Jumpmenu Sections

GeneralProvisions Sections114
Persons(natural) Sections1536
Domicileanddisappearance Sections3764
JuristicPersons Sections6579
Associations Sections78109
Foundations Sections110136
Things Sections137148
JuristicActs(declaration/void/voidable/conditions) Sections149193
PeriodsofTime Sections193193
Prescription Sections193193
Obligations(subjectandeffectofobligations) Sections194226
Subrogation Sections226240
RightofRetention Sections241250
PreferentialRights Sections251289
Pluralityofdebtorsandcreditors(andtransferofclaims) Sections290313
ExtinctionofObligations Sections314340
Setoff Sections341348
Novation Sections349354
Contract(formation,effect,penalty,rescission) Sections355394
ManagementofAffairs(withoutmandate) Sections395405
UndueEnrichment Sections406419
WrongfulActs Sections420452
Sale(specificcontractstransfer/liabilities/redemption/exchange/auction) Sections453520
Gift Sections521536
HireofProperty(general/duties/liabilities/extinction) Sections537574
HireofService Sections575586
HireofWork Sections587607
Loan Sections640656
Mortgage Sections702746
Pledge Sections747769
Agency Sections797844
Brokerage Sections845849
Compromise Sections850852
GamblingandBetting Sections853855
PartnershipsandCompanies(generalprovisions) Sections10121024
OrdinaryPartnerships(dissolution,registration) Sections10251076
LimitedPartnerships Sections10771095
LimitedCompanies(natureandformation/shares/meetings/directors,etc.) Sections10961195
Balancesheet(dividend/books/dissolution/removal Sections11961297
Property(generalprovisions) Sections12981307
Ownership(acquisition/extentandexercise/coowner) Sections13081366
Possession Sections13671386
Servitudes Sections13871401
Habitation Sections14021409
Superficies Sections14101416
Usufruct Sections14171428
Chargeonimmovableproperty Sections14291434
Marriage(conditions) Sections14351500
Property
Voidand
Termina
Parenta
Guardia
Adoptio
Successi
Statutor
Wills(ge
Adminis
Partition

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Section4.Thelawmustbeappliedinallcaseswhichcomeswithintheletterandspiritofanyofits
provisions.
Wherenoprovisionisapplicable,thecaseshallbedecidedbyanalogytotheprovisionmostnearly
applicable,and,indefaultofsuchprovision,bythegeneralprinciplesoflaw.
Section5.Everypersonmust,intheexerciseofhisrightsandintheperformanceofhisobligations,
actingoodfaith.
Section6.Everypersonispresumedtobeactingingoodfaith.
Section7.Wheneverinterestistobepaid,andtherateisnotfixedbyajuristicactorbyanexpress
provisioninthelaw,itshallbesevenandahalfpercentperyear.
Section8."Forcemajeure"denotesanyeventthehappeningorperniciousresultofwhichcouldnot
bepreventedeventhoughapersonagainstwhomithappenedorthreatenedtohappenwereto
takesuchappropriatecareasmightbeexpectedfromhiminhissituationandinsuchcondition.
Section9.Wheneverawritingisrequiredbylaw,itisnotnecessarythatitbewrittenbytheperson
fromwhomitisrequired,butitmustbearhissignature.
Afingerprint,cross,sealorothersuchmarkaffixedtoadocumentisequivalenttoasignatureifitis
certifiedbythesignatureoftwowitnesses.
Theprovisionsofparagraphtwoshallnotapplytoafingerprint,cross,sealorothersuchmark
affixedtoadocumentbeforethecompetentauthorities.
Section10.Whenaclauseinadocumentcanbeinterpretedintwosenses,thatsenseistobe
preferredwhichgivessomeeffectratherthanthatwhichwouldgivenoeffect.
Section11.Incaseofdoubt,theinterpretationshallbeinfavourofthepartywhoincursthe
obligation.
Section12.Wheneverasumorquantityisexpressesinlettersandinfigures,andthetwo
expressionsdonotagree,andtherealintentioncannotbeascertained,theexpressininlettersshall
beheldgood.
Section13.Wheneverasumorquantityisexpressedseveraltimesinlettersorseveraltimesin
figures,andtheseveralexpressionsdonotagree,andtherealintentioncannotbeascertained,the
lowestexpressionshallbeheldgood.
Section14.Wheneveradocumentisexecutedintwoversions,oneintheThailanguage,theother
inanotherlanguage,andtherearediscrepanciesbetweenthetwoversions,anditcannotbe
ascertainedwhichversionwasintendedtogovern,thedocumentexecutedintheThailanguage
shallgovern.
(up)
TITLEII
PERSONS
CHAPTERI
NATURALPERSONS
PARTI
Personality
Section15.Personalitybeginswiththefullcompletionofbirthasalivingchildandendswithdeath.
Achildenventresamereiscapableofrightsprovidedthatitisthereafterbornalive.
Section16.Incalculatingtheageofaperson,thebirthdayshallbecounted.Ifonlythemonthof
birthisknown,thefirstdayofsuchmonthshallbecountedasthebirthdaybutifitisnotpossibleto
ascertainthedateofbirthofaperson,hisageiscalculatedfromthefirstdayoftheofficialyear
duringwhichsuchbirthtookplace.
Section17.Whenseveralpersonshaveperishedinacommonperil,anditisnotpossibleto
determinewhichofthemperishedfirst,theywillbepresumedtohavediedsimultaneously.
Section18.Iftherighttouseofanamebyapersonentitledtoitisdisputedbyanother,orifthe
interestofthepersonentitledisinjuredbythefactthatanotherusesthesamenamewithout
authority,thenthepersonentitledmaydemandfromtheotherabatementoftheinjury.Ifa
continuanceoftheinjuryistobeapprehended,hemayapplyforaninjunction.
PARTII
CAPACITY
Section19.Aperson,oncompletionoftwentyyearsofageceasestobeaminorandbecomessui
juris.
Section20.Aminorbecomessuijurisuponmarriage,providedthatthemarriageismadein
accordancewiththeprovisionsofSection1448.
Section21.Forthedoingofajuristicact,aminormustobtaintheconsentofhislegal
representative.Allactsdonebyhimwithoutsuchconsentarevoidableunlessotherwiseprovided.
Section22.Aminorcandoallactsbywhichhemerelyacquiresarightorisfreedfromaduty.
Section23.Aminorcandoallactswhicharestrictlypersonal.
Section24.Aminorcandoallactswhicharesuitabletohisconditioninlife,andactuallyrequired
forhisreasonableneeds.
Section25.Aminor,aftercompletingfifteenyearsofage,canmakeawill.
Section26.Whenthelegalrepresentativepermitsaminortodisposeofpropertyforapurpose
specifiedbyhim,theminormay,withinthelimitsofsuchpurpose,disposeofitathispleasure.He
maydothesameastopropertywhichhehasbeenpermittedtodisposeofwithoutanypurpose
beingspecified.
Section27.Thelegalrepresentativemaypermitaminortocarryonacommercialbusinessorother
business,ortoenterintoahireofservicescontractasanemployee.Incaseofrefusalbytheformer
withoutreasonableground,theminormayapplyintheCourtforgrantingpermission.
Theminorshall,inrelationtothecarryingonofbusinessorthehireofservicesunderparagraph
one,havethesamecapacityasapersonsuijuris.
Ifthecarryingonofabusinessofservicesopermittedunderparagraphonecausesaserious
damageorinjurytoaminor,thelegalrepresentativemayterminatethepermissiongrantedtothe
minorormay,incaseofhavingbeengrantedbytheCourt,applytotheCourtforrevocationofthe
permissiongranted.therefore
Ifthepermissionisunreasonablyterminatedbythelegalrepresentative,theminormayapplytothe
Courtforrevokingtheterminationofpermissionofthelegalrepresentative.
Theterminationofpermissionmaybythelegalrepresentativeortherevocationofpermissionby
theCourtwouldmaketheminor'scapacityofapersonsuijurisceasetoexist,butdoesnotaffect
anyactsdonebytheminorbeforetheterminationorrevocationofthepermission.
Section28.ApersonofunsoundmindmaybeadjudgedincompetentbytheCourtontheapplication
ofanyspouse,ascendants,descendants,guardianorcurator,apersontakingcareofthepersonor
thePublicProsecutor.
Thepersonadjudgedincompetentunderparagraphonemustbeplacedunderguardianship.The
appointmentofguardian,poweranddutiesofguardian,andterminationofguardianshipshallbein
accordancewithprovisionsofBookVofthisCode.
TheorderoftheCourtunderthisSectionshallbepublishedintheGovernmentGazette.
Section29.Anactdonebyapersonadjudgedincompetentisvoidable.
Section30.Anactdonebyapersonofunsoundmindbutnotadjudgedincompetentisvoidableonly
whentheactwasdoneatatimehewasactuallyofunsoundmind,andtheotherpartyhad
knowledgeofsuchunsoundness.
Section31.Ifthecauseoftheincompetenceceasestoexist,theCourtshall,ontheapplicationof
thepersonhimselforofanyofthepersonsmentionedinSection28,revoketheadjudication.
TheorderoftheCourtrevokingtheadjudicationundertheSectionshallbepublishedinthe
GovernmentGazette.
Section32.Apersonwhohasphysicalormentalinfirmity,habitualprodigalityorhabitual
intoxicationorothersimilarcausesthatmakehimincapableofmanaginghisownaffairs,orwhose
managementislikelytocausedetrimenttohisownpropertyorfamily,maybeadjudgedasquasi
incompetentbytheCourtuponapplicationbyanyofthepersonsspecifiedinSection28.
Thepersonadjudgedquasiincompetentunderparagraphonemustbeplacedundercuratorship.
TheappointmentofcuratorshallbeinaccordancewiththeprovisionsofBookVoftheCode.
TheorderoftheCourtundertheSectionshallbepublishedintheGovernmentGazette.
Section33.IfitisfoundbytheCourtintrialofthecaseforapersontobeadjudgedincompetenton
accountofunsoundmindthatheisnotapersonofunsoundmindbuthasmentalinfirmity,hemay,
ifisdeemedsuitablebytheCourtorupontheapplicationofthepartyorthepersonsspecifiedin
Section28,beadjudgedasquasiincompetent.ThesameshallapplyifitisfoundbytheCourtintrial
ofthecaseforapersontobeadjudgedquasiincompetentonaccountofmentalinfirmitythatheis
apersonofunsoundmind,hemay,ifitisdeemedsuitablebytheCourtorupontheapplicationof
thepartyorthepersonspecifiedinSection28,beadjudgedasincompetent.
Section34.Aquasiincompetentpersonmustobtaintheconsentofhiscuratorfordoingthe
followingacts:
(1) Investinghisproperty.
(2) Acceptingthereturnoftheinvestedproperty,principalorothercapital.
(3) Contractingaloanorlendingmoney,borrowingorleasingvaluemovable.
(4) Givingsecuritybyanymeanswhateverthateffectshimtomakeaforcedpayment.
(5)
Hiringorlettingpropertylongerthansixmonthsifthepropertyismovableorthreeyearsif
thepropertyisimmovable.
(6)
Makingagift,exceptthegiftmadesuitableforsituationinhislife,forphilanthropy,socialor
moralobligations.
(7) Acceptingagiftencumberedwithachargeorrefusingagift.
(8)
Doinganyactwhoseobjectistheacquiringof,orpartingwith,arightinanimmovableora
valuablemovable.
(9) Constructing,modifyingbuildingorotherstructures,ormakingextensiverepairs.
(10)
EnteringanactioninCourtordoinganylegalproceedingsexcepttheapplicationmadeunder
Section35andtheapplicationforremovalofhiscurator.
(11) Makingacompromiseorsubmittingadisputetoarbitration
Foractsotherthanthosementionedinparagraphone,theconductofwhichbyaquasiincompetent
maydetrimenttohisownpropertyorfamily,theCourtisempowered,ingivingandordereffecting
anypersontobequasiincompetentorupontheapplicationmadesubsequentlybythecurator,to
instructthequasiincompetenttoobtainconsentofthecuratorpriortoconductofsuchacts.
Ifthequasiincompetentcannotdoanyactasmentionedinparagraphoneorparagraphtwoby
himselfbecauseofhisphysicalormentalinfirmity,theCourtmaygiveanorderempoweringthe
curatortoactonbehalfofthequasiincompetent,andtheprovisionsrelatingtoguardianshallapply
mutatismutandis.
TheorderoftheCourtunderthisSectionshallbepublishedintheGovernmentGazette.Anyact
contrarytotheprovisionsofthisSectionisvoidable.
Section35.Ifthecuratordoesnotgiveconsenttothequasiincompetentfordoinganyactsunder
Section34withunreasonableground,theCourtmay,upontheapplicationofthequasi
incompetent,permithimtodotheactwithouthavingtoobtainconsentofhiscurator,shouldthe
actwillbebeneficialtothequasiincompetent.
Section36.IfthecausefortheCourtadjustmentofthequasiincompetentceasestoexist,the
provisionsofSection33shallapply,mutatismutandis.
PARTIII
Domicile
Section37.Thedomicileofanaturalpersonistheplacewherehehashisprincipalresidence.
Section38.Ifanaturalpersonhasseveralresidenceswherehelivesalternately,orvariouscentersof
habitualoccupation,eitheroneshallbeconsideredhisdomicile.
Section39.Ifthedomicileisnotknown,theplaceofresidenceisdeemedtobehisdomicile.
Section40.Thedomicileofanaturalpersonwhohasnohabitualresidence,oremployshislifein
voyageswithoutacentralplaceofbusinessshallbeheldtobetheplacewhereisfound.
Section41.Thedomicileischangedbytransferringtheresidenceswithmanifestintentionof
changing.
Section42.Ifapersonselectsanyplacewithmanifestintentionofmakingitaspecialdomicilefor
anyact,whichisdeemedtobethedomicileinrespecttosuchact.
Section43.Thedomicileofhusbandandwifeistheplacewherehusbandandwifecohabitasa
coupleunlesseitherhusbandorwifeexpresseshis/herintentiontohaveaseparatedomicile.
Section44.Thedomicileofaminoristhatofhislegalrepresentativewhoisthepersonexercising
parentalpowerortheguardian.
Inthecasewheretheminorisunderparentalpowerofhisparentsandtheparentshaveseparate
domiciles,theminorshallhavedomicileofhisfatherormotherwithwhomhelives.
Section45.Thedomicileofanincompetentpersonisthatofhisguardian.
Section46.Thedomicileofapublicofficialistheplacewhereheexerciseshisfunction,provided
thatsuchfunctionisnottemporary,periodicalormerecommission.
Section47.Thedomicileofaconvictbyafinaljudgmentofthecourtorbyalawfulorderisthe
prisonorcorrectionalinstitutionwhereheisimprisoneduntilhisrelease.
PARTV
Disappearance
Section48.Ifapersonhaslefthisdomicileorresidencewithouthavingappointedanagentwith
generalauthorityanditisuncertainwhetherheislivingordeath,theCourtmay,ontheapplication
ofanyinterestedpersonorofthePublicProsector,ordersuchprovisionalmeasurestobetakenas
maybenecessaryforthemanagementofpropertyofsuchperson.
TheCourtmayappointaamanagerofthepropertyafteroneyearhaselapsedfromthedaywhenhe
haslefthisdomicileorresidenceifnonewsofhimhaseverbeenreceived,orfromthedaywhenhe
ahslastbeenseenorheardof.
Section49.Ifanagentwithgeneralauthorityhasbeenappointedbytheabsentpersonbuthis
authoritycomestoanend,oritappearsthathismanagementislikelytocauseinjurytotheabsent
person,theprovisionsofSection48shallapplymutatismutandis.
Section50.Thecourtmay,ontheapplicationofanyinterestedpersonorofthepublicprosecutor,
orderaninventoryofthepropertytobemadebytheagentwithgeneralauthority,incompliance
withaninjunctiontobegivenbythecourt.
Section51.SubjecttotheprovisionsofSection802,ifitisnecessaryfortheagentwithgeneral
authoritytodoanyactbeyondthescopeofhisauthority,hemustapplyforcourtspermissionand
maydosoonobtainingsuchpermission.
Section52.Themanagerwhoappointedbythecourtmustfinishmakingtheinventoryofthe
propertyoftheabsentpersonwithinthreemonthsasfromthedayonwhichtheappointmentorder
ofthecourtcomestohisknowledge.
However,themanagermayapplytothecourtfortheextensionofthetime.
Section53.TheinventoryunderSection50andSection52mustbemadeinthepresenceof,and
signedbytwowitnesses.Suchtwowitnessesmustbeaspouseorarelativebeingofageofthe
absentperson.Ifneitherspousenorrelativesisfound,orthespousesandrelativerefusetobe
witnesses,otherpersonsbeingofagemayactaswitnesses.
Section54.ThemanagerhassuchpowerofanagentwithgeneralauthorityasprovidedinSection
801andSection802.Ifthemanagerdeemsitnecessarytodoanyactsbeyondthescopeofhis
authority,hemustapplyforthecourtspermissionandmaydosoonobtainingsuchpermission.
Section55.Iftheabsentpersonhasappointedanagentwithspecialauthority,themanagercannot
interferewithsuchspecialagency,buthecanapplytothecourtforanorderremovingtheagentifit
appearsthathismanagementislikelytocauseinjurytotheabsentperson.
Section56.Thecourtmay,ontheapplicationofanyinterestedpersonorofthepublicprosecutoror
ofitsownmotion;
(1)Requirethemanagertogivepropermanagementsecurityandreturnofthepropertyentrusted
tohim.
(2)Requirehimtogiveinformationastothepropertyconditionoftheabsentperson.
(3)Removehimandappointanothermanagerinhisstead.
Section57.Thecourtmay,intheorderappointingthepropertymanager,determinearemuneration
tobepaidtothemanageroutofthepropertyoftheabsentperson;indefaultofwhichthemanager
mayafterwardsappliestothecourtfordeterminingsuchremuneration.
Thecourtmay,ontheapplicationofthemanagerorofaninterestedpersonorthepublic
prosecutor,orofitsownmotionwhenitappearsthatcircumstancesonthepropertymanagement
havechanged,giveanordereffectingthedetermination,suspension,decreaseorincreaseofthe
remuneration,oranewremunerationpaymenttobemadetothemanager.
Section58.Theauthorityofthemanagercomestoanendupon:
Thereturnoftheabsentperson.
Noreturnoftheabsentpersonbutthepropertyhavingbeenmanagedoranagentformanaginghis
propertyhavingbeenappointed.
Thedeathoftheabsentpersonoradjudicationofdisappearancehavingbeengiven.
Theresignationorthedeathofthemanager.
Themanagerbecominganincompetentorquasiincompetentperson.
Themanagerbecomingbankrupt.
Removalofthemanagerbythecourt.

Section59.WhentheauthorityofthemanagercomestoanendunderSection58(4)(5)or(6),the
managerorhisheir,administrator,guardian,curator,officialreceiverofthepersonchargedwiththe
dutytotakecareofthepropertymanager,asthecasemaybe,mustinformthecourtwithoutdelay
ofsuchendingforthecourtwillgiveanorderconcerningthepropertymanagerasitdeemsproper.
Duringsuchperiodoftime,thesaidpersonmusttakeallreasonablestepscompatiblewith
circumstancestoprotecttheinterestoftheabsentpersonuntilthepropertyoftheabsentpersonis
deliveredtoanypersonastobeorderedbythecourt.
Section60.TheprovisionsconcerningAgencyofthisCodeshallbeappliedtotheproperty
managementoftheabsentpersonmutatismutandis.
Section61.Ifapersonhaslefthisdomicileorresidenceandithasbeenuncertainforfiveyears
whetherheislivingordead,thecourtmay,ontheapplicationofanyinterestedpersonorofthe
publicprosecutor,adjudgethatsuchpersonhasdisappeared.
Theperiodoftimeunderparagraphoneshallbereducedtotwoyears;
Asfromthedaywhenthebattleorwarcomestoanendandthepersonwhohadbeenengagedin
suchbattleorwarhasbeendisappearedtherein;
Asfromthedaywhenthevehicleonwhichthepersonhadbeentravelingwaslostordestroyed;
Asfromthedaywhenanyperilofhislifeotherthanthosementionedin(1)or(2)haspassedand
thepersonhadbeeninsuchperil.
Section62.Apersonagainstwhomanadjudicationofdisappearancehasbeenmadeisdeemedto
havediedatthecompletionoftheperiodspecifiedinSection61.
Section63.Ifitisprovedbythepersonadjudgeddisappearance,anyinterestedpersonorofthe
publicprosecutorthatthepersonwhodisappearedisliving,orthathediedatatimedifferentfrom
thatspecifiedinSection62,thecourtmust,upontheapplicationofthesaidperson,revokethe
adjudication;butthisdoesnotaffectthevalidityofactsdoneingoodfaithbetweentheadjudication
andtherevocation.
Section64.Theadjudicationofdisappearanceanditsrevocationshallbepublishedinthe
GovernmentGazette.
(up)
CHAPTERII
JURISTICPERSONS
PARTI
GeneralProvisions
Section65.AjuristicpersoncancomeintoexistenceonlybyvirtueofthisCodeorofotherlaw.
Section66.AjuristicpersonhasrightsanddutiesconformitywiththeprovisionsofthisCodeorof
otherlawwithinthescopeofitspowerandduties,oritsobjectasprovidedbyordefinedinthelaw,
regulationorconstitutiveact.
Section67.SubjecttoSection66,ajuristicpersonenjoysthesamerightsandissubjecttothesame
dutiesasanaturalperson,byreasonoftheirnature,mayonlybeenjoyedorincurredonlybya
naturalperson.
Section68.Thedomicileofajuristicpersonistheplacewhereithasitsprincipalofficeor
establishment,orwhichhasbeenselectedasaspecialdomicileinitsregulationorconstitutive.
Section69.Inthecasewhereajuristicpersonhasseveralestablishmentsorhasitsbranchoffice,the
placeofitsbranchofficemayalsobeconsidereditsdomicileastoactsthereperformed.
Section70.Ajuristicpersonmusthaveoneorseveralrepresentativesasprescribedbythelaw,
regulationsoritsconstitutiveact,decisionsastotheaffairsofjuristicpersonsaremadebya
majorityoftherepresentatives.
Section71.Inthecasewhereajuristicpersonhasseveralrepresentatives,ifitisnototherwise
providedbythelaw,ordefinedinregulationsorconstitutiveact,decisionsastotheaffairsofjuristic
personaremadebyamajorityofrepresentatives.
Section72.Thechangeofrepresentativesofjuristicpersonorofanyrestriction,ormodificationof
thepowerofrepresentativesshallbeeffectiveafterhavingcompliedwiththelaw,regulationsorits
constitutiveact,butcannotbesetupagainstthirdpersonactingingoodfaith.
Section73.Ifavacancyoccursamongtherepresentativesofjuristicperson,andthereisreasonto
believethatdamagemightensuefromdelay,theCourtmay,ontheapplicationofanyinterested
personorofthePublicProsecutor,appointatemporaryrepresentative.
Section74.Inamatterinwhichtheinterestedofajuristicpersonconflictwiththoseofthe
representativeofjuristicperson,thelatterhasnorepresentativepower.
Section75.If,inthecaseunderSection74,itcausesanonexistenceoftherepresentativesof
juristicperson,ornumberoftheremainingrepresentativescannotconstitutequorumofthe
meetingorissufficienttoexecutesuchmatter,ifitisnototherwiseprovidedbythelaw,ordefined
initsregulationsorconstitutiveact,theprovisionsofSection73shallapplytotheappointmentof
specialrepresentatives,'mutatismutandis'.
Section76.Ajuristicpersonisboundtomakecompensationforanydamagedonetootherpersons
byitsrepresentativesorthepersonempoweredtoactonbehalfofthejuristicpersonintheexercise
oftheirfunctions,savingitsrightofrecourseagainstthecausersofthedamage.
Ifdamageisdonetootherpersonsbyanactwhichisnotwithinthescopeoftheobjectorpower
anddutiesofthejuristicperson,allthepersonsasmentionedinparagraphonewhoagreedsuchact
orexecutedit,arejointlyliabletomakecompensation.
Section77.TheprovisionsonAgencyofthisCodeshallapplytotherelationshipbetweenthejuristic
personsanditsrepresentatives,andbetweenthejuristicpersonoritsrepresentativeandthird
persons,mutatismutandis'.
(up)
SamuiForSale
PARTII
Association
Section78.Anassociationcreatedforconductinganyactivitywhich,accordingtoitsnature,istobe
donecontinuouslyandcollectivelybypersonsotherthanthatofsharingprofitsorincomesearned,
musthaveitsregulationsandmustberegisteredaccordingtotheprovisionsofthisCode
Section79.Theregulationsmustatleasthavethefollowingparticulars:
(1) Thenameoftheassociation.
(2) Itsobject.
(3) Addressofitsprincipalofficeandallitsbranches.
(4) Rulesforadmissionofitsmembersandconclusionofmembership.
(5) Ratesandmemberfee.
(6) RulesfortheCommitteeofassociation,i.e.numberofthedirectors,appointmentofthe
directors,termofofficeofthedirectors,retirementofofficeofthedirectorsandmeetingsof
theCommittee.
(7)
Rulesforthemanagementoftheassociation,thekeepingofaccountsandthepropertyof
theassociation.
(8) Theassociationmusthavethewordassociation'incorporatedwithitsname.

Section81.Theapplicationforregistrationofanassociationmustbefiledjointlyinwritingbyat
leastthreeofthewouldbemembersoftheassociationwiththeRegistraroftheareawherethe
principalofficeoftheassociationissituated,andregulationsoftheassociation,listofnames,
addressesandoccupationsofatleasttenwouldbemembersoftheassociationaretobeattached
totheapplication.
Section82.Whentheapplicationforregistrationtogetherwiththeregulationsarereceivedbythe
RegistrarandtheapplicationisfoundcorrectunderSection81andtheregulationsarecorrectunder
Section79,theobjectoftheassociationisnotcontrarytothelaworgoodmoralorendangering
publicorderornationalsecurityandallparticularscontainedintheapplicationorintheregulations
conformtheobjectoftheassociation,orthewouldbedirectorsoftheassociationhavestatusor
conductsuitableforimplementingtheobjectoftheassociation,theRegistrarshallmakeregistration
andissueacertificateofregistrationtotheassociation.Theregistrationshallbepublishedinthe
GovernmentGazette.
ItisfoundthattheapplicationortheregulationsarenotinconformitywithSection81orSection79,
theparticularscontainedintheapplicationorintheregulationsdonotconformtotheobjectofthe
association,orwouldbedirectorsoftheassociationdonothavethestatusandconductsuitablefor
implementingtheobjectoftheassociation,theRegistrarshallinstructtheapplicanttomake
correctionoralteration,andshall,afterthecorrectionoralterationhavingbeenmade,make
registrationandissueacertificateofregistrationtotheassociation.
IfitisconsideredbytheRegistrarthattheregistrationcannotbemadebecausetheobjectofthe
associationiscontrarytothelaworgoodmoralorlikelytoendangerpublicorderornational
security,ortheapplicantfailstomakecorrectionoralterationassuchwithinthirtydaysfromthe
dayofwhichtheinstructionoftheRegistrarcametohisknowledge,theRegistrarshallgiveand
orderrefusingtheregistrationandinformtheapplicantwithoutdelayofreasonsforsuchrefusal.
Theapplicantisentitledtoappealinwritingagainsttheorderofrefusalforregistrationtothe
MinisterofInteriorthroughtheRegistrarwithinthirtydaysfromthedateofreceiptoftherefusal
order.
TheMinisterofInteriorshalldecidetheappealandinformtheappellantofthedecisionwithinthirty
daysfromthedateofreceiptofthewrittenappealbytheRegistrar.ThedecisionoftheMinisterof
Interiorshallbefinal.
Section83.Theassociationsoregisteredisajuristicperson.
Section84.Noalterationsofandadditionstotheregulationsofanassociationmaybemade,except
byaresolutionofthegeneralmeeting.Suchalterationsandadditionsmustbedepositedfor
registrationattheRegistrarOfficewheretheprincipalofficeoftheassociationissituatedwithin
fourteendaysfromthedateoftheresolution,andtheprovisionsofSection82shallapply,mutatis
mutandis.ItshallbecomeeffectiveaftertheregistrationthereofbytheRegistrar.
Section85.Theappointmentofnewdirectorsoftheassociationofthealterationthereofshallbe
madeinaccordancewiththeregulationsoftheassociationandmustberegisteredbytheRegistrar
attheRegistrarOfficewheretheprincipalofficeoftheassociationissituatedwithinthirtydaysfrom
thedateofsuchappointmentoralterationofthedirectorsoftheassociation.
IfitisconsideredbytheRegistrarthatanyofthedirectorsunderparagraphonedoesnothave
statusorconductsuitableforimplementingtheobjectoftheassociation,theRegistrarmayrefuse
theregistrationofthatdirectoroftheassociation.Incaseofrefusal,theRegistrarshallnotifythe
associationofreasonforsuchrefusalwithinsixtydaysfromthedateofapplication,andthe
provisionsofSection82paragraphfourandparagraphfiveshallapply,mutatismutandis.
Iftheregistrationofnewdirectorsoftheassociationhasnotyetbeenmade,theolddirectorsofthe
associationshallfurtherperformthefunctionsofthedirectorsoftheassociationuntilthe
registrationofthenewdirectorsoftheassociationismade,unlessotherwiseprovidedinthe
regulationsoftheassociation.
Section86.Thedirectorsoftheassociationistocarryontheactivitiesoftheassociationunderthe
lawandtheregulationsoftheassociation,andundersupervisionofthegeneralmeetings.
Section87.Anassociationisrepresentedinitsrelationswiththirdpersonsbyitscommittee.
Section88.AllactivitiesperformedbytheCommitteeoftheassociationarevalideventhoughit
appearsafterwardsthatthereisanyfaultconcerningtheappointmentorqualificationofthe
directorsoftheassociation.
Section89.Amemberofanassociationisentitledduringworkinghoursoftheassociationinspect
thebusinessandpropertyoftheassociation.
Section90.Amemberoftheassociationhastopaytotalsubscriptiononthedaywhenheappliesfor
beingmemberoratthebeginningoftheperiodforpaymentofsubscription,unlessotherwise
providedintheregulations.
Section91.Amemberoftheassociationisentitledtowithdrawatanytimefromtheassociation,
unlessotherwiseprovidedintheregulations.
Section92.Eachmemberofanassociationisliabletothedebtoftheassociationfornotmorethan
theamountofthesubscriptionduebyhim.
Section93.Ageneralmeetingshallbecalledbythedirectorsoftheassociationatleastonceayear.
Section94.TheCommitteeoftheassociationmaysummonextraordinarymeetingsastheythinkfit.
Arequisitionforsummoninganextraordinarymeetingmaybemadeinwritingbymembersofnot
lessthanonefifthofthewholemembersoftheassociation,orofnotlessthanonehundred,orof
notlessthanthenumbersetforthintheregulationstotheCommitteeoftheassociation.The
requisitionmustspecifytheobjectforwhichthemeetingisrequiredtobesummoned.
WhentheCommitteeoftheassociationhavereceivedtherequisitionforthesummoningofan
extraordinarymeetingunderparagraphtwo,theyshallsummonsuchmeetingwithinthirtydays
fromthedateofreceiptoftherequisition.
Ifthemeetingisnotsummonedwithintheperiodoftimeunderparagraphthree,thememberswho
havemadetherequisitionforsummoningsuchextraordinarymeetingorothermembersofnotless
thatthenumbersetforthinparagraphtomaysummonthemeetingbythemselves.
Section95.Insummoningageneralmeeting,anoticeforthemeetingshallbesentnotlaterthan
sevendaysbeforethedatefixedforthemeetingtoeverymemberwhosenameappearsinthe
registeroftheassociation,ormaybepublishedatleasttwiceinaprevailinglocalpaper,notless
thansevendaysbeforethedateofthemeeting.
Thenoticemustspecifytheplace,thedayandthehourofthemeetingaswellasitsagenda,and
closelyrelevantdetailsanddocumentsshallalsobesent.Asforasummoningoftheextraordinary
meetingthroughapublication,thesaiddetailsanddocumentsmustbeprovidedandreadyfor
distributingtothememberwhorequestthereforeattheplacefixedbythepersonsummoningsuch
meeting.
Section96.Inageneralmeetingoftheassociation,memberspresentatthemeetingofnotlessthan
onehalfofthetotalnumberofmembersshallconstituteaquorum,unlessprovisionsonaquorum
ofthemeetingintheregulationsoftheassociationareotherwiseprovided.
Ifthequorumsoprovidedisnotpresent,thegeneralmeeting,ifsummoneduponrequisitionof
members,shallbedissolved.Butifthegeneralmeetinghadnotbeensummoneduponthe
requisitionofmembers,anothergeneralmeetingshallbesummonedbytheCommitteewithin
fourteendaysfromthedateofthefistsummonedmeetingandatsuchlatermeetingnoquorum
shallbenecessary.
Section97.Decisionofthemeetingshallbebymajorityofvotes,exceptinthecasewherea
particularmajorityofvotesisspeciallyprovidedintheregulationsoftheassociation.
Eachmembershallhaveonevote.Incaseofanequallyofvotes,thechairmanofthemeetingshall
haveanadditionalvoteascastingvote.
Section98.Anymembermayvotebyproxy,unlessotherwiseprovidedintheregulationsofthe
association.
Section99.Anydirectororanymemberofanassociationwhohasinaresolutionaninterestin
conflictwithaninterestoftheassociationcannotvoteinsuchresolution.
Section100.Ianygeneralmeetinghasbeensummonedorheldoraresolutionpassedcontraryto
theregulationsoftheassociationortheprovisionsofthisTitle,anysuchmemberorthepublic
ProsecutormayapplytotheCourtforcancellationoftheresolutionofsuchgeneralmeeting,
providedthattheapplicationisenteredwithinonemonthafterthedateoftheresolution.
Section101.Anassociationisdissolve:
(1) Inthecasesprovidedinitsregulations,or
(2) Ifformedforadefiniteperiodoftime,bytheexpirationofsuchperiod,or
(3) Ifformedforanyundertaking,bytheterminationofsuchundertaking,or
(4) Byaresolutiontodissolvepassedinageneralmeeting,or
(5) Bytheassociationbecomingbankrupt,or
(6) ByhavingitsnamestruckoftheregisterbytheRegistrarunderSection102,or
(7) ByanorderoftheCourtunderSection104.

