THAILAND Law and Practice Contributed by: Chusert Supasitthumrong, John Frangos, Alongkorn Tongmee and Eric Meyer, Tilleke & Gibbins
12.3 ADR Institutions ADR institutions which have been promoting ADR, particularly mediation, are the Thailand Arbitration Center (THAC) and the Thai Arbi- tration Institute (TAI). In addition to providing arbitration services, THAC offers standalone mediation services (both online and in-person) with a panel of mediators from which parties can choose. TAI does not offer separate mediation services, but can accommodate the mediation process during ongoing arbitration proceedings. 13. Arbitration 13.1 Laws Regarding the Conduct of Arbitration The relevant laws regarding the conduct of arbi- trations and the recognition or enforcement of arbitral awards in Thailand are the Arbitration Act B.E. 2545 (2002) and certain provisions of the Civil Procedure Code (Sections 210–222) that specifically address arbitration proceedings. 13.2 Subject Matters Not Referred to Arbitration Disputes related to criminal matters, family law, labour issues, and certain intellectual property cases cannot be resolved through arbitration, as doing so would conflict with public policy. 13.3 Circumstances to Challenge an Arbitral Award Parties can challenge an arbitral award, either domestic or foreign, on the following grounds: • the party against whom the award was sought was legally incapacitated; • the arbitration agreement is not binding under the law of the country agreed to by the par- ties (or, failing any indication, under Thai law);
that the awarded costs are fair and reasonable, reflecting the actual expenses required for the litigation. 11.3 Interest Awarded on Costs Under Thai law, interest on costs will not be awarded to the winning party. Instead, the court will order the losing party to pay court fees and attorney fees to the winning party. The attorney fees will vary depending on the type of case. In cases with a computable monetary claim, the court will order the losing party to pay attorney fees of no less than THB3,000 and no more than 5% of the claim value. In non-monetary claim cases, the attorney fees must be no less than THB3,000 and no more than THB30,000. 12. Alternative Dispute Resolution (ADR) 12.1 Views of ADR Within the Country Thailand is a country in which compromise has traditionally been the preferred method of resolv- ing disputes when possible. Thai people tend to avoid bringing a civil case to the court unless it is absolutely necessary. 12.2 ADR Within the Legal System Negotiation or mediation in civil court proceed- ings is not mandatory. Nevertheless, the court always encourages the parties to discuss settle- ment. The court may conduct a mediation ses- sion. If the parties are able to settle, the court will issue a consent judgment in accordance with the settlement agreement. As it is a voluntary process, there are no sanctions or penalties for unreasonably refusing to participate in negotia- tion or mediation.
1393 CHAMBERS.COM
Powered by FlippingBook