Comparative Analysis of Deficiencies in the Law on Unfair Contract Terms in Thailand and Practical Ways for Amendment

Abstract

This article investigates the legislation on unfair contract terms in Thailand – the Unfair Contract Terms Act, B.E. 2540 (1997) (Thai ucta). It provides critical discussion of fundamental provisions and legal concepts of this Act in comparison with, where relevant, the American statutory unconscionability doctrine, the Unfair Contract Terms Act 1977 of the United Kingdom (UK ucta) and the Directive on Unfair Terms in Consumer Contracts 1993 of the European Union. As this domestic legislation is principally a product of the imitation of the UK ucta, many of its provisions are compared and contrasted with provisions of the UK ucta. This article brings out deficiencies having long dwelled in the Thai ucta and resulting in clouds of confusion even in judicial decisions of Thailand. Practical ways in which those deficiencies can be rectified are clearly recommended in the hope of providing insightful information to legal practitioners and legal scholars alike.