would
not have been made.
When a party has made a declaration of intention owing to a

fraud committed by a third person, the act is voidable only if
the other party knew or ought to have known of the fraud.
Section 159. A declaration of
intention produced by fraud
is voidable.
Intention
• 2.2 Fraud (Section 159-163)
• Right of third party
Section 160. The avoidance of a declaration of intention
produced by fraud cannot be set up against a third
person acting in good faith.
Section 161. (กลฉ้อฉล พอ หต) If the fraud is only incidental

that is to say it has merely induced a party to accept more
onerous terms than would otherwise have done, such
party can only claim compensation for damage resulting
from such fraud.
0
Intention
Section 160
1
Intention
Section 161
2
Intention
• 2.2 Fraud (Section 159-163)
Section 162. (กลฉ้อฉล ดยก รนง) In bilateral juristic acts, the
intentional silence of one of the parties in respect to a fact or
quality of which the other party is ignorant, is deemed to be a
fraud if it is proved that, without it, the act would not have
been made.
e.g. In life insurance agreement, the assurer does not tell the insurer
that he has a cancer.
Section 163. If both parties acted with fraud, neither of them

can allege it to void the act or to claim compensation.
e.g. In exchange agreement that A want to exchange fake gold with 3
B’s diamond. B intends to exchange his fake diamond with A’s gold.
Section 162
Section 162. (กลฉ้อฉล ดยก รนง) In bilateral

juristic acts, the intentional silence of one of
the parties in respect to a fact or quality of
which the other party is ignorant, is deemed 4
to be a fraud if it is proved that, without it,
the act would not have been made.
Q&A
Thank you 88
Section 163
Section 163. If both parties

acted with fraud, neither of 5
them can allege it to void the
act or to claim compensation.
Intention
• 2.3 Duress (ข่มข่) Section 164-166
Section 164. A declaration of intention is voidable if made
under duress.
Duress, in order to make an act voidable, must be imminent

and so severe that makes him fear and without it, the act
would not have been made.
Section 165. The threat of the normal exercise of a right is not

considered duress. Any act made owning to reverential fear is
not considered an act made under duress.
Section 166. Duress vitiates the juristic act, even when it is

exercised by a third person.
Business Law Class 4: Contract

Outline
• What is a contract or an agreement?
• Formation of Contract
• Elements of Contract
• 1. At least two parties
• 2. Identical intentions of all parties
• 3. Purposes of contract.
• Types of Contract
• Earnest/ Deposit/ Penalty
• Rescission of Contract
0
A Contract or an Agreement
What is it?
• A juristic act arising from two or more parties declaring their common
intentions to give raise to rights and obligations which are legally binding.
Formation of a Contract
• Offer from one party
• Acceptance from the other party and
• The offer and the acceptance are completely correct and in line with each
other.
Section 361. A contract between persons at a distance comes into

existence at the time when the notice of acceptance reaches the offeror.
• When an offer is made to a person who is at another location, the contract
is formed when the acceptance from that person reaches the person who
made the offer.
1
A Contract or an Agreement
Question: A (in Phuket) offered to sell her iPhone to B (in Bangkok)

at 20,000 Baht. This offer was sent from A to B by email. Then, B
replied by e-mail stating that she accepts to buy this iPhone at
20,000 Baht.
1. Due to no internet signal, this email did not reach A. Is there a
contract between A and B?
2. The email sent from B reached A’s inbox, but A has not opened
the email yet. Is there a contract between A and B?
2
The Effect of Declaration
Section 168. A declaration of intention made to a person in his presence takes effect
from the time when it becomes known to the receiver of the intention. This also
apply to the declaration of intention made by one person to the other through
telephone, other communication devices, or other means through which similar
communication can be made.
Section 169. A declaration of intention made to a person not in his presence takes
effect from the time when it reached the receiver of the intention. If does not
become effective if a revocation reaches him previously or simultaneously.
Even though the person who made a declaration of intention dies, becomes
incompetent or quasi-incompetent by an order of the Court after it has been sent,
the validity of declaration is not impaired thereby.
3
The Effect of Declaration
Types of declaration The declaration takes effects

Declaration made to a person at presence, or When the receiver knows the intention.
though telephone, communicate devices or
other similar means.
Declaration made a person at a distance. When the intention reaches the receivable.
4
Elements of Contract
1. There are at least two parties in contract.

