Overview
A recent decision of the Supreme Court of Thailand has provided clearer guidance on the rights and obligations of foreign condominium unit owners in common-area disputes. The case involved a foreign owner challenging a co-owners' resolution on maintenance fee allocation and voting procedures.
Key points from the decision
The court addressed several recurring issues in condominium disputes:
- Voting rights: Foreign unit owners enjoy voting rights proportional to their ownership area, on the same basis as Thai owners. Restrictions in condominium bylaws that discriminate on the basis of nationality are unenforceable.
- Maintenance fees: Common-area maintenance fees must be allocated according to each unit's ownership ratio. A co-owners' resolution that departs from this formula without proper notice and vote may be set aside.
- Proper notice: Co-owners must receive adequate notice and supporting documentation before any resolution affecting their financial obligations. The court emphasized that notice requirements are substantive, not merely procedural.
Implications for foreign buyers
Foreign nationals purchasing condominiums in Thailand should:
- Review the condominium's bylaws and any existing co-owners' resolutions before completing the purchase.
- Confirm that maintenance fee calculations follow the Condominium Act and the registered bylaws.
- Retain copies of all notices, meeting minutes, and resolutions affecting common areas.
How we can help
Our property team reviews condominium purchase agreements, conducts due diligence on title and common-area records, and represents foreign owners in disputes with co-owners or juristic persons. Early legal review of condominium documents helps prevent disputes before they arise.