Section102.TheRegistrarshallhavethepowertogiveanordertohavethenameofanassociation
struckofftheregisterinthefollowingcases:
(1) Ifappearsafterregistrationthattheobjectoftheassociationiscontrarytothelaworpublic
moralorislikelytoendangerthepublicpeaceornationalsecurityandanorderfor
alterationofsuchobjecthasbeengivenbytheRegistrar,buttheassociationfailstocomply
therewithwithinperiodoftimefixedbytheRegistrar.
(2) Ifappearsthatanyactivityconductedbytheassociationiscontrarytothelaworpublic
moralorislikelytoendangerthepublicpeaceornationalsecurity.
(3) Theassociationhasstoppeddoingbusinessformorethantwoconsecutiveyears.
(4)
Itappearsthattheassociationallowsorletotherpersonswhoarenotmembersofthe
associationtoexecutebusinessoftheassociation.
(5)
Thenumberofmembersoftheassociationhasbeenlessthantenformorethantwo
consecutiveyears.
Section103.Afterthenameofanyassociationhasbeenstruckofftheregisterbytheorderofthe
RegistrarunderSection102,theRegistrarshallsendtoordertogetherwithitsreasontothe
associationwithoutdelay,andshallpublishsuchdissolutionintheGovernmentGazette.
Anydirectorormemberoftheassociationofnotlessthanthreeinnumberareentitledtoappeal
againsttheorderoftheRegistrargivenunderparagraphonetotheMinisterofInterior.Theappeal
mustbeinwritingandsenttotheRegistrarwithinthirtydaysfromthedateofbeinginformedofthe
order,andprovisionsofSection82paragraphfiveshallapply,mutatismutandis.
Section104.WhenacaseunderSection102happens,aninterestedpersonmayrequestthe
Registrartohavethenameoftheassociationstruckofftheregister.IftheRegistrarfailstocomply
withtherequestanddoesnotinformthepersonwhomadetherequestofthereasonswithina
reasonableperiodoftime,orthereasongivenbytheRegistrararenotsatisfiedbythepersonhaving
madetherequest,hemayapplytotheCourtfordissolutionoftheassociation.
Section105.WhenanassociationistobedissolvedunderSection101(1)(2)(3)or(4),the
Committeeoftheassociationthatholdstheofficeatthetimeofdissolutionoftheassociationshall
informtheRegistrarofthedissolutionwithinfourteendaysfromthedateofsuchdissolution.
IncasewhereanassociationisdeclaredbankruptbyafinaljudgmentororderoftheCourtunder
Section101(5),orisdissolvedbyafinalorderunderSection104,theCourtshallnotifytheRegistrar
ofthesaidjudgmentororder.
TheRegistrarshallpublishsuchdissolutionintheGovernmentGazette.
Section106.Upondissolutionofanassociation,theliquidationoftheassociationshallbemade,and
theprovisionsinBookIII,Title22onLiquidationofRegisteredPartnerships,LimitedPartnerships
andLimitedCompaniesshallapplytotheliquidationoftheassociation,mutatismutandis.
Section107.Afterliquidation,theremainingassets,ifany,cannotbedistributedamongthe
membersoftheassociation.Theyshallbetransferredtosuchotherassociationorfoundation,or
anyjuristicpersonwhoseobjectisofcharitypurposesasmaybedesignatedintheregulations,by
theresolutionoftheassociationingeneralmeeting.Ifnotransfereeofthesaidassetshasbeen
designated,bytheregulationsorbytheresolutionofassociationingeneralmeeting,orifdesignated
butitisunabletocomplytherewith,theremainingassetsshallbelongtotheState.
Section108.Anypersonmay,onapplicationtotheRegistrar,inspectthedocumentsrelatingtoan
associationkeptbytheRegistrarorrequestforcertifiedcopiesofthesaiddocumentstobe
deliveredtohimbytheRegistrar,andRegistrar,andtheRegistrarshallcomplytherewithafter
paymentofsuchfeeasmaybeprescribedbytheMinisterialRegulationshasbeenmade.
Section109.TheMinisterofInteriorshalltakechargeandcontroloftheexecutionoftheprovisions
ofthisPartandhavethepowertoappointtheRegistrarandtoissueMinisterialRegulationson:
(1)Theapplicationforregistrationandthemakingofregistration.
(2)Feesfortheregistered,theinspectionofdocumentsandthecopyingofdocumentsaswellas
thefeeforanyactivitiesconcerningthefoundationtobeperformedbytheRegistrar,including
theexemptionofthesaidfees.
(3)Theconductofbusinessoftheassociationanditsregister.
(4)AnyothermattersforcarryingouttheprovisionsofthisTitle.
SuchMinisterialRegulationsShallbecomeeffectiveupontheirpublicationintheGovernment
Gazette.
(up)
PARTIII
Foundation
Section110.Afoundationconsistsofpropertyspeciallyappropriatedtopubliccharity,religious,art,
scientific,educationorotherpurposeforthepublicbenefitandnotforsharingprofit,andhasbeen
registeredundertheprovisionsofthisCode.
Thepropertyofafoundationmustbemanagedforimplementingtheobjectsofthatfoundation,
andnotforseekinginterestforanyperson.
Section111.AfoundationmusthaveitsregulationsandmusthaveaCommittee,consistingofat
leastthreepersons,toconductbusinessofthefoundationaccordingtothelawandregulationsof
thefoundation.
Section112.Theregulationsmusthaveatleastthefollowingparticulars:
(1)Thenameoftheassociation
(2)Itsobjects
(3)Addressesofitsprincipalofficeandallitsbranchoffices.
(4)Itspropertyatthetimeofcreation.
(5)RulesfortheCommitteeofthefoundation,i.e.numberofthedirectors,appointmentofthe
directors,termofofficeofthedirectors,retirementofofficeofthedirectorsadmeetingsofthe
Committee.
(6)
Rulesformanagementofthefoundation,themanagementofthepropertyandkeepingof
accountsofthefoundation.
Section113.Thefoundationmusthaveawordfoundation'incorporatedwithitsname.
Section114.Theapplicationforregistrationofafoundationmustbefiledinwritingwiththe
Registraroftheareawheretheprincipalofficeofthefoundationissituated,anditmustatleast
specifytheownerofthepropertyandthelistofthepropertyappropriatedforthefoundation
togetherwiththelistofnames,addressesandoccupationofallthewouldbedirectorsofthe
foundation,includingtheregulationsofthefoundation.
Section115.Whentheapplicationforregistrationtogetherwiththeregulationsarereceivedbythe
registrar,andtheapplicationisfoundcorrectunderSection114andtheregulationscorrectunder
Section112,theobjectsofthefoundationarenotcontrarytothelaworgoodmoralorendangering
publicorderornationalsecurityandallparticularscontainedintheapplicationorintheregulations
conformtotheobjectsofthefoundation,orthewouldbedirectorsofthefoundationhavestatusor
conductsuitableforimplementingtheobjectsofthefoundation,theregistrarshallmake
registrationandissueacertificateofregistrationtothefoundationTheregistrationshallbe
publishedintheGovernmentGazette.Ifitisfoundthattheapplicationortheregulationsarenotin
conformitywithSection114orSection112,theparticularscontainedintheapplicationorinthe
regulationsdonotconformtotheobjectofthefoundation,orthewouldbedirectorsofthe
foundationdonothavestatusandconductsuitableforimplementingtheobjectofthefoundation,
theregistrarshallinstructtheapplicanttomakecorrectionoralteration,andshall,afterthe
correctionoralterationhavingbeemade,makeregistrationandissueacertificateofregistrationto
thefoundation.
Ifitisconsideredbytheregistrarthattheregistrationcannotbemadebecausetheobjectsofthe
foundationarecontraryorthelaworgoodmoralorlikelytoendangerpublicorderornational
security,ortheapplicantfailstomakecorrectionoralterationassuchwithinthirtyThailandCiviland
CommercialCodedayscountingfromthedayonwhichtheinstructionoftheregistrarcametohis
knowledge,theregistrarshallgiveanorderrefusingtheregistrationandinformtheapplicant
withoutdelayofreasonsforsuchrefusal.
Theapplicantisentitledtoappealinwritingagainsttheorderofrefusalforregistrationtothe
MinisterofInteriorthroughtheregistrarwithinthirtydaysfromthedateofreceiptoftherefusal
order.
TheMinisterofInteriorshalldecidetheappealandinformtheappellantofthedecisionwithinthirty
daysfromthedateofreceiptofthewrittenappealbytheregistrar.ThedecisionoftheMinisterof
Interiorshallbefinal.
Section116.Beforetheregistrationofthefoundationbeingmadebytheregistrar,theapplicantfor
creatingafoundationisentitledtowithdrawtheapplicationbysubmittingawrittennoticetothe
registrar.Therighttowithdrawtheapplicationdoesnotdevolveontheheirs.Inthecasewherethe
applicationforestablishmentofthefoundationismadebymanypersons,ifitiswithdrawnbyany
applicant,itshallbecomeextinguished.
Section117.Iftheapplicantforcreatingthefoundationdiesbeforetheregistrationbytheregistrar,
andthedeceaseddoesnotmakeawillrevokingtheapplicationforcreationofsuchfoundation,the
applicationshallbeeffectiveandbeproceededonwiththecreationofsuchfoundationbytheheirs
oradministrator,orthepersonentrustedbythedeceased.Ifthesaidpersonfailstoproceedwith
thematterwithinonehundredandtwentydaysfromthedeathoftheapplicantforcreationofthe
foundation,anyinterestedpersonorthepublicprosecutormayproceedwiththematterinthe
capacityoftheapplicant.
Ifthefoundationcannotbecreatedinaccordancewiththeobjectssetbythedeceasedandno
testamentarydispositionisprovidedotherwise,theprovisionsofSection1679paragraphtwoshall
beappliedmutatismutandis.
IfproceedingunderSection1679paragraphtwocannotbemadeorthefoundationcannotbe
createdunderSection115,theappropriatedpropertyshallbevestedintheestateofthedeceased.
Section118.IfthereisatestamentarydispositiontocreateafoundationunderSection1676,the
personchargedwiththedutytocreatethefoundationunderSection1677paragraphoneshall
precedewiththematterunderSection114andunderprovisionsofthisSection.
Ifthepersonchargedwiththedutytocreatethefoundationunderparagraphonefailstoapplyfor
registrationtoeffectthecreationofthefoundationwithinonehundredandtwentydaysfromthe
datethatthetestamentarydispositiontocreatethefoundationcametoorshouldhavecometo
knowledgeofthesaidperson,anyinterestedpersonorthepublicprosecutormayapplyforsuch
registration.
Iftheapplicantforregistrationofthefoundationfailstomakemodificationsoralterationsin
compliancewiththeinstruction,anyinterestedpersonorthepublicprosecutormayapplyforsuch
registrationagain.
Ifaprotestismadetotheregistraronthegroundthatthewilldoesnotprovideforcreatingthe
foundation,theregistrarshallnotifytheprotestortomakearequesttothecourtwithinsixtydays
countingfromthedatehehasbeennotifiedbytheregistrar,andtheregistrarshallnotconsiderthe
registrationbutwaitforthejudgmentororderofthecourtandcomplytherewith.Iftheprotester
failstomaketherequesttothecourtwithinthetimelimit,theregistrarshallfurtherconsiderthe
registrationofthefoundation.
Section119.Ifthewillthatcontainsthetestamentarydispositiondoesnothavesuchparticularsas
providedinSection112(1)(3)(5)or(6),theapplicantunderSection118canstipulatethesaid
particulars.Ifanyinterestedpersonmakesaprotestagainsttheapplicant,theregistrarshallgivean
orderashethinksfitandnotifytheapplicantandtheprotesteroftheorder,hecanfileaprotest
withthecourtwithinsixtydayscountingfromthedateofreceiptofthenotificationfromthe
registrar.Theregistrarshallnotconsidertheregistrationbutwaitforthejudgmentororderofthe
courtandcomplytherewith.Ifnoprotestisfiledwithinthetimelimit,theregistrarshallconsider
theregistrationaccordingtotheordergiven.
Section120.Iftherearemanyapplicantsforregistrationofthefoundationunderthewillofthe
samedecujus,andtheapplicationscontradicteachother,theregistrarshallsummontheapplicants
formakinganagreement.Iftheapplicantsdonotshowuporcannotcometoanagreementwithina
periodoftimefixedbytheregistrar,theregistrarshallgiveanorderashethinksfit,andthe
provisionsofSection119shallbeappliedmutatismutandis.

Section121.Afterregistrationofthefoundation,iftheapplicantforcreatingthefoundationisstill
alive,thepropertyappropriatedthereforeshallvestinthefoundationfromthedateofregistration
ofthefoundationbytheregistrar.
Iftheapplicantforcreatingafoundationdiesbeforetheregistrationofthefoundationbythe
registrar,thepropertyappropriatedthereforeshallvestinthefoundationfromthedeathofthe
applicantaftertheregistration.
Section122.Thefoundationsoregisteredisajuristicperson.
Section123.Afoundationisrepresentedinitsrelationswiththirdpersonsbyitscommittee.
Section124.Allactivitiesperformedbythecommitteeofthefoundationarevalideventhoughit
appearsafterwardsthatthereisanyfaultconcerningtheappointmentorqualificationofdirectors
ofthefoundation.
Section125.Theappointmentofnewdirectorsofthefoundationorthealterationthereofshall
madeinaccordancewiththeregulationsofthefoundationandmustberegisteredwithinthirtydays
countingfromthedateofsuchappointmentoralterationofthedirectorsofthefoundation.
Ifitisconsideredbytheregistrarthatanyofthedirectorsunderparagraphonedoesnothavestatus
orconductsuitableforimplementingtheobjectsofthefoundation,theregistrarmayrefusethe
registrationofthedirector.
Incaseofrefusal,theregistrarshallnotifyreasonsofthefoundationforsuchrefusalwithinsixty
dayscountingfromthedateofapplication,andtheprovisionsofSection115paragraphfourand
paragraphfiveshallbeappliedmutatismutandis.
Inthecasewherethedirectorsofthefoundationvacatetheirofficeandnodirectorisremainingor
theremainingdirectorsareunabletoperformtheirfunction,thedirectorwhohasvacatedhisoffice
shall,ifnoregulationsofthefoundationprovides,performfurtherthefunctionofdirectoruntilthe
foundationisnotifiedbytheregistraroftheregistrationofthenewdirector.
Thedirectorwhohasvacatedhisofficeondismissingaccountbytheorderofthecourtunder
Section129cannotperformhisfunctionunderparagraphthree.
Section126.SubjecttoSection127,thecommitteeofthefoundationisempoweredtoamendthe
regulationsofthefoundation.
Iftherulesandmannersfortheamendmenthavebeenprovidedintheregulationsofthe
foundations,theamendmentmustbemadeaccordingtothoseprovidedintheregulationsandit
shallbedepositedforregistrationattheregistrarofficewithinthirtydayscountingfromthedateof
amendmentbythecommitteeofthefoundation,andtheprovisionofSection115shallbeapplied
mutatismutandis.
Section127.TheamendmentofanyparticularsintheregulationsofthefoundationunderSection
112(2)canbemadeonlyforthefollowingpurposes:
Tomaketheimplementationoftheobjectofthefoundationpossible;or
Thechangeofcircumstancemakestheobjectofthefoundationbecomelessbenefitormakesit
unabletocarryontheactivitiestofulfilltheobjectofthefoundation,andtheobjectofthe
foundationsoamendedareclosetotheoriginalobjects.

Section128.Theregistrarshallhasthepowertoinspect,controlandsupervisethecarryingonof
activitiesofthefoundationtbeinconformitywiththelawandtheregulationsofthefoundation.
Forthispurpose,theregistraroranycompetentofficialsentrustedbytheregistrarinwritingshall
havepower;
Togiveandorderinwritingtoadirector,officer,employeeoragentofthefoundationforgiving
explanationandpresentingfactsconcerningthebusinessofthefoundation,ortosummonthesaid
personforenquiryortoinstructhimtosendorproduceaccountingbooksandotherdocumentsof
thefoundationforinspection.
Toentertheofficeofthefoundationbetweensunriseandsunsetforinspectingthebusinessofthe
foundation.

Inperformingthedutyunderparagraphone,theregistrarshallproducehisidentitycardwhilethe
entrustedcompetentofficialshavetoproducetoanyconcernedpersontheiridentitycardsanda
letterofpoweroftheregistrar.
Section129.Anydirectorwhocausesaninjurytothefoundationthroughhiswrongfulperformance
ofactivitiesorperformstheactivitiescontrarytothelawortheregulationsofthefoundation,may
applicationoftheregistrar,thepublicprosecutororofanyinterestedperson,bedismissedfrom
beingdirectorofthefoundationbythecourt.
Iftheperformanceofactivitiesunderparagraphoneisofthecommitteeofthefoundationorthe
objectsofthefoundationarenotimplementwithoutreasonablecausesbythecommittee,thecourt
may,onapplicationoftheregistrar,thepublicprosecutororofanyinterestedperson,giveanorder
dismissingthecommitteefromtheoffice.
Incaseofdismissalofanydirectororofthecommitteeofthefoundationbythecourtunder
paragraphoneorparagraphtwo,thecourtmayappointorderoracommitteeinplaceofadirector
orthecommitteeofthefoundationsodismissedandregistrarshallmakeregistrationoftheperson
whohasbeenappointedasdirectorofthefoundationbythecourt.
Section130.Afoundationisdissolved;
Uponsuchcauseasprovidedintheregulations,or
Ifformedfordefiniteperiodoftime,bytheexpirationofsuchperiod,or
Ifformedforanyobject,uponitsobjectbeingfulfilledorbecomingimpossible,or
Uponthefoundationbecomingbankrupt,or
ByanorderofthecourttodissolvethefoundationunderSection131.

Section131.Ontheapplicationoftheregistrar,thepublicprosecutorsorofanyinterestedperson,
thecourtmayorderafoundationtobedissolvedinthefollowingcases;
(1)Itappearsthattheobjectsofthefoundationarecontrarytothelaw.
(2)Itappearsthatthefoundationhasdonethebusinesscontrarytothelawandgoodmoral,ormay
endangerthepublicpeaceornationalsecurity.
(3)Itappearsthatthefoundationcannotproceedonitsactivitiesbyanycausewhatsoeverorhas
stoppeddoingbusinessformorethantwoyears.
Section132.WhenacaseunderSection130(1)(2)or(3)happens,thecommitteeofthefoundation
thatholdstheofficeatthetimeofdissolutionofthefoundationshallnotifytheregistrarofthe
dissolutionwithinfortydayscountingfromthedateofitsdissolution.Ifthecourtpassesafinal
judgmentorgivesafinalordertoeffecttofoundationtobecomebankruptunderSection130(4),or
givesafinalordertodissolvethefoundationunderSection131,thecourtshallalsonotifythe
registrarofthesaidjudgmentororder.Theregistrarshallpublishthedissolutionofthefoundation
intheGovernmentGazette.
Section133.Upondissolutionofthefoundation,theliquidationofthefoundationshallbemade,
andtheprovisionsinBookIII,Title22onLiquidationofRegisteredPartnerships,Limited
PartnershipsandLimitedCompaniesshallbeappliedtotheliquidationofthefoundationmutatis
mutandis.
Tothiseffect,thereportontheliquidationshallbesubmittedtotheregistrarbytheliquidatorandit
shallbeapprovedbytheregistrar.
Section134.Afterliquidation,theremainingassetsshallbetransferredtosuchfoundationorjuristic
personwhoseobjectisinconformitywithSection110asspecifiedintheregulations,thepublic
prosecutor,theliquidatororanyinterestedpersonmayapplytothecourtforappropriatingthe
assetstootherfoundationorjuristicpersonwhoseobjectiscloselysimilartothatofsuch
foundation.
IfthefoundationisdissolvedbytheorderofthecourtunderSection131(1)or(2)orthe
appropriationoftheassetsunderparagraphonecannotbemade,theassetsofthefoundationshall
vestintheState.
Section135.Ontheapplicationtotheregistrar,anypersonmayaccesstothedocumentsrelatingto
afoundationkeptbytheregistrarorrequestforcertifiedcopiesofthesaiddocumentsandthe
registrarshallcomplytherewithafterpaymentofsuchfeeasprescribedbytheMinisterial
Regulations.
Section136.TheMinisterofInteriorshalltakechargeandcontroloftheexecutionoftheprovisions
ofthisPartandhavethepowertoappointtheregistrarandissueMinisterialRegulationson;
Theapplicationforregistrationandthemakingofregistration.
Feesfortheregistration,theinspectionofdocumentsandthecopyingofdocumentsaswellasthe
feeforanyactivitiesconcerningthefoundationtobeperformedbytheregistrarincludingthe
exemptionofthesaidfees.
Formsoftheidentitycardsoftheregistrarandofacompetentofficial.
Theconductofbusinessofthefoundationanditsregister.
AnyothermattersforcarryingouttheprovisionsofthisTitle.

SuchMinisterialRegulationsshallbecomeeffectiveupontheirpublicationintheGovernment
Gazette.

TITLEIII
THINGS
Section137.Thingsarecorporealobjects.
Section138.Propertyincludesthingsaswellasincorporealobjects,susceptibleofhavingavalue
andofbeingappropriated.
Section139.Immovablepropertydenoteslandandthingsfixedpermanentlytolandorforminga
bodytherewith.Itincludesrealrightsconnectedwiththelandorthingsfixedtoorformingabody
withland.
Section140.Movablepropertydenotesthingsotherthanimmovableproperty.Itincludesrights
connectedtherewith.
Section141.Divisiblethingsarethosewhichcanbeseparatedintorealanddistinctportions,each
formingaperfectwhole.
Section142.Indivisiblethingsarethosewhichcannotbeseparatedwithoutalterationinits
substanceaswellasthosewhichareconsideredindivisiblebylaw.
Section143.Thingsoutsideofcommercearethingsincapableofappropriation,andthoselegally
inalienable.
Section144.Acomponentpartofathingisthatwhich,accordingtoitsnatureorlocalcustom,is
essentialtoitsexistenceandcannotbeseparatedwithoutdestroying,damagingoralteringitsform
ornature.
Theownerofathinghasownershipinallitscomponentparts.
Section145.Treeswhenplantedforanunlimitedperiodoftimearedeemedtobecomponentparts
ofthelandonwhichtheystand.
Treeswhichgrowonlyforalimitedperiodoftimeandcropswhichmaybeharvestedoneormore
timesayeararenotcomponentpartsoftheland.
Section146.Thingstemporarilyfixedtolandortoabuildingdonotbecomecomponentpartsofthe
landorbuilding.Thesameruleappliestoabuildingorotherstructurewhich,intheeexerciseofa
rightoveranotherperson'sland,hasbeenfixedtothelandbythepersonwhohassuchright.
Section147.Accessoriesaremovablethings,whichare,accordingtotheusuallocalconceptionor
clearintentionoftheowneroftheprincipalthing,attachedtosuchthingpermanentlyforits
management,useorpreservation,and,byconnection,adjustmentorotherwise,broughtbythe
ownerintotherelationwiththeprincipalthing,inwhichitmustservetheprincipalthing.
Eventhoughanaccessoryistemporarilyservedfromtheprincipalthing,itdoesnotceasetobean
accessory.
Savingspecialdispositiontothecontrary,theaccessoryfollowstheprincipalthing.
Section148.Byfruitofathingisanaturalfruitandlegalfruit.
Naturalfruitdenotesthatwhichisanaturaloffspringofandisobtainedfromathinginthenormal
possessionorintheusethereof;anditiscapableofacquisitionatthetimewhenitisseveredfrom
thething.
Legalfruitdenotesathingorotherinterestobtainedperiodicallybytheownerfromanotherperson
fortheuseofthething;itiscalculatedandmaybeacquireddaybydayoraccordingtoaperiodof
timefixed.

(up)
TITLEVI
JURISTICACTS
CHAPTERI
GENERALPROVISIONS
Section149.Juristicactarevoluntarylawfulacts,theimmediatepurposeofwhichistoestablish
betweenpersonsrelations,tocreate,modify,transfer,preserveorextinguishrights.
Section150.Anactisvoidifitsobjectisexpresslyprohibitedbylaworisimpossible,oriscontraryto
publicorderorgoodmorals.
Section151.Anactisnotvoidonaccountofitsdifferingfromaprovisionofanylawifsuchlawdoes
notrelatetopublicorderorgoodmoral.
Section152.Anactwhichisnotintheformprescribedbylawisvoid.
Section153.Anactwhichdoesnotcomplywiththerequirementsconcerningcapacityofpersonis
voidable.
CHAPTERII
DECLARATIONOFINTENTION
Section154.Adeclarationofintentionisnotvoidonthegroundthatthedeclarantintherecessesof
hisminddoesnotintendedtobeboundbyhisexpressedintention,unlessthishiddenintentionwas
knowntotheotherparty.
Section155.Adeclarationofintentionmadewiththeconnivanceoftheotherpartywhichis
fictitiousisvoid;butitsinvaliditycannotbesetupagainstthirdpersonsinjuredbythefictitious
declarationofintentionandactingingoodfaith.
Ifadeclarationoffictitiousintentionunderparagraphoneismadetoconcealanotherjuristicact,
theprovisionsoflawrelatingtotheconcealedactshallapply.
Section156.Adeclarationofintentionisvoidifmadeunderamistakeastoanessentialelementof
thejuristicact.
Themistakeastoanessentialelementofthejuristicactunderparagraphoneareforinstancea
mistakeastoacharacterofthejuristicact,amistakeastoapersontobeapartnerofthejuristicact
andamistakeastoapropertybeinganobjectofthejuristicact.
Section157.Adeclarationofintentionisvoidableifmadeunderamistakeastoaqualityofthe
person.
Mistakeunderparagraphonemustbeamistakeastothequalityofthepersonwhichisconsidered
asessentialintheordinarydealings,andwithoutwhichsuchjuristicactwouldhavenotbeenmade.
Section158.IfthemistakeunderSection156orSection157wasduetothegrossnegligenceofthe
personmakingsuchdeclaration,hecannotavailhimselfofsuchinvalidity.
Section159.Adeclarationofintentionproducedbyfraudisvoidable.
Anactunderparagraphoneisvoidableonaccountoffraudonlywhenitissuchthatwithoutwhich
suchjuristicactwouldnothavebeenmade.
Whenapartyhasmadeadeclarationofintentionowingtoafraudcommittedbyathirdperson,the
actisvoidableonlyiftheotherpartykneworoughttohaveknownofthefraud.
Section160.Theavoidanceofadeclarationofintentionproducedbyfraudcannotbesetupagainst
athirdpersonactingingoodfaith.
Section161.Ifthefraudisonlyincidentalthatistosayithasmerelyinducedapartytoacceptmore
oneroustermsthanwouldotherwisehavedone,suchpartycanonlyclaimcompensationfor
damageresultingfromsuchfraud.
Section162.Inbilateraljuristicacts,theintentionalsilenceofoneofthepartiesinrespecttoafact
orqualityofwhichtheotherpartyisignorant,isdeemedtobeafraudifitisprovedthat,withoutit,
theactwouldnothavebeenmade.
Section163.Ifbothpartiesactedwithfraud,neitherofthemcanallegeittovoidtheactortoclaim
compensation.
Section164.Adeclarationofintentionisvoidableifmadeunderduress.
Duress,inordertomakeanactvoidable,mustbeimminentandsoseverethatmakeshimfearand
withoutit,theactwouldnothavebeenmade.
Section165.Thethreatofthenormalexerciseofarightisnotconsideredduress.Anyactmade
owningtoreverentialfearisnotconsideredanactmadeunderduress.
Section166.Duressvitiatesthejuristicact,evenwhenitisexercisedbyathirdperson.
Section167.Indeterminingacaseofmistake,fraudorduress,thesex,age,positionhealth,
temperamentofthepersonmadetheintentionandallothercircumstancesandenvironmentwhich
mayrelatetothatactshallbetakenintoconsideration.
Section168.Adeclarationofintentionmadetoapersoninhispresencetakeseffectfromthetime
whenitbecomesknowntothereceiveroftheintention.Thisalsoapplytothedeclarationof
intentionmadebyonepersontotheotherthroughtelephone,othercommunicationdevices,or
othermeansthroughwhichsimilarcommunicationcanbemade.
Section169.Adeclarationofintentionmadetoapersonnotinhispresencetakeseffectfromthe
timewhenitreachedthereceiveroftheintention.Ifdoesnotbecomeeffectiveifarevocation
reacheshimpreviouslyorsimultaneously.
Eventhoughthepersonwhomadeadeclarationofintentiondies,becomesincompetentorquasi
incompetentbyanorderoftheCourtafterithasbeensent,thevalidityofdeclarationisnot
impairedthereby.
Section170.Ifthedeclarationofintentionismadetoaminororapersonadjudgedincompetentor
quasiincompetent,itcannotbesetupagainsthimunlesshislegalrepresentative,guardianor
curator,asthecasemaybe,hasknowledgeofitorhasgivenpriorconsenttoit.
Theprovisionsofparagraphonedonotapplytothedeclarationofintentionconcerninganymatter
thattheminorortheincompetentisrequiredbylawtomakebyhimself.
Section171.Intheinterpretationofadeclarationofintention,thetrueintentionistobesought
ratherthantheliteralmeaningofthewordsorexpressions.
CHAPTERIII
VOIDANDVOIDABLEACTS
Section172.Avoidactcannotberatified,anditsnullitymaybealledgedatanytimebyany
interestedperson.
ThereturnofapropertyarisingfromavoidactshallbegovernedbytheprovisionsonUndue
EnrichmentoftheCode.
Section173.Ifanypartofanactisvoidthewholeactisvoid,unlessitmaybeassumedunderthe
circumstancesofthecasethatthepartiesintendedthevalidpartoftheacttobeseparablefromthe
invalidpart.
Section174.Ifavoidactcomplieswiththerequirementsofanotheractwhichisnotvoid,itisvalid
astheotheract,ifitmaybeassumedthatsuchvaliditywouldhavebeenintendedbytheparties,
hadtheyknownoftheinvalidityoftheintendedact.
Section175.Avoidableactmaybeavoidedby:
(1)
Thelegalrepresentativeortheminorafterbecomingsuijuris,buttheavoidancecanbemade
bytheminorminorbeforehisbecomingsuijurisifaconsenttheretihasbeengivenbyhislegal
representative,or
(2)
Thepersonadjudgedincompetentorquasiincompetentafterhehasrecoveredhiscapacity,or
bytheguardianorcurator,asthecasemaybe,buttheavoidancecanbemadebythequasi
incompetentbeforerecoveryofhiscapacityifaconsenttheretohasbeengivenbyhiscurator,
or
(3)Thepersonwhohasmadethedeclarationofintentionowningtomistake,fraudorduress,or
(4)
ThepersonofunsoundmindwhodidthevoidablejuristicactunderSection30afterhehas
recoveredhiscapacity.
Ifthepersonwhodidthevoidablejuristicactdiesbeforemakingtheavoidance,itmaybeavoided
byhisheir.
Section176.Whenavoidableactisavoided,itisdeemedtohavebeenvoidfromthebeginning;and
thepartiesshallberestoredtotheconditioninwhichtheywerepreviously,andifitisnotpossible
tosorestorethem,theybeindemnifiedwithanequivalent.
Ifanypersonkneworoughttohaveknownthatanactisvoidable,he,aftermakingtheavoidance,is
deemedtohaveknownthattheactisvoidsincethevoidableactbecameknownoroughtto
becomeknowntohim.
Theclaimresultingfromrestoringthemtothepreviousconditionunderparagraphonecannotbe
exercisedlaterthanoneyearfromthedateofavoidanceofthevoidableact.
Section177.IfanypersonentitledtoavoidavoidableactunderSection175ratifiesavoidableact,it
isdeemedtohavebeenvalidfromthebeginning;buttherightofthirdpersonscannotbeaffected
thereby.
Section178.Theavoidanceoforratificationtoavoidableactcouldbemadebyadeclarationof
intentionmadetotheotherpartywhoisadeterminateperson.
Section179.Aratificationisvalidonlyifitismadeafterthestateoffactsformingthegroundof
voidabilityhasceasedtoexist.
Whenapersonadjudgedincompetentorquasiincompetentorapersonofunsoundmindwhodida
voidablejuristicactunderSection30acquiresknowledgeofsuchactafterhehasrecoveredhis
capacity,hecanratifyitonlyafteracquiringknowledge.
Theheirofthepersonhavingdonethevoidablejuristicactcanratifysuchactafterthedeathofsuch
personunlesstherighttoavoidthevoidablejuristicactofthedeceasedhasextinguished.
Theprovisionsofparagraphoneandparagraphtwoshallnotapplytoaratificationtothevoidable
juristicactmadebythelegalrepresentative,guardianorcurator.
Section180.IfafterthetimewhenratificationaccordingtoSection179couldbemade,anyofthe
followingfactstakesplaceinregardtoavoidableactbyanactofthepersonentitledtoavoidthe
voidableactunderSection175,itisdeemedtoberatified,unlessareservationisexpresses,suchas:
(1) Theobligationhasbeenfullyorpartiallyperformed.
(2) Theperformanceoftheobligationhasbeendemanded.
(3) Anovationoftheobligationhasbeeneffected.
(4) Securityhasgivenfortheobligation.
(5) Thewholeorpartoftherightorliabilityhasbeentransferred.
(6) Anyotheractsdonewhichindicatetheratification.
Section181.Avoidableactcannotbeavoidedlaterthanoneyearfromthetimewhenratification
couldhavebeenmade,orlaterthantenyearssincetheactwasdone.
CHAPTERIV
CONDITIONSANDTIME
Section182.Aclausewhichsubordinatestheeffectortheendoftheeffectofajuristicacttoa
futureanduncertainevent,isconsideredacondition.
Section183.Ajuristicactsubjecttoaconditionprecedenttakeseffectwhentheconditionis
fulfilled.
Ajuristicactsubjecttoaconditionsubsequentceasestohaveeffectwhentheconditioninfulfilled.
Ifthepartiestotheacthavedeclaredanintentionthattheeffectofthefulfillmentofacondition
shallrelatebacktoatimebeforeitsfulfilled,suchintentionistogovern.
Section184.Anypartytoajuristicactsubjecttoaconditionmustnot,whiletheconditionis
pending,doanythingbywhichthebenefitwhichtheotherpartymightderivefromthefulfillment
oftheconditionimpaired.
Section185.Therightsanddutieswhichthepartieshave,whiletheconditionispending,maybe
disposedof,inherited,protectedorsecuredaccordingtolaw.
Section186.Ifthefulfillmentofaconditionispreventednotingoodfaithbythepartytowhose
disadvantageitwouldoperate,theconditionisdeemedtohavebeenfulfilled.
Ifthefulfillmentofaconditionisbroughtaboutinbadfaithbythepartytowhoseadvantageit
wouldoperate,theconditionisdeemednottohavebeenfulfilled.
Section187.Whentheconditionisalreadyfulfilledatthetimeofthejuristicact,thelatteris
unconditionallyvalid,iftheconditionisprecedent,andisvoid,iftheconditionissubsequent.
Whenitisalreadycertainatthetimeofthejuristicactthattheconditioncannotbefulfilled,theact
isvoid,iftheconditionisprecedent,andunconditionalvalid,iftheconditionissubsequent.
ThepartiesstillhaverightsanddutiesaccordingtoSection184andSection185solongastheydo
notknowwhethertheconditionisfulfilledunderparagraphoneorcannotbefulfilledunder
paragraphtwo.
Section188.Ajuristicactisvoidifitissubjecttoanunlawfulcondition,oraconditioncontraryto
publicorderorgoodmorals.
Section189.Ajuristicactuponaconditionprecedentwhichisimpossibleisvoid.
Ajuristicactuponaconditionsubsequentwhichisimpossibleisunconditionallyvalid.
Section190.Ajuristicactuponaconditionprecedentwhichdependsuponthewillofthedebtoris
void
Section191.Ifatimeofcommencementisannexedtoajuristicact,itsperformancecannot
demandedbeforesuchtimearrives.
Ifatimeofendingisannexedtoajuristicact,itseffectceaseswhensuchtimearrives.
Section192.Itispresumedthatatimeofcommencementorendingisfixedforthebenefitofthe
debtor,unlessitappearsfromthetenoroftheinstrumentorfromthecircumstancesofthecase
thatitwasintendedforthebenefitofthecreditor,orofbothparties.
Thebenefitofsuchatimemaybewaived,butthiswillnotaffectanybenefitwhichwouldaccrue
therefromtotheotherparty.
Section193.Inthefollowingcasesthedebtorcannottakeadvantageofatimeofcommencementor
ending:
(1)
IfhehasbeenorderedbytheCourttoplacehisassetsunderfinalcustodyandcontrolaccording
tothelawonbankruptcy.
(2)Ifhehasnotgivensecuritywhenhewasboundtogiveit.
(3)Ifhehasdestroyedordiminishedanysecuritygiven.
(4)Ifthedebtorhasproducedassecurityapropertyofotherpersonwithoutthelatter'sconsent.
(up)
TITLEV
PERIODSOFTIME
Section193/1.Themannerofcomputingallperiodsoftimeisgovernedbytheprovisionsofthis
Title,unlessitisotherwiseprovidedbylaw,byjuridicalorder,byrulesandregulationsorbyajuristic
act.
Section193/2.Aperiodoftimeiscalculatedbyday.Butifitisdeterminedshorterthanaday,itshall
calculatedassuch.
Section193/3.Iftheperiodoftimeisdeterminedshorterthanaday,itbeginstorunatonce.
Whenaperiodoftimeisdetermineddays,weeks,monthsoryears,thefirstdayoftheperiodisnot
includedinthecalculation,unlesstheperiodbeginstorunonthatdayfromthetimewhichis
customarytocommencebusiness.
Section193/4.Asfarasthelegalproceedings,officialbusinessorcommercialandindustrialbusiness
areconcerned,adaymeansworkinghoursdeterminedbylaw,byajudicialorderorbyrulesand
regulations,orusualworkinghoursofthatbusiness,asthecasemaybe.
Section193/5.Theperioddeterminedinweeks,monthsoryeararecalculatedaccordingtothe
calendar.
Iftheperiodisnotcomputedfromthebeginningofaweek,monthoryear,itendsontheday
precedingthatdayofthelastweek,monthoryearwhichcorrespondstothatonwhichitbegan.Ifa
periodmeasuredinmonthsoryearsthereisnocorrespondingdayinthelastmonth,thelastdayof
suchmonthshallbethedayofending.
Section193/6.Ifaperiodoftimeisdeterminedinmonthsanddays,orinmonthsandapartofa
month,afullmonthshallbefirstmeasuredandthenanumberofdaysorapartofamonth
measuredindays.
Ifaperiodoftimeisdeterminedinapartofayear,thepartofayearshallbefirstmeasuredin
monthsandapartofamonth,ifany,shallbemeasuredindays.
Incalculatingapartofamonthunderparagraphoneandparagraphtwo,thirtydaysisregardedone
month.
Section193/7.Ifaperiodoftimeisextendedandnobeginningdayoftheextensionisdetermined,
thefirstdayoftheextensionisthedayfollowingthelastdayoftheoriginalperiod.
Section193/8.Ifthelastdayofaperiodisaholidayaccordingtoanofficialnotificationoracustom
onwhichnobusinessisdone,theperiodincludesthenextworkingday.

