FAQs: E-Commerce
and Telecommunications
E-Commerce
Q.
Are there any e-commerce related laws in Thailand?
A.
There are presently no laws in Thailand
that address transactions taking place via the Internet, with the exception of
specific regulations/guidelines such as the Regulation of the Stock Exchange of
Thailand Re: Trading of Securities Through the Internet System, 2000.
The
government is in the process of drafting/adopting five e-commerce-related laws.
Two of them, the Electronic Transactions Bill and the Universal Access Bill, are
pending consideration of the new government. The three other proposed laws--the
Data Protection Law, the Electronic Fund Transfer Law, and the Computer Crime
Law--are still in the drafting stage.
The National Information Technology Committee ("NITC"), under the Prime Minister
and the Ministry of Science, Technology and Environment, through several sub-committees,
has been endorsed with the drafting of the proposed new laws. The National Electronic
and Computer Technology Center ("NECTEC") is working with the sub-committees as
a secretariat office. Each law is the responsibility of a separate sub-committee
chaired by one legal expert and composed of various representatives from agencies
concerned.
Q.
What will be the scope of the proposed e-commerce laws?
A.
It is hoped that the new laws described below will be adopted soon in order to
bring security and give consumers and businesses increased confidence in the viability
of B2B and B2C online transactions (the Electronic Transactions Bill is presently
awaiting consideration by the Parliament, the Universal Access Bill is awaiting
consideration by the Cabinet, while the three other proposed laws are still in
the drafting stage).
-
Electronic Transactions Bill
The
adoption of the Electronic Transactions Bill is crucial for the development of
e-commerce in Thailand, as there are presently no laws and regulations that address
transactions taking place via the Internet. Under the present system, electronic
signatures are not yet recognized as valid and binding signatures. The proposed
Bill would alleviate that problem, as it would provide the legal framework necessary
to support electronic signatures, transactions, and documents as well as recognize
their electronic retention under certain conditions. The law, when adopted, shall
apply to civil and commercial transactions with few exceptions as shall be prescribed
in a Royal Decree to be adopted thereunder.
Under
the proposed Bill, electronic signatures shall be given the same legal status
as handwritten signatures, provided a reliable method is used. The Bill is technology-
neutral, in that it does not require signatures to be made through the use of
a specific technology. However, a Royal Decree to be adopted thereunder shall
provide for a list of "secure" technologies. Certification service providers may
be required to register and/or obtain licenses as shall also be prescribed in
a Royal Decree.
An
"Electronic Transactions Board", a regulatory body under the Bill, is to be set
up to lay down policies for the promotion and development of certification systems.
The
Electronic Transactions Bill was expected to be enacted by the end of 2000, but
its adoption has been delayed due to the recent change in Government. Before the
election (which took place in early 2001), the Bill was pending consideration
of the Parliament. The Bill is now awaiting consideration by the Senate (the new
Government agreed to consider the Bill as drafted by the prior Government).
The
Universal Access Bill is presently with the Office of the Council of State. The
Bill aims at promoting and supporting the development of a proper information
infrastructure throughout the country. A special information infrastructure development
promotion fund is to be set up under the law to assist local communities in the
establishment and development of their information centers. The Bill puts special
emphasis on the allocation of funds, for the provision of services and necessary
equipment regarding access to information for the disabled, children, the elderly,
and the underprivileged in the society must be taken into account.
- Electronic
Fund Transfer Law
The
Electronic Fund Transfer Law will provide consumer protection and establish security
procedures in electronic fund transfers. The Law is still in the drafting process.
The
draft of the Data Protection Law is almost completed. Based on the data protection
laws of the European Union, Australia, New Zealand, and Hong Kong, the Law will
provide protection for personal data of individuals but not corporate information.
The Law aims at protecting individuals from misuse of their personal information,
and it will regulate the collection and retention of such information.
- Computer
Crime/Computer-Related Crime Law
The
draft of the Computer Crime Law is nearly completed, and it is expected to be
released for public hearings in the coming months. The Law will clarify what constitutes
a computer crime (e.g., unauthorized access, interception of data, use of a computer;
computer-related espionage, forgery, fraud, and sabotage; reproduction of a protected
computer program; and online child pornography).
Q.
What laws presently govern e-commerce transactions?
A. Until the proposed e-commerce-related
laws are adopted, all Internet transactions over which Thai courts have jurisdiction
will be governed by reference to existing laws. The application of traditional
laws may create problems, since they cannot easily be applied to Internet transactions.
Indeed, rapid changes in telecommunications have resulted in practices that are
vastly different from those contemplated by the legislators when drafting the
existing legislation. For instance, some agreements require handwritten signatures
for legality and enforceability, such as agreements for the sale of goods where
the agreed price is more than Baht 500 (approximately US$13).
Q.
Is digital signature recognized as a valid and binding signature?
A. No. Until
such time the Electronic Transactions Bill is adopted, Thai courts will not recognize
digital signatures as valid signatures.
(Updated
July 12, 2001)
The above is intended to provide general information only. The
contents do not constitute legal advice and should not be relied
upon as such. If legal advice or other expert assistance is required,
the services of competent professionals should be sought.
For
further information, please contact Mr.
John Fotiadis, Commercial Department (john.f@tillekeandgibbins.com).
