In every business it Is natural that different shareholders have a different perception about the business. Nevertheless, sometimes these differences and disagreements lead to shareholders disputes at court of justice in Thailand. In many cases, the litigation arises from incorrect company structuring where minority shareholders are not duly protected.
According to Thai Law, each shareholder has a right to know the management of the company’s business. In case a director of the company cause damage to the company, a shareholder can file a civil case or criminal against the director, depending on the facts.
In Thailand the shareholder can file a lawsuit against the director in case the company does not file a lawsuit against the director.
In many companies registered in Thailand, the director is also a company’s shareholder. In these cases, we cannot expect that the company sues the director, therefore we, as your lawyers in Thailand, need to follow different strategy to achieve your goals and solve this dispute.
In case a director committed a crime against the company, the shareholder can file a criminal lawsuit against the director as injured person according to the Thai Criminal Procedure Code. For example, in embezzlement cases or fraud cases.
Based on H&P Bangkok Litigation lawyers’ opinion, we always recommend to conduct a comprehensive due diligence prior entering into litigation, in order to obtain solid evidences that can make a minority shareholder to enforce their rights against directors or majority shareholders.
If you have a shareholder dispute in Thailand and need lawyer representation, please contact H&P at [email protected]