(up)
TITLEVI
PRESCRIPTION
CHAPTERI
GENERALPROVISIONS
Section193/9.Aclaimisbarredbyprescriptionifithasnotbeenenforcedwithintheperiodoftime
fixedbylaw.
Section193/10.Afterthelapseoftheperiodofprescriptionforclaims,thedebtorisentitledto
refuseperformance.
Section193/11.Theperiodsforprescriptionfixedbylawcannotbeextendedorreduced.
Section193/12.Prescriptionbeginsandrunfromthemomentwhentheclaimcanbeenforced.If
theclaimistoaforbearance,prescriptionbeginstorunfromthemomentwhentherightisfist
infringed.
Section193/13.Ifthecreditormaynotdemandperformanceuntilhehasgivennoticetothedebtor,
prescriptionbeginstorunfromthemomentwhennoticecanbefirstgiven.Ifthedebtorisnot
boundtoperformuntilagivenperiodhaselapsedsincethenotice,prescriptionbeginstorunfrom
theexpirationofthisperiod.
Section193/14.Prescriptionisinterruptedif:
(1)
Thedebtorhasacknowledgedtheclaimtowardsthecreditorbywrittenacknowledgement,by
partpayment,paymentofinterest,givingsecurity,orbyanyunequivocalactwhichimpliesthe
acknowledgmentoftheclaim.
(2)Thecreditorentersanactionfortheestablishmentoftheclaimorforrequiringperformance.
(3)Thecreditorappliesforreceivingadebttoarbitration.
(4)Thecreditorsubmitsthedisputetoarbitration.
(5)Thecreditordoesanyactwhichbringsaneffectequivalenttoenteringanaction.
Section193/15.Whenprescriptionisinterrupted,theperiodoftimewhichhaselapsedbefore
interruptiondoesnotcountforprescription.
Afreshperiodofprescriptionbeginstorunfromthetimewhentheinterruptionceases.
Section193/16.Thecreditorofanobligationforthepaymentofmoneyperiodicallyisentitledto
requirefromthedebtor,atanytimebeforethecompletionoftheperiodofprescription,awritten
acknowledgmentoftheobligationinordertoobtainevidenceoftheinterruptionofprescription.
Section193/17.InthecasewhereprescriptionisinterruptedduetothecaseunderSection193/14
(2),iftheCourthaspassedafinaljudgmenttodismisstheaction,ortheactionhasterminatedand
hasbeendisposedofonthegroundofbeingwithdrawnorabandoned,theprescriptionshallbe
deemedtohaveneverbeeninterrupted.
InthecasewheretheCourtrefusestoaccept,returnordismissestheactiononthegroundofwant
ofjurisdiction,ortheactionisdismissedwiththerighttoreentertheactioninCourtandtheperiod
ofprescriptionexpiredpendingproceedings,orwouldhaveexpiredwithinsixtydaysfromthedate
offinaljudgmentororder,thecreditorshallbeentitledtoenteranactioninCourtforestablishing
hisclaimorforrequiringperformanceoftheobligationwithinsixtydaysfromthedateoffinal
judgmentororder.
Section193/18.TheprovisionsofSection193/17shallapply,mutatismutandis,tointerruptionof
prescriptionduetothecaseunderSection193/14(3),(4)and(5).
Section193/19.Ifatanytimewhentheprescriptionwouldend,thecreditorispreventedbyforce
majeurefromeffectingainterruption,theprescriptionisnotcompleteduntilthirtydaysafterthe
timewhensuchforcemajeurehasceasedtoexist.
Section193/20.Ifprescriptionofclaimofaminor,orapersonofunsoundmindwhetheradjudged
incompetentornot,wouldhaveexpiredwhilethesaidpersondoesnotacquirefullcapacity,or
withinoneyearfromthedaywhenthesaidpersoniswithoutalegalrepresentativeoraguardian,if
isnotcompleteduntiltheexpirationofoneyearafterhehasacquiredfullcapacityorhasalegal
representativeorguardian,asthecasemaybe.Iftheperiodofprescriptionoftheclaimisshorter
thanoneyear,theshorterperiodoftimeshallapplyinplaceofthesaidperiodofoneyear.
Section193/21.Ifprescriptionofclaimofaminor,anincompetentoraquasiincompetentagainst
hislegalrepresentative,guardianorcuratorwouldhaveexpiredwhilethesaidpersondoesnot
acquirefullcapacity,orwithinoneyearfromthedaywhenthesaidpersoniswithoutlegal
representative,guardianorcurator,ifisnotcompleteduntiltheexpirationofoneyearafterhehas
acquiredfullcapacityorhasalegalrepresentative,guardianorcurator,asthecasemaybe.Ifthe
periodofprescriptionoftheclaimisshorterthanoneyear,theshorterperiodoftimeshallapplyin
placeofthesaidperiodofoneyear.
Section193/22.Ifprescriptionofclaimsbetweenspouseswouldhaveexpiredbeforewithinone
yearafterdissolutionofmarriage,itisnotcompleteduntiltheexpirationofoneyearafter
dissolutionofmarriage.
Section193/23.Ifprescriptionofaclaimexistinginfavouroforagainstadeceasedwouldhave
expiredwithinoneyearafterthedateofthedeath,theperiodofprescriptionisnotcompleteduntil
theexpirationofoneyearafterdeath.
Section193/24.Thebenefitofprescriptioncanbewaivedonlyafterithasbeencompleted,butsuch
waiverdoesnotprejudicetherightofthirdpersons,orthesurety.
Section193/25.Whenprescriptioniscompleted,itseffectrelatesbacktothedaywhenitbeganto
run.
Section193/26.Withtheprincipalclaimtheclaimsforaccessoryactsofperformancedependent
uponitarealsobarredbyprescription,eveniftheparticularprescriptionapplyingtotheaccessory
claimisnotyetcomplete.
Section193/27.Thebarringoftheprincipalclaimbyprescriptiondoesnotpreventamortgagee,a
pledge,holderofarightofretentionoracreditorwhohaspreferentialrightonpropertyofthe
debtordetainedbyhim,toenforcehisrightoutofthemortgaged,pledgedordetainedproperty.
Butinexercisingtherightthecreditorcannotobtainmorethanfiveyearsforarrearsofinterest.
Section193/28.Ifanyactofperformanceisdoneinsatisfactionofaclaimbarredbyprescription,
thevalueofsuchperformancemaynotbedemandedback,eveniftheperformancehasbeen
effectedinignoranceoftheprescription.
Theprovisionsofparagraphoneshallapplytoacontractualacknowledgmentofliabilityinwriting
andtothegivingofsecuritybythedebtor,butitcannotbereferredagainsttheformersurety.
Section193/29.Whenprescriptionhasnotbeensetupasadefense,theCourtcannotdismissthe
claimonthegroundofprescription.
CHAPTERII
PERIODOFPRESCRIPTION
Section193/30.Theperiodofprescriptionforwhichnootherperiodisprovidedbylawistenyears.
Section193/31.TheperiodofprescriptionforclaimsoftheGovernmentfortaxesandratesisten
years.AstootherclaimsoftheGovernmentrelatingtoobligations,theprovisionsofthistitleshall
apply.
Section193/32.Theperiodofprescriptionforaclaimestablishedbyafinaljudgment,orbya
contractofcompromiseistenyears,eveniftheclaimitselfissubjecttoanyperiodofprescription.
Section193/33.Theperiodofprescriptionisfiveyearsforthefollowingclaims:
(1)Arrearsofinterest
(2)Sumspayableforthepurposeofpayingofftheprincipalbyinstallments.
(3)ArrearsofrentorhireofpropertyexcepttherentofmovablesunderSection193/34(6).
(4)
Arrearsofsalaries,annuities,pensions,allowancesformaintenanceandallotherperiodical
payments.
(5)
ClaimsunderSection193/34(1)(2)and(5),sofarastheyarenotsubjecttotheperiodoftwo
years.
Section193/34.Theperiodofprescriptionistwoyearsforthefollowingclaims:
(1)Arrearsofinterest
(2)Sumspayableforthepurposeofpayingofftheprincipalbyinstallments.
(3)ArrearsofrentorhireofpropertyexcepttherentofmovablesunderSection193/34(6).
(4)
Arrearsofsalaries,annuities,pensions,allowancesformaintenanceandallotherperiodical
payments.
(5)
ClaimsunderSection193/34(1)(2)and(5),sofarastheyarenotsubjecttotheperiodoftwo
years.
Section193/34.Theperiodofprescriptionistwoyearsforthefollowingclaims:
(1)
Claimsofmerchants,industrialistsmanufactures,artisansandthosewhopracticeindustrial
arts,fordeliveryofgoods,performanceofworkandcareofothers'affairs,including
disbursements,unlesstheservicewasrenderedforthebusinessofthedebtor.
(2)
Claimsofthosewhoengagetoagricultureorforestry,fordeliveryofagriculturalorforest
products,sofarasthedeliveryisforthedomesticuseofthedebtor
(3)
Claimsofcarriersforpassengersorgoods,orifmessengers,forfare,freight,hireandfees,
includingdisbursements.
(4)
Claimsofinnkeepersorhostelkeepersandthosewhomakeabusinessofprovidingfoodand
drink,orthosewhomakeabusinessofrenderingentertainmentserviceaccordingtothelaw
onplacesofentertainmentservices,forsupplyinglodgingandfoodorotherservicesrendered
totheguests,includingdisbursements.
(5)
Claimsofthosewhoselllotterytickets,racketorsimilarticketsforthesaleofthetickets,
unlesstheticketsaredeliveredforfurthersale.
(6) Claimsofthosewhomakeabusinessoflettingmovables,fortherent.
(7)
Claimsofthosewho,withoutbelongingtotheclassesspecifiedin(1),makebusinessofthe
careofothers'affairsortherenderingofservice,fortheremunerationduetothemfromthe
business,includingdisbursements.
(8)
Claimsofthosewhoareinprivateservice,forthewages,orotherremunerationforservices,
includingdisbursements;alsoclaimsoftheemployersforadvancesmadeuponsuchclaims.
(9)
Claimsofemployees,whethertheybepermanent,temporaryordaylabourers,and
apprentices,forthewagesorotherremuneration,includingdisbursements,orclaimsofthe
employersforadvancesmadeuponsuchclaims.
(10)
Claimsomastersofapprentices,forthepremiumandotherexpensesagreeduponinthe
contractofapprenticeshipanddisbursements.
(11)
Claimsofownersofeducationalinstitutionsornursinghome,forinstructionfeesandother
fees,ormedicalfeesanotherexpenses,includingdisbursements.
(12)
Claimsofthosewhoreceivepersonstobemaintainedoreducated,forservicesincluding
disbursements.
(13)
Claimsofthosewhoreceiveanimalstobemaintainedortrained,forservices,including
disbursements.
(14)Claimsofteachers,fortheirfees.
(15)
Claimsofpractitionersinmedicine,dentist,nurses,midwives,veterinarysurgeonsorthose
whopracticeinotherrelatedfieldsofmedicine,fortheirservices,includingdisbursements.
(16)
Claimsoflawyersorthoseengagedinlegalprofessionincludingexpertwitnessesfortheir
services,includingdisbursements,orclaimsofthepartiesforadvancesmadeuponsuch
claims.
(17)
Claimsofengineers,architects,auditorsorthoseengagedinotherindependentprofessions,
forservicesincludingdisbursements,orclaimsoftheemployersforadvancesmadeuponsuch
claims.
Section193/35.SubjecttoSection193/27,prescriptionofclaimsarisingfromtheacknowledgment
ofliabilitiesbythedebtorinwritingoringivingofsecurityunderSection193/28paragraphtwois
twoyearfromthedateofacknowledgmentofliabilitiesorofgivingofsecurity.
SamuiForSale
(up)

BOOKII
OBLIGATIONS
TITLEI
GENERALPROVISIONS
CHAPTERI
SUBJECTOFOBLIGATIONS
Section194.byvirtueofanobligationthecreditorisentitledtoclaimperformancefromthedebtor.
Theperformancemayconsistinaforbearance.
Section195.Whenthethingwhichformsthesubjectofanobligationisdescribedonlyinkind,ifits
qualitycannotbedeterminedbythenatureofthejuristicactortheintentionoftheparties,the
debtormustdeliverathingofmediumquality.
Ifthedebtorhasdoneeverythingrequiredonhispartforthedeliveryofsuchthing,orifheon
obtainingtheconsentofthecreditorhasdesignatedathingfordelivery,suchthingbecomesfrom
thattimethesubjectoftheobligation.
Section196.Ifamoneydebtisexpressedinaforeigncurrency,paymentmaybemadeinThai
currency.
Thecommutationismadeaccordingtotherateofexchangecurrentintheplaceofpaymentatthe
timeofpayment.
Section197.Ifamoneydebtispayableinaspecifickindofmoneywhichisnolongercurrentatthe
timeofpayment,thepaymentshallbeasifthekindofmoneywerenotspecified.
Section198.Ifseveralactsofperformancearedueinsuchmannerthatonlyoneofthemistobe
done,therighttoelectbelongstothedebtorunlessotherwisestipulated.
Section199.Theelectionismadebyadeclarationofintentiontotheotherparty.Theperformance
electedisdeemedtobetheonlyoneduefromthebeginning.
Section200.Iftheelectionistobemadewithinaperiodoftime,andthepartywhohastherightof
electiondoesnotexerciseitwithinsuchperiod,therightofelectionpassestotheotherparty.
Ifnoperiodoftimewasfixed,whentheobligationbecomesdue,thepartywhohasnottherightof
electioncannotifytheotherpartytoexercisehisrightofelectionwithinareasonabletimetobe
fixedinsuchnotice.
Section201.Ifathirdpersonistomaketheelection,itisdonebyadeclarationofintentionmadeto
thedebtor,whomustinformthecreditor.
Ifsuchthirdpersoncannotmaketheelectionorisunwillingtodoso,therightofelectionpassesto
thedebtor.
Section202.Ifoneoftheactsofperformanceisimpossiblefromthebeginning,orifitsubsequently
becomesimpossible,theobligationislimitedtotheotheractofperformance.Thislimitationdoes
notariseiftheperformancebecomesimpossibleinconsequenceofacircumstanceforwhichthe
partynotentitledtoelectisresponsible.
CHAPTERII
EFFECTOFOBLIGATIONS
PARTI
NonPerformance
Section203.Ifatimeforperformanceisneitherfixednortobeinferredfromthecircumstances,the
creditormaydemandtheperformanceforthwith,andthedebtormayperformhispartforthwith.
Ifatimeisfixed,itistobepresumed,incaseofdoubt,thatthecreditormaynotdemandthe
performancebeforethattime;thedebtor,however,mayperformearlier.
Section204.Ifthedebtordoesnotperformafterwarninggivenbythecreditoraftermaturity,heis
indefaultthroughthewarning.
Ifatimebycalendarisfixedfortheperformance,thedebtorisindefaultwithoutwarningifhedoes
notperformatthefixedtime.Thesameruleappliesifanoticeisrequiredtoprecedethe
performance,andthetimeisfixedinsuchmannerthatitmaybereckonedbythecalendarfromthe
timeofnotice.
Section205.Thedebtorisnotindefaultsolongastheperformanceisnoteffectedinconsequence
ofacircumstanceofacircumstanceforwhichheisnotresponsible.
Section206.Inobligationsarisingfromanunlawfulact,thedebtorisindefaultfromthetimewhen
hecommittedit.
Section207.acreditorisindefaultif,withoutlegalground,hedoesnotaccepttheperformance
tenderedtohim.
Section208.Theperformancemustbeactuallytenderedtothecreditorinthemannerwhichitisto
beeffected.
Butifthecreditorhasdeclaredtothedebtorthathewillnotacceptperformance,orifforeffecting
theperformanceanactofthecreditorisnecessary,itissufficientforthedebtortogivehimnotice
thatallpreparationsforperformancehavebeenmadeandthatitisforhimtoacceptit.Insuch
casesthenoticebythedebtorisequivalenttoatender.
Section209.Ifatimecertainisfixedfortheacttobedonebythecreditor,tenderisrequiredonlyif
thecreditordoestheactinduetime.
Section210.Ifthedebtorisboundtoperformhispartonlyuponcounterperformancebythe
creditor,thecreditorisindefaultif,thoughpreparedtoaccepttheperformancetendered,hedoes
notoffertherequiredcounterperformance.
Section211.Acreditorisnotindefaultifthedebtorisnotinapositiontoeffecttheperformanceat
thetimeoftender,or,inthecaseprovidedbySection209,atthetimefixedfortheactofthe
creditor.
Section212.Ifthetimeofperformanceisnotfixed,orifthedebtorisentitledtoperformbeforethe
fixedtime,thecreditorisnotindefaultbyreasonofthefactthatheistemporarilypreventedfrom
acceptingthetenderedperformance,unlessthedebtorhasgivenhimnoticeofthisintended
performanceareasonabletimebeforehand.
Section213.Ifadebtorfailstoperformhisobligation,thecreditormaymakeademandtotheCourt
forcompulsoryperformance,exceptwherethenatureoftheobligationdoesnotpermitit.
Whenthenatureofanobligationdoesnotpermitofcompulsoryperformance,ifthesubjectofthe
obligationisthedoingofanact,thecreditormayapplytothecourttohaveitdonebyathirdperson
atthedebtor'sexpense;butifthesubjectoftheobligationisdoingofajuristicact,ajudgmentmay
besubstitutedforadeclarationofintentionbythedebtor.
Astoanobligationwhosesubjectistheperformancefromanact,thecreditormaydemandthe
removalofwhathasbeendoneattheexpenseofthedebtorandhavepropermeasuresadoptedfor
thefuture.
Theprovisionsoftheforegoingparagraphsdonotaffecttherighttoclaimdamages.
Section214.SubjecttotheprovisionsofSection733,thecreditorisentitledtohavehisobligation
performedoutofthewholeofthepropertyofhisdebtorincludinganymoneyandotherproperty
duetothedebtorbythirdperson.
Section215.Whenthedebtordoesnotperformtheobligationinaccordancewiththetrueintent
andpurposeofthesame,thecreditormayclaimcompensationforanydamagescausedthereby.
Section216.Ifbyareasonofdefault,theperformancebecomesuselesstothecreditor,hemay
refusetoacceptitandclaimcompensationfornonperformance.
Section217.Adebtorisresponsibleforallnegligenceduringhisdefault.Heisalsoresponsiblefor
impossibilityofperformancearisingaccidentallyduringthedefault,unlesstheinjurywouldhave
arisesevenifhehadperformedinduetime.
Section218.Whentheperformancebecomesimpossibleinconsequenceofacircumstancefor
whichthedebtorisresponsible,thedebtorshallcompensatethecreditorforanydamagearising
fromthenonperformance.
Incaseofpartialimpossibilitythecreditormay,bydecliningthestillpossiblepartofthe
performance,demandcompensationfornonperformanceoftheentireobligation,ifthestill
possiblepartofperformanceisuselesstohim.
Section219.Thedebtorisrelievedfromhisobligationtoperformiftheperformancebecomes
impossibleinconsequenceofacircumstance,forwhichheisnotresponsible,occurringafterthe
creationoftheobligation.
Ifthedebtor,afterthecreationoftheobligation,becomesunabletoperform,itisequivalenttoa
circumstancerenderingtheperformanceimpossible.
Section220.Adebtorisresponsibleforthefaultofhisagent,andofpersonwhomheemploysin
performinghisobligation,tothesameextentasforhisownfault.Insuchcasetheprovisionsof
Section373havenoapplication.
Section221.Amoneydebtbearinginterestceasestobearinterestduringthedefaultofthecreditor.
Section222.Theclaimofdamagesisforcompensationforallsuchdamageasusuallyarisesfrom
nonperformance.
Thecreditormaydemandcompensationevenforsuchdamageashasarisenfromspecial
circumstances,ifthepartyconcernedforesaworoughttohaveforeseensuchcircumstances.
Section223.Ifanyfaultoftheinjuredpartyhascontinuedincausingtheinjury,theobligationto
compensatetheinjuredpartyandtheextentofthecompensationtobemadedependsuponthe
circumstances,especiallyuponhowfartheinjuryhasbeencausedchieflybytheoneortheother
party.
Thisappliesalsoevenifthefaultoftheinjuredpartyconsistedonlyinanomissiontocallthe
attentionofthedebtortothedangerofanunusuallyseriousinjurywhichthedebtorneitherknew
notoughttohaveknown,orinanomissiontoavertormitigatetheinjury.TheprovisionsofSection
220applymutatismtandis.
Section224.Amoneydentbearsinterestduringdefaultsevenandhalfpercentperannum.Ifthe
creditorcandemandhigherinterestonanyotherlegitimateground,thisshallcontinuetobepaid.
Interestfordefaultshallnotbepaiduponinterest.
Proofoffurtherdamageisadmissible.
Section225.Ifthedebtorisboundtomakecompensationforthevalueofanobjectwhichhas
perishedduringthedefault,orwhichcannotbedeliveredforareasonwhichhasarisenduringthe
default,thecreditormaydemandinterestontheamounttobepaidascompensation,fromthetime
whichservesasthebasisfortheestimateofthevalue.Thesameruleappliesifthedebtorisbound
tomakecompensationforthediminutioninvalueofanobjectwhichhasdeterioratedduringthe
default.
PARTII
Subrogation
Section226.Apersonissubrogatedtotherightsofacreditorisentitledtoexerciseinhisownname
alltherightswhichthecreditorhadinrespectoftheobligationincludinganysecurityforit.
Byrealsubrogation,apropertyissubstitutedforanotherpropertyinthesamejuristicpositionas
thepreviousone.
Section227.Whenacreditorhasreceivedascompensationfordamagethefullvalueofthethingor
rightwhichisthesubjectoftheobligation,thedebtoris,byoperationoflaw,subrogatedintothe
positionofthecreditorwithregardtosuchthingorright.
Section228.If,inconsequenceofthecircumstancewhichmakestheperformanceimpossible,the
debtoracquiresasubstituteoraclaimforcompensationfortheobjectowed,thecreditormay
demanddeliveryofthesubstitutereceivedormayclaimforcompensationbyhimself.
Ifthecreditorhasaclaimforcompensationonaccountofnonperformance,thecompensationto
bemadetohimisdiminished,ifheexercisestherightspecifiedintheforegoingparagraph,bythe
valueofthesubstitutereceivedoroftheclaimforcompensation.
Section229.Subrogationtakesplacebyoperationoflawandensuestothebenefitofthefollowing
persons:
Thepersonwho,beinghimselfacreditor,paysanothercreditorwhohasprioritytohimowingto
suchothercreditorhavingapreferentialright,pledgeormortgage.
Whenacquiresanimmovableproperty,thepersonwhousesthepurchasepriceinpayingoffthe
personswhohavemortgagesthereon.
Thepersonwho,beingboundwithotherorforotherstopayadebtandwasinterestedinpayingthe
same,haspaidit.
Section230.Ifthecreditorleviescompulsoryexecutionuponanobjectbelongingtothedebtor,any
personwhothroughtheexecutionincursdangeroflosingarightintheobjectisentitledto
satisfyingthecreditor.Thesamerightbelongstothepossessorofathingifheincursdangerof
losingpossessionthroughtheexecution.
Ifathirdpersonsatisfiesthecreditorheissubrogatedoftheclaimofthelatter.Suchclaimmaynot
beenforcedtothedetrimentofthecreditor.
Section231.Ifpropertiesmortgaged,pledgedorotherwisesubjecttoapreferentialright,are
insured,themortgage,pledgeorotherpreferentialrightextendstotheclaimagainsttheinsurer.
Incaseofimmovableproperty,theinsurershallnotpaytheindemnitytotheassureduntilhehas
givennoticeofhisintentiontodosotothemortgageeorotherpreferredcreditor,andhasnot
withinonemonthfromsuchnoticereceivedanyobjectiontothepayment,providedalwaysthatthe
insurerkneworoughttohaveknownofthemortgageorotherpreferentialright;however,anyright
registeredintheLandRegistryisdeemedtobeknowntotheinsurer.
Thesameruleshallapplytomortgageofmovablesallowedbylaw.Incaseofmovableproperty,the
insurermaypaytheindemnitytotheassureddirectly,unlesshekneworoughttohaveknownof
thepledgeorotherpreferentialright.
Theinsurerisnotliabletothecreditoriftheinsuredpropertyisrestoredorasubstituteforitis
provided.
Thesameruleshallbeappliedmutatismutandisincaseofexpropriationaswellasincaseof
indemnityduetotheownerofthepropertyfordestructionordamage.
Section232.Ifundertheforegoingsectionasumofmoneyisbeingsubstitutedfortheproperty
destroyedordamaged,suchsumshallinnocasebedeliveredtothemortgage,pledgeorother
preferredcreditorbeforetheobligationsecuredisdue,andifthepartiescannotcometoan
agreementwiththedebtor,eachofthemisentitledtodemandthatthesaidsumbedepositedat
theDepositOfficetheircommonbenefitunlessthedebtorgivespropersecurity.
PARTIII
ExercisingDebtorsClaims
Section233.If,totheprejudiceofthecreditor,thedebtorrefusesorneglectstoexerciseaclaimthe
creditormay,inordertoprotecthisobligation,exercisesuchclaiminhisownnameofbehalfofthe
debtor,exceptthosewhicharepurelypersonaltothedebtor.
Section234.Thecreditorwhoexercisesaclaimbelongingtohisdebtormustsummonthedebtorto
appearintheaction.
Section235.Acreditormayexerciseaclaimbelongingtothedebtorforthewholeamountdueto
thedebtor,withoutregardtotheamountduetohim.Butthedefendantmaysatisfythecreditorby
payingtheamountduetohimalone,providedthatiftheoriginaldebtorhasjoinedasaplaintiffhe
mayproceedtojudgmentforthebalance.
Inanycasethecreditorcannotobtainmorethanwhatisduetohim.
Section236.Thedefendantmaysetupagainstthecreditoralldefenseswhichhemayhaveagainst
thedebtor,exceptingthosewhicharoseaftertheentryoftheaction.
PARTIV
Cancellationoffraudulentacts
Section237.ThecreditorisentitledtoclaimcancellationbytheCourtofanyjuristicactdonebythe
debtorwithknowledgethatitwouldprejudicehiscreditor;butthisdoesnotapplyiftheperson
enrichedbysuchactdidnotknow,atthetimeoftheact,orthefactswhichcouldmakeitprejudicial
tothecreditor,provided,however,thatincaseofgratuitousacttheknowledgeonthepartofthe
debtoraloneissufficient.
Theprovisionsoftheforegoingparagraphdonotapplytoajuristicactwhosesubjectisnota
propertyright.
Section238.Thecancellationundertheforegoingsectioncannotaffecttherightofathirdperson
acquiredingoodfaith.
Theforegoingparagraphdoesnotapplyiftherightisacquiredgratuitously.
Section239.Cancellationoperatesinfavourofallthecreditors.
Section240.Aclaimforcancellationcannotbebroughtlaterthanoneyearfromthetimewhenthe
creditorknewofthecauseofcancellation,orlaterthantenyearssincetheactwasdone.
PARTV
RightofRetention
Section241.Ifthepossessorofapropertybelongingtoanotherhasanobligationinhisfavour
relatingtothepropertypossessed,hemayretainthepropertyuntiltheobligationisperformed;but
thisdoesnotapply,iftheobligationisnotyetdue.
Theprovisionsoftheforgoingparagraphdonotapply,ifthepossessionbeginsbyanunlawfulact.
Section242.Therightofretentiondoesnotexistifitisincompatiblewiththeobligationassumedby
thecreditor,orwiththeinstructionsgivenbythedebtorbeforeoratthetimeofdeliveryofthe
propertyorifitisagainstpublicorder.
Section243.Incaseofinsolvencyofthedebtor,thecreditorhastherightofretentionevenifhis
claimisnotyetdue.Iftheinsolvencyhasoccurredorbecomeknowntothecreditorafterthe
deliveryoftheproperty,hecanexercisetherightofretentionevenifanobligationpreviously
assumedbyhimortheinstructiongivenbythedebtor,opposesit.
Section244.Theholderofarightofretentionmayexercisehisrightagainstthewholeofthe
propertyretaineduntiltheobligationiswhollyperformed.
Section245.Theholderofarightofretentionmaytakethefruitsofthepropertyretainedand
appropriatethemtotheperformanceoftheobligationinpreferencetoothercreditors.
Suchfruitsmustfirstbeappropriatedtotheinterestontheobligation,andifthereisanysurplus
mustbeappropriatedtotheprincipal.
Section246.Theholderofarightofretentionisboundtotakesuchappropriatecareoftheproperty
retainedasmightbeexpectedfromhiminhissituation.
Theholderofarightofretentioncannotuseorletthepropertyretainedorgiveitassecurity,
withouttheconsentofthedebtor;butthisdoesnotapplytosuchuseasisnecessaryforthe
preservationoftheproperty.
Iftheholderofarightofretentionactscontrarytoanyprovisionoftheforegoingparagraphs,the
debtormayclaimtheextinctionoftheright.
Section247.Iftheholderofarightofretentionincursnecessaryexpensesinrespecttotheproperty
retainedhemayrequiretheownertoreimbursehim.
Section248.SubjecttotheprovisionsofSection193/27,theexercisefarightofretentiondoesnot
preventtherunningofprescriptionagainsttheobligation.
Section249.Thedebtormayclaimtheextinctionoftherightofretentionongivingpropersecurity.
Section250.Arightofretentionisextinguishedbythelossofpossessionoftheproperty;butthis
doesnotapplytothecasewherethepropertyretainedisletorpledgedwiththeconsentofthe
debtor.
PARTVI
PreferentialRights
Section251.Aholderofapreferentialrighthas,accordingtotheprovisionsofthisCodeorother
laws,arightastothepropertyofhisdebtortoreceivetherefromperformanceofanobligationdue
tohiminpreferencetoothercreditors.
Section252.TheprovisionsofSection244applycorrespondinglytopreferentialrights.
1.GeneralPreferentialRights
Section253.Apersoninwhosefavouranobligationexistbaseduponanyofthefollowinggrounds
hasapreferentialrightinthewholepropertyofthedebtor:
(1)Expensesforthecommonbenefit
(2)Funeralexpenses
(3)Taxesandduties,andmoneytowhichanemployeeentitledfortheservicerenderedtothe
debtorwhoishisemployer.
(4)Suppliesofdailynecessaries.
Section254.Thepreferentialrightonaccountofexpensesforthecommonbenefitisforexpenses
incurredforthecommonbenefitofallthecreditorsinregardtopreservation,liquidationor
distributionofthedebtorsproperty.
Ifanysuchexpensewasnotincurredforthebenefitofallthecreditors,thepreferentialrightonly
existagainstthosecreditorsforwhosebenefititwasincurred.
Section255.Thepreferentialrightonaccountoffuneralexpensesisforsuchfuneralexpensesasare
accordanttothestationinlifeofthedebtor.
Section256.Thepreferentialrightonaccountoftaxesandratesisforallland,propertyorother
taxesorlocalratesduefromthedebtorforthecurrentyearandtheprecedingyear.
Section257.Thepreferentialrightonaccountofmoney,towhichanemployeeisentitledfor
servicesrenderedtothedebtorwhoishisemployer,isforbasicpay,overtimepay,holidaypay,
holidayovertimepay,severancepay,specialseverancepay,andothermoneytowhichthe
employeeisentitledforservicesrenderedto,forfourmonthsbacknotexceedingonehundred
thousandbahtforeachemployee.
Section258.Thepreferentialrightonaccountofsuppliesofthedailynecessariesisforsuppliesfor
sixmonthsbackoffood,drink,light,firewoodandcharcoal,necessaryforthelivingofthedebtor,of
membersofhisfamily,wholivewithhimandwhomheisboundtosupport,andofhisservants.
2.SpecialPreferentialRights
(a)PREFERENTIALRIGHTSINMOVABLES
Section259.Apersoninwhosefavouranobligationexistsbaseduponanyofthefollowinggrounds
hasapreferentialrightinparticularmovablesofthedebtor:
(1)Hiringofanimmovable.
(2)Lodginginaninn.
(3)Carriageofpassengersofgoods.
(4)Preservationofmovables.
(5)Saleofmovables.
(6)Supplyofseeds,youngplantsormanure.
(7)Agriculturalorindustrialservices.
Section260.Thepreferentialrightonaccountofthehiringofanimmovableisforthehireofthe
immovableandforotherobligationsofthehiredarisingfromtherelationofhiring,andisinthe
movablesofthehirerwhichareinorontheimmovable.
Section261.Thepreferentialrightoftheletteroflandisinsuchmovablesashavebeenbroughtby
hehireruponthelandhiredorintobuildingssubservienttotheuseofsuchland,insuchmovables
asaredestinedfortheuseofsuchlandandinsuchfruitsofthelandasareinthepossessionofthe
hirer.
Thepreferentialrightoftheletterorabuildingisinsuchmovablesashavebeenbroughtintothe
buildingbythehirer.
Section262.Ifahirerofimmovablepropertyistransferredorsublet,thepreferentialrightofthe
originalletterextendstothemovablesbroughtbythetransfereeorsubhirerintotheproperty.The
sameappliestothemoneywhichthetransferororthesubletteristoreceivefromthetransfereeor
subhirer.
Section263.Incaseofageneralliquidationofthepropertyofthehirer,thepreferentialrightofthe
letterisonlyfortherentandotherobligationsofthelastpreceding,thecurrentandthenext
followingrentperiodandforsuchdamagesashavearisenduringthelastprecedingandthecurrent
rentperiod.
Section264.Iftheletterhasreceivedsecuritymoney,hehasapreferentialrightonlywithregardto
thatpartofhisclaimwhichisnotcoveredbythesecuritymoney.
Section265.Thepreferentialrightonaccountoflodginginaninnisforwhatisduetotheproprietor
forlodgingandotherservicesaffordedtothetravelerorguestinsatisfactionofhisneeds,including
disbursements,andisintheluggageorotherpropertyofthetravelerorguestwhichisintheinn,
hotelorothersuchplace.
Section266.Theletterofanimmovablepropertyortheproprietorofaninn,hotelorothersuch
placemayenforcehispreferentialrightinthesamemannerasapledgee.Theprovisionsofthis
CodeconcerningEnforcementofPledgeapplymutatismutandis.
Section267.Thepreferentialrightonaccountofcarriageisforchargesforthecarriageofa
passengerorgoodsandforaccessoryexpenses,andisinallgoodsandluggageinthehandsofthe
carrier.
Section268.Theletterofanimmovable,theproprietorofaninn,orthecarriermayenforcehis
preferentialrightagainstmovablesbelongingtoathirdpersoninthecasecontemplatedinthe
precedingeightsections,unlessheknewinduetimethattheybelongtothethirdperson.
Ifsuchmovableshavebeenstolenorlosttheprovisionsofthelawconcerningrecoveryof
possessionshallapply.
Sections269.Thepreferentialrightonaccountofthepreservationofamovableisfortheexpense
ofthepreservationofmovable,andisinsuchmovable.
Thepreferentialrightexistsalsofornecessaryexpensesincurredforthepurposeofhavingaright
relatingtoamovablepreserved,acknowledgedorenforced.
Section270.Thepreferentialrightonaccountofthesaleofamovableisforthepriceandinterest
thereon,andisinsuchmovable.
Section271.Thepreferentialrightonaccountofthesupplyofseeds,youngplantsormanureisfor
thepriceofseeds,youngplantsormanureandinterestthereon,andisinthefruitswhichhave
grownonthelandforwhichthosethingshavebeenusedwithinoneyearaftertheiruse.
Section272.Thepreferentialrightonaccountofagriculturalandindustrialservicesisastothe
personwhorenderedagriculturalserviceforwagesfrooneyearback,andastoapersonwho
renderedindustrialservicesforwagesforthreemonthsback,andisinthefruitsormanufactured
thingsproducedbyhisservice.
(b)PREFERENTIALRIGHTSINIMMOVABLES
Section273.Apersoninwhosefavoranobligationexistsbaseduponanyofthefollowinggrounds
hasapreferentialrightinaparticularimmovableofthedebtor:
(1)Preservationofanimmovable
(2)Workdoneuponanimmovable
(3)Saleofanimmovable
Section274.Thepreferentialrightonaccountofthepreservationofanimmovableisforthe
expenseofpreservationofanimmovable,andisinsuchimmovable.
IncaseoftheforegoingparagraphtheprovisionsofSection269paragraph2applycorrespondingly.
Section275.Thepreferentialrightonaccountofworkdoneuponanimmovableisforchargesfor
theworkdoneuponanimmovableofthedebtorbyabuilderanarchitectoracontractor,andisin
suchimmovable.
Thispreferentialrightexistonlyifthereisapresentincreaseofthevalueofsuchimmovabledueto
suchwork,andisonlyinsuchincreasedvalue.
Section276.Thepreferentialrightonaccountofthesaleofanimmovableisforthepriceand
interestthereon,andisinsuchimmovable.
3.RankofPreferentialRights
Section277.Whengeneralpreferentialrightsconflict,therankoftheirprecedenceisaccordingto
theorderinSection253.
Whenapreferentialrightconflictswithaspecialpreferentialright,thelattertakesprecedence,but
thepreferentialrightsonaccountofexpensesforthecommonbenefittakesprecedenceasagainst
allcreditorswhoarebenefitedthereby.
Section278.Whenpreferentialrightsinthesamemovableconflict,therankoftheirprecedenceis
asfollows.
(1)Thepreferentialrightonaccountofthehiringofanimmovable,oflodginginaninnandof
carriage.
(2)Thepreferentialrightonaccountofthepreservationofamovable,butifthereareseveral
personsentitledaspreserves,alaterpreservestakesprecedenceofanearlierone.
(3)Thepreferentialrightonaccountofthesaleofamovable,ofthesupplyofseeds,youngplantsor
manure,andofagricultureandindustrialservices.
Ifapersonwhohasapreferentialrightofthefirstrankknewatthetimewhenheacquiredhis
obligationthatotherpersonshavepreferentialrightsofthesecondorthirdrank,hecannotexercise
hisrightofprecedenceagainstthem.Thesameappliesasagainstapersonwhohaspreserveda
thingforthebenefitofapersonhavingapreferentialrightofthefirstrank.
Astofruits,apersonwhorenderedagriculturalserviceshasthefirstrank,asupplierofseeds,young
plantsormanurethesecond,andtheletterofthelandthird.
Section279.Whenspecialpreferentialrightsinthesameimmovableconflict,therankoftheir
precedenceisaccordingtotheorderinSection273.
Insuccessivesaleshavebeenmadeofthesameimmovable,therankofprecedenceoftheselleras
betweenthemselvesisaccordingtothepriorityofthesales.
Section280.Whenseveralpersonshavepreferentialrightsofthesamerankinthesamething,each
istoreceiveperformanceinproportiontotheamountofhisobligation.
4.EffectofPreferentialrights
Section281.Apreferentialrightinamovablecannotbeexercisedafterthedebtorhasdeliveredthe
thingtoathirdpersonwhohasacquireditfromhim.
Section282.Whenapreferentialrightconflictswithapledgeofamovable,thepledgeehasthe
samerightsastheholderofapreferentialrightofthefirstrankmentionedinSection278.
Section283.Apersonwhohasageneralpreferentialrightmustreceiveperformancefirstoutofthe
movablepropertyofthedebtor,andonlyincasethatisinsufficienthecanreceiveperformanceout
ofimmovables.
Astoimmovables,hemustreceiveperformancefirstoutofsuchimmovablesasarenotsubjecttoa
specialsecurity.
Ifapersonwhohasageneralpreferentialrightnegligentlyomitstointerveneinadistribution
accordingtotheprovisionsoftheforegoingtwoparagraphs,hecannotexercisehispreferentialright
againstathirdpersonwhoserightisregistered,totheextentofwhathewouldhavereceived
throughsuchintervention.
Theprovisionsoftheforegoingthreeparagraphsdonotapply,iftheproceedsofanimmovableare
tobedistributedbeforethoseofotherproperty,oriftheproceedsofanimmovablewhichisthe
subjectofaspecialsecurityaretobedistributedbeforetheproceedsofotherimmovables.
Section284.Ageneralpreferentialright,eventhoughnotregisteredinrespecttoanimmovable,
maybesetupagainstanycreditorwhohasnospecialsecurity,butthisdoesnotapplyagainsta
thirdpersonwhomaderegistration.
Section285.Apreferentialrightonaccountofthepreservationofanimmovableretainsitseffectby
beingregisteredimmediatelyaftertheactofpreservationiscompleted.
Section286.Apreferentialrightonaccountofworkdoneuponanimmovableretainsitseffectbya
provisionalestimateofthecostbeingregisteredbeforetheworkhasbegun.If,however,thecosts
oftheworkexceedstheprovisionalestimate,thereisnopreferentialrightfortheexcess.
Theincreaseofvalueofanimmovablearisingfromtheworkdoneuponitistobeestimatedby
expertsappointedbytheCourtatthetimeoftheinterventioninthedistribution.
Section287.Apreferentialrightregisteredinaccordancewiththeprovisionsoftheprecedingtwo
sectionscanbeexercisedinpreferencetoamortgage.
Section288.Apreferentialrightonaccountofthesaleofanimmovableretainsitseffectby
registeringatthesametimewiththecontractofsalethefactthatthepriceortheinterestthereon
hasnotbeenpaid.
Section289.Astotheeffectofapreferentialright,inadditiontoprovisionsofSections281to288
inclusive,theprovisionsastoMortgageapplycorrespondingly.
(up)

CHAPTERIII
PLURALITYOFDEBTORSANDCREDITORS
Section290.Ifseveralpersonsoweadivisibleperformance,orifadivisibleperformanceisowedto
severalpersons,eachdebtoris,incaseofdoubtliableonlyforanequalshare,andeachcreditoris
entitledtoanequalshare.
Section291.Ifseveralpersonsoweanactofperformanceinsuchmannerthateachisboundto
effectthewholeperformance,thoughthecreditorisentitledtoobtainthewholeperformanceonly
once(i.e.jointdebtors),thecreditormaydemandtheperformanceathisoptionfromanyoneofthe
debtors,inthewholeorinpart.Untillthewholeperformancehasbeeneffectedallofthedebtors
remainbound.
Section292.Performanceoftheobligationbyonejointdebtorsoperatesinfavouroftheother
debtors.Thesameruleappliestoanyactinlieuofperformance,tothedepositoflieuof
performanceandtosetoff.
Aclaimbelongingtooneofthejointdebtorsmaynotbesetoffbytheotherdebtors.
Section293.Areleaseoftheobligationgrantedtooneofthejointdebtorsavailsforthebenefitof
theotherdebtorsonlyinrespectoftheshareofthedebtorwhohasbeenreleasedunlessotherwise
agreed.
Section294.Thedefaultofthecreditortowardsonejointdebtoravailsalsoinfavouroftheother
debtors.
Section295.FactsotherthanthosespecifiedinSections292to294avail,unlessthecontrary
appearsfromthenatureoftheobligation,infavourofandasagainstonlythejointdebtortowhom
theyparticularlyrefer.
Thisapplies,inparticular,tothegivingofnotice,default,imputabilityoffault,impossibilityof
performanceonthepartofonejointdebtor,prescriptionoritsinterruption,andmergeroftheclaim
indebt.
Section296.Asbetweenthemselvesjointdebtorsareliableinequalshares,unlessitisotherwise
provided.Iffromoneofthejointdebtorsthecontributionduefromhimcannotbeobtained,the
deficiencyshallbebornebytheotherdebtorswhoareboundtomakecontribution;providedthat
oneofthejointdebtorshasbeenreleasedfromjointobligation,thecreditortakesuponhimselfthat
sharewhichthedebtorreleasedbyhimoughttohaveborn.
Section297.Ifinacontractseveralpersonsbindthemselvesincommontoeffectaperformance,
theyareliable,incaseofdoubt,asjointdebtorseveninthecaseofadivisibleperformance.
Section298.Ifseveralpersonsareentitledtodemandanactofperformanceinsuchmannerthat
eachcandemandthewholeperformance,thoughthedebtorisboundtoeffectthewhole
performanceonlyonce(i.e.jointcreditors),thedebtormayathisoptionperforminfavourofany
oneofthecreditors.Thisappliesevenifoneofthecreditorshasalreadybroughtanactionforthe
performance.
Section299.Defaultonthepartofonejointcreditoravailsalsoagainsttheothercreditors.
Ifaclaimandadebtbecomemergedinonejointcreditor,therightsoftheothercreditorsagainst
thedebtorareextinguished.
FortheresttheprovisionsofSections292,293and295applymutatismutandis.Inparticular,ifone
jointcreditortransfershisclaimtoanotherperson,therightsoftheothercreditorsremain
unaffected.
Section300.Jointcreditorsare,asbetweenthemselves,entitledtoequalshares,unlessitis
otherwiseprovided.
Section301.Ifseveralpersonoweanindivisibleperformance,theyareliableasjointdebtors.
Section302.Ifanindivisibleperformanceisowedtoseveralpersons,andiftheyarenotjoint
creditors,thedebtormayonlyperforminfavourofallincommon,andeachcreditormayonly
demandtheperformanceinfavourofall.Eachcreditormaydemandthatthedebtordepositsthe
thingowedforthebenefitofallthecreditors,orifthethingisnotsuitabletobedeposited,thatit
beconsignedtoacustodianappointedbytheCourt.
Fortherestafactwhichrefersonlytoonecreditordoesnotavailinfavourofnorasagainstthe
othercreditors.
CHAPTERIV
TRANSFEROFCLAIMS
Section303.Aclaimmaybetransferred,unlessitsnaturedoesnotadmitofit.
Theprovisionsoftheforegoingparagraphdonotapply,ifthepartieshavedeclaredacontrary
intention.Suchdeclarationofintention,however,cannotbesetupagainstathirdpersonactingin
goodfaith.
Section304.Aclaimisnottransferableifitisnotsubjecttojudicialattachment.
Section305.Withthetransferredclaimtherightsofmortgageorpledgeexistingonitsaccountand
therights,arisingfromasuretyshipestablishedforit,passtothetransferee.
Thetransfereemayalsoenforceanypreferentialrightconnectedwiththeclaimincaseof
compulsoryexecutionorbankruptcy.
Section306.Thetransferofanobligationperformabletoaspecificcreditorisnotvalidunlessitis
madeinwriting.Itcanbesetupagainstthedebtororthirdpersononlyifanoticethereofhasbeen
giventothedebtor,orifthedebtorhasconsentedtothetransfer.Suchnoticeorconsentbein
writing.
Thedebtorisdischargedifhesatisfiesthetransferorbywayofpaymentorotherwisebeforehehas
receivednoticeof,orhasagreedto,thetransfer.
Section307.Ifarightisclaimedunderdifferenttransfers,thefirsttransfernotified,oragreedto,
shallbepreferred.
Section308.IfadebtorhasgiventheconsentmentionedinSection306withoutreservation,he
cannotsetupagainstthetransfereeadefensewhichhemighthavemadeagainstthetransferor.If,
however,inordertoextinguishtheobligation,thedebtorhasmadeanypaymenttothetransferor,
hemayrecoverit,orifforsuchpurposehehasassumedanobligationtothetransferor,hemay
treatitasifitdidnotexist.
Ifthedebtorhasonlyreceivedanoticeofthetransfer,hemaysetupagainstthetransfereeany
defensewhichhehadagainstthetransferorbeforeherecievedsuchnotice.Ifthedebtorhad
againstthetransferoraclaimnotyetdueatthetimeofthenotice,hecansetoffsuchclaim
providedthatthesamewouldbecomeduenotlaterthantheclaimtransferred.
Section309.Thetransferofanobligationperformabletoordercanbesetupagainstthedebtoror
otherthirdpersononlyifthetransferisindorsedontheinstrument,andtheinstrumentitselfis
deliveredtothetransferee.
Section310.Thedebtorofanobligationperformabletoorderhastheright,butisnotbound,to
verifytheidentityoftheholderoftheinstrumentorthegenuinenessofhissignatureorseal;butif
thedebtoractsinbadfaithorwithgrossnegligence,hisperformanceisinvalid.
Section311.Theprovisionsoftheforegoingsectionapplycorrespondingly,ifacreditorisdesignated
intheinstrument,butitisaddedthatperformanceshallemadetotheholderofsuchinstrument.
Section312.Thedebtorofanobligationperformabletoordercannotsetupagainstanytransferee
ingoodfaithdefenceswhichhemighthavesetupagainsttheoriginalcreditor,exceptsuchas
appearonthefaceoftheinstrumentorresultnaturallyfromitscharacter.
Section313.Theprovisionsoftheforegoingsectionapplycorrespondinglytoobligations
performancetobearer.
(up)
CHAPTERV
EXTINCTIONOFOBLIGATION
PARTI
Performance
Section314.Performanceofanobligationmaybemadebyanythirdperson,unlessitsnaturedoes
notadmitofit,orthepartiesconcernedhavedeclaredacontraryintention.
Apersonwhohasnointerestintheperformance,cannotmakeperformanceagainstthewillofthe
debtor.
Section315.Performancemustbemadetothecreditororapersonhavingauthoritytoreceive
performanceonhisbehalf.Aperformancemadetoapersonwhohasnoauthoritytoreceiveisvalid
ifthecreditorratifiesit.
Section316.Ifperformanceismadetotheapparentpossessorofanobligation,itisvalidonlyifthe
personmakingperformanceactedingoodfaith.
Section317.Exceptinthecasementionedintheforegoingsection,aperformancemadetoaperson
whoisnotentitledtoreceiveit,isvalidonlytotheextenttowhichthecreditorhasbeenenriched
thereby.
Section318.Apersonwhoholdsareceiptisdeemedtohavearighttoreceiveperformance;butthis
doesnotapply,ifthepersonmakingperformanceknowsthatsuchrightdoesnotexistorisignorant
thereofbyreasonofhisnegligence.
Section319.WhenathirddebtorwhohasbeenorderedbyaCourttorefrainfrommaking
performance,hasmadethesametohisowncreditor,theseizingcreditormay,insofarashehas
sustaineddamage,demandanotherperformancefromthethirddebtor.
Theprovisionsoftheforegoingparagraphdonotpreventthethirddebtorfromexercisingtheright
torecourseagainsthisowncreditor.
Section320.Thecreditorcannotbecompelledtoreceivepartperformanceoranyother
performancethanthatwhichduetohim.
Section321.Anobligationisextinguishedifthecreditoracceptsinlieuofperformanceanother
performancethanagreedupon.
Ifthedebtor,forthepurposeofsatisfyingthecreditor,assumesanewobligationtowardshim,is
nottobepresumed,incaseofdoubt,thatheassumestheobligationinlieuofperformance.
Ifperformanceismadebymaking,transferring,orendorsingabullorwarrant,theobligationis
extinguishedonlyifsuchbillorwarrantispaid.
Section322.Ifathing,aclaimagainstathirdpersonoranyotherrightisgiveninlieuof
performance,thedebtorshallbeliablefordefectandforevictioninthesamemannerastheseller.
Section323.Ifthesubjectofanobligationisthedeliveryofaspecificthing,thepersonmaking
performancemustdeliverthethinginconnectioninwhichitisatthesametimewhendeliveryisto
bemade.
Thedebtormust,untilhedeliversit,keepthethingwithsuchcareasapersonofordinaryprudence
wouldtakeofhisownproperty.
Section324.Whenthereisnospecialdeclarationofintentionastotheplaceofperformance,ifa
specificthingistobedelivered,thedeliveryistobemadeattheplacewherethethingwasatthe
timewhentheobligationarose;otherkindsofperformancemustbemadeattheplaceofthe
creditor'spresentdomicile.
Section325.Whenthereisnodeclarationofintentionastotheexpensesofperformance,such
expensesaretobebornebythedebtor;if,however,becauseofthecreditor'stransferofhis
domicileoranyotheractofhistheexpensesareincreased,suchincreasemustbebornebythe
creditor.
Section326.Thepersonmakingperformanceisentitledtoareceiptfromthepersonwhoreceives
performance,andiftheperformanceiswhollyperformed,heisentitledtohavethedocument
embodyingtheobligationsurrenderedtohimorcancelled.Ifsuchdocumentisdeclaredtobelost,
heisentitledtohavetheextinctionoftheobligationmentionedinthereceiptorinaseparate
document.
Iftheobligationispartlyperformedorifthedocumentgivesthecreditoranyotherright,thedebtor
isonlyentitledtoareceiptandtohavetheperformancenotedinthedocument.
Section327.Incaseofinterestorotherperiodicalperformance,ifthecreditorgivesareceiptfor
onetermwithoutanyreservation,itispresumedthathehasreceivedperformancefortheprevious
terms.
Ifhegivesreceiptforthecapital,itispresumedthathehasreceivedtheinterest.
Ifthedocumentembodyingtheobligationhasbeensurrendered,itispresumedthattheobligation
hasbeenextinghuised.
Section328.Ifadebtorisboundtothecreditortodosimilaractsofperformancebyvirtueofseveral
obligations,andiftheperformanceeffectedbyhimisinsufficientforthedischargeofalldebts,that
debtisdischargedwhichhespecifiesoneffectingtheperformance.
Ifthedebtormakesnospecification,thenthatdebtwhichisdueisfirstdischarged;amongseveral
debtsduethatoneisfirstdischargedwhichaffordsthecreditorleastsecurity;amongseveralequal
secureddebtstheonemostburdensometothedebtor;amongseveralequallyburdensomedebts
theoldestdebt;andwhereseveralareequallyoldeverydebtproportionately.
Section329.Ifthedebtor,besidestheprincipalperformance,hastopayinterestandcosts,thevalue
ofanactofperformancesufficienttodischargethewholedebtisappliedfirsttothecosts,thento
theinterest,andlastlytotheprincipalperformance.
Section330.Bypropertenderofperformanceadischargeiseffected,fromthetimeofthetender,
fromallresponsibilitiesarisingoutofnonperformance.
Section331.Ifthecreditorrefusesorisunabletoacceptperformance,thepersonperformingmay
bedischargedfromtheobligationbydepositingforthecreditor'sbenefitthethingformingthe
subjectoftheobligation.Thesameapplies,ifthepersonperformingwithoutfaultonhispart,
cannotascertaintherightoridentityofthecreditor.
Section332.Ifthedebtorisboundtoperformonlyafterthecounterperformancehasbeeneffected
bythecreditor,hemaymaketherightofthecreditortoreceivethethingdepositeddependent
uponcounterperformancebythecreditor.
Section333.Adepositmustbemadetothedepositofficeortheplacewheretheobligationistobe
performed.
Iftherearenospecialprovisionsbylaworregulationsastothedepositoffices,theCourtmust,on
applicationofthepersonperforming,designateadepositofficeandappointacustodianofthething
deposited.
Thedepositormustwithoutdelaygivenoticeofthedeposittothecreditor.
Section334.Thedebtorhastherighttowithdrawthethingdeposited.Ifhewithdrawsit,the
depositisdeemednevertohavebeenmade.
Therightofwithdrawalisbarred:
(1)Ifthedebtordeclarestothedepositofficethathewaiveshisrightofwithdrawal.
(2)Ifthecreditordeclareshisacceptancetothedepositoffice.
(3)IfthedeposithasbeenorderedorconfirmedbytheCourtandthefactisnotifiedtothedeposit
office.
Section335.Therightofwithdrawalisnotsubjecttojudicialattachment.
Ifbankruptcyproceedingsareinstitutedagainstthepropertyofthedebtor,therightofwithdrawal
cannotbeexercisedduringthebankruptcyproceedings.
Section336.Ifthethingformingthesubjectofperformanceisnotsuitablefordeposit,orifinregard
tothethingthereisanapprehensionthatitmayperishorbedestroyedordamaged,theperson
performingmay,withthepermissionoftheCourt,sellitatauctionanddeposittheproceeds.The
sameapplies,ifthekeepingofthethingwouldbeunreasonablyexpensive.
Section337.Theauctionisnotpermissibleuntilafterthecreditorhasbeenwarnedofit.The
warningmaybedispensedwithifthethingisliabletodeterioration,andthereisdangerindelaying
theauction.
Thedebtorshallwithoutdelaynotifythecreditoroftheauction;ifthedebtorfailstodoso,heis
liableforcompensation.
Thewarningandthenoticemaybedispensedwithiftheyareimpracticable.
Thetimeandplaceoftheauction,withageneraldescriptionofthething,shallbepublicly
advertised.
Section338.Thecostofthedepositoroftheauctionshallbebornebythecreditor,unlessthe
depositbewithdrawnbythedebtor.
Section339.Therightofthecreditortothedepositisextinguishedafterthelapseoftenyearssince
receiptofnoticeofthedeposit.
Aftertherightofthecreditorisextinguishedthedebtorisentitledtowithdrawevenifhehas
waivedtherightofwithdrawal.
(up)
PARTII
Release
Section340.Ifthecreditordeclarestothedebtoranintentiontoreleasetheobligation,itis
extinguished.
Whenanobligationhasbeenevidencedbywriting,thereleasemustalsobeinwritingorthe
documentembodyingtheobligationbesurrenderedtothedebtororcancelled.
PARTIII
Setoff
Section341.Iftwopersonsareboundtoeachotherbyobligationswhosesubjectisofthesamekind
andbothofwhicharedue,eitherdebtormaybedischargedfromhisobligationbysetofftothe
extenttowhichtheamountsoftheobligationscorrespond,unlessthenatureofoneofthe
obligationsdoesnotadmitofit.
Theprovisionsoftheforegoingparagraphdonotapply,ifthepartieshavedeclaredacontrary
intention;butsuchintentioncannotbesetupagainstathirdpersonactingingoodfaith.
Section342.Setoffismadebyadeclarationofintentionbyonepartytoanother.Aconditionor
timecommencementorendingcannotbeaddedtosuchdeclaration.
Thedeclarationofintentionmentionedintheforegoingparagraphrelatesbackinitseffecttothe
timewhenbothobligationscouldfirsthavebeensetoff.
Section343.Asetoffmaybemadeeventhoughtheplaceofperformanceofthetwoobligationsis
different;butthepartywhomakesthesetoffmustindemnifytheotherpartyforanydamage
causedthereby.
Section344.Aclaimagainstwhichthereisadefensemaynotbesetoff.Prescriptiondoesnot
excludesetoff,iftheclaimbarredbyprescriptionwasnotbarredatthetimeatwhichitcouldhave
beensetoffagainsttheotherclaim.
Section345.Ifanobligationarisesfromanunlawfulact,thedebtorcannotavailhimselfofasetoff
againstthecreditor.
Section346.Ifaclaimisnotsubjecttojudicialattachment,itisnotsubjecttosetoff.
Section347.AthirddebtorwhohasreceivedfromtheCourtanorderofprohibitionofpayment
cannotsetupagainsttheseizingcreditoranobligationsubsequentlyacquiredbyhim.
Section348.Ifeitherpartyhasseveralclaimssuitableforsetoff,thepartymakingthesetoffmay
specifytheclaimswhicharetobesetoffagainsteachother.Ifthesetoffisdeclaredwithoutsuch
specification,oriftheotherpartyobjectswithoutdelay,provisionsofSection328paragraph2apply
mutatismutandis.
Ifthepartymakingthesetoffowestheotherpartyinterestandcostsinadditiontotheprincipal
performance,theprovisionsofSection329applymutatismutandis.
(up)
PARTIV
Novation
Section349.Whenthepartiesconcernedhaveconcludedacontractchangingtheessentialelements
ofanobligation,suchobligationisextinguishedbynovation.
Ifaconditionalobligationismadeunconditional,oraconditionisaddedtoanunconditional
obligation,orifaconditionischanged,itisregardedasachangeofanessentialelementofsuch
obligation.
AnovationbyachangeofthecreditorisgovernedbytheprovisionsofthisCodeconcerningtransfer
ofclaims.
Section350.Anovationbyachangeofthedebtormaybeeffectedbyacontractbetweenthe
creditorandthenewdebtor,butthiscannotbedoneagainstthewilloftheoriginaldebtor.
Section351.Iftheobligationresultingfromanovationdoesnotcomeintoexistence,orisannulled,
becauseofanillegalityinitsgroundorbecauseofsomereasonunknowntotheparties,theoriginal
obligationisnotextinhuishe.
Section352.Thepartiestoanovationmay,totheextentofthesubjectoftheoriginalobligation,
transferarightofpledgeormortgagegivenassecurityforittothenewobligation;butifsuch
securitywasgivenbyathirdperson,hisconsentisnecessary.
PARTV
Merger
Section353.Ifrightsandliabilitiesinanobligationbecomevestedinthesameperson,theobligation
isextinguished,exceptwhenithasbecomethesubjectoftherightofathirdperson,orwhenabill
hasbeenreindorsedaccordingSection917paragraph3.
(up)

TITLEII
CONTRACT
CHAPTERI
FORMATIONOFCONTRACT
Section354.Anoffertomakeacontractinwhichaperiodforacceptanceisspecifiedcannotbe
withdrawnwithinsuchperiod.
Section355.Apersonwho,withoutspecifyingaperiodforacceptance,makesanoffertoanotherat
adistancecannotwithdrawhisofferwithinatimewhichnoticeofacceptancemightreasonablybe
expected.
Section356.Anoffermadetoapersonwhoispresentwithoutspecifyingaperiodforacceptance
maybeacceptedonlythereandthen.Thisappliesalsotoanoffermadebyonepersontoanother
onthetelephone.
Section357.Anofferceasestobebindingifitisrefusedtotheofferor,orifitisnotacceptedindue
timeaccordingtothethreeforegoingsections.
Section358.Ifthenoticeofacceptancearrivesoutoftime,butitisapparentthatitwassentinsuch
mannerthatintheordinarycourseofthingsitoughttohavearrivedinduetime,theofferor,unless
hehasalreadydoneso,mustwithoutdelaygivenoticetotheotherpartyofthedelayedarrival.
Iftheofferorfailstogivenoticementionedintheforegoingparagraph,thenoticeoftheacceptance
isdeemednottohavebeenoutoftime.
Section359.Iftheacceptanceofanofferarrivesoutoftime,itisdeemedtobeanewoffer.
Anacceptancewithadditions,restrictionsorothermodificationsisdeemedtobearefusalcoupled
withanewoffer.
Section360.TheprovisionsofSection169paragraph2donotapply,iftheofferorhasdeclareda
contraryintention,orifbeforeacceptingtheotherpartyhadnoticeofthefactofhisdeathorlossof
capacity.
Section361.Acontractbetweenpersonsatadistancecomesintoexistenceatthetimewhenthe
noticeofacceptancereachestheofferor.
Inaccordancetothedeclaredintentionoftheofferorortoordinaryusagenonoticeofacceptanceis
necessary,thecontractcomesintoexistenceatthetimeoftheoccurrenceoffactwhichis
consideredasadeclarationtoaccept.
Section362.Apersonwhobyadvertisementpromisesthathewillgivearewardtowhoevershallde
acertainactisboundtogivesuchrewardtoanypersonwhodoestheact,evenifsuchpersondid
notactwithaviewtothereward.
Section363.Inthecaseoftheforegoingsectionthepromisormaysolongasthereisnopersonwho
hascompletedthespecificact,withdrawhispromisebythesamemeanswhichusedforadvertising,
unlesshedeclaredintheadvertisementthathewouldnotwithdrawit.
Ifapromisecannotbewithdrawnbythemeansoftheaforesaid,withdrawmaybemadebyother
means,butinsuchcaseitisvalidonlyagainstthosepersonswhoknowofit.
Ifthepromisorhasfixedaperiodwithinwhichthespecifiedactmustbedone,heispresumedto
haverenouncedhisrightofwithdrawal.
Section364.Ifthereareseveralpersonswhohavedonetheactspecifiedintheadvertisement,only
thatonewhodoesitfirsthasarighttoreceiveanequalshareofthereward.
Ifseveralpersonsdosuchactatthesametime,eachonehasarighttoreceiveanequalshareofthe
reward.Butiftherewardisinitsnatureindivisible,orifbythetermsofthepromiseonlyoneperson
istoreceivethereward,itisdecidedbylot.
Theprovisionsoftheforegoingtwoparagraphsdonotapply,ifintheadvertisementadifferent
intentionisdeclared.
Section365.Apromiseofrewardwhichhasaprizecompetitionisvalidonlyifaperiodoftimeis
fixedintheadvertisement.
Thedecisionwhetheranycompetitorfulfilstheconditionsofthepromisewithintheperiod,or
whichoneamongseveralcompetitorsdeservesthepreference,shallbemadebytheumpirenamed
intheadvertisement,orintheabsenceofanysuch,bythepromisorofthereward.Thedecisionis
bindinguponthepartiesconcerned.
IncaseofequalityofmerittheprovisionsofSection364paragraph3applycorrespondingly.
Thetransferofownershipofthethingproducedmaybedemandedbythepromisoronlyofhehas
specifiedintheadvertisementthatsuchtransfershallbemade.
Section366.Solongasthepartieshavenotagreeduponallpointsofacontractuponwhich,
accordingtothedeclarationofevenoneparty,agreementisessential,thecontractis,incaseof
doubt,notconcluded.Anunderstandingconcerningparticularpointsisnotbinding,evenifthey
havebeennoteddown.
Ifitisagreedthatthecontemplatedcontractshallbeputintowriting,incaseofdoubt,thecontract
isnotconcludeduntilitisputinwriting.
Section367.Ifthepartiestoacontract,whichtheyregardedasconcluded,haveinfactnotagreed
astoonepointuponwhichanagreementwastobesettled,thosepartswhichwereagreedupon
arevalidinsofarasitmaybeinferredthatthecontractwouldhavebeenconcludedevenwithouta
settlementofthispoint.
Section368.Contractsshallbeinterpretedaccordingtotherequirementsofgoodfaith,ordinary
usagebeingtakenintoconsideration.
CHAPTERII
EFFECTOFCONTRACT
Section369.Apartytoareciprocalcontractmayrefusetoperformhisobligationuntiltheother
partyperformsortendersperformanceofhisobligation.Butthisdoesnotapply,iftheotherparty's
obligationisnotyetdue.
Section370.Iftheobjectofareciprocalcontractisthecreationortransferofarealrightinaspecific
thing,andsuchthingislostordamagedbyacausewhichisnotattributabletothedebtor,theloss
ordamagefailsuponthecreditor.
Toanonspecificthingtheprovisionsoftheforegoingparagraphapplyfromthetimewhenthething
hasbecomespecificinaccordancewiththeprovisionsofSection195paragraph2.
Section371.Theprovisionoftheforegoingsectiondonotapply,ifthethingwhichformsthesubject
ofareciprocalcontradependinguponaconditionprecedentislostordestroyedwhilethecondition
ispending.
Ifthethingisdamagedbyacausenotattributabletothecreditor,thelatter,whentheconditionis
fulfilled,mayathisoptioneitherdemandperformancewithreductionofhiscounterperformanceor
rescindthecontract,providedthatinthecasewherethecauseofthedamageisattributabletothe
debtor,thecreditor'srighttocompensateisnotaffectedthereby.
Section372.Exceptinthecasesmentionedinthetwoforegoingsections,ifanobligationbecomes
impossibleofperformancebyacausenotattributabletoeitherparty,thedebtorhasnorightto
receivethecounterperformance.
Ifperformancebecomesimpossiblebyacauseattributabletothecreditor,thedebtordoesnotlose
hisrighttothecounterperformance.Hemusthowever,deductwhathesavesinconsequenceof
releasefromtheperformance,orwhatheacquiresormaliciouslyomitstoacquirebyadifferent
applicationofhisfaculties.Thesameruleappliesintheperformanceduefromonepartybecomes
impossible,inconsequenceofacircumstanceforwhichheisnotresponsible,atthetimewhenthe
otherpartyisindefaulttoacceptance.
Section373.Anagreementmadeinadvanceexoneratingadebtorfromhisownfraudorgross
negligenceisvoid.
Section374.Ifapartybyacontractagreestomakeaperformancetoathirdperson,thelatterhasa
righttoclaimsuchperformancedirectlyfromthedebtor.
Inthecaseoftheforegoingparagraphtherightofthethirdpersoncomesintoexistenceatthetime
whenhedeclarestothedebtorhisintentiontotakethebenefitofthecontract.
Section375.Aftertherightofthethirdpersonhascomeintoexistenceinaccordancewiththe
provisionsoftheforegoingsection,itcannotbechargedorextinguishedbythepartiestothe
contract.
Section378.DefencesarisingfromthecontractmentionedinSection374canbesetupbythe
debtoragainstthethirdpersonwhoreceivethebenefitofthecontract.
CHAPTERIII
EARNESTANDSTIPULATEDPENALTY
Section377.If,onenteringintoacontract,somethingisgivenasearnest,thisisdeemedtobeproof
oftheconclusionofthecontract.Ialsoservesasasecuritythatthecontractshallbeperformed.
Section378.Intheabsenceofagreementtothecontrary,earnestis:
(1)Tobereturnedortreatedaspartpaymentuponperformance
(2)
Tobeforfeited,ifthepartygivingitfailstoperform,oriftheperformancebecomesimpossible
inconsequenceofthecircumstanceforwhichheisresponsibleoriftherescissionofthe
contractisduetohisfault.
(3)
Tobereturned,ifthepartyreceivingitfailstoperform,or,iftheperformancebecomes
impossibleinconsequenceofacircumstanceforwhichheisresponsible.
Section379.Ifthedebtorpromisesthecreditorthepaymentofasumofmoneyaspenaltyincase
hedoesnotperformitinthepropermanner,thepenaltyisforfeitedifheisindefault.Ifthe
performancedueconsistinaforbearance,thepenaltyisforfeitedassoonasanyactin
contraventionoftheobligationiscommitted.
Section380.Ifthedebtorhaspromisedthepenaltyforthecaseofhisnotperforminghisobligation,
hiscreditormaydemandtheforfeitedpenaltyinlieuofperformance.Ifthecreditordeclarestothe
debtorthathedemandsthepenalty,theclaimforperformanceisbarred.
Ifthecreditorhasaclaimforcompensationfornonperformance,hemaydemandtheforfeited
penaltyastheminimumamountofthedamage.Proofoffurtherdamageisadmissible.
Section381.Ifthedebtorhaspromisedthepenaltyforthecaseofhisnotperformingtheobligation
inthepropermanner,suchas,notatthefixedtime,thecreditormaydemandtheforfeitedpenalty
inadditiontotheperformance.
Ifthecreditorhasaclaimforcompensationonaccountofimproperperformance,theSection380
paragraph2apply.
Ifthecreditoracceptstheperformancehemaydemandthepenaltyonlyifonacceptancehe
reservestherighttodoso.
Section382.Ifanotherperformancethanthepaymentofasumofmoneyispromisedaspenalty,
theprovisionsofSections379to381apply;theclaimforcompensationisbarredifthecreditor
demandsthepenalty.
Section383.Ifaforfeitedpenaltyisdisproportionatelyhigh,itmaybereducedtoareasonable
amountbytheCourt.Indeterminationofreasonablenesseverylegitimateinterestofthecreditor,
notmerelyhispropertyinterest,shallbetakenintoconsideration.Afterpaymentofthepenaltythe
claimforreductionisbarred.
Thesameruleappliesalso,apartfromthecasesprovidedforbySections379and382,ifaperson
promisesapenaltyforthecaseofhisdoingorforbearingtodosomeact.
Section384.Ifthepromisesperformanceisinvalid,anagreementmadeforapenaltyfornon
performanceofthepromiseisalsoinvalid,evenifthepartiesknewoftheinvalidityofthepromise.
Section385.Ifthedebtorconteststheforfeitureofthepenaltyonthegroundofhavingperformed
hisobligation,hemustprovetheperformance,unlesstheperformanceduefromhimconsistedina
forbearance.
(up)
CHAPTERIV
RESCISSIONOFCONTRACT
Section386.Ifbycontractorbytheprovisionsoflawonepartyhastherightofrescission,such
rescissionismadebyadeclarationofintentiontotheotherparty.
Thedeclarationofintentionintheforegoingparagraphcannotberevoked.
Section387.Ifonepartdoesnotperformtheobligation,theotherpartymayfixareasonableperiod
andnotifyhimtoperformwithinthatperiod.Ifhedoesnotperformwithinthatperiod,theother
partymayrescindthecontract.
Section388.Iftheobjectofacontractaccordingtoitsnatureortoanintentiondeclaredbythe
partiescanbeaccomplishedonlybyperformanceatafixedtimeorwithinafixedperiod,andsuch
timeorperiodhaspassedwithoutoneofthepartieshavingperformed,theotherpartymayrescind
thecontractwithoutthenotificationmentionedintheforegoingsection.
Section389.Ifperformancebecomeswhollyorpartyimpossiblebyacauseattributabletothe
debtor,thecreditormayrescindthecontract.
Section390.Ifinacontractthereareseveralpersonsontheoneortheotherside,therightof
rescissionmaybeexercisedonlybyallandagainstall.Iftherightofrescissionisextinguishedin
respectofoneofthosepersonsentitled,alsoinrespectoftheothers.
Section391.Ifonepartyhasexercisedhisrightofrescission,eachpartyisboundtorestorethe
othertohisformercondition;buttherightsofthirdpersonscannotbeimpaired.
Tomoneywhichistoberepaidinthecaseoftheforegoingparagraphinterestistobepaidfromthe
timewhenitwasreceived.
Forservicesrenderedandforallowingtheuseofathingtherestitutionshallbemadebypayingthe
value,or,ifinthecontractacounterpaymentinmoneyisstipulatedfor,thisshallbepaid.
Theexerciseoftherightofrescissiondoesnotaffectaclaimfordamages.
Section392.Theobligationsofthepartiesresultingfromrescissionshallbeperformedaccordingto
theprovisionsofSection369.
Section393.Ifnoperiodisfixedfortheexerciseoftherightofrescission,theotherpartymayfixa
reasonableperiodandnotifythepartyhavingarightofrescissiontodeclarewithinsuchperiod
whetherhewillrescindornot.Ifnoticeofrescissionisnotreceivedwithinsuchperiod,therightof
rescissionisextinguished.
Section394.Therightofrescissionisextinguishedwhenthepersonentitledhas,byhisownactor
fault,essentiallydamagedthethingwhichisthesubjectofacontractorhasrenderedtherestitution
thereofimpossibleorhaschargedintoathingofadifferentkindbyworkingituporremodelingit.
Ifwithouttheactorfaultofthepersonwhohastherightofrescissionthethingwhichisthesubject
ofthecontractofthecontracthasbeenlostordamaged,therightofrescissionisnotextinguished.
TITLEIII
MANAGEMENTOFAFFAIRSWITHOUTMANDATE
Section395.Apersonwhotakeschargeofanaffairforanotherwithouthavingreceivedmandate
fromhimorbeingotherwiseentitledtodosoinrespectofhim,shallmanagetheaffairinsuch
mannerastheinterestoftheprincipalrequires,havingregardtohisactualorpresumptivewishes.
Section396.Iftheundertakingofthemanagementoftheaffairisopposedtotheactualor
presumptivewishesoftheprincipal,andifthemanagermusthaverecognizedthis,heisboundto
compensatetheprincipalforanydamagesarisingfromhismanagementoftheaffair,evenifnofault
otherwiseimputabletohim.
Section397.Thefactthatthemanagementoftheaffairisopposedtothewishesoftheprincipalis
nottakenintoconsiderationif,withoutthemanagementoftheaffair,adutyoftheprincipalthe
fulfillmentofwhichisofpublicinterestoralegaldutytofurnishmaintenancetoothersbythe
principalwouldnotbefulfilledinduetime.
Section398.Ifthemanagementoftheaffairhasforitsobjecttheavertingofanimminentdanger
whichthreatenstheperson,reputationorpropertyoftheprincipal,themanagerisresponsibleonly
forwillfuldefaultandgrossnegligence.
Section399.Themanagershallnotifytotheprincipal,assoonaspracticable,theundertakingofthe
managementoftheaffair,andawaithisdecision,unlessthereisdangerindelay.Fortherestthe
provisionsofSections809to811applicabletoanagentapplymutatismutandistotheobligationof
themanager.
Section400.Ifthemanagerisincapacitated,heisresponsibleonlyundertheprovisionsrelatingto
compensationforwrongfulacts,andrelatingtotthereturnforundueenrichment.
Section401.Iftheundertakingofmanagementoftheaffairisinaccordancewiththeinterestand
theactualorpresumptivewishesoftheprincipal,themanagermaydemandreimbursementofhis
outlayasanagent.TheprovisionsofSection816paragraph2applymutatismutandis.
InthecaseprovidedforbySection397thisclaimbelongstothemanagereveniftheundertakingof
themanagementoftheaffairisopposedtothewishesoftheprincipal.
Section402.Iftheconditionsoftheforegoingsectiondonotexist,theprincipalisboundtoreturnto
themanagerallthatheacquiresthroughthemanagementoftheaffairundertheprovisionsrelating
tothereturnforundueenrichment.
Iftheprincipalratifiesthemanagementoftheaffair,theprovisionsofthisCodeconcerningAgency
applymutatismutandis.
Section403.Themanagerhasnoclaimifhehadnottheintentiontodemandreimbursementfrom
theprincipal.
Ifparentsorgrandparentsfurnishmaintenancetotheirdescendants,orviceversa,itistobe
presumed,incaseofdoubt,thatthereisnointentiontodemandreimbursementfromtherecipient.
Section404.Ifthemanageractsforoneperson,believingthatheisactingforanotherperson,only
theformerhastherightanddutiesarisingoutofthemanagement.
Section405.Theprovisionsofthetenforegoingsectionsdonotapply,ifapersontakeschargeof
theaffairofanotherinthebeliefthatitishisown.
Ifapersontreatstheaffairofanotherashisown,althoughknowingthatheisnotentitledtodoso,
theprincipalmayenforcetheclaimsbasedonSections395,396,399and400.Ifhedoesenforce
them,heisliabletothemanagerasprovidedforinSection402paragraph1.
(up)

TITLEIV
UNDUEENRICHMENT
Section406.Anypersonwho,throughanactofperformancemadebyanotherpersonorinany
othermanner,obtainssomethingtotheprejudiceofsuchotherpersonwithoutlegalground,must
returnittothelatter.Theacknowledgmentoftheexistenceornonexistenceofadebtisdeemedto
beanactofperformance.
Thesameprovisionshallapplyifsomethinghasbeenobtainedonaccountofacausewhichhasnot
beenrealizedorofaceasedtoexist.
Section407.Apersonwhohasfreelydoneanactasifinperformanceofanobligation,knowingthat
hewasnotboundtoeffecttheperformance,isnotentitledtorestitution.
Section408.Thefollowingpersonsarenotentitledtorestitution:
Apersonwhoperformsanobligationsubjecttoatimeclausebeforethetimehasarrived
Apersonwhoperformsanobligationwhichhasbeenbarredbyprescription
Apersonwhoperformsanobligationincompliancewithamoraldutyorwiththerequirementsof
socialpropriety.
Section409.Whenapersonwhoisnotadebtorhasperformedanobligationbymistakeandthe
creditor,inconsequencethereof,hasingoodfaithdestroyedorobliteratedthedocumentary
evidenceoftheobligationorgivenupanysecurityorlosthisrightbyprescription,thecreditorisnot
boundtomakerestitution.
Theprovisionsoftheforegoingparagraphdonotpreventthepersonwhohasperformedfrom
exercisingarightofrecourseagainstthedebtorandhissurety,ifany
Section410.Apersonwhohadmadeaperformanceforanintendedresultwhichisnotproducedis
notentitledtorestitution,if,fromthebeginning,itwasknowntohimthattheproductionofthe
resultwasimpossibleorifhewaspreventedtheresultinviolationofgoodfaith.
Section411.Apersonwhohasmadeanactofperformance,thepurposeofwhichiscontraryto
legalprohibitionorgoodmorals,cannotclaimrestitution.
Section412.Ifthepropertywhichwasundulyreceivedisasumofmoney,restitutionmustbemade
infull,unlessthepersonwhoreceiveditwasingoodfaithinwhichcaseheisonlyboundtoreturn
suchpartofhisenrichmentasstillexistsatthetimewhenrestitutionisdemanded.
Section413.Whenthepropertywhichmustbereturnedisotherthanasumofmoneyandthe
personwhoreceiveditwasingoodfaith,suchpersonisonlyboundtoreturnitinsuchconditionas
itisandisnotresponsibleforlessordamagetosuchthing,buthemustreturnwhateverhehas
acquiredascompensationforsuchlossordamage.Ifthepersonwhoreceivedthepropertywasin
badfaithheisfullyresponsibleforthelossordamageevencausedbyforcemajeur,unlesshe
provesthatthelossordamagewouldhavehappenedinanycase.
Section414.Ifrestitutionisimpossibleonaccountofthenatureofthepropertyreceivedorforany
otherreason,andthepersonwhoreceivedthepropertywasingoodfaith,suchpersonisbound
onlytoreturnsuchpartofhisenrichmentasstillexistsatthetimewhenrestitutionisdemanded.
Ifapersonwhoreceivedthepropertywasinbadfaith,heisboundtopaythefullvalueofthe
property.
Section415.Apersonwhohasreceivedthepropertyingoodfaithacquiresthefruitsthereonaslong
assuchgoodfaithcontinues.
Incasewherehehastoreturnsuchthing,heisdeemedtobeinbadfaithfromthetimewhen
restitutionisdemanded.
Section416.Expenseswhichwerenecessaryforthepreservationofthepropertyorforits
maintenanceorrepairmustbereimbursedinfulltothepersonwhoreturnssuchproperty.
Howeversuchpersoncannotclaimreimbursementoftheordinaryexpensesformaintenance,
repairsorchargesmadewithintheimeduringwhichhehasacquiredthefruits.
Section417.Forexpensesotherthanthoseprovidedinparagraph1oftheforegoingsectionthe
personwhoreturnsthepropertycanclaimreimbursementonlyiftheyweremadewhilehewasin
goodfaithandifthevalueofthepropertyisincreasedbysuchexpensesatthetimeofrestitution,
andonlytotheextentofsuchincrease.
TheprovisionsofSection415paragraph2applycorrespondingly.
Section418.Ifthepersonwhohasinbadfaithundulyreceivedapropertyhasmadealternationsin,
oradditionstoit,hemustreturnthepropertyafterhavingputitinitsformerconditionathisown
expense,unlesstheownerofthepropertychoosestohaveitreturnedinitspresentcondition,in
whichcasetheownermustpayathisoptioneitherthecostofalterationsoradditions,orasum
representingtheincreasedvalueoftheproperty.
Whenrestitutionistobemade,ifitisimpossibletoputitinitsformerconditionortheproperty
wouldbedamagedthereby,thepersonwhoreceivedthepropertymustreturnitinsuchcondition
asitisandheisnotentitledtocompensationforanyincreaseofvalueaccruingtothepropertyfrom
suchalterationsoradditions.
Section419.Noactiononaccountofundueenrichmentcanbeenteredlaterthanoneyearfromthe
timewhentheinjuredpartybecameawareofhisrighttorestitutionorlaterthan10yearsfromthe
timewhentherightaccrued.
(up)
TITLEV
WRONGFULACTS
CHAPTERI
LIABILITYFORWRONGFULACTS
Section420.Apersonwho,willfullyornegligently,unlawfullyinjuresthelife,body,health,liberty,
propertyoranyrightofanotherperson,issaidtocommitawrongfulactandisboundtomake
compensationtherefore.
Section421.Theexerciseofarightwhichcanonlyhavethepurposeofcausinginjurytoanother
personisunlawful.
Section422.Ifdamageresultsfromaninfringementofastatutoryprovisionintendedforthe
protectionofothers,thepersonwhosoinfringesispresumedtobeinfault.
Section423.Apersonwho,contrarytothetruth,assertsorcirculatesasafactthatwhichinjurious
tothereputationorthecreditofanotherorhisearningsorprosperityinanyothermanner,shall
compensatetheotherforanydamagearisingtherefrom,evenifhedoesnotknowofitsuntruth,
providedheoughttoknowit.
Apersonwhomakesacommunicationtheuntruthofwhichisunknowntohim,doesnotthereby
renderhimselfliabletomakecompensation,ifheorthereceiverofthecommunicationhasa
rightfulinterestinit.
Section424.TheCourt,whengivenjudgmentastotheliabilityforwrongfulactandtheamountof
compensation,shallnotbeboundbytheprovisionsofthecriminallawconcerningliabilityto
punishmentorbytheconvictionornonconvictionofthewrongdoerforacriminaloffence.
Section425.Anemployerisjointlyliablewithhisemployeefortheconsequencesofawrongfulact
committedbysuchanemployeeinthecourseofhisemployment.
Section426.Theemployerwhohasmadecompensationtoathirdpersonforawrongfulact
committedbyhisemployeeisentitledtoreimbursementfromsuchemployee.
Section427.Thetwoforegoingsectionsshallapplymutatismutandistoprincipalandagent.
Section428.Anemployerisnotliablefordamagedonebythecontractortoathirdpersoninthe
courseofthework,unlesstheemployerwasatfaultinregardtothewordorderedortohis
instructionsortotheselectionofthecontractor.
Section429.Aperson,eventhoughincapacitated,onaccountofminorityorunsoundnessofmindis
liablefortheconsequencesofhiswrongfulact.Theparentsofsuchpersonare,orhisguardianis,
jointlyliablewithhim,unlesstheyorhecanprovethatpropercareinperformingtheirorhisdutyof
supervisionhasbeenextended.
Section430.Ateacher,employerorotherpersonwhoundertakesthesupervisionofan
incapacitatedpersoneitherpermanentlyortemporarily,isjointlyliablewithsuchpersonforany
wrongfulactcommittedbythelatterwhilstunderhissupervision,providedthatitcanbeproved
thathehasnotexercisedpropercare.
Section431.IncasefallingunderthetwoforgoingsectionstheprovisionsofSection426apply
mutatismutandis.
Section432.Ifseveralpersonsbyajointwrongfulactcausedamagetoanotherperson,theyare
jointlyboundtomakecompensationforthedamage.Thesameappliesif,amongseveraljointdoers
ofanact,theonewhocausedthedamagecannotbeascertained.
Personswhoinstigateorassistinawrongfulactaredeemedtobejointactors.
Asbetweenthemselvesthepersonsjointlyboundtomakecompensationareliableinequalshares
unless,underthecircumstances,theCourtotherwisedecides.
Section433.Ifdamageiscausedbyananimal,theowner,orthepersonwhoundertakestokeepthe
animalonbehalfoftheowner,isboundtocompensatetheinjuredpartyforanydamagearising
therefrom,unlesshecanprovethathehasexercisedpropercareinkeepingitaccordingtoits
speciesandnatureorothercircumstances,orthatthedamagewouldhavebeenoccasioned
notwithstandingtheexerciseofsuchcare.
Thepersonresponsibleundertheforegoingparagraphmayexercisearightofrecourseagainstthe
personwhohaswrongfullyexcitedorprovokedtheanimaloragainsttheownerofanotheranimal
whichhascausedtheexcitementorprovocation.
Section434.Ifdamageiscausedbyreasonofthedefectiveconstructionorinsufficientmaintenance
ofabuildingorotherstructure,thepossessorofsuchbuildingorstructureisboundtomake
compensation,butifthepossessorhasusedpropercaretopreventthehappeningofthedamage,
theownerisboundtomakecompensation.
Theprovisionsoftheforegoingparagraphapplycorrespondinglytodefectsintheplantingor
proppingoftreesorbamboos.
Ifincasesoftheforegoingtwoparagraphsthereisalsosomeotherpersonwhoisresponsiblefor
thecauseofthedamage,thepossessororownermayexercisearightofrecourseagainstsuch
person.
Section435.Apersonwhoisthreatenedwithaninjuryfromabuildingorotherstructurebelonging
toanotherisentitledtorequirethelattertomakenecessarymeasuresforavertingthedanger.
Section436.Anoccupierofabuildingisresponsiblefordamagearisingfromthingswhichfallfromit
orarethrownintoanimproperplace.
Section437.Apersonisresponsibleforinjurycausedbyanyconveyancepropelledbymechanism
whichisinhispossessionorcontrol,unlessheprovesthattheinjuryresultsfromforcemajeureor
faultoftheinjuredperson.
Thesameappliestothepersonwhohasinhispossessionthingsdangerousbynatureofdestination
oronaccountoftheirmechanicalaction.
CHAPTERII
COMPENSATIONFORWRONGFULACTS
Section438.TheCourtshalldeterminethemannerandtheextentofthecompensationaccordingto
thecircumstancesandthegravityofthewrongfulact.
Compensationmayincluderestitutionofthepropertyofwhichtheinjuredpersonhasbeen
wrongfullydeprivedoritsvalueaswellasdamagesforanyinjurycaused.
Section439.Apersonwhoisboundtoreturnathingofwhichhehasdeprivedanotherbya
wrongfulactisalsoresponsiblefortheaccidentaldestructionofthething,orforaccidental
impossibilityofreturningitarisingfromanyothercause,orforitsaccidentaldeterioration,unless
destructionortheimpossibilityofreturningitorthedeteriorationwouldhavehappenedevenifthe
wrongfulacthadnotbeencommitted.
Section440.Ifonaccountofthetakingofathingitsvalue,or,onaccountofdamagetoathing,its
diminutioninvalueistobemadegood,theinjuredpartymaydemandinterestontheamounttobe
madegoodfromthetimewhichservesasthebasisfortheestimateofthevalue.
Section441.Ifapersonboundtomakecompensationforanydamageonaccountofthetakingor
damagingofamovablecompensatesthepersonwhosepossessionthethingwasatthetimeof
takingordamage,heisdischargedbysodoingevenifathirdpartywastheownerofthething,or
hadsomeotherrightinthething,unlesstherightofthethirdpartyisknowntohimorremains
unknowninconsequenceofgrossnegligence.
Section442.Ifanyfaultoftheinjuredpartyhascontributedincausingtheinjury,theprovisionsof
Section223shallapplymutatismutandis.
Section443.Inthecauseofcasingdeath,compensationshallincludefuneralandothernecessary
expenses.
Ifdeathdidnotensueimmediately,compensationshallincludeinparticularexpensesformedical
treatmentanddamagesforthelossofearningonaccountofdisabilitytowork.
Ifonaccountofthedeathanypersonhasbeendeprivedofhislegalsupport,heisentitledto
compensationtherefore.
Section444.Inthecaseofaninjurytothebodyorhealth,theinjuredpersonisentitledtoreceive
reimbursementofhisexpensesanddamagesfortotalorpartialdisabilitytowork,forthepresentas
wellasforthefuture.
Ifatthetimeofgivingjudgmentitisimpossibletoascertaintheactualconsequencesoftheinjury,
theCourtmayreserveinthejudgmenttherighttorevisesuchjudgmentforaperiodnotexceeding
twoyears.
Section445.Inthecaseofcausingdeath,orofcausinginjurytothebodyorhealthofanother,orin
thecaseofdeprivationofliberty,iftheinjuredpersonwasboundbylawtoperformservicein
favourofathirdpersoninhishouseholdorindustry,thepersonboundtomakecompensationshall
compensatethethirdpersonforthelossofsuchservice.
Section446.Inthecaseofinjurytothebodyorhealthofanother,orinthecaseofdeprivationof
liberty,theinjuredpersonmayalsoclaimcompensationforthedamagewhichisnotpecuniaryloss.
Theclaimisnottransferable,anddoesnotpasstotheheirs,unlessithasbeenacknowledgedby
contract,oronactiononithasbeencommenced.
Section447.Againstapersonwhohasinjuredthereputationofanother,theCourtmay,onthe
applicationoftheinjuredperson,ororderpropermeasurestobetakenfortherehabilitationofthe
latter'sreputation,insteadof,ortogetherwith,compensationdamages.
Section448.Theclaimfordamagesarisingfromwrongfulactisbarredbyprescriptionafteroneyear
fromthedaywhenthewrongfulactandthepersonboundtomakecompensationbecameknownto
theinjuredperson,ortenyearsfromthedaywhenthewrongfulactwascommitted.
Howeverifthedamagesareclaimedonaccountofanactpunishableunderthecriminallawfor
whichalongerprescriptionisprovidedsuchlongerprescriptionshallapply.
CHAPTERIII
JUSTIFIABLEACTS
Section449.Apersonwho,actinginlawfuldefenceorunderalawfulcommand,hascausedinjuryto
anyotherpersonisnotliabletomakecompensation.
Theinjuredpersoncanclaimcompensationfromthepersonagainstwhomthelawfuldefencewas
directed,orfromthepersonwhowrongfullygavethecommand,asthecasemaybe.
Section450.Ifapersondamagesordestroysathinginordertoavertanimmediatecommon
danger,heisnotliabletomakecompensation,providedthedamagedoneisnotoutofproportion
tothedanger.
Ifapersondamagesordestroysathingsinordertoavertanimmediateindividualdanger,heshall
makerestitutiontherefore.
Ifapersondamagesordestroysathinginordertoprotecttherightsofhimselforofathirdperson
againstimmediatedangerthreatenedbythethingitself,suchpersonisnotliabletomake
compensation,providedthedamagedoneisnotoutofproportiontothedanger.Ifthedangerwas
causedbysuchperson'sfaultheisliabletomakecompensation.
Section451.Apersonwhousesforceforprotectinghisrightisnotliabletomakecompensationif
underthecircumstancesthehelptheCourtoroftheproperauthoritiesisnotobtainableinduetime
andthereisdangerthat,ifhedoesnotactimmediately,therealizationofhisrightwillbefrustrated
orseriouslyimpeded.
Theusingofforceaccordingtotheforegoingparagraphmustbestrictlylimitedtothatwhichis
necessaryforadvertingthedanger.
Ifanypersondoestheactspecifiedinthefirstparagraphundertheerroneousassumptionthatthe
necessaryconditionsexisttorenderhisactlawful,heisliabletomakecompensationtotheother
person,eveniftheerrorwasnotduetohisnegligence.
Section452.Apossessorofanimmovablepropertyisentitledtoseizeanimalsbelongingtoanother
personwhichcauseinjuryonsuchpropertyandretainthemassecurityfroanycompensationwhich
maybeduetohim,heisevenentitledtokillthemifitisnecessaryunderthecircumstances.
Howeverhemustgivenoticewithoutdelaytotheowneroftheanimals.Iftheownercouldnotbe
foundthepersonseizingmusttakepropermeasurestoseekhimout.

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BOOKIII
SPECIFICCONTRACTS
TITLEI
SALE

CHAPTERI
NATUREANDESSENTIALSOFTHECONTRACTOFSALE

PARTI

GeneralProvisions

Section453.Saleisacontractwherebyaperson,calledtheseller,transferstoanotherperson,called
thebuyer,theownershipofproperty,andthebuyeragreestopaytothesellerapriceforit.
Section454.Apreviouspromiseofsalemadebyonepartyhastheeffectofasaleonlywhenthe
otherpartyhasgivennoticeofhisintentiontocompletethesaleandsuchnoticehasreachedthe
personwhomadethepromise.
Ifnotimehasbeenfixedinthepromiseforsuchnotification,thepersonwhomadethepromisemay
fixareasonabletimeandnotifytheotherpartytogiveadefiniteanswerwithinthattimewhether
hewillcompletethesaleornot.Ifwithinthattimehedoesnotgiveadefiniteanswer,theprevious
promiselosesitseffect.
Section455.Thetimeofthecompletionofthecontractofsaleisreferredtohereafterasthetimeof
sale.
Section456.Asaleofimmovablepropertyisvoidunlessitismadeinwritingandregisteredbythe
competentofficial.Thesameruleappliestoshipsorvesselsofsixtonsandover,tosteamlaunches
ormotorboatsoffivetonsandover,tofloatinghousesandtobeastsofburden.
Anagreementtosellortobuyanyoftheaforesaidproperty,orapromiseofsaleofsuchpropertyis
notenforceablebyactionunlessthereissomewrittenevidencesignedbythepartyliableorunless
earnestisgiven,orthereispartperformance.
Theprovisionsoftheforegoingparagraphshallapplytoacontractofsaleofmovableproperty
wheretheagreedpriceisfivehundredbahtorupwards.
Section457.Thecostsofacontractofsalearebornebybothpartiesequally.
PARTII

TransferofOwnership
Section458.Theownershipofthepropertysoldistransferredtothebuyerfromthemomentwhen
thecontractofsaleisenteredinto.
Section459.Ifacontractofsaleissubjecttoaconditionortoatimeclause',theownershipofthe
propertyisnottransferreduntiltheconditionisfulfilled,orthetimehasarrived.
Section460.Incaseofsaleofunascertainedproperty,theownershipisnottransferreduntilthe
propertyhasbeennumbered,counted,weighed,measuredorselected,oritsidentityhasbeen
otherwiserenderedcertain.
Incaseofsaleofspecificproperty,ifthesellerisboundtocount,weigh,measureordosomeother
actorthingwithreferencetothepropertyforthepurposeofascertainingtheprice,theownership
isnottransferredtothebuyeruntilsuchactorthingbedone.
CHAPTER11
DUTIESANDLIABILITIESOFTHESELLER
PARTI

Delivery
Section461.Thesellerisboundtodelivertothebuyerthepropertysold.
Section462.Deliverymaybemadebydoinganythingwhichhastheeffectofputtingthepropertyat
thedisposalofthebuyer.
Section463.Ifthecontractprovidesthatthepropertysoldshallbesentfromoneplacetoanother,
deliverytakesplaceatthemomentwhenthepropertyisdeliveredtothecarrier.
Section464.Thecostsoftransportationofthepropertysoldtoaplaceotherthantheplaceof
performancearetobebornebythebuyer.
Section465.Inasaleofmovableproperty:
(1)
Wherethesellerdeliversthepropertylessthanhecontractedfor,thebuyermayrejectit;butif
thebuyeracceptsit,hemustpaytheproportionateprice.
(2)
Wherethesellerdeliversthepropertymorethanhecontractedfor,thebuyermayacceptthe
propertyaccordingtothecontractandrejecttherest,orhemayrejectthewhole.Ifthebuyer
acceptsthewholeofthepropertysodelivered,hemustpaytheproportionateprice.
(3)
Wherethesellerdeliversthepropertyhecontractedformixedwiththepropertyofadifferent
descriptionnotincludedinthecontract,thebuyermayacceptthepropertyaccordingtothe
contractandrejecttherest,orhemayrejectthewhole.
Section466.Inasaleofimmovablepropertywherethetotalareaisspecifiedandthesellerdelivers
thepropertylessormorethanhecontractedfor,thebuyerhastheoptioneithertorejectoraccept
itandpaytheproportionateprice.
Ifthedeficiencyorexcessdoesnotexceedfivepercentofthetotalareasospecifiedthebuyeris
boundtoacceptitandpaytheproportionateprice,providedthatthebuyercanrescindthecontract
ifthedeficiencyorexcessissuchthathadheknownofithewouldnothaveenteredintothe
contract.
Section467.Noactionforliabilityonaccountofdeficiencyorexcesscanbeenteredlaterthanone
yearafterdelivery.
Section468.Whenthereisnotimeclauseforpaymentoftheprice,thesellerisentitledtoretainthe
propertysolduntilthepriceispaid.
Section469.Eventhoughthereisatimeclauseforpayment,ifthebuyerbecomesbankruptbefore
delivery,orwasbankruptatthetimeofsalewithouttheknowledgeoftheseller,orimpairsor
reducessecuritygivenforpayment,thesellerisentitledtoretainthepropertysold,unlessthebuyer
givespropersecurity.
Section470.Whenthebuyerisindefault,thesellerwhoretainsthepropertyundertheforegoing
sectionscan,insteadofusingtheordinaryremediesfornonperformance,notifythebuyerinwriting
topaythepriceandincidentalcharges,withinareasonabletimetobefixedinthenotice.
Ifthebuyerfailstocomplywiththenotice,thesellercansellthepropertybypublicauction.
Section471.Thesellershalldeductfromthenetproceedsofthepublicauctionwhatisduetohim
forthepriceandincidentalchargesanddeliverforthwithanysurplustothebuyer.
PARTII
LiabilityforDefect
Section472.Incaseofanydefectinthepropertysoldwhichimpairseitheritsvalueoritsfitnessfor
ordinarypurposes,orforthepurposesofthecontract,thesellerisliable.
Theforegoingprovisionapplieswhetherthesellerknewordidnotknowoftheexistenceofthe
defect.
Section473.Thesellerisnotliableinthefollowingcases:
(1)
Ifthebuyerknewofthedefectatthetimeofsale,orwouldhaveknownofitifhehadexercised
suchcareasmightbeexpectedfromapersonofordinaryprudence.
(2)
Ifthedefectwasapparentatthetimeofthedelivery,andthebuyeracceptstheproperty
withoutreservation.
(3)Ifthepropertywas;oldbypublicauction.
Section474.Noactionforliabilityfordefectcanbeenteredlaterthanoneyearafterthediscovery
ofthedefect.
PARTIII
LiabilityforEviction
Section475.Thesellerisliablefortheconsequencesofanydisturbancecausedtothepeaceful
possessionofthebuyerbyanypersonhavingoverthepropertysoldarightexistingatthetimeof
saleorbythefaultoftheseller.
Section476.Thesellerisnotliableforadisturbancecausedbyapersonwhoserightswereknownto
thebuyeratthetimeofsale.
Section477.Inanycaseofdisturbancewhereanactionarisesbetweenthebuyerandathird
person,thebuyerisentitledtosummonthesellertoappearintheactiontobejointdefendantor
jointplaintiffwiththebuyer,inordertoenabletheCourttosettledisputesbetweenalltheparties
totheminoneaction.
Section478.Thesellerisalsoentitled,ifhethinksproper,tointerveneintheactioninordertodeny
theclaimofthethirdperson.
Section479.Thesellerisliableif,byreasonofeviction,thebuyerisdeprivedofthewholeorpartof
thepropertysoldorifthepropertyissubjecttoaright,theexistenceofwhichimpairsitsvalue,
fitness,useorbenefitandofwhichthebuyerhadnoknowledgeatthetimeofsale.
Section480.Ifanimmovablepropertyisdeclaredtobesubjecttoaservitudeestablishedbylaw,the
sellerisnotliableunlesshehasexpresslyguaranteedthatthepropertywasfreefromservitudes,or
fromthatparticularservitude.
Section481.Ifthesellerwasnotapartytotheoriginalaction,orifthebuyerhasmadea
compromisewiththethirdperson,orhasyieldedtohisclaim,noactionforliabilityonaccountof
evictioncanbeenteredlaterthanthreemonthsafterfinaljudgmentintheoriginalaction,orafter
thedateofthecompromise,oroftheyieldingtothethirdperson.
Section482.Thesellerisnotliableforevictioninthefollowingcases:
(1)
Ifnoactionwasentered,andthesellerprovesthattherightsofthebuyerwerelostonaccount
ofthefaultofthebuyer,or
(2)
Ifthebuyerdidnotsummonthesellertoappearintheaction,andthesellerprovesthathe
wouldhavesucceededintheactionifsummonedtoappear,or
(3)
Ifthesellerappearedintheaction,buttheclaimofthebuyerwasdismissedon
accountofthefaultofthebuyer.
Inanycasethesellerisliablewheneverheissummonedtoappearintheactionandrefuses
totakethepartofthebuyerasjointdefendantorjointplaintiff.
PARTIV
ClauseforNonLiability
Section483.Thepartiestoacontractofsalemayagreethatthesellershallnotincuranyliabilityfor
defectsoreviction.
Section484.Unlessthenonliabilityclausespecifiesotherwise,suchclausedoesnotexemptthe
sellerfromtherepaymentoftheprice.
Section485.Anonliabilityclausecannotexemptthesellerfromtheconsequencesofhisownacts
oroffactswhichheknewandconcealed.
CHAPTERIII
DUTIESOFTHEBUYER
Section486.Thebuyerisboundtotakedeliveryofthepropertysoldandtopaythepricein
accordancewiththetermsofthecontractofsale.
Section487.Thepriceofthepropertysoldmaybefixedbythecontract,ormaybelefttobefixedin
mannertherebyagreed,ormaybedeterminedbythecourseofdealingbetweentheparties.
Whenthepriceisnotdeterminedasaforesaid,thebuyermustpayareasonableprice.
Section488.Ifthebuyerhasdiscovereddefectsinthepropertysold,heisentitledtowithholdthe
priceorpartofitstillunpaid,unlessthesellergivespropersecurity.
Section489.Thebuyerisalsoentitledtowithholdthepricewhollyorpartly,ifheisthreatened,or
hasgoodreasontobelievethatheisabouttobethreatened,withanactionbyamortgageeorbya
personclaimingthepropertysold,untilthesellerhascausedthedangerwithwhichheisthreatened
tocease,oruntilthesellerhasgivenpropersecurity.
Section490.Ifatimeisfixedforthedeliveryofthepropertysold,itispresumedthatthesametime
isfixedforthepaymentoftheprice.
CHAPTERIV
SOMEPARTICUlARKINDSOFSALES
PARTI
SalewithRightofRedemption

Section491.Salewithrightofredemptionisacontractofsalewherebytheownershipofthe
propertysoldpassestothebuyersubjecttoanagreementthatthesellercanredeemthatproperty.
Section492.Wherethepropertysoldisredeemedwithintheperiodfixedbythecontractorbylaw,
orwherethepersonwhoredeemsdepositsthepriceofredemptiontoadepositofficewithinthe
periodbywaivingtherighttowithdrawtheprice,theownershipofthepropertyshallbevestedin
thepersonwhoredeemsfromthetimeofpaymentordepositoftheprice,asthecasemaybe.
Inthecaseofdepositunderparagraphone,anofficialofthedepositofficeshallimmediatelygive
noticeofittotheredeemedperson,wherebythepersonwhoredeemsdoesnothavetocomply
withSection333paragraphthree.
Section493.Thepartiesmayagreethatthebuyershallnotdisposeofthepropertysold.Ifhe
disposesofitcontrarytohisagreement,heshallbeliabletothesellerforanyinjuryresulting
thereby.
Section494.Therightofredemptioncannotbeexercisedlaterthan:
(1)Tenyearsafterthetimeofthesaleincaseofimmovableproperty.
(2)Threeyearsafterthetimeofsaleincaseofmovableproperty.
Section495.Ifalongerperiodisprovidedinthecontract,itshallbereducedtotenyearsandthree
yearsrespectively.
Section496.Theperiodofredemtionmaybeafterwardextendedbyacontract,butifthetotal
periodisinexcessoftheperiodunderSection494,itshallbereducedtotheperiodunderSection
494.
Theextensionoftheperiodunderparagraphonemust,atleast,havesomewrittenevidencesigned
bytheredeemedperson.Incaseofthepropertywhosesalemustbemadeinwritingandregistered
bythecompetentofficial,theextensioncannotbesetupagainstathirdpersonwhohas,forvalue
andingoodfaith,acquiredandregisteredhisrightunlesssuchwritingorwrittenevidenceis
registeredorrecordedbythecompetentofficial.
Section497.Therightofredemptionmaybeexercisedonlyby:
(1)Theoriginalsellerorhisheirs,or
(2)Thetransfereeoftheright,or
(3)Anypersonexpresslyallowedtoredeembyacontract.
Section498.Therightofredemptionmaybeexercisedonlyagainst:
(1)Theoriginalbuyer
(2)
Thetransfereeofthepropertyorofarightontheproperty,providedthat,incaseofmovable
property,heknewatthetimeofthetransferthatsuchpropertywassubjecttoarightof
redemption.
Section499.Ifnopriceofredemptionidfixed,thepropertymayberedeemedbyreimbursingthe
priceofthesale.
Ifthepriceofredemptionorthepriceofthesale,atthetimeofredemption,ishigherthanthereal
priceofthesalemorethanfifteenpercentperyear,itshallberedeemedatarealpriceincluding
fifteenpercentperyearofprofit.
Section500.Costsofthesalebornebythebuyermustbereimbursedtogetherwiththeprice.
Costsofredemptionarebornebythepersonwhoredeems.
Section501.Thepropertymustbereturnedintheconditioninwhichitisatthetimeofredemption,
providedthatifthepropertyhasbeendestroyedordeterioratedthroughthefaultofthebuyerhe
mustpaycompensationtherefore.
Section502.Thepersonwhoredeemsthepropertyrecoversitfreefromanyrightscreatedbythe
originalbuyerorhisheirsortransfereebeforeredemption.
Ifahireofpropertyheldsubjecttoarightofredemptionisregisteredbythecompetentofficial,it
shallbevalidfornotmorethanoneyearofitsremainingduration,providedthatitisnotmadefor
thepurposeofinjuringtheseller.
PARTII
SalebySample;SalebyDescription;SaleonApproval
Section503.Inasalebysample,thesellerisboundtodeliverpropertyorpropertiescorresponding
tothesample.
Inasalebydescription,thesellerisboundtodeliverpropertycorrespondingtothedescription.
Section504.Noactionforliabilityonaccountofnoncorrespondencetothesampleordescription
canbeenteredlaterthanoneyearafterdelivery.
Section505.Asaleonapprovalisthesellingcontractthatthebuyerhavinganoptiontobuywhen
verifyingthebuyingproperty.
Section506.Toverifytheproperty,ifthereisnobuyingdeadline,thesellermayspecifythe
reasonabledeadlineperiodandgiveanoticetothebuyertoacceptorrejectthebuyingornot.
Section507.Thepropertythatthebuyerhavingoptiontoverifybeforedelivery,ifthebuyerdoes
notacceptitwithinthedeadlinestatedinthecontractorcommercialpracticeordeadlinesettingby
theseller,thesellingcontractisunbound.
Section508.Whenthepropertyisdeliveredtothebuyerforverifying,thesellingandthebuying
shallbeabsolutelycompletedinthefollowingcases:
(1)Ifthebuyerdoesnotrejectthepurchasingwithindeadlinespecifiedinthecontractorby
commercialpracticeorsettingbytheseller;or
(2)Ifthebuyerdoesnotreturnthepropertytothesellerwithinthesaiddeadline;or
(3)Ifthebuyerfullyusesallthepropertyorinsomeparts;or
(4)Ifthebuyersellsthepropertyormakesanybuyingsignals.
Section509.Theauctionshallbecompletedwhentheauctioneeracceptsthefinalpricebyknocking
thewoodhammeroranypracticalactsinauction;otherwisethebiddercanwithdrawhisbidin
anytime.
Section510.Duringbiddingprocess,thebiddermustcomplywiththebiddingprocedurethatthe
auctioneerhasannouncedineachbidding.
Section511.Theauctioneercannotmakeabidorletanypersontomakeabidforhisownbenefit
thatheiscontrolthebiddingprocess.
Section512.Thesellercannotmakeabidorletanypersontomakeabid,exceptspecifiedinthe
biddingtermsandconditionsthatthesellerhastherighttobid.
Section513.Iftheauctioneerthinksthatthebiddingpriceisnothighenough,hemaywithdrawthe
saidpropertyauction.
Section514.Thebiddershallbeunboundfromhisbidwhenotherpersonoffersahigherbidding
price,eventhoughthesaidbiddingiscompleteornot,orwhentheauctioneerwithdrawsthesaid
propertyauction.
Section515.Bidderwhooffersthehighestbiddingpricemustpayincashwhentheauctionis
completeorthedeadlinespecifiedinthebiddingadvertising.
Section516.Ifthebidderwhooffersthehighestbiddingpricedoesnotpaythemoney,the
auctioneermayrenewtheauction.Iftherenewbiddingpriceislowerthanthepreviousone,such
defaultbiddermustliablefortheshort.
Section517.Ifsomeoralloftheproceedfromauctionisunpaidthatthecausecomesfromthe
ignoranceoftheauctioneerunderSection515orSection516,theauctioneerhastoliableforthe
unpaidamount.
TITLEII
EXCHANGE
Section518.Exchangeisthecontractthatbothpartiestransfertherightofownershiptoeachother.
Section519.Inanyprovisionsofthelawsrelatingtothesellingandbuying,theexchangeisalso
includedinsuchprovisionbyimplyingthatbothpartiesaresellerandbuyerforsuchtransferofsuch
properties.
Section520.Ifanyexchangingpartyacceptstoaddmoneywiththeexchangeofpropertytoanther,
thesellingpriceshallincludesuchadditionalcashpaymenttoo.
(up)

TITLEIII
GIFT
Section521.Agiftisacontractwherebyaperson.Calledthedonor,transfersgratuitouslyaproperty
ofhisowntoanotherperson,calledthedonee,andthedoneeacceptssuchproperty.
Section522.Agiftmaybemadebygrantingtothedoneethereleaseofanobligationorby
performinganobligationduefromthedonee.
Section523.Agiftisvalidonlyondeliveryofthepropertygiven.
Section524.Ifarightrepresentedbyawritteninstrumentisgiven,thegiftisnotvalidunlesssuch
instrumentisdeliveredtothedoneeandthegiftisnotifiedinwritingtothedebtoroftheright.
Section525.Thegiftofapropertythesaleofwhichmustbemadeinwritingandregisteredbysuch
competentofficialisvalidonlywhensomadeandregisteredbythecompetentofficial.Insuchcase
itisvalidwithoutdelivery.
Section526.Ifagiftorapromiseforagifthasbeenmadeinwritingandregisteredbythe
competentofficialandthedonordoesnotdelivertothedoneethepropertygiven,thedoneeis
entitledtoclaimthedeliveryofitoritsvalue,butheisnotentitledtoanyadditionalcompensation.
Section527.Ifadonorbindshimselftomakeperiodicalperformancetheobligationisextinguished
onthedeatheitherofthedonororthedoneeunlessacontraryintentionappearsfromthe
obligation.
Section528.Ifthegiftisencumberedwithachargeandthedoneefailstoperformthecharge,the
donormay,undertheconditionsspecifiedfortherightofrescissioninthecaseofreciprocal
contracts,demandthereturnofthegiftundertheprovisionsrelatingtothereturnofundue
enrichmentinsofarasthegiftoughttohavebeenappliedtotheperformanceofthechange.
Thisclaimisbarredifathirdpartyisentitledtorequiretheperformanceofthecharge.
Section529.Ifthepropertygivenisnotsufficienttosatisfythecharge,thedoneehastoperform
onlytotheextentofthevalueoftheproperty.
Section530.Ifthegiftencumberedwithacharge,thedonorisliablefordefectorevictioninthe
samemannerasthesellerbutonlytotheextentofthecharge.
Section531.Thedonorcanclaimrevocationofagiftforanactofingratitudeonlyinthefollowing
cases.
(1)
IfthedoneecommittedaseriouscriminaloffencepunishableunderthePenalCodeagainstthe
donor,or
(2)Ifthedoneeseriouslydefamedorinsultedthedonor,or
(3)
Ifthedoneerefusedthedonorwhoisinneedofthenecessariesoflifewhilehewasableto
supplythem.
Section.532.Theheirofthedonorcanclaimrevocationonlyifthedoneehasintentionallyand
unlawfullykilledthedonororpreventedhimfromrevokingthegift.
However,theheirmaycontinueanactionwhichhasbeendulyenteredbythedonor.
Section533.Agiftcannotberevokedifthedonorhasforgiventhedonee,orifsixmonthshave
elapsedsincethetimewhentheactofingratitudecametoknowledgeofthepersonentitledto
claimrevocation.
Noactioncanbeclaimedlaterthantenyearsaftersuchact.
Section534.Ifthegiftisrevoked,thepropertyshallbereturnedundertheprovisionsofthisCode
concerningUndueEnrichment.
Section535.Thefollowinggiftsarenotrevocableforingratitude:
(1)Giftspurelyremuneratory
(2)Giftsencumberedwithacharge
(3)Giftsmadeincompliancewithamoralduty
(4)Giftsmadeinconsiderationofmarriage
Section536.AgifttotakeeffectatthedeathofthedonorisgovernedbytheprovisionsofLaw
concerningInheritanceandWills.

Hireofproperty
ChapterI
Generalprovisions
Section537.Ahireofpropertyisacontractwherebyaperson,calledtheletter,agreestolet
anotherperson,calledthehirer,havetheuseorbenefitofapropertyforalimitedperiodoftime
andthehireragreestopayrenttherefore.
Section538.Ahireofimmovablepropertyisnotenforceablebyactionunlesstherebesomewritten
evidencesignedbythepartyliable.Ifthehireisformorethanthreeyearsorforthelifeoftheletter
orhirer,itisenforceableonlyforthreeyearsunlessitismadeinwritingandregisteredbythe
competentofficial.
Section539.Costsofacontractofhirearebornebybothpartiesequally.
Section540.Thedurationofahireofimmovablepropertycannotexceedthirtyyears.Ifitismade
foralongerperiod,suchperiodshallbereducedtothirtyyears.Theaforesaidperiodmaybe
renewed,butitmustnotexceedthirtyyearsfromthetimeofrenewal.
Section541.Contractofhiremaybemadeforthedurationofthelifeoftheletterorofthehirer
Section542.Whenseveralpersonsclaimthesamemovablepropertyunderdifferentcontractsof
hire,thehirerwhohasfirsttakenpossessionofthepropertybyvirtueofhiscontractshallbe
preferred.
Section543.Whenseveralpersonsclaimthesameimmovablepropertyunderdifferentcontractsof
hire:
(1)Ifnoneofthecontractsisrequiredbylawtoberegistered,thehirerwhohasfirsttaken
possessionofthepropertybyvirtueofhiscontractshallbepreferred.
(2)
Ifallthecontractsarerequiredbylawtoberegistered,thehirerwhosecontractwasfirst
registeredshallbepreferred.
(3)Ifthereisaconflictbetweenacontractwhichisrequiredbylaw,andacontractwhichisnot
requiredbylaw,toberegistered,thehirerwhosecontracthasbeenregisteredshallbe
preferred,unlesstheotherhirerhastakenpossessionofthepropertybyvirtueofhiscontract
beforethedateofregistration.
Section544.Unlessotherwiseprovidedbythecontractofhire,ahirercannotsubletortransferhis
rightsinthewholeorpartofthepropertyhiredtoathirdperson.
Section545.Ifthehirerrightfullysubletsthepropertyhired,thesubhirerisdirectlyliabletothe
letter.Insuchcaseapaymentofrentmadeinadvancebythesubhirertothehirerwhosublets
cannotbesetupagainsttheletter.
Theprovisionsdoesnotpreventtheletterfromexercisinghisrightsagainstthehirer.
ChapterII
Dutiesandliabilitiesoftheletter
Section546.Theletterisboundtodeliverthepropertyhiredinagoodstateofrepair.
Section547.Theletterisboundtoreimbursetothehireranynecessaryandreasonableexpenses
incurredbyhimforthepreservationofthepropertyhired,exceptexpensesforordinary
maintenanceandpettyrepairs
Section548.Incaseofdeliveryofthepropertyhiredinaconditionnotsuitableforthepurposefor
whichitislet,thehirermayterminatethecontract.
Section549.Thedeliveryofthepropertyhired,theliabilityoftheletterincaseofdefectsand
evictionandtheeffectsofanonliabilityclausearegovernedbytheprovisionsofthisCode
concerningsale,mutatismutandis.
Section550.Theletterisliableforanydefectswhichariseduringthecontinuanceofthecontract
andhemustmakealltherepairswhichmaybecomenecessary,exceptthosewhicharebylawor
customtobedonebythehirer.
Section551.Ifthedefectisnotsuchaswoulddeprivethehireroftheuseandbenefitofthe
propertyhired,andcanberemediedbytheletter,thehirermustfirstnotifythelettertomakeit
good.Ifthedefectisnotmadegoodwithinareasonabletime,thehirermayterminatethecontract
providedthedefectisseriousenoughtojustifythiscourse.
ChapterIII
Dutiesandliabilitiesofthehirer
Section552.Thehirercannotusethepropertyhiredforthepurposeotherthanthosewhichare
ordinaryandusual,orwhichhavebeenprovidedinthecontract.
Section553.Thehirerisboundtotakeasmuchcareofthepropertyhiredasapersonofordinary
prudencewouldtakeofhisownproperty,andtodoordinarymaintenanceandpettyrepairs.
Section554.IfthehireractcontrarytotheprovisionofSections552,553orcontrarytothetermsof
thecontract,thelettermaynotifythehirertocomplywithsuchprovisionsorterms,andifthehirer
failstocomply,thelettermayterminatethecontract.
Section555.Thehirerisboundtoallowtheletterorhisagentstoinspectthepropertyhiredat
reasonabletimes.
Section556.Ifthepropertyhiredrequiresurgentrepairsduringthecontinuanceofthecontract,and
iftheletterdesirestodoanactnecessaryforsuchrepairs,thehirercannotrefusepermissionto
havesuchactdone,thoughitmaycausehiminconvenience.However,iftherepairsareofsuch
natureaswouldtakeunreasonablelengthoftimeandtherebycausethepropertyunsuitableforthe
purposeforwhichitislet,thehirermayterminatethecontract.
Section557.Inanyofthefollowingcases:
Ifthepropertyhiredisinneedofrepairsbytheletter,or
Ifapreventivemeasureisrequiredforavoidingadanger,or
Ifathirdpersonencroachesonthepropertyhiredorclaimsarightoverit,thehirershall
forthwithinformtheletterofoccurrence,unlesstheletteralreadyhasknowledgeofit
Ifthehirerfailstocomplywiththisprovision,heisliabletotheletterforanyinjuryresultingfrom
thedelayoccasionedbysuchfailure.
Section558.Thehirermaynotmakealterationsin,oradditionto,thepropertyhiredwithoutthe
permissionoftheletter.Ifhedoessowithoutsuchpermission,hemust,onrequestoftheletter,
restorethepropertytoitsformercondition,andheisliabletotheletterforanylossordamagethat
mayresultfromsuchalterationoraddition
Section559.Ifnotimeforpaymentofrentisfixedbythecontractorbycustom,therentmustbe
paidattheendofeachperiodforwhichitisstipulated,thatistosay:ifapropertyishiredatso
muchperyear,therentispayableattheendofeachyear,ifapropertyishiredatsomuchper
month,therentispayableattheendofeachmonth.
Section560.Incaseofnonpaymentofrent,thelettermayterminatethecontract.But,iftherentis
payableatmonthlyorlongerintervals,thelettermustfirstnotifythehirerthatpaymentisrequired
withinaperiodnotlessthanfifteendays.
Section561.Ifnowrittendescriptionoftheconditionofthepropertyhiredhasbeenmadeand
signedbybothparties,thehirerispresumedtohavereceivedthepropertyingoodstateofrepair
andhemustreturnthepropertyinsuchconditionattheterminationorextinctionofthecontract,
unlesshecanprovethatitwasoutofrepairatthetimeofdelivery.
Section562.Thehirerisliableforanylossordamagecausedtothepropertyhiredbyhisownfault
orbythefaultofpersonslivingwithhimorbeinghissubhirer.
Butheisnotliableforlossordamageresultingfromproperuse.
Section563.Noactionbytheletteragainstthehirerinconnectionwiththecontractofhirecanbe
enteredlaterthansixmonthsafterthereturnofthepropertyhired.
ChapterIV
ExtinctionofContractofHire
Section564.Acontractofhireisextinguishedattheendoftheagreedperiodwithoutnotice.
Section565.Ahireofgardenlandispresumedtobemadeforoneyear.Ahireofpaddylandis
presumedtobemadefortheagriculturalyear.
Section566.Ifnoperiodisagreeduponorpresumed,eitherpartymayterminatethecontractof
hireattheendofeachperiodforthepaymentofrent,providedthatnoticeofatleastonerent
periodisgiven,butnomorethantwomonthsnoticeneedbegiven.
Section567.Ifthewholeofthepropertyhiredislost,thecontractisextinguished.
Section568.Ifpartonlyofthepropertyhiredislostwithoutthefaultofthehirer,hemayclaimthat
therentbereducedinportiontothepartlost.
Ifinsuchcasethehirercannotwiththeremainingpartaccomplishthepurposeforwhichheentered
thecontractofhire,hemayterminate.
Section569.Acontractofhireofimmovablepropertyisnotextinguishedbythetransferof
ownershipofthepropertyhired.
Thetransfereeisentitledtotherightsandissubjectedtothedutiesofthetransferortowardsthe
hirer.
Section570.If,attheendoftheagreedperiod,thehirerremainsinpossessionofthepropertyand
thelessorknowingthereofdoesnotobject,thepartiesaredeemedtohaverenewedthecontract
foranindefiniteperiod.
Section571.Ifacontractofhireofpaddylandisterminatedorextinguishedafterthehirerhas
plantedthepaddy,thehirerisentitledtoremaininthepossessiontilltheharvestisfinished,buthe
mustpayrent.
TITLEV
HIREPURCHASE
Section572.Ahirepurchaseisacontractwherebyanownerofapropertyletsitoutonhireand
promisestosellitto,orthatitshallbecomethepropertyof,thehirer,conditionallyonhismakinga
certainnumberofpayments.
Thecontractofhirepurchaseisvoidunlessmadeinwriting.
Section573.Thehirermayatanytimeterminatethecontractbyredeliveringthepropertyathis
ownexpensetotheowner.
Section574.Theownermayalsoterminatethecontractincaseofdefaultoftwosuccessive
payments,orbreachofanymaterialpartofthecontract;inwhichcaseallpreviouspaymentsare
forfeitedtotheownerwhoisentitledtoresumepossessionoftheproperty.
Incaseofbreachofcontractbydefaultofthelastpayment,theownerisentitledtoforfeitprevious
paymentandresumepossessionofthepropertyonlyaftertheexpirationofoneinstallmentperiod.

TITLEVI
HIREOFSERVICES
Section575.Ahireofservicesisacontractwherebyaperson,calledtheemployee,agreestorender
servicestoanotherperson,calledtheemployer,whoagreestopayremunerationforthedurationof
theservices.
Section576.Thepromisetopayaremunerationisimplied,if,underthecircumstancesifcannotbe
expectedthattheservicesaretoberenderedgratuitously.
Section577.Theemployermaytransferhisrighttoathirdpersonwiththeconsentoftheemployee.
Theemployeemayhaveathirdpersonrendertheservicesinhisplacewiththeconsentofthe
employer.
Ifeitherpartyactscontrarytothisprovision,theotherpartymayterminatethecontract.
Section578.Iftheemployeeeitherexpresslyorimpliedlywarrantsspecialskillonhispart,the
absenceofsuchskillentitlestheemployertoterminatethecontract.
Section579.Absenceoftheemployeefromserviceforareasonablecauseandduringareasonably
shortperioddoesnotentitletheemployertoterminatethecontract.
Section580.Ifnotimeforpaymentofremunerationisfixedbythecontractorbycustom,the
remunerationispayableaftertheserviceshavebeenrendered;iffixedbyperiods,theremuneration
ispayableattheendofeachperiod.
Section581.Ifaftertheendoftheagreedperiodtheemployeecontinuestorenderservicesandthe
employerknowingthereofdoesnotobject,thepartiesarepresumedtohavemadeanewcontract
ofhireonthesameterms,buteitherpartycanterminatethecontractbygivingnoticeinaccordance
withthefollowingsection.
Section582.Ifthepartieshavenotfixedthedurationofthecontract,eitherpartycanterminateit
bygivingnoticeatorbeforeanytimeofpaymenttotakeeffectatthefollowingtimeofpayment.
Butnomorethanthreemonthnoticeneedbegiven.
Theemployercan,ongivingsuchnotice,immediatelydispensewiththeservicesoftheemployeeby
payinghimhisremunerationuptotheexpirationofthenotice.
Section583.Iftheemployeewillfullydisobeysorhabituallyneglectsthelawfulcommandsofhis
employer,absentshimselfforservices,isguiltyofgrossmisconduct,orotherwiseactsinamanner
incompatiblewiththedueandfaithfuldischargeofhisduty,hemaybedismissedbytheemployer
withoutnoticeorcompensation.
Section584.Ifahireofservicesisoneinwhichthepersonalityoftheemployerformsanessential
partsuchcontractisextinguishedbythedeathoftheemployer.
Section585.Ifahireofservicescomestoanend,theemployeeisentitledtoacertificateastothe
lengthandnatureofhisservices.
Section586.Iftheemployeehasbeenbroughtfromelsewhereattheexpenseoftheemployer,the
employerisbound,whenthehireofservicecomestoanend,unlessotherwiseprovidedinthe
contract,topaythecostofthereturnjourney,providedthat:
(1)Thecontracthasnotbeenterminatedorextinguishedbyreasonoftheactorfaultofthe
employee,and
(2)Theemployeereturnswithinareasonabletimetotheplacefromwhichhehasbeenbrought.
TITLEVII
HIREOFWORK
Section587.Thehireofworkisacontractwherebyaperson,calledcontractor,agreestoaccomplish
adefiniteworkforanotherperson,calledemployer,whoagreestopayhimaremunerationofthe
resultofthework.
Section588.Toolsorinstrumentswhicharenecessaryfortheexecutionoftheworkaretobe
suppliedbythecontractor.
Section589.Ifthematerialsfortheworkaretobesuppliedbythecontractor,thecontractorshall
supplymaterialingoodquality.
Section590.Ifthematerialsaretobesuppliedbytheemployer,thecontractorshallusethem
carefullyandwithoutwaste.Heshallreturnthesurplusafterworkiscompleted.
Section591.Ifthedefectorthedelayoftheworkoriginatesfromthenatureofthematerial
suppliedbytheemployer,orfrominstructiongivenbyhim,thecontractorisnotliable,unlessthe
contractorknewoftheunfitnessofthematerialsortheimproprietyofinstructions,anddidnotgive
noticeofit.
Section592.Thecontractorisboundtoallowtheemployerorhisagentstoinspecttheworkduring
itsexecution.
Section593.Ifthecontractordoesnotbegintoworkinapropertimeordelaysinproceedingwithit
contrarytothetermsofthecontract,orif,withoutthefaultoftheemployer,hedelaystoproceed
withitinasuchamannerthatitcanbeforeseenthattheworkwillnotbefinishedwithintheagreed
period.Theemployerisentitledtocancelthecontractwithoutwaitingforthetimeagreeduponfor
delivery.
Section594.Whenitispossibletoforeseewithcertainty,whilsttheworkisproceeding,thatbythe
faultofthecontractor,theworkwillbeexecutedinadefectivemannerorcontrarytothetermsof
thecontract,theemployermaynotifythecontractortomakegoodthedefectortocomplywiththe
termsofthecontractwithinareasonabletimetobefixedinthenotice,failingwhichtheemployeris
entitledtohavetheworkrepairedorcontinuedbyathirdpersonattherisksandexpensesofthe
contractor.
Section595.Ifthematerialshavebeensuppliedbythecontractor,hisliabilityfordefectsis
governedbytheprovisionsofthiscodeconcerningsale.
Section596.Iftheworkisdeliveredafterthetimefixedinthecontract,orifnotimewasfixed,after
reasonabletimehaselapsed,theemployerisentitledtoareductionofremunerationorwhentime
isoftheessenceofthecontracttorescission.
Section597.Iftheemployerhasacceptedtheworkwithoutreservation,thecontractorisnotliable
forthedelayindelivery.
Section598.Iftheemployerhasacceptedadefectiveworkeitherexpresslyorimpliedly,the
contractorisnotliableunlessthedefectwassuchascouldnotbediscoveredwhentheworkwas
accepted,orithadbeenconcealedbythecontractor.
Section599.Incaseofdelayindeliveryorofdeliveryofadefectivework,theemployerisentitledto
withholdtheremunerationunlessthecontractorgivespropersecurity.
Section600.Unlessotherwiseprovidedinthecontract,thecontractorisonlyliablefordefect
appearingwithinoneyearafterdeliveryofthework,orwithinfiveyearsiftheworkisforastructure
onlandotherthanawoodenbuilding.
Thislimitationshallnotapplyifthecontractorhasconcealedthedefect.
Section601.Noactionagainstthecontractorcanbeenteredlaterthanoneyearafterthedefect
appeared.
Section602.Theremunerationispayableontakingdeliveryofthework.Iftheworkistobe
acceptedinpartsandtheremunerationhasbeenspecifiedfortheseveralparts,theremuneration
foreachpartispayableatthetimeofitsacceptance.
Section603.Ifthematerialshavebeensuppliedbythecontractor,andtheworkisdestroyedor
damagedbeforeduedelivery,thecontractorbearsthelossprovidedthatsuchlossisnotcausedby
anyactoftheemployer.
Insuchcasenoremunerationispayable.
Section604.Ifthematerialshavebeensuppliedbytheemployerandtheworkisdestroyedor
damagedbeforeduedelivery,theemployerbearsthelossprovidedthatsuchlossiscausedbyany
actofthecontractor.
Insuchcase,noremunerationispayableunlessthelossiscausedbyanyactoftheemployer.
Section605.Aslongastheworkisnotfinished,theemployercanterminatethecontractonmaking
compensationtothecontractorforanyinjuryresultingfromtheterminationofthecontract.
Section606.Ifthepersonalqualificationofthecontractorisoftheessenceofthecontractandthe
contractordies,orwithouthisfaultbecomesincapabletocarryontheworkthecontractcomesto
anend.
Ifanypartoftheworkalreadydoneisusefultotheemployer,heisboundtoacceptitandpaya
reasonableremuneration.
Section607.Thecontractormayappointsubcontractortoworkforhiminallorinpart,exceptin
themajorpartofcontractthatrequiredtheabilityofthecontractor.Thecontractorisstill
responsiblefortheworkandanymistakeofthesubcontractor.
CARRIAGE
Section608Acarrier,withinthemeaningofthisTitle,isapersonwhointheusualcourseof
businessundertakestotransportgoodsorpassengersforremuneration.
Section609ThecarriageofgoodsorpassengersbytheRoyalStateRailwaysDepartmentofSiamor
ofpostanarticlesbythePostandTelegraphDepartmentaregovernedbytheLawsandRegulations
concerningsuchDepartment.ThecarriageofgoodsbyseaisgovernedbytheLawsandRegulations
relatingthereto.
CHAPTERI
CARRIAGEOFGOODS
Section610Thepersonmakinganagreementwithacarrierforthetransportationofgoodsiscalled
thesenderorconsignor.Thepersonwhomthegoodsareforwardediscalledtheconsignee.The
remunerationtobepaidforthetransportationofthegoodsiscalledthefreight.
Section611Theaccessoriesofthefreightcompriseanycustomaryexpensesdulyincurredbythe
carrierincourseoftransportation.
Section612Ifrequiredbythecarrier,thesendermustsuppyhimwithawaybill.Thewaybillmust
showthefollowingparticulars:
Thenatureofthegoodssent,theirweightorbulkandthenature,numberandmarkingofthe
packages
Theplaceofdestination
Thenameortradenameandaddressoftheconsigneee
Theplancewhereandtimewhenthewaybillismadeout
Thewaybillmustbesignedbythesender.
Section613Ifrequiredbythesender,thecarriermustsupplyhimwithaconsigmentnote.The
consignmentnotemustshowthefollowingparticulars:
Thosementionedin612,subsections1,2,and3
Thenameortradenameofthesender
Theamountoffreight
Theplacewhereandthetimewhentheconsignmentnoteismadeout

Theconsignmentnotemustbesignedbythecarrier.
Section614Eventhoughaconsignmentnotehasbeenmadeouttoanamedperson,itcanbe
transferredbyindorsement,unlesstheindorsementisforbiddenintheconsignmentnote.
Section615Ifaconsignmentnotehasbeenmade,deliverycanbeobtainedonlyonitssurrenderor
onpropersecuritybeinggivenbytheconsignee.
Section616Thecarrierisliableforanyloss,damageordelayindeliveryofthegoodsentrustedto
him,unlessheprovesthattheloss,damageordelayiscausedbyforcemajeureorbythefaultofthe
senderorconsignee.
Section617Thecarrierisliableforloss,damageordelaycausedbythefaultoftheothercarriesor
personstowhomheentrustedthegoods.
Section618Ifthegoodsweretransportedbyseveralcarriers,theyarejointlyliableforloss,damage
ordelay.
Section619Ifthegoodsareofadangerousnatureorarelikelytocauseinjurytopersonsor
property,thesendermustdeclaretheirnaturebeforemakingthecontractofcarriage,failingwhich
heshallbeliableforanyinjurycausedbythem.
Section620Thecarrierisnotliableforspecie,currencynotes,banknotes,bills,bonds,shares,
debentures,warrants,jewels,andothervaluables,unlessheisgivennoticeofthevalueornatureof
suchgoodswhentheyaredeliveredtohim.Iftheirvalueisdeclared,theliabilityofthecarrieris
limitedtosuchdeclaredvalue.
Section621Compensationincaseofdelayindeliverycannotexceedtheamountwhichcouldbe
awardedincaseoftotallossofgoods.
Section622Thecarriermustnotifytheconsigneeassoonasthegoodsarrive.
Section623
Section633Ifthegoodsweretransportedbyseveralcarriers,thelastofthemcanexercisetherights
describedinSection630,631,632fortheamountsduetothemallforfreightandaccessories.
CHAPTERII
CARRIAGEOFPASSENGERS
Section634Thecarrierofpassengersisliabletoapassengerforpersonalinjuriesandforthe
damagesimmediatelyresultingfromdelaysufferedbyreasonofthetransportation,unlessthe
injuryordelayiscausedbyforcemajeureorbythefaultofsuchpassenger.
Section635Luggageentrustedtothecarrierintimemustbedeliveredonthearrivalofthe
passenger.
Section636Ifthepassengerdoesnottakedeliveryoftheluggagewithinonemonthafteritsarrival,
thecarriercansellitbypublicauction.Iftheluggageisofaperishablenature,thecarriercansellit
bypublicauctiontwentyfourhoursafteritsarrival.Theprovisionsofsection632applymutatis
mutandis.
Section637Therightsandliabilitiesofthecarrierfortheluggagewhichhasbeenentrustedtohim
aregovernedbyChapterI,eventhoughthecarrierdidnotmakeaseparatechargeforit.
Section638Noliabilityisincurredbythecarrierfortheluggagewhichhasnotbeenentrustedto
him,unlesssuchluggageislostordamagedbythefaultofthecarrierorofhisemployees.
Section639Aprovisioninaticket,receiptorsuchotherdocumentdeliveredbythecarriertothe
passengerexcludingorlimitingliabilityofthecarrierisvoid,unlessthepassengerexpresslyagreed
tosuchexclusionprlimitationofliability.

TITLEIX
LOAN
CHAPTERI
LOANFORUSE
Section640.Aloanforuseisacontractwherebyaperson,calledthelender,letsanotherperson,
calledtheborrower,havegratuitouslytheuseofaproperty,andtheborroweragreestoreturnit
afterhavingmadeusethereof.
Section641.Aloanforuseiscompleteonlyondeliveryofthepropertylent.
Section642.Costsofthecontract,costsofdeliveryofthepropertylentandcostsofreturnareborn
bytheborrower.
Section643.Iftheborrowerusesthepropertylentforpurposesotherthanordinarypurposesor
purposesappearingfromthecontract,orletsathirdpersonhavetheuseofit,orkeepsitlonger
thanoughtto,heisliableforanylossordamagetothepropertycausedbyforcemajeureunlesshe
provesthatthelossordamagewouldhavehappenedinanycase.
Section644.Theborrowerisboundtotakeasmuchcareofthepropertylentasapersonofordinary
prudencewouldtakeofhisownproperty.
Section645.InanycasesprovidedinSection643,oriftheborroweractsaccordingtoSection644,
thelendermayterminatethecontract.
Section646.Ifnotimeisfixed,thepropertyshallbereturnedaftertheborrowerhasmadetheuse
ofitforthepurposeappearingfromthecontract.Thelendermayclaimthereturnoftheproperty
earlier,ifsomuchtimehaselapsedthattheborrowermighthavemadetheuseofit.
Ifnotimeisfixedandnopurposeappearsfromthecontract,thelendermayclaimthereturnatany
time.
Section647.Expensesforordinarymaintenanceofthepropertylentmustbebornebythe
borrower.
Section648.Aloanforuseisextinguishedbythedeathoftheborrower.
Section649.Noactionforcompensationinconnectionwithaloanforusecanbeenteredlaterthan
sixmonthsaftertheextinctionofthecontract.
CHAPTERII
LOANFORCONSUMPTION
Section650.Aloanforconsumptionisacontractwherebythelendertransferstotheborrowerthe
ownershipofacertainquantityofpropertywhichisconsumedintheuser,andtheborroweragrees
toreturnapropertyofthesamekind,qualityandquantity.
Thecontractiscompleteonlyondeliveryoftheproperty.
Section651.Costsofthecontract,costsofdeliveryofthepropertylentandcostsofreturnare
bornebytheborrower.
Section652.Ifnotimeforreturnofthepropertylenthasbeenfixed,thelendermaygivenoticeto
theborrowertoreturnthepropertywithinareasonabletimetobefixedinthenotice.
Section653.Aloanofmoneyforasumexceedingtwothousandbahtincapitalisnotenforceableby
actionunlesstherebesomewrittenevidenceoftheloansignedbytheborrower.
Norepaymentodaloanofmoneyevidencedbywritingmaybeprovedunlesstherebesomewritten
evidencesignedbythelender,orthedocumentevidencingtheloanhasbeensurrenderedtothe
borrowerorcancelled.
Section654.Interestshallnotexceed15%peryear;whenahigherrateofinterestisfixedbythe
contract,itshallbereducedto15%peryear.
Section655.Interestshallnotbearinterest.Thepartiestoaloanofmoneymay,however,agree
thattheinterestduefornotlessthanoneyearshallbeaddedtothecapital,andthatthewhole
shallbearinterest,butsuchagreementmustbemadeinwriting.
Commercialusageforthecalculationofcompoundinterestincurrentaccounts,aswellasinsimilar
commercialtransactions,arenotgovernedbytheforgoingparagraph.
Section656.Ifaloanismadeforasumofmoney,andtheborroweracceptsgoodsorotherproperty
insteadofsuchsum,theamountofthedebtdueshallbeconsideredasequaltothemarketvalueof
thegoodsorpropertyatthetimeandplaceofdelivery.
Ifaloanismadeforasumofmoney,andthelenderacceptsgoodsorotherpropertyforthe
repaymentoftheloan,theamountofthedebtextinguishedtherebyshallbeconsideredasequalto
themarketvalueofthegoodsorpropertyatthetimeandplaceofdelivery.
Anyagreementtothecontraryisvoid.
TITLEX
Deposit
ChapterI
GeneralProvisions
Section657Adepositisacontractwherebyaperson,calledthedepositor,deliversapropertyto
anotherperson,calledthedepositary,andthedepositaryagreestokeepitinhiscustodyandreturn
it.
Section658Remunerationforthedepositisdeemedtohavebeenimpliedlyagreedupon.Ifunder
thecircumstancestheundertakingofthedepositistobeexpectedonlyfortheremuneration.
Section659Ifthedepositisundertakengratuitouslythedepositaryisboundtoexerciseasmuch
careofthepropertydepositedasheisaccustomedtoexercisinginhisownaffairs.
Ifthedepositisundertakenwithrumenerationthedepositaryisboundtoexercisesuchcareasnskill
asapersonofordinairyprudencewouldexerciseinthecircumstances.Thisincludestheexerciseof
specialskillwheresuchskillisrequired.
Ifthedepositaryprofessesaparticulartrade,businessorcalling,heisboundtoexercisethedegree
ofcareandskillusualandrequisiteinsuchtrade,businessorcalling.
Section660Ifwithoutthepermissionofthedepositorthedepositaryusesthepropertydepositedor
letsathirdpersonhavetheuseorcustodyofit,heisliableforanylossordamagetotheproperty,
evencausedbyforcemajeure,unlessheprovesthatthelossordamagewouldhavehappenedin
anycase.
Section661Ifathirdpersonclaimsrightsoverthepropertydepositedandentersanactionagainst
thedepositary,orattachestheproperty,thedepositaymustforthwithgivenoticethereoftothe
depositor.
Section662Ifatimeforreturnofthepropertydepositedhasbeenfixed,thedepositaryhasnoright
toreturnthepropertybeforesuchtime,exceptincaseofunvoidablenecessity.
Section663Althoughthepartieshavefixedatimeforthereturnofthepropertydeposited,the
depositarymustreturnitatanytimeondemandmadebythedepositor.Section664Iftheparties
havefixednotimeforthereturnofthepropertydeposited,thedepositarycanreturnitatanytime.
Section665Thedepositaryisoundtoreturnthepropertydepositedtotthedepositor,ortothe
personinwhosenameitwasdeposited,ortothepersontowhomhehasbeendulydirectedto
returnit.
Providedthatifthedepositordiesthepropertydepositedshallbereturnedtohisheir.Section666
Thedepositaryisboundtodeliverwiththepropertyanyfruitswhichmayhaveaccruedfromit.
Section667Costsofreturningthepropertydepositedshallbebornebythedepositor.Section668
Thedepositorisboundtoreimbursethedepositaryforanyexpenseswhichwerenecessaryforthe
preservationormaintenanceofthepropertydeposited,unlesssuchexpenseswereincumbentupon
thedepositaryunderthecontractofdeposit.
Section669Ifnotimeforpaymentofremunerationisfixedbythecontractorbycustom,the
remunerationispayablewhenthepropertydepositedisreturned.Iffixedbyperiodsthe
remunerationispayableattheendofeachperiod.
Section670Thedepositaryisentitlestoretainthepropertydepositeduntillhehasbeenpaidallthat
isduetohimonaccountofthedeposit.
Section671Noactionforremuneration,reimbursementofexpensesorcompensationinconnection
withadepositcanbeenteredlaterthansixmonthsaftertheextinctionofthecontract.
ChapterII
Specialrulesforthedepositofmoney
Section672Ifthedepositedisoneofmoney,itispresumedthatthedepositaryisnottoreturnthe
samespecie,butonlythesameamount.
Thedepositarymayusethemoneydepositedandisonlyboundtoreturnanequivalentamount.He
isboundtoreturnsuchamounteventhoughthemoneydepositedhasbeenlostbyforcemajeure.
Section673Whenthedepositaryisboundonlytoreturnthesameamountofmoney,thedepositor
maynotdemandthereturnofthemoneybeforeagreedtime,normaythedepositaryreturnit
beforesuchtime.
ChapterIII
Specialrulesforinnkeepers
Section674Theproprietorofaninn,hotelorothersuchplaceisliableforanylossordamagetothe
propertywhichthetravellerorguestlodgingwithhimmayhavebrought.
Section675Theproprietorisliableforlossordamagetothepropertyofthetravellerorguest,even
causedbystrangersgoingtoandfromtheinn,hotelorothersuchplace.
Hisliabilityislimitedtothesumoffivethousandbahtifthepropertyisspecie,currencynotes,bills,
bonds,shares,debentures,warrants,jewelsorothervaluables,unlessithasbeendepositedwith
himanditsvalieclearlystated.
Butheisnotliableforlossordamagecausedbyforcemajeureorbythenatureofthepropertyor
bythefaultofthetravellerorguestorofhisattendantorofapersonwhomhehasreceived.
Section676Ondiscoveryofthelossordamagetothepropertynotexpresslydeposited,the
travellerorguestmustcommunicatethefacttotheproprietoroftheinn,hoteloranysuchplaceat
once,faillingwhichtehproprietorshallbereleivedoftheresponsibilityprovidedinSections674and
675.
Section677Anoticepostedintheinn,hotelorothersuchplaceexcludingorlimitingtheliabilityof
theproprietorisvoidunlessthetravellerorguestexpresslyagreedtosuchexclusionorlimitationof
liability.
Section678Noactionforcompensationforlossordamagecausedtothepropertyofthetravelleror
guestcanbeenteredlaterthansixmonthsafterthedepartureofthetravellerorguest.
Section679Theproprietorisentitledtoretainthelugaggeorotherpropertyofthetravelleror
guestwhichisintheinn,hotelorothersuchplaceuntillhehasbeenpaidallthatisduetohimfor
lodgingandotherservicesaffordedtothetravellerorguestinsatisfactionofhisneeds,including
disbursements.
Hemaysellbypublicauctionpropertiessoretainedandpayhimselfoutoftheproceedsofsuchsale
theamountwhichisduetohim,togetherwiththecostandexpensesofsuchsale.Buthecannot
exercisesuchrightunless:
1Thepropertieshavebeenleftforsixweekswithoutthedebtbeingpaid,and
2Atleastonemonthbeforesuchsalehehascausedtobeinsertedinonelocalnewspaperand
advertisementcontainingnoticeoftheintendedsale,togetherwithashortdescriptionofthe
propertiestobesoldandthenameoftheowner,ifknown.
Thesurplus(ifany)remainingaftersuchpaymentmustbepaidtotheownerofsuchpropertiesor
depositedattheDepositOfficeaccordingtotheprovisionsofSections331and333.
TITLEXI
Suretyship
ChapterI
GeneralProvisions
Section680Suretyshipisacontractwherebyathirdperson,calledthesurety,bindshimselftoa
creditortosatisfyanobligationintheeventthatthedebtorfailstoperformit.
Acontractofsuretyshipisnotenforceablebyactionunlessthereissomewrittenevidencesignedby
thesurety.
Section681Suretyshipcanbegivenonlyforavalidobligation.
Afutureorconditionalobligationmaybesecuredfortheeventinwhichitwouldhaveeffect.
Anobligation,resultingfromacontractwhichundermistakeorincapacitydoesnotbindthedebtor,
canbevalidlysecuredifthesuretyatthetimewhenhebindshimselfknowssuchmistakeor
incapacity.
Section682Apersonmayagreetobesuretyforanothersurety.
Ifseveralpersonsmakethemselvessuretiesforthesameobligationtheyareliableasjointdebtors,
eventhoughtheydonotassumethesuretyshipincommon.
Section683Thesuretyshipwithoutlimitationcoversinterestandcompensationduebythedebtor
onaccountoftheobligationandallchargesaccessorytoit.
Section684Thesuretyisliableforthecostsofactiontobepaidbythedebtortothecreditor,buthe
isnotliableforsuchcostsiftheactionwasenteredwithoutfirstdemandingperformancefromhim.
Section685If,onenforcementofthecontractofsuretyship,thesuretydoesnotperformthewhole
oftheobligationofthedebtor,togetherwithinterest,compensationandaccessories,thedebtor
remainsliabletothecreditorforthebalance.
ChapterII
Effectsbeforeperformance
Section686Assoonasthedebtorisindefault,thecreditorisentitledtodemandperformanceof
theobligationforthesurety.
Section687Thesuretyisnotboundtoperformtheobligationbeforethetimefixedfor
performance,althoughthedebtorcannolongertakeadvantageofatimeofcommencementor
ending.
Section688Whenthecreditordemandsperformanceoftheobligationfromthesurety,thelatter
mayrequirethatthedebtorbefirstcalledupontoperformunlessthedebtorhasbeenadjudged
bankrupt,orhiswhereaboutsinThailandinunknown.
Section689Evenafterthedebtorhasbeencalleduponasprovidedintheforgoingsection,ifthe
suretycanprovethatthedebtorhasthemeanstoperformandthatexecutionwouldnotbe
difficult,thecreditormustfirstmakeexecutionagainstthepropertyofthedebtor.
Section690Ifthecreditorholdsrealsecuritybelongingtothedebtor,hemust,onrequestofthe
surety,havetheobligationperformedfirstoutoftherealsecurity.
Section691Ifthesuretyisboundjointlywiththedebtor,hehasnottherightsmentionedin
Sections688,689and690.
Section692Aninterruptionofprescriptionagainstthedebtorisalsoaninteruptionagainstthe
surety.
ChapterIII
Effectsafterperformance
Section693Thesuretywhohasperfmedtheobligationhasarightofrecourseagainstthedebtorfor
theprincipalandinterest,andforthelossesordamageswhichhemaysufferbyreasonofthe
suretyship.
Heissubrogatedtotherightsofthecreditoragainstthedebtor.
Section694Inadditiontothedefenceswhichthesuretyhasagainstthecreditor,hecanalsosetup
defenceswhichthedebtorhasagainstthecreditor.
Section695Thesuretywhoneglectstosetupagainstthecreditordefencesofthedebtorloseshis
rightofrecourseagainstthedebtortotheextentofthesedefences,unlessheprovesthathedidnot
knowofsuchdefencesandthathisignorancewasnotduetohisfault.
Section696Thesuretyhasnorighofrecourseagainstthedebtor,ifheperformstheobligation
withoutinformingthedebtorwho,inignoranceorthefact,performsit.
Insuchcase,thesuretymayhaveonlyanactionforundueenrichmentagainstthecreditor.
Section697If,owingtothecreditor'sownacts,thesuretycannotbesubrogatedwhollyorpartially
intothecreditor'srights,mortgages,pledgesandpreferentialrightswhichhavebeengivenbefore
oratthetimeofsuretyshipfortheperformanceoftheobligation,thesuretyisdischargedtothe
extentoftheinjurysufferedbyhimthereby.
ChapterV
ExtinctionofSuretyship
Section698Thesuretyisdischargedassoonastheobligationofthedebtorisextinghuisedbyany
causewhatsoever.
Section699Thesuretyshipforaseriesoftransactionswithoutlimitortimeinfavourofthecreditor
canbeterminatedbythesuretyforthefuturebygivingnoticetothecreditortothateffect.
Insuchcasethesuretyisnotliablefortransactionsdonebythedebtorafterthenoticehasreached
thecreditor.
Section700Ifsuretyshiphasbeengivenforanobligationwhichistobeperformedatadefinite
time,andthecreditorgrantstothedebtoranextensiontime,thesuretyisdischarged.
Thesuretyisnotdischargedifheagreedtotheextensionoftime.
Section701Thesuretymaytenderperformanceoftheobligationtothecreditorfromthetime
whenperformanceisdue.
Ifthecreditorrefusestoacceptperformance,thesuretyisdischarged.

TITLEXII
MORTGAGE
CHAPTERI
GENERALPROVISIONS
Section702.Amortgageisacontractwherebyaperson,calledthemortgagor,assignsapropertyto
anotherperson,calledthemortgagee,assecurityfortheperformanceofanobligation,without
deliveringthepropertytothemortgagee.
Themortgageeisentitledtobepaidoutofthemortgagedpropertyinpreferencetoordinary
creditorsregardlessastowhetherornottheownershipofthepropertyhasbeentransferredtoa
thirdperson.
Section703.Immovablesofanykindcanbemortgaged.
Thefollowingmovablescanalsobemortgagedprovidedtheyareregisteredaccordingtolaw:
(1) Shipsoffivetonsandover
(2) Floatinghouses.
(3) Beastofburden
(4) Anyothermovableswithregardtowhichthelawmayprovideregistrationforthatpurpose.
Section704.Acontractofmortgagemustspecifythepropertymortgaged.
Section705.Nopropertycanemortgagedexceptbytheownerforthetimebeing.
Section706.Apersonwhoserightofownershipoverapropertyissubjecttoaconditionmay
mortgagesuchpropertyonlysubjecttosuchcondition.
Section707.TheprovisionsofSection681concerningSuretyshipapplymutatismutandis.
Section708.Acontractofmortgagemustcontain,inThaicurrency,eitherthesumcertainora
maximumamountforwhichthemortgagedpropertyisassignedassecurity.
Section709.Apersonmaymortgagehispropertyassecurityfortheperformanceofanobligationby
anotherperson.
Section710.Theperformanceofoneandthesameobligationmaybesecuredbythemortgageof
severalpropertiesbelongingeithertooneortoseveralowners.
Thepartiesmayagree:
(1) Thatthemortgageeshallenforcehisrightagainstthemortgagedpropertiesonaspecificorder.
(2) Thateachpropertyissecurityonlyforaspecifiedpartoftheobligation.
Section711.Beforetheobligationisdue,anyagreementthatthemortgageeshall,incaseofnon
performance,becometheownerofthemortgagedpropertyordisposeofitotherwisethanin
accordancewiththeprovisionsconcerningEnforcementofMortgage,shallbeinvalid.
Section712.Notwithstandinganyclauseinthecontracttothecontrary,apropertymortgagedto
onepersonmaybemortgagedtoanotherpersonduringthecontinuanceofthepreviouscontract.
Section.713.Unlessotherwiseagreedinthecontractofmortgage,themortgagormaypayoffthe
mortgagebyinstallments.
Section714.Acontractofmortgagemustbemadeinwritingandregisteredbythecompetent
official.
CHAPTERII
EXTENTOFMORTGAGE
Section715.Amortgagedpropertyissecurityfortheperformanceoftheobligationandforthe
followingaccessories:
(1)Interest.
(2)Compensationincaseofnonperformanceoftheobligation
(3)Costsofenforcementofthemortgage.
Section716.Amortgage,evenpartperformance,extendtoallthepropertiesmortgagedandthe
wholeofeachofthem.
Section717.Ifamortgagedpropertyisdividedintoparcels,themortgagecontinues
notwithstandingtoextendtoeachandallofsuchparcels.
Section718.Amortgageextendstoallthingswhichareconnectedwiththemortgagedproperty,
subject,howevertotherestrictionscontainedinthefollowingsections.
Section719.Amortgageoverlanddoesnotextendtothebuildingserectedbythemortgagorupon
suchlandafterthedateofthemortgage,unlessthereisinthecontractaspecialclausetothat
effect.
However,inanycase,themortgageecanhavesuchbuildingssoldwiththeland,buthecanexercise
hispreferentialrightonlyagainstthepriceobtainedfortheland.
Section720.Amortgageoverbuildingserectedorconstructedmadeuponorunderthelandof
anotherpersondoesnotextendtosuchland,andviceversa.
Section721.Amortgagedoesnotextendtothefruitsofthemortgagedpropertyexceptafterthe
mortgageehasnotifiedthemortgagororthetransfereeofhisintentiontoenforcethemortgage.
CHAPTERIII
RIGHTSANDDUTIESOFTHEMORTGAGEEANDMORTGAGOR
Section722.Whenapropertyhasbeenmortgagedandaservitudeorotherrealrightisregistered
aftertheregistrationofthemortgagewithouttheconsentofthemortgagee,themortgagehas
priorityovertheservitudeorotherrealrightandthelatterwillbeerasedfromtheregisterwhereits
existenceprejudicetherightofthemortgageeontheenforcementofthemortgage.
Section723.Ifthemortgagedpropertyisdamaged,orifoneofthemortgagedpropertiesislostor
damaged,sothatthesecuritybecomesinsufficient,themortgageemayenforcethemortgageat
once,unlessthemortgagorhasnotbeenatfaultandofferseithertomortgageanotherpropertyof
sufficientvalueortorepairthedamagewithinareasonabletime.
Section724.Amortgagor,whohasmortgagedhispropertyassecurityfortheperformanceofan
obligationbyanotherpersonandperformstheobligationonbehalfofthedebtortopreventthe
enforcementofthemortgage,isentitledtorecoverfromthedebtortheamountofthe
performance.
Ifthemortgageisenforced,themortgagorisentitledtorecoverfromthedebtortheamountby
whichthemortgageehasbeensatisfiedbysuchperformance
Section725.Whentwoormorepersonshaveseparatelymortgagedtheirpropertiesassecurityfor
theperformanceofoneandthesameobligationbyanotherpersonandnoorderhasbeenspecified,
themortgagorwhohasperformedtheobligation,oronwhosepropertythemortgagehasbeen
enforced,hasnorightofrecourseagainsttheothermortgagors.
Section726.Whenseveralpersonshaveseparatelymortgagedtheirpropertiesassecurityforthe
performanceofoneandthesameobligationbyanotherpersonandanorderhasbeenspecified,the
releasegrantedbythemortgageetooneofthemortgagorsdischargesthesubsequentmortgagors
totheextentoftheinjurysufferedbythemthereby.
Section727.Ifapersonhasmortgagedhispropertyassecurityfortheperformanceofanobligation
byanotherperson,theprovisionsofSections697,700and701concerningSuretyshipshallapply
mutatismutandis.
CHAPTERIV
ENFORCEMENTOFMORTGAGE
Section728.Forenforcementofmortgagethemortgageemustnotifythedebtoronwritingto
performhisobligationwithinareasonabletimetobefixedinthenotice.Ifthedebtorfailstocomply
withsuchnotice,themortgageemayenteranactioninCourtforajudgmentorderingthe
mortgagedpropertytobeseizedandsoldbypublicauction.
Section729.
Inadditiontotheremedyprovidedintheforegoingsection,themortgageeisentitledtoclaim
foreclosureofthemortgage,subjecttothefollowingconditions:
(1)Thedebtorhasfailedtopayinterestforfiveyears;
(2)
ThemortgagorhasnotsatisfiedtheCourtthatthevalueofthepropertyisgreaterthanthe
amountdue;and
(3)Therearenootherregisteredmortgagesorpreferentialrightsonthesameproperty.
Section730.Whenoneandthesamepropertyismortgagedtoseveralmortgagees,theyrank
accordingtotherespectivedatesandhoursofregistration,andtheearliermortgageeshallbe
satisfiedbeforethelaterone.
Section731.Alatermortgagecannotenforcehisrighttotheinjuryofanearlierone.
Section732.Thenetproceedsoftheauctionshallbedistributedtothemortgageesaccordingto
theirranks,andthesurplus,ifany,shallbedeliveredtothemortgagor.
Section733.Iftheestimatedvalueoftheproperty,incaseofforeclosure,isorthenetproceeds,in
caseofauction,arelessthantheamountdue,thedebtoroftheobligationisnotliableforthe
difference.
Section734.Whenseveralpropertieshavebeenmortgagedtosecureoneandthesameobligation
andnoorderhasbeenspecified,themortgageemayenforcehisrightagainstalloranyofthe
properties;providedthathedoesnotdosouponmorepropertiesthanisnecessaryforthe
satisfactionofhisright.
Ifthemortgageeenforceshisrightagainstallpropertiesatthesametime,theburdenofthe
obligationisdividedaccordingtotherespectivevalueoftheproperties,exceptwheretheamounts
ofthemortgageshavebeenspecifiedforeachproperty,inwhichcasethedivisionismadeaccording
totherespectiveamountsofthemortgagesonsuchproperties.
If,however,themortgageeenforceshisrightagainstoneoftheproperties,themortgageemay
receiveperformanceofhisentireobligationfromsuchproperty.Inthatcasethemortgageewhois
nextinrankshallbeconsideredasbeingsubrogatedtothepriormortgageeandmayenforcethe
mortgageinhissteadtotheamountwhichthepriormortgageewouldhavereceivedfromtheother
propertiesaccordingtotheprovisionsoftheforegoingparagraph.
Section735.Whenthemortgageeintendstoenforcethemortgageagainstthetransfereeofa
mortgagedproperty,thelattermustbeservedwithawrittennoticeonemonthbeforethe
enforcementofthemortgage.
CHAPTERV
RIGHTSANDDUTIESOFTHETRANSFEREEOFAMORTGAGEDPROPERTY
Section736.Thetransfereeofamortgagedpropertymayremovethemortgage,providedthatheis
nottheprincipaldebtor,asuretyoranheirofeitherofthem.
Section737.Thetransfereemayremove
themortgageatanytime,butifhehasbeennotifiedbythemortgageeofthemortgagee'sintention
toenforcethemortgage,hemustdosowithinonemonththereafter.
Section738.Thetransfereewhowhishestoremovethemortgagemustnotifytheprincipaldebtor
andmakeanoffertoeveryregisteredcreditorwhetherbywayofmortgageorotherwisepaya
reasonableamountcorrespondingtothevalueoftheproperty.
Theoffershallcontainthefollowingparticulars:
(1)Theplaceandthedescriptionofthemortgagedproperty.
(2)Thedateoftransferofownership.
(3)Thenameoftheformerowner.
(4)Thenameanddomicileofthetransferee.
(5)Thesumoffered.
(6)
Acalculationofthetotalamountduetoeachofthecreditorsincludingaccessories,andthesum
whichwouldbedistributedtothemaccordingtotheirrespectiveranks.
Acertifiescopyoftheentriesintheofficialregisteredtothemortgagedpropertyshallbeenclosed.
Section739.Ifanycreditorrefusestheoffer,hemustenteranactioninCourtwithinonemonth
fromthedateoftheofferforajudgmentorderingthemortgagedpropertytobesoldbypublic
auction,providedthat:
(1)Headvancesthecostofsale;
(2)Hebindshimselftomakeabidorhaveabidmadeabovethesumofferedbythetransferee,and
(3)
Henotifieshisrefusaltothetransferee,otherregisteredcreditors,theformerownerandthe
principaldebtor.
Section740.Ifthenetproceedsoftheauctionaremorethanthesumofferedbythetransferee,the
costsoftheauctionshallbebornebyhim;otherwise,thecreditordemandingthesaleshallbearthe
costsoftheauction.
Section741.Whenallthecreditorshaveacceptedtheoffer,eitherexpresslyorimplied,the
mortgageandpreferentialrightsareremovedbythetransfereepayingordepositinginlieuof
performancethesumoffered.
Section742.When,bytheenforcementortheremovalofthemortgage,apersonwhohas
previouslyacquiredthemortgagedpropertyisdeprivedoftheproperty,suchdeprivationhasno
retrospectiveeffect,andthepreferentialrightsregisteredbyhisowncreditorsofthemortgagoror
otherformerowner.
Insuchcase,ifanyrightsoverthemortgagedpropertyexistinginfavouroforagainsttheperson
whohassopreviouslyacquiredthemortgagedpropertyhavebeenextinguishedbymergeratthe
timeofhisacquisition,theyshallreviveinhisfavouroragainsthimafterhehasbeendeprivedof
themortgagedproperty.
Section743.Thetransfereeisliabletodamagesifthepropertyhasbeenmadelessvaluablebyhis
actornegligence,andlosshastherebybeensufferedbythecreditorshavingmortgagesor
preferentialrightsoverthesame.Thetransfereecannot,however,claimanysumspentbyhim,or
reimbursementofhisexpensesforimprovements,exceptsofarashehasincreasedthevalueofthe
property,andonlyuptotheamountoftheincreaseofvalueatthetimeofauction.
CHAPTERVI
EXTINCTIONOFMORTGAGE
Section744.Amortgageisextinguished:
(1)Byextinctionoftheobligationsecured,otherwisethanbyprescription.
(2)Byreleaseofthemortgagegrantedinwritingtothemortgagor
(3)Bythemortgagorbeingdischarged.
(4)Bythemortgagebeingremoved.
(5)
ByactionsaleofthemortgagedpropertybyorderoftheCourtasaresultofenforcementor
removalofmortgage.
(6)Byforeclosureofthemortgage.
Section745.Themortgageemayenforcethemortgageevenaftertheobligationsecuredhasbeen
barredbyprescription,butarrearsofinterestonthemortgagecannotbeenforcedformorethan
fiveyears.
Section746.Anyperformance,eitherwhollyorpartly,oranyextinction,oranyagreement
modifyingthemortgageortheobligationsecured,mustberegisteredbythecompetentofficialon
therequestoftheinterestedparty,failingwhichitcannotbesetupagainstathirdperson.
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TITLEXIII
PLEDGE
CHAPTERI
GENERALPROVISIONS
Section747.Apledgeisacontractwherebyaperson,calledthepledgor,deliverstoanotherperson,
calledthepledge,amovablepropertyasasecurityfortheperformanceofanobligation.
Section748.Thepledgeisasecurityfortheperformanceoftheobligationandforthefollowing
accessories:
(1)Interest.
(2)Compensationincaseofnonperformanceoftheobligation.
(3)Costsofenforcementofthepledge.
(4)Expensesforthepreservationofthepledgedproperty.
(5)Compensationforinjurycausedbynonapparentdefectsofthepledgedproperty.
Section749.Thepartiestoapledgemayagreethatthepledgedpropertyshallbekeptbyathird
person.
Section750.Ifthepledgedpropertyisarightrepresentedbyawritteninstrument,thepledgeisvoid
unlesssuchinstrumentisdeliveredtothepledgeandthepledgeisnotifiedinwritingtothedebtor
oftheright.
Section751.Ifaninstrumenttoorderispledged,suchpledgecannotbesetupagainstthirdpersons
unlessitscreationisendorsedupontheinstrument.
Nonotificationtothedebtorundersuchinstrumentidnecessary.
Section752.Ifaninstrumentissuedtoanamedpersonandnottransferablebyindorsementis
pledged,thepledgemustbestatedonsuchinstrument,andcannotbesetupagainstthedebtor
undersuchinstrumentorthirdpersons,unlessitisnotifiedtosuchdebtor.
Section753.Ifanamedcertificateforshareordebentureispledged,suchpledgecannotbesetup
againstthecompanyorotherthirdperson,unlessthecreationofthepledgeisenteredinthe
company'sbookinaccordancewiththeprovisionsofTitleXXIIrelatingtothetransferofsharesor
debentures.
Section754.Ifthepledgedrightbecomesduebeforetheobligationforwhichitissecurityisdue,
thedebtorofsuchrightmustdelivertothepledgethepropertywhichisthesubjectoftherightand
itbecomespledgedinlieuofthepledgedright.
Ifthepledgedrightisanobligationtopayasumofmoneyandbecomesduebeforetheobligation
secured,thepaymentmustbemadejointlytothepledgeandpledgor;iftheycannotcometoan
agreement,eachofthemisentitledtodemandthatsuchsumbedepositedinDepositedOfficefor
theircommonbenefit.
Section755.Ifarightispledged,itcannotbeextinguishedormodifiedtotheinjuryofthepledge
withouttheconsentofthepledgee.
Section756.Beforetheobligationisdue,anyagreementthatthepledgeshall,incaseofnon
performance,becometheownerofthepledgedpropertyordisposedofitotherwisethanin
accordancewiththeprovisionsconcerningEnforcementofPledge,shallbeinvalid.
Section757.TheprovisionsofthisTitleXIIIapplytocontractsofpledgeenteredintowithlicensed
pawnbrokersonlyinsofarastheyarenotcontrarytotheLawsorRegulationsconcerning
Pawnbrokers.
CHAPTERII
RIGHTSANDDUTIESOFPLEDGORANDPLEDGEE
Section758.Thepledgeisentitledtoretainallthepledgedpropertyuntilhehasreceivedfull
performanceoftheobligationandaccessories.
Section759.Thepledgeisboundtokeepthepledgedpropertyinsafecustodyandtakeasmuch
careofitasapersonofordinaryprudencewouldtakeofhisownproperty.
Section760.If,withouttheconsentofthepledgor,thepledgeeusuesthepledgedpropertyorletsa
thirdpersonhavecustodyoverit,heisliableforanylossordamagetothepledgedproperty,even
causedbyforcemajeure,unlessheprovesthatthelossordamagewouldhavehappenedinany
case.
Section761.Unlessotherwiseprovidedbythecontract,ifthepledgedpropertyprocedureslegal
fruits,thepledgeeshallappropriatetheminpaymentofanyinterestthatmaybeduetohim,and,if
nointerestisdue,inpaymentoftheprincipaloftheobligationsecured.
Section762.Thepledgorisboundtoreimbursethepledgeeforanyexpenseswhichwerenecessary
forthepreservationormaintenanceofthepledgedpropertyunlessotherwiseprovidedinthe
contract.
Section763.Thefollowingactionscannotbeenteredlaterthansixmonthsafterthereturnorsale
byauctionofthepledgedproperty:
(1)Anactionforcompensationfordamagecausedtotheplegedpropertybythepledge.
(2)
Anactionforreimbursementofexpensesincurredforthepreservationormaintenanceofthe
pledgedproperty.
(3)
Anactionforcompensationforinjurycausedtothepledgebynonapparentdefectsinthe
pledgedproperty.
CHAPTERIII
ENFORCEMENTOFPLEDGE
Section764.Onenforcementofthepledgethepledgeemustfirstnotifythedebtorinwritingto
performtheobligationandaccessorieswithinareasonabletimetobefixedinthenotice.
Thepledgeemustnotifythepledgorinwritingofthetimeandplaceoftheauction.
Section765.Ifnotificationisimpracticable,thepledgemaysellthepledgedpropertybypublic
auctionafteronemonthfromthetimetheobligationbecamedue.
Section766.Thepledgeeofabillshall,withoutpreviousnotificationbeingnecessary,collectiton
thedayofitsmaturity.
Section767.Onenforcementofthepledgethepledgeemustappropriatethenetproceedsto
extinctionoftheobligationandaccessoriesandmustreturnthesurplustothepledgororanyperson
entitledtoit.
Iftheproceedsarelessthanamountdue,thedebtoroftheobligationremainsliableforthe
difference.
Section768.Ifseveralpropertiesarepledgedassecurityforoneobligation,thepledgeemaysell
suchofthemashemayselect,buthemaynotsellmorethanisnecessaryforthesatisfactionofhis
right.
CHAPTERIV
EXTINCTIONOFPLEDGE
Section769.Apledgeisextinguished:
(1) Whentheobligationsecuredisextinguishedotherwisethanbyprescription,or
(2) Whenthepledgeeallowsthepledgedpropertytoreturnintothepossessionofthepledgor.
TITLEXIV
WAREHOUSING
CHAPTERI
GENERALPROVISIONS
Section770.Awarehousemanisapersonwho,intheusualcourseofhisbusiness,undertakesthe
storageandcustodyofgoodsforremuneration........
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TITLEXV
AGENCY
CHAPTERI
GENERALPROVISIONS
Section797.Agencyisacontractwherebyaperson,calledtheagent,hasauthoritytoactfor
anotherperson,calledtheprincipal,andagreessotoact.
Agencymaybeexpressorimplied.
Section798.Ifatransactionisbylawrequiredtobemadeinwriting,theappointmentofanagent
forsuchtransactionmustalsobemadeinwriting.
Ifthetransactionisrequiredtobeevidencedbywriting,theappointmentofanagentforsuch
transactionmustalsobeevidencedbywriting.
Section799.Theprincipalwhoemploysanincapablepersonasanagentisboundbytheactofthat
agent.
Section800.Theagentwhohasaspecialauthoritymaydoonbehalfofhisprincipalwhateveris
necessaryforthedueexecutionofthemattersentrustedtohim.
Section801.Theagentwhohasageneralauthoritymaydoallactsofmanagementonbehalfofhis
principal.
Hecannotdosuchactsas:
(1) Sellingormortgagingimmovableproperty.
(2) Lettingimmovablepropertyformorethanthreeyears.
(3) Makingagift.
(4) Makingacompromise.
(5) EnteringanactioninCourt.
(6) Submittingadisputetoarbitration.
Section802.Incaseofanemergency,theagentispresumedtohaveanauthoritytodo,inorderto
protecthisprincipalfromloss,allsuchactsaswouldbedonebyapersonofordinaryprudence.
Section803.Theagentisnotentitledtoreceiveremunerationunlessitisprovidedbythecontract,
ormaybeimpliedfromthecourseofdealingbetweenthepartiesorbyusage.
Section804.Ifseveralagentshavebeenappointedinonecontractbythesameprincipalforthe
samematters,itispresumedthattheycannotactseparately.
Section805.Anagentmaynotwithouthisprincipal'sconsententerintoajuristicactinthenameof
hisprincipalwithhimselfinhisownname,orasagentofathirdparty,unlessthejuristicactconsists
exclusivelyintheperformanceofanobligation.
Section806.Anundisclosedprincipalmaydeclarehimselfandassumeanycontractenteredintoon
hisbehalf.Buttheprincipalwhoallowshisagenttoactasaprincipalcannotprejudicetherightsof
thethirdpersonagainsttheagentacquiredbeforenoticeofagency.
CHAPTERII
DUTIESANDLIABILITIESOFTHEAGENTTOTHEPRINCIPAL
Section807.Theagentmustactaccordingtotheexpressorimplieddirectionsoftheprincipal.Inthe
absenceofsuchdirections,hemustpursuetheaccustomedcourseofbusinessinwhichheis
employed.
TheprovisionsofSection659concerningDepositapplymutatismutandis.
Section808.Theagentmustactpersonally,unlesshehasauthoritytoactbysubagent.
Section809.Ifrequiredbyprincipal,theagentmustatallreasonabletimesgiveinformationasto
theconditionsofthematterentrustedtohim.Hemustrenderanaccountaftertheagencyhas
cometoanend.
Section810.Theagentmusthandovertotheprincipalallthemoneysandotherpropertieswhichhe
receivesinconnectionwiththeagency.
Section811.Iftheagenthasusedforhisownbenefitmoneywhichoughttohavehandedoverto
theprincipalortohaveusedfortheprincipal,hemustpayinterestthereonfromthedaywhenhe
useditforhisownbenefit.
Section812.Theagentisliableforanyinjuryresultingfromhisnegligenceornonexecutionof
agency,orfromanactdonewithoutorinexcessofauthority.
Section813.Theagentwhoappointsasubagentdesignatedbytheprincipalisliableonlyincasehe
knewhisunfitnessoruntrustworthinessandomittedtoinformtheprincipalthereofortorevokethe
subagency.
Section814.Thesubagentisdirectlyliabletotheprincipalandviceversa.
CHAPTERIII
DUTIESANDLIABILITIESOFTHEPRINCIPALTOTHEAGENT
Section815.Theprincipalmust,ifsorequired,advancetotheagentsuchsumsasarenecessaryfor
theexecutionofthemattersentrustedtohim.
Section816.Iftheagentinexecutingthemattersentrustedtohimhasmadeadvancesorexpenses
whichcouldreasonablyberegardedasnecessary,hemayclaimfromtheprincipalreimbursement
withinterestfromthedaywhentheyweremade.
Iftheagentinexecutingthemattersentrustedtohimhasassumedanobligationwhichcould
reasonablyberegardedasnecessary,hemayrequiretheprincipaltoperforminhisplaceorifthe
timeofitsmaturityhasnotyetarrived,togivepropersecurity.
Iftheagentbyreasonoftheexecutionofthemattersentrustedtohimhassuffereddamagewithout
faultonhisparthemayclaimcompensationfromtheprincipal.
Section817.Incaseremunerationistobepaid,itispayable,unlessotherwiseagreed,onlyafterthe
agencyhascometoanend.
Section818.Theagentisnotentitledtoremunerationinrespectofthatpartofhisagencywhichhe
hasmisconducted.
Section819.Theagentisentitledtoretainanypropertyoftheprincipalinhispossessionbyreason
ofagencyuntilhehasbeenpaidallthatisduetohimonaccountofagency.
CHAPTERIV
LIABILITYOFPRINCIPALANDAGENTTOTHIRDPERSONS
Section820.Theprincipalisboundtothirdpersonsbytheactswhichtheagentorthesubagenthas
donewithinthescopeofhisauthoritybyvirtueofhisagency.
Section821.Apersonwhoholdsoutanotherpersonashisagentorknowinglyallowsanother
persontoholdhimselfoutashisagent,isliabletothirdpersonsingoodfaithinthesamewayas
suchpersonwashisagent.
Section822.Ifanagentdoesanactinexcessofhisauthority,butthethirdpersonhasreasonable
grounds,arisingfromtheactoftheprincipal,tobelievethatitwaswithinhisauthority,the
provisionsoftheforegoingsectionapplycorrespondingly.
Section823.Ifanagentdoesanactwithoutauthorityorbeyondthescopeofhisauthority,suchact
doesnotbindtheprincipalunlessheratifiesit.
Iftheprincipaldoesnotratify,theagentispersonallyliabletothirdpersons,unlessheprovesthat
suchthirdpersonsknewhewasactingwithoutauthorityorbeyondthescopeoftheauthority.
Section824.Anagentwhomakesacontractonbehalfofaprincipalwhois,andhashisdomicile,in
aforeigncountryispersonallyliableonthecontractalthoughthenameoftheprincipalhasbeen
disclosed,unlessthetermsofthecontractareinconsistentwithhisliability.
Section825.Aprincipalisnotboundbyacontractenteredintobyhisagentwithathirdperson,if
thecontractwasenteredintobytheagentinconsiderationofanypropertyorotheradvantage
privatelygivenorpromisedtohimbysuchthirdperson,unlesstheprincipalhasgivenhisconsent.
CHAPTERV
EXTINCTIONOFAGENCY
Section826.Agencyisextinguishedbytheprincipalrevokingorbytheagentrenouncingtheagency.
Itisalsoextinguishedwheneitherpartydiesorbecomesincapacitatedorbankrupt,unlessthe
contraryappearsfromthetermsoftheagreementorthenatureofthebusiness.
Section827.Theprincipalmayrevoketheauthorityandtheagentmayrenouncetheagencyatany
time.
Exeptincaseofunavoidablenecessity,thepartywhorevokesorrenouncestheagencyatatime
whichisinconvenienttotheotherpartyisliabletosuchpartyforanyinjuryresultingtherefrom.
Section828.Whenagencyisextinguishedbythedeathoftheprincipalorbytheprincipalbecoming
incapacitatedorbankrupt,theagentmusttakeallreasonablestepstoprotecttheinterestentrusted
tohimuntiltheheirsorrepresentativesoftheprincipalcanprotectsuchinterest.
Section829.Whenagencyisextinguishedbythedeathoftheagentortheagentbecoming
incapacitatedorbankrupt,theheirorthepersonhavinglawfulchargeoftheagent'sestatemust
notifytheprincipalandtakestepstoprotecttheinterestoftheprincipalasmaybereasonable
underthecircumstancesuntiltheprincipalcanprotectsuchinterest.
Section830.Thecausesforextinctionofagency,whetherarisingfromtheprincipaloragent,cannot
besetupagainsttheotherparty,untiltheyhavebeennotifiedtotheotherpartyorthelatterhas
knowledgeofthem.
Section831.Theextinctionofagencycannotbesetupagainstathirdpersonactingingoodfaith,
unlessthethirdpersonisignorantofthefactthroughhisownnegligence.
Section832.Onextinctionofagency,theprincipalisentitledtodemandthesurrenderofany
writtenauthoritygiventotheagent.
CHAPTERVI
COMMISSIONAGENCY
Section833.Acommissionagentisapersonwho,inthecourseofhisbusinessundertakestobuy
sellpropertyorundertakesanyothercommercialtransactioninhisownnameonaccountofthe
principal.
Section834.Unlessotherwiseagreed,acommissionagentisentitledtoausualrateofremuneration
oneverytransactionconcludedbyhim.
Section835.TheprovisionsofthisCodeconcerningAgencyapplytoCommissionAgencyinsofaras
theyarenotcontrarytotheprovisionsofthisChapter.
Section836.Anincapacitatedpersoncannotactascommissionagentunlessdulyauthorizedtothat
effect.
Section837.Thecommissionagent,byasaleorpurchaseoranyothertransactionmadeonaccount
oftheprincipal,acquiresrightsagainsttheotherpartytosuchtransactionandbecomesboundto
him.
Section838.Iftheotherpartytothetransactiondoesnotperformhisobligation,thecommission
agentisnothimselfliabletotheprincipalfortheperformanceunlessitisprovidedbythecontract,
ormaybeimpliedfromthecourseofdealingbetweentheprincipalanagent,orbylocalusage.
Thecommissionagentwhoundertakestoguaranteetheexecutionofacontractupontheterms
mentionedintheforegoingparagraphisadelcredereagentandisentitledtoaspecial
remuneration.
Section839.Whenacommissionagenthasmadeasaleforalowerpriceorapurchaseforahigher
pricethanthatdesignatedbytheprincipal,iftheagenttakesuponhimselfthedifference,suchsale
orpurchasetakeseffectagainsttheprincipal.
Section840.Whenacommissionagenthasmadeasaleforahigherpriceorpurchaseforalower
pricethanthatdesignatedbytheprincipal,hecannottakethebenefitonsuchtransactionandmust
accountittotheprincipal.
Section841.Thecommissionagentshallreporthisactivitiestotheprincipal,anduponexecutionof
thecommission,shallinformtheprincipalwithoutdelay.
Section842.WhereapropertyhasbeenentrustedtoacommissionagenttheprovisionsofthisCode
concerningDepositapplymutatismutandis.
Incaseofunavoidablenecessitythecommissionagentmaydisposeofthepropertyinamanner
providedinSection631concerningCarriage.
Section843.Acommissionagentwhohasbeenorderedtosellorbuyapropertywhichhasan
exchangequotationmayhimselfbethebuyerorseller,unlessheisexpresslyforbiddenbythe
contract.Insuchacasethepricetobepaidisdeterminedbythequotationofsuchpropertyonthe
exchangeatthetimewhenthecommissionagentgivesnoticeofhisbeingthebuyerorseller.
Onreceivingsuchnoticetheprincipalisdeemedtohaveacceptedthetransaction,unlessherefuses
itatonce.
Acommissionagentmayeveninsuchcasechargeremuneration.
Section844.Betweentheprincipalandthecommissionagent,atransactionconcludedbythelatter
shallhavethesameeffectasifithadbeenconcludeddirectlyinthenameoftheprincipal.
TITLEXVI
BROKERAGE
Section845.Apersonwhoagreestopayremunerationtoabrokerforindicatingtheopportunityfor
theconclusionofacontract,orforprocuringacontract,isliabletopaytheremunerationonlyifthe
contractisconcludedinconsequenceoftheindicationoroftheprocurementbythebroker.Ifthe
contractisconcludedsubjecttoaconditionprecedent,thebroker'sremunerationmaynotbe
claimeduntiltheconditionisfulfilled.
Thebrokerisentitledtobereimbursedforexpensesincurredonlyifithasbeenagreedupon.This
appliesevenifacontractisnotconcluded.
Section846.Abroker'sremunerationisdeemedtohavebeenimpliedlyagreedupon,ifthebusiness
entrustedtothebrokeris,underthecircumstances,onlytobeexpectedforremuneration.
Iftheamountoftheremunerationisnotfixed,theusualremunerationisdeemedtohavebeen
agreedupon.
Section847.Abrokerisnotentitledtoremunerationortoreimbursementofhisexpensesif,
contrarytohisengagement,hehasactedalsoforthethirdpartyorhasbeenpromisedbysuchthird
partyaremunerationwhichisnotconsistentwiththebrokeractingingoodfaith.
Section848.Abrokerisnotpersonallyliablefortheperformanceofthecontractsenteredinto
throughhismediation,unlesshehasnotcommunicatedthenameofapartytotheotherparty.
Section849.Abrokerispresumedtohavenoauthoritytoreceiveonbehalfofthepartiespayments
orotherperformancesdueunderthecontract.
TITLEXVII
COMPROMISE
Section850.Acompromiseisacontractwherebythepartiessettleadispute,whetheractualor
contemplatedbymutualconcessions.
Section851.Acontractofcompromiseisnotenforceablebyactionunlesstherebesomewritten
evidencesignedbythepartyliableorhisagent.
Section852.Theeffectofthecompromiseistoextinguishtheclaimsabandonedbyeachpartyand
tosecuretoeachpartytherightswhicharedeclaredtobelongtohim.
TITLEXVIII
GAMBLINGANDBETTING
Section853.Noobligationiscreatedbygamblingorbetting.Whathasbeengivenbyreasonofthe
gamblingorbettingmaynotbedemandedbackonthegroundthatnoobligationexisted.
Theseprovisionsapplyalsotoanagreementwherebythelosingparty,forthepurposeofsatisfyinga
gamblingdebtorabet,incursanobligationtowardstheotherparty.
Section854.Alotterycontractorarafflecontractisbindingifthelotteryoftheraffleisspecially
authorizedorratifiedbytheGovernment.InallothercasestheprovisionsofSectionshallapply.
Section855.SubjecttotheprovisionsofSections312and916,everybillorothergiveninwholeor
inpartforanymoneywonbygamblingorbetting,orforrepayingmoneylentforsuchgamblingor
bettingshallbeinvalid.
Forthepurposeofthisprovision,anymoneylenttoapersonwhilegamblingorbettingthetimeor
placeofsuchplayshallbepresumedtohavebeenlentforsuchgamblingorbetting.
Section917.Everybillofexchange,evenifnotexpresslydrawntoorder,maybetransferredby
meansofanindorsementanddelivery.
Whenthedrawerhaswrittenonthefaceofabillofexchangethewordsnotnegotiable'orany
equivalentexpression,thebillcanbetransferredonlyaccordingtotheform,andwiththeeffectsof
anordinarytransfer.
Thebillmaybeendorsedtothedrawee,whetherhehasacceptedornot,orthedrawer,ortoany
otherpartytothebill.Thesepersonsmayindorsethebillafresh.

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Samuiforsale
TITLEXXII
PARTNERSHIPSANDCOMPANIES
CHAPTERI
GENERALPROVISIONS
Section1012.Acontractfortheorganizationofapartnershiporcompanyisacontractwherebytwo
ormorepersonsagreetouniteforacommonundertaking,withaviewofsharingprofittheprofits
whichmaybederivedtherefrom.
Section1013.Therearethreekindsofpartnershipsorcompanies,thatistosay:
Ordinarypartnerships
Limitedpartnerships
Limitedcompanies

Section1014.Officesfortheregistrationofpartnershipsandcompaniesshallbeestablishedby
regulationsissuedbytheMinisterresponsiblefortheregistrationofpartnershipsandcompanies.
Section1015.Apartnershiporcompany,uponregistrationbeingmadeaccordingtotheprovisions
ofthisTitle,continuesajuristicpersondistinctformthepartnersorshareholdersofwhomitis
composed.
Section1016.TheregistrationmustbemadeattheRegistrationOfficeofthatpartofthekingdom
wheretheprincipalbusinessofficeofthepartnershiporcompanyissituated.
Anyalterationssubsequentlymadeintheregisteredparticulars,aswellasanyothermatters
orderedorallowedtoberegisteredbythisTitlemustberegisteredatthesameplace.
Section1017.Ifafacttoberegisteredorpublishedhappensinaforeigncountry,theperiodforits
registrationorpublicationshallbecomputedfromthetimewhennoticethereofarrivesattheplace
ofregistrationorpublication.
Section1018.Thereshallbepaidinrespectofregistrationsuchfeesasmaybeprovidedbythe
regulationsissuedbythecompetentMinister.
Section1019.Ifanapplicantforregistrationoradocumentsubjecttoregistrationdoesnotcontain
alltheparticularsrequiredbythisTitletobementionedinit,orifanyoftheparticularsmentioned
insuchapplicationordocumentarecontrarytolaw,orifanyofthedocumentsprescribedtobe
depositedwithitarenotproduced,orifanyotherconditionimposedbylawisnotcompliedwith,
theRegistrarmaydeclinetomakeanyentryinhisregistertilltheapplicationordocumentshasbeen
completedormodifiedortilltheprescribeddocumentsareproduced,ortilltheconditionisfulfilled.
Section1020.EverypersonisentitledtoinspectthedocumentskeptbytheRegistrar,ortorequirea
certificateoftheregistrationofanypartnershiporcompany,oracertifiedcopyorextractofany
otherdocument,tobedeliveredtohimbytheRegistrar,onpaymentofsuchfeeasmaybe
prescribedbytheregulationsissuedbythecompetentMinister.
Section1021.EveryRegistrarshallcausetobepublishedperiodicallyintheGovernmentGazette,in
theformprovidedbythecompetentMinister,asummaryoftheentriesmadeinhisregister.
Section1022.Onsuchpublicationbeingmade,theregistereddocumentsormattersreferredtoin
thesummaryshallbedeemedtobeknowntoallpersonswhetherconnectedwiththepartnership
orcompanyornot
Section1023.Untilsuchpublicationhasbeenmade,noadvantagemaybetakenbythepartners,the
partnershiporthecompanyagainstthirdpersonsoftheexistenceoftheagreements,documentsor
particularsrequiredbythisTitletoberegistered,butthirdpersonsmaytakeadvantageofsuch
existence.
However,thepartnersorshareholderswho,andthepartnershiporcompanywhichhas,beforesuch
publication,receivedperformanceofanobligationis,
Section1024.Asbetweenthepartnersofshareholders,thepartnersandthepartnership,the
shareholdersandthecompany,allbooks,accountsanddocumentsofanypartnershiporcompany
oroftheliquidatorsofanypartnershiporcompanyarepresumedtobecorrectevidenceofall
mattersthereinrecorded.
CHAPTERII
ORDINARYPARTNERSHIPS
PARTI
Definition
Section1025.Theordinarypartnershipisthatkindofpartnershipinwhichallthepartnersarejointly
andunlimitedlyliableforalltheobligationsofthepartnership.
PARTII
RelationofPartnersbetweenThemselves
Section1026.Eachpartnermustbringacontributiontothepartnership.
Suchcontributionmayconsistofmoneyorotherpropertiesorofservice.
Section1027.Incaseofdoubt,contributionsarepresumedtobeofequalvalue.
Section1028.Ifthecontributionofthepartnerconsistmerelyofhispersonalserviceandthe
contractofpartnershipdoesnotfixthevalueofsuchservices,theshareofsuchpartnerinthe
profitsisequivalenttotheaverageofthesharesofthepartnerswhosecontributionsareinmoney
orotherproperties.
Section1029.Ifapartnerbringsascontributiontheuseofaproperty,relationsbetweensuch
partnersandthepartnershipwithregardto;
deliveryandrepair,
liabilityfordefects,
liabilityforeviction,
clauseofnonliability,
aregovernedbytheprovisionsofthisCodeconcerningtheHireofProperty.
Section1030.Ifthecontributionofapartnerconsistoftheownershipofaproperty,therelations
betweensuchpartnersandpartnershipwithregardto:
deliveryandrepair,
liabilityfordefects,
liabilityforeviction,
clausefornonliability,
aregovernedbytheprovisionsofthisCodeconcerningSale.
Section1031.Ifapartnerwhollyfailstodeliverhiscontribution,awrittennoticemustbegivenhim
byaregisteredlettertodeliveritwithinareasonabletime,failingwhichhemaybeexcludedfrom
thepartnershipbyadecisionofalltheotherpartners,orofsuchmajorityasprovidedinthe
contract.
Section1032.Nochangeintheoriginalpartnershiporinthenatureofthebusinessmaybemade
exceptbytheconsentofallthepartners,unlessthebeanagreementprovidingotherwise.
Section1033.Ifnothinghasbeenagreedbetweenthepartnersastothemanagementofthe
businessofthepartnership,suchbusinessmaybemanagedbyeachofthepartners,providedthat
nopartnermayenterintoacontracttowhichanotherpartnerobjects.
Insuchcase,eachpartneristhemanagingpartner.
Section1034.Ifitisagreedthatmattersrelatingtothebusinessofthepartnershipshallbedecided
byamajorityofpartners,eachpartnershallhaveonevote,irrespectivetheamountofhis
contribution.
Section1035.Ifitisagreedthatthebusinessofthepartnershipshallbemanagedbyseveral
managingpartners,suchbusinessmaybemanagedbyeachofthemanagingpartners,providedthat
nomanagingpartnermaydoanythingtowhichanothermanagingpartnerobjects.
Section1036.Managingpartnersmayberemovedfromtheirpositiononlybytheconsentofallthe
otherpartners,unlesstherebeanagreementprovidingotherwise.
Section1037.Evenifpartnershaveagreedthatthebusinessofthepartnershipshallbemanagedby
oneormoremanagingpartners,eachnonmanagingpartnerhastherighttoenquireatanytime
intothemanagementofthebusinessandtoinspectandcopyanyofthepartnershipsbooksand
documents.
Section1038.Nopartnermayeitheronhisownaccountoronaccountofanotherpersoncarryon,
withouttheconsentoftheotherpartners,anybusinessofthesamenatureasandcompetingwith
thatofthepartnership.
Ifapartneractscontrarytotheprovisionsofthissection,theotherpartnersareentitledtoclaim
fromhimalltheprofitswhichhehasmadeorcompensationfortheinjurywhichthepartnershiphas
sufferedthereby,butsuchclaimcannotbeenteredlaterthanoneyearafterthedateof
contravention.
Section1039.Apartnerisboundtomanagethebusinessofthepartnershipwithasmuchcareashe
wouldtakeofhisownbusiness.
Section1040.Nopersonmaybeintroducedaspartnerinthepartnershipwithouttheconsentofall
partners,unlessthebeanagreementprovidingotherwise.
Section1041.Ifapartner,withouttheconsentoftheotherpartners,transferstoathirdpersonthe
wholeorpartofhisshareintheprofitsofthepartnership,suchthirdpersondoesnotbecome
partner.
Section1042.Therelationsofthemanagingpartnerswiththeotherpartnersaregovernedbythe
provisionsofthisCodeconcerningAgency.
Section1043.Ifanonmanagingpartnermanagesthebusinessofthepartnershiporamanaging
partneractsbeyondthescopeofhisauthority,theprovisionsofthisCodeconcerningManagement
ofAffairswithoutMandateshallapply.
Section1044.Theshareofeachpartnerintheprofitsorlossesisinproportiontohiscontribution.
Section1045.Iftheshareofapartneridfixedonlyastoprofitsoronlyastolosses,theproportionis
presumedtobethesameforprofitsandlosses.
Section1046.Nopartnerisentitledtoremunerationforhavingmanagedthebusinessofthe
partnership,unlesstherebeanagreementprovidingotherwise.
Section1047.Ifthenameofapartnerwhosemembershiphasceasedisusedinthefirmname,heis
enitledtodemandthatsuchuseshallcease.
Section1048.Apartnermayclaimfromtheotherpartnersashareeveninatransactionwherehis
ownnamedidnotappear.
PARTIII
RelationofPartnerswithThirdPersons
Section1049.Nopartnercanacquireanyrightagainstthirdpersonsbyatransactionwherehisown
namedidnotappear.
Section1150.Allthepartnersareboundbytheactsdonebyanyofthemintheordinarycourseof
thebusinessofthepartnershipandarejointlyandunlimitedlyliablefortheperformanceofthe
obligationsincurredinsuchmanagement.
Section1151.Apartnerwhosemembershiphasceasedcontinuestobeliableinrespectof
obligationsincurredbythepartnershipbeforehebecameapartner.
Section1152.Apersonwhobecomesmemberofapartnershipisliableforanyobligationsincurred
bythepartnershipbeforehebecameapartner.
Section1153.Norestrictionsofthepowerofamemberofanonregisteredpartnershiptobindthe
otherpartnerscanhaveeffectwithrespecttothirdpersons.
Section1054.Apersonwhobywordsspokenorwritten,orbyconduct,orbyconsentingtotheuse
ofhisnameinthefirmnameofthepartnership,representshimself,orwhoknowinglysuffers
himselftoberepresentedasamemberofapartnershipbecomesliabletothirdpersonsasapartner
foralltheobligationsofthepartnership.
Ifafterthedeathofapartnerthepartnershipbusinessiscontinuedintheoldfirmname,the
continueduseofthatnameorofthedeceasedpartner,aspartthereof,doesnotinitselfmakehis
estateliableforanyobligationsincurredbythepartnershipafterhisdeath.
PARTIV
DissolutionandLiquidationofOrdinaryPartnerships
Section1055.Anordinarypartnershipisdissolved:
(1) Inthecases,ifany,providedbythecontractofpartnership.
(2) Ifmadeforadefiniteperiodoftime,bytheexpirationofsuchperiod.
(3) Ifmadeforasingleundertaking,bytheterminationofsuchundertaking.
(4) Byanyofthepartnersgivingtotheotherpartnersduenoticeasprovidedbysection1056.
(5) Bythedeathofanypartnerorbyanypartnerbecomingbankruptorincapacitated.
Section1056.Ifapartnershipisentereduponforanyindefiniteperiod,itcanonlybeterminatedby
apartnerattheendofafinancialyearofthepartnership;andsuchpartnermustgiveatleastsix
month'snoticeofhisintentiontoterminate.
Section1057.AnordinarypartnershipmayalsobedissolvedbytheCourtonapplicationbyapartner
inanyofthefollowingcases:
(1)
Whenapartner,otherthanthepartnersuingwillfullyorbygrossnegligenceviolatesany
essentialobligationimposeduponhimbythepartnershipcontract.
(2)
Whenthebusinessofthepartnershipcanonlybecarriedonatalossandthereisnoprospectof
itsfortunesbeingretrieved.
(3)Whenthereisanyothercausemakingthecontinuanceofthepartnershipanimpossibility.
Section1058.Upontheoccurrenceofanyeventconnectedwithonepartnerwhichaccordingto
Section1057orSection1067entitlestheremainingpartnerstodemandthedissolutionofthe
partnership,theCourtmayupontheapplicationoftheremainingpartnersinsteadofsuch
dissolutionordertheexpulsionofthepartnerinquestion.
Forthepurposeofthedivisionofpropertybetweenthepartnershipandtheexpelledpartner,the
partnershippropertymustbeassessedandvaluedatwhichitstoodatthetimewhenthe
applicationfortheexpulsionwasfirstmade.
Section1059.Ifattheexpirationoftheperiodagreedupon,thebusinessofthepartnershipis
continuedbythepartnersorbysuchofthemashabituallymanageditduringthesaidperiod,
withoutanysettlementorliquidationaccounts,thepartnersaredeemedtohaveagreedtocontinue
thepartnershipforanindefiniteperiodoftime.
Section1060.InanycaseunderSection1055,subsection(4)or(5),ifthesubsistingpartnersbuy
theshareofthepartnerwhosemembershiphasceased,thecontractofpartnershipcontinues
betweenthesubsistingpartners.
Section1061.Afterthedissolutionofapartnershiptheliquidationshalltakeplace,unlesssome
othermethodofadjustmentofpropertybetweenthepartnershasbeenagreeduponorunlessthe
partnershipisadjudicatedbankrupt.
Ifthedissolutionisbroughtaboutbynoticegivenbyacreditorofoneofthepartnersorbythe
bankruptcyofoneofthepartners,theliquidationcanonlybedispensedwiththeconsentofthe
creditororoftheofficialreceiver.
Liquidationshallbecarriedonbyallthepartnersorbypersonsappointedbythem.
Theappointmentofliquidatorsisdecidedbyamajorityofvotesofthepartners.
Section1062.Theliquidationmustbemadeinthefollowingorder:
(1)Performanceoftheobligationincurredtowardsthirdpersons.
(2)
Reimbursementofadvancesmadeandexpensesincurredbythepartnersinmanagingthe
businessofthepartnership.
(3)Returnofthecontributionsmadebyeachpartners.
Thebalance,ifany,mustbedistributedasprofitbetweenthepartners.
Section1063.If,aftertheperformanceoftheobligationsincurredtowardsthirdpersonsand
reimbursementofadvancesandexpenses,theassetsareinsufficienttoreturntheholeamountof
contributionstothepartners,thedeficiencyconstitutesalossandmustbedividedassuch.
PARTV
RegistrationofOrdinaryPartnership
Section1064.Anordinarypartnershipmayberegistered.
Theentryintheregistermustcontainthefollowingparticulars:
(1)Thefirmnameofthepartnership.
(2)Itsobject.
(3)Theaddressoftheprincipalbusinessofficeandofallbranchoffices.
(4)
Thefullnames,addressesandoccupationsofeverypartner:ifapartnerhasatradenamethe
entryintheregistermustcontainhisnameandhistradename.
(5)
Thenamesofthemanagingpartners,incasefewerthanallofthepartnershavebeenappointed
assuch.
(6)Therestrictions,ifany,imposeduponthepowersofthemanagingpartners.
(7)Thesealorsealswhicharebindingonthepartnership.
Theentrymaycontainanyotherparticularswhichthepartiesmaydeemexpedienttomakeknown
tothepublic.
Theentrymustbesignedbyeverymemberofthepartnership,andmustalsobesealedwiththe
commonsealofthepartnership.
Acertificateofregistrationshallbedeliveredtothepartnership.
Section1064/1.Amanagingpartnerofaregisteredpartnershipwhowishestoresignfromhispost
shalltenderhistenderhisresignationlettertoanyothermanagingpartner.Theresignationin
writingshalltakeeffectfromthedatetheregistrationletterreachesthesaidothermanaging
partner.
Inthecasewherearegisteredpartnershiphasonlyonemanagingpartner,themