Practical Law: Doing Business in Thailand 2021

November 18, 2024

Thailand Reaffirms Alcoholic Beverage Packaging and Labeling Requirements

A new notification on required labeling and packaging for alcoholic beverages was published in Thailand’s Government Gazette on November 8, 2024, taking full effect the following day. The notification (Notification of the Alcoholic Beverage Control Committee Re: Criteria, Methods, and Conditions for Packaging of Alcoholic Beverages and Warning Statements of Alcoholic Beverages Both Produced Domestically and Imported into Thailand 2024) essentially reaffirms a mandatory requirement for packaging and warning statements for alcoholic beverages, which echoes existing regulations from 2009 and 2017. Under the authority of the Alcoholic Beverage Control Act B.E. 2551 (2008) (ABCA), the notification reinforces the Alcoholic Beverage Control Committee’s objective of promoting consumer awareness through standardized warning labels. The notification addresses the following key aspects: Packaging definitions. The notification defines packing-related terms for the first time under the ABCA. These terms include (1) packaging, (2) containers (also known as primary packaging), and (3) outer packaging (secondary packaging). Packaging requirements. Containers for alcoholic beverages produced or imported for sale in Thailand must be at least 0.175 liters each. Warning statements. Although alcoholic beverages are classified as food under the Food Act B.E. 2522 (1979), the notification exempts alcoholic beverages from general food labeling requirements prescribed in the Food Act. Instead, it mandates that the following warning statements be prominently displayed: Sale of liquor to persons under 20 years old is prohibited; Drinking reduces driving ability; and Not suitable for persons under 20 years old. Format. The notification specifies that these warning statements must be written in Thai, in bold characters, with a minimum type size of five millimeters. The warning must be enclosed in a box that contrasts with the label background and surrounding content. Exemptions. Certain products, such as alcoholic beverages imported as samples or otherwise not intended for commercial sale, are exempt from the warning

November 15, 2024

Changes to Domain Name Dispute Resolution Under Vietnam’s New Internet Decree

Vietnam’s new Decree No. 147/2024/ND-CP on the management, provision, and use of internet services and online information (“Decree 147”), which will come into effect on December 25, 2024, replacing Decree No. 72/2013/ND-CP (“Decree 72”), introduces several changes to the regime for domain name dispute resolution. The new decree aims to clarify the legal framework and address some longstanding inconsistencies between Vietnam’s laws on intellectual property and information technology. The main changes related to domain name dispute resolution under Decree 147 are summarized below. Removal of Prescriptive Actions Decree 147 no longer lists specific actions for resolving domain name disputes. Decree 72 had outlined three methods: negotiation/mediation, arbitration, and court. However, IP practitioners had long criticized this approach, arguing it conflicted with the IP Law, which additionally allows administrative action. By omitting these methods, the new decree implies an acceptance of administrative action as provided in the IP Law. However, Decree 147 remains silent on establishing a dispute resolution forum aligned with the CPTPP’s requirement for a UDRP-like model. Currently, Vietnam’s available forums do not fully conform to the UDRP framework. An anticipated circular may provide further guidance on this aspect. Deactivation of Domain Names Decree 72 does not have any provision on the deactivation of a domain name. However, Decree 147 has stipulated some situations where domain names will be deactivated, such as when there is a request from an authority, or when it is discovered that incorrect information was used for registration. Clearer Criteria for Dispute Resolution Article 16 of Decree 147 sets out three clear criteria that must be met for domain name dispute resolution to proceed: (i) confusing similarity with the plaintiff’s trademark, trade name, or personal name; (ii) the defendant’s lack of legitimate rights or interests in the domain name; and (iii) bad faith. Previously,

November 15, 2024

Vietnam Issues New Decree Governing Internet Services and Online Information

On November 9, 2024, the government of Vietnam promulgated Decree No. 147/2024/ND-CP on the management, provision, and use of internet services and online information (“Decree 147”). This decree supersedes the previous Decree No. 72/2013/ND-CP dated July 15, 2013, on the same topic (“Decree 72”) and its amending regulations, and will take effect on December 25, 2024. Spanning over 200 pages, with an appendix of 62 forms, Decree 147 addresses a wide range of key internet and online topics, including internet services; domain names; cross-border information provision; social network services; aggregated information websites; online game services; app store services; information content services on mobile telecom networks; responsibilities of telecom, internet, web hosting, data center, and telecom application service providers; and measures to handle illegal content. This decree is expected to have a significant impact on both onshore and offshore service providers in the respective fields, and will potentially tighten the regulatory landscape for internet services and online information provision in Vietnam. Some highlights from the new Decree 147 compared to its predecessor are detailed below. Cross-Border Information Provision Offshore service providers, including offshore social network service providers and offshore app store service providers, who provide services on a cross-border basis and either lease data storage in Vietnam or meet a threshold of 100,000 or more total visits per month from Vietnam for six consecutive months must adhere to stricter requirements than other providers. Notable obligations of these regulated cross-border providers include: Notifying the Authority of Broadcasting and Electronic Information (ABEI) of their contact information. Monitoring and removing illegal content. Storing and managing user data as required. Authenticating social network user accounts using Vietnamese mobile number or ID number. Reporting to the ABEI annually as well as on an ad hoc Handling user complaints. Only cross-border providers who have notified the

November 13, 2024

Thailand to Set Additional Obligations for Specific Digital Marketplaces

Thailand’s Electronic Transactions Committee has publicized a new draft notification detailing additional duties for specific marketplace digital platform service operators under Section 18(2) of the Royal Decree on Operation of Digital Platform Service Businesses Subject to Prior Notification B.E. 2565 (2022). The draft notification, which is open for public comments until November 30, 2024, aims to provide enhanced protection for users of “specific marketplace platforms” (defined below). Some key points of the draft notification are detailed below. Scope The draft notification applies to “marketplace digital platform services,” which refers to digital platform services that serve as an intermediary for buying or exchanging goods and provide services to facilitate sale transactions, such as providing communication systems (e.g., chat features), shopping carts, delivery arrangements, and supplemental payment processing facilitation. “Specific marketplace platforms” refers to Section 18(2) of the Royal Decree on Digital Platform Services, which covers digital platform services that pose risks to financial and commercial security, the reliability and credibility of data messaging systems, or potential harm to the public, and that have a high level of potential impact based on the criteria for assessing the impact of digital platform service operations. Key Obligations Registration. The draft notification requires the marketplace operators mentioned above to be registered as legal entities in Thailand. Terms and conditions. The draft notification details additional obligations relating to marketplace operators’ terms and conditions: In addition to existing obligations prescribed in the Royal Decree and the relevant subordinate laws, the draft notification emphasizes that the terms and conditions must be in Thai, clear, accessible, and understandable, and may include graphical elements to aid explanation. The terms and conditions must prescribe conditions relating to the sale of products subject to specific standards, such as those restricted under the Food Act, the Drugs Act, and the Industrial Product

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November 24, 2021