2. The intentions of all parties must be identical intention.
3. There must be the purposes of contract.
5
Parties
There are at least two parties in contract.

• Two parties
• e.g. sales agreement (seller and buyer), loan agreement ( lender and
borrower) etc.
• More than two parties
• The agreement to set up a company
Section 1097. Any three or more persons may, by subscribing their names
to a memorandum and otherwise complying with the provisions of this
Code, promote and form a limited company.
One party can be one or a group of people.
• Co-ownership
Identical Intentions
The “Mirror Image” Rule: There is a “contract at the time when an offer and an
acceptance become identical.
• An offer must be accepted exactly without modifications.
• Question: In case that there is modification, what will happen?
• A modified acceptance becomes a new offer.
Section 359. If the acceptance of an offer arrives out of time, it is deemed to be

a new offer.
An acceptance with additions, restrictions or other modifications is deemed to be

a refusal coupled with a new offer.
A (Seller) B (Buyer)
I have a diamond ring to offer you at Okay. I want to buy it at that price.
one million baht.
I have a diamond ring to offer you at Let me take a look.

one million baht. I like it. But I think the price is too
high.
Can I buy it at five hundred thousand
baht?
Sorry, I cannot sell it at that price. It is still expensive for me.
How about eight hundred thousand Can I buy it at seven hundred
baht? thousand baht?
Okay. This price is just for you. Thanks!
• In due time
Clear and offer acceptance • No additions, restrictions,
definite other modifications
Contract
Section 361. The contract comes into existence at the time when the notice of acceptance reaches the offeror.
Purposes of Contract
Any contract must have purposes.

A contract with no purpose is like a human body which does not have spirit.
Any purpose must be
• Legal
• Possible
• In accordance with good order and morality
Section 150. An act is void if its object is expressly prohibited by law or is
impossible, or is contrary to public order or good morals.
100
Types of Contract
Unilateral Contract/ Bilateral Contract/Multilateral Contract
Reciprocal Contract /Contract with Remuneration

• A contract which all parties have rights and obligations with each other.
• Both parties are the creditor and debtor at the same time e.g. a sale contract.
Contract without Remuneration

• A contract which creates obligations for only one party. e.g. a gift.
• Section 521. A gift is a contract whereby a person. Called the donor,
transfers gratuitously a property of his own to another person, called the
donee, and the donee accepts such property.
Contract for the benefit of the party of the contract V.S. Contract for the benefit of a
third party
Principle Contract V.S. Accessory Contract.

• The principal contract is the main contract and is binding on its contractual
parties. An accessory contract is the secondary contract and is subjected to the
completeness of its principal contract. For example, a loan of money contract
(principal contract) and a guarantee contract (accessory contract), the principal
loan of money contract provides for the lending of money to the borrower and
the accessory guarantee contract provides for the guarantee of the repayment of
money to the lender. 101
Earnest or Deposit มัดจ
Section 377. If, on entering into a contract, something is given as earnest, this is deemed to
be proof of the conclusion of the contract. It also serves as a security that the contract shall
be performed.
A deposit can be money or other things of value which one contractual party delivered to
the other contractual party when entering into a contract. The deposit is the proof of the
conclusion of the contract and it is the security that the contract will be performed.
The deposit must be delivered, therefore immovable property cannot be used as deposit since
it cannot be delivered.
Section 378. In the absence of agreement to the contrary, earnest is:
(1). To be returned or treated as part-payment upon performance. (*Note: A deposit is not a

payment of debt in advance, therefore, when the debt had been paid to the creditor, the deposit is
returned.)
(2). To be forfeited, if the party giving it fails to perform, or if the performance becomes
impossible in consequence of the circumstance for which he is responsible or if the
rescission of the contract is due to his fault.
(3). To be returned, if the party receiving it fails to perform, or, if the performance becomes
impossible in consequence of a circumstance for which he is responsible.
102
Penalty บยปรับ (Section 379-383)
What is it ?
• A penalty is damages or compensation for damage which the contractual parties
agreed in advance.
• The debtor agreed that if the debtor does not perform his obligation in the
contract or does not perform it correctly, the penalty is forfeited, or the debtor is
requested to make payment of the penalty.
A penalty must have the following important characteristics:

(a) Damages that are stipulated in advance.
(b) Penalty can be stipulated as a money amount or a performance of obligation.
(c) If the penalty is stipulated as a money amount, the contractual parties have to
agree to stipulate the penalty amount or the way to calculate the penalty amount.
Section 383. If a penalty is disproportionately high, it may be reduced to a

reasonable amount by the Court. In determination of reasonableness every
legitimate interest of the creditor, not merely his property interest, shall be
taken into consideration. After payment of the penalty the claim for reduction
is barred.
If the debtor has NOT paid the penalty to the creditor, and the court considers
that the penalty is disproportionately higher than the actual damages caused,
the court may order to reduce the penalty to a reasonable amount.
• In its consideration, the court shall take into consideration every
legitimate interest of the creditor, not merely property interest.
• If the penalty had been paid, the claim for its reduction cannot be made. 103
Differences Between a Deposit and a Penalty
1. A deposit must be delivered to the other contractual party when entering into the
contract. However, a penalty amount can be delivered or not be delivered to the other
contractual party.
2. A deposit is something given to act as a security that the contract shall be
performed. A penalty amount is payable if the debtor does not perform his obligation
in the contract and damages has incurred. A deposit secures the performance of the
contract while a penalty compensates for the damages that arise.
104
Rescission of Contract ก ร ลกสัญญ
Right to terminate the contract
• By the agreement of parties to contract
• By provisions of law
• Right to terminate for delayed performance
• Right to terminate for impossibility of performance

• By the agreement of parties to contract
Section 386. If by contract or by the provisions of law one party has the right
of rescission, such rescission is made by a declaration of intention to the
other party.
The declaration of intention in the foregoing paragraph cannot be revoked.
The termination of contract once issued cannot be revoked by the terminating

105
party.
Right to Terminate for Delayed Performance
• By provisions of law
• Right to terminate for delayed performance
• Right to terminate for impossibility of performance
Section 387. If one party does not perform the obligation, the other party may fix a
reasonable period and notify him to perform within that period. If he does not
perform within that period, the other party may rescind the contract.
Fix reasonable period of time to perform + notify to the other party.

No performance of the other party in notified period right to rescind
For example, A and B entered into a sell contract whereby A sells B his computer and
B agrees to pay A the purchase price for the computer within five days . However, no
payment was made after five days, A notifies B to make payment within a reasonable
period. B did not make payment within the period; A can then terminate the sale
contract.
. 10
Right to Terminate for Delayed Performance
Section 388. If the object of a contract according to its nature or to an intention
declared by the parties can be accomplished only by performance at a fixed time or
within a fixed period, and such time or period has passed without one of the
parties having performed, the other party may rescind the contract without the
notification mentioned in the foregoing section.
The party has right to rescind without duty to notified the party who has delayed in
performance.
For example, A agree to organize grand opening ceremony for B’s company April 25,
2018 which is the first day of B’s company. However, A cannot do it on that date. B can
then terminate the contract without any prior notice.
10
Right to Terminate for Impossibility of Performance
Section 389. If performance becomes wholly or partly impossible by a cause
attributable to the debtor, the creditor may rescind the contract.
For example, A agrees to sell her car to B and B agrees to pay the purchase price when
A delivers the car. However, a fire destroyed the car completely due to A’s negligence. B
can then terminate the contract.
10
Effect of Rescission
Section 391. If one party has exercised his right of rescission, each party is bound
to restore the other to his former condition; but the rights of third persons cannot
be impaired.
To money which is to be repaid in the case of the foregoing paragraph interest is to

be paid from the time when it was received.
For services rendered and for allowing the use of a thing the restitution shall be
made by paying the value, or, if in the contract a counter-payment in money is
stipulated for, this shall be paid.
**The exercise of the right of rescission does not affect a claim for damages.
Effect of rescission: restore to the former condition or paying the value or counter-
payment in money + interest.
Section 7. Whenever interest is to be paid, and the rate is not fixed by a juristic
act or by an express provision in the law, it shall be seven and a half per cent
(7.5%) per year.
10
Q&A
Thank you
110
Business Law
Tort Law

111
Torts in Civil & Commercial Code
1. Damage Arising from Persons

2. Damage Arising from Properties
112
Torts in Civil & Commercial Code
Damage Arising from Persons
1. No liability without fault (Liability for his owned wrongful acts)
• Section 420
2. No fault liability
• Damage arising from the other person’s acts Liability for other person’s
wrongful acts)
• Damage arising from properties (Liability for wrongful acts caused by his
owned properties)
113
General Concept of Tort Law
Section 420 A person who, willfully or negligently, unlawfully injures the

life, body, health, liberty, property or any right of another person, is said to
commit a wrongful act and is bound to make compensation therefor.
114
General Concept of Tort Law
Criteria for Tort Liability in Section 420
1. There is an act with conscious of a person to another person.
• Natural person and juristic person
2. The act is willful or negligent.
• Willfulness: knowing that his act will injure another person.
• Negligence e.g. driving a car faster than the speed limit regulated by law.
3. The act is unlawful.
4. There is injury arising from the act.
• Property loss
• Mental loss
• Life
• Body/ Health
5. There is a causation arising from the act.
• Link between the act and injury
115
No Fault Liability under Thai Law: Liability for the Other Person’s Acts
(Damages Arising from Person)
General Rules
• Section 425 Employer v. Employee
Section 425. An employer is jointly liable with his employee for the consequences of a
wrongful act committed by such an employee in the course of his employment.
• Section 427 Principal v. Agent

Section 427. The two foregoing sections shall apply mutatis mutandis to principal and
agent.
• Section 429 Parents/Guardian v. Minor/Unsounded Mind Person

Section 429. A person, even though incapacitated, on account of minority or
unsoundness of mind is liable for the consequences of his wrongful act. The parents of
such person are, or his guardian is, jointly liable with him, unless they or he can prove
that proper care in performing their or his duty of supervision has been extended.
• Section 430 Teacher, employer or other person v. Incapacitated Person

Section 430. A teacher, employer or other person who undertakes the supervision of an
incapacitated person either permanently or temporarily, is jointly liable with such 116
person for any wrongful act committed by the latter whilst under his supervision,
provided that it can be proved that he has not exercised proper care.
Employer v. Employee
Section 425. An employer is jointly liable with his employee for the
consequences of a wrongful act committed by such an employee in the course
of his employment.
• A legal doctrine stating that an employer must be responsible of actions that his
employees performed within the course of their employment.
• Why must an employer be jointly liable with an employee in the course of his
employment?
117
Employer v. Employee
consequences of a wrongful act committed by such an employee in the
course of his employment.
• An employer is jointly liable with his employee for the consequences of a
wrongful act committed by such employee in the course of his
employment.
• Only in the scope of the contract of service/labor contract.
• The contract of hiring of work is not included in this section.
Section 426. The employer who has made compensation to a third person
for a wrongful act committed by his employee is entitled to reimbursement
from such employee.
• The employer who has made compensation to a third person for a
wrongful act committed by his employee is entitled to reimbursement
from such employee.
118
Employer vs. Employee
Criteria for the Employer’s Liability

• There is a Hire of Services.
• Section 575. A hire of service is a contract whereby an employee
agrees to render services to an employer, who agrees to pay a
remuneration for the duration of the services.
• A Hire of Services is different from a Hire of Work.
• Section 587. The hire of work is a contract whereby a person, called
contractor, agrees to accomplish a definite work for another person,
called employer, who agrees to pay him a remuneration of the result of
the work.
Section 425
• The employee commits the wrongful act.
• The employee is in the course of his employment.
• Whether the action of tort is relating to the work and exists while the
employee is working for his employer.
119
Employer vs. Employee
Results
• The employee is liable for his wrongful act. (Section 420 and 423)
• The employer is jointly liable for his employee’s wrongful act. Section
425)
• The employer can take recourse from his employee for the compensation
that he has made. (Section 426)
consequences of a wrongful act committed by such an employee in the
course of his employment.
Section 426. The employer who has made compensation to a third person
for a wrongful act committed by his employee is entitled to reimbursement
from such employee.
120
Q&A
Thank you
121
Midterm Exam: 40 marks
I. To define legal terms: 5 questions = 10 marks

II. To answer short questions: 1-2 question = 10 marks
III. T/F: 20 questions = 10 marks
IV. Case question: 1 question = 10 marks
122

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Business Law

Class 1: General Principles in the Civil and Commercial Code

Ajarn Chanisa Ngamapichon

Thailand is a civil law country which has all laws in writing.

Book 1 - General terms: person, things, juristic acts

• i.e. personal rights, software program, intellectual property

I. Immovable things and movable things

• Section “A sale of immovable property is void unless it

• Section 1 1 “Divisible things are those which can be

Section 1 “Trees when planted for an unlimited period of time are

Section 1 “Things temporarily fixed to land or to a building do not

Natural fruit denotes that which is a natural offspring of

Legal fruit denotes a thing or other interest obtained

• Other examples of real rights in property: right to a servitude

Therefore, the elements of a juristic (legal) act from a person are:

(a) Delivery of the property (i.e. Section 641);

Section 538. A hire of immovable property is not enforceable by action

Section 714. A contract of mortgage must be made in

Ajarn Chanisa Ngamapichon 34

Section 15. Personality begins with the full completion of birth

Section 19. A person, on completion of twenty years of age

Section 20. A minor becomes sui juris upon marriage, provided

Section 22. A minor can do all acts by which he merely acquires

Section 25. A minor, after completing fifteen years of age, can

Section 153. An act which does not comply with the

**Section 21. For the doing of a juristic act, a minor must

Section 1574. A person exercising parental power cannot enter

(1) selling, exchanging, sale with right of redemption, letting out

**Section 29. An act done by a person adjudged incompetent is

Section 31. If the cause of the incompetence ceases to exist, the

The person adjudged incompetent under paragraph one must be placed 50

Section 651. Costs of the contract, costs of delivery of the

Ajarn Chanisa Ngamapichon 5

An agreement to sell or to buy any of the aforesaid property, or a promise

The provisions of the foregoing paragraph shall apply to a contract of sale

No repayment of a loan of money evidenced by writing may be proved

The mistake as to an essential element of the juristic act under

Section 158. If the mistake under Section 156 or Section 157

Mistake under paragraph one must be a mistake as to the

Section 158. If the mistake under Section 156 or Section 157

An act under paragraph one is voidable on account of fraud

When a party has made a declaration of intention owing to a

Section 161. (กลฉ้อฉล พอ หต) If the fraud is only incidental

Section 163. If both parties acted with fraud, neither of them

Section 162. (กลฉ้อฉล ดยก รนง) In bilateral

Section 163. If both parties

Duress, in order to make an act voidable, must be imminent

Section 165. The threat of the normal exercise of a right is not

Section 166. Duress vitiates the juristic act, even when it is

Ajarn Chanisa Ngamapichon

Section 361. A contract between persons at a distance comes into

Question: A (in Phuket) offered to sell her iPhone to B (in Bangkok)

Types of declaration The declaration takes effects

1. There are at least two parties in contract.

There are at least two parties in contract.

Section 359. If the acceptance of an offer arrives out of time, it is deemed to be

An acceptance with additions, restrictions or other modifications is deemed to be

I have a diamond ring to offer you at Let me take a look.

Any contract must have purposes.

Reciprocal Contract /Contract with Remuneration

Contract without Remuneration

Principle Contract V.S. Accessory Contract.

Section 378. In the absence of agreement to the contrary, earnest is: