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Legal Update

Proposed Amendments To The Condominium Act

12 February 2007
Mayer Brown JSM Legal Update


The Condominium Act B.E. 2522 (1979) seems to be out of date, as some of its provisions are not appropriate and do not reflect the current situation.  Therefore, amendments to this Act are proposed to alleviate difficulties involved with the enforcement and implementation of the existing Act, and additional measures to protect condominium unit buyers are also being introduced.  The significant amendments are: (i) the definition of "Co-Owners" will be further clarified; (ii) the ownership right of co-owners to common property shall be according to the ratio of the official appraisal price prescribed by the relevant authorities; (iii) the land official will have the authority to register the transfer of the condominium unit without requiring a "certificate of free of debts", subject to other requirements being fulfilled; and (iv) standard rules and regulations governing condominium juristic persons is also proposed. 

Full Update

In particular, under the proposed amendment, the definition of "Co-Owners" will be clarified as "a person whose name is registered in a condominium unit title deed in each condominium", whilst the existing Act provides only that it is an "owner of condominium unit in each condominium".

The proposed amendment allows the relevant official, provided certain conditions are fulfilled, to register the transfer of the condominium unit without the "certificate of free of debts", which is a crucial document required for the registration according to the existing Act.  This will solve the problem of situations where the manager of the condominium juristic person does not issue a "certificate of free of debts" to the co-owner. 

Another significant amendment is the standardisation of the rules and regulations for condominium juristic persons by prescribing a standard form.

In addition, it also proposes to stipulate the qualification of the manager of the condominium juristic person as well as the process for the appointment and removal of the manager of the condominium juristic person, which are not currently prescribed in the existing Act.

Furthermore, the following matters are also to be amended:

  • The evidence and other particulars required for the application to register the condominium.

  • The ownership right of co-owners over the common property.

  • The expenses and taxes for which co-owners shall jointly be responsible, including payment of the same and measures to enforce payment obligations.

  • The rules and procedures for meetings of co-owners, the co-owners' right to call a meeting and the voting procedure in a meeting.

  • Foreigners' entitlement to own condominium units in proportion with the area of the condominium units.

At present the draft proposed amendments are being considered by The Office of The Council of State before it is passed to The National Legislative Assembly for further consideration.  This process may take several months and the details of the amended Act may change.  We will discuss and provide more details on the proposed amendments once they are made available for public review.

For further information, please contact:

Name: Araya Akomsoonthorn
Phone: +66 2 677 7585 x160
Fax: +66 2 677 7599

Name: Kesara Summacarava
Phone: +66 2 677 7555 x187
Fax: +66 2 677 7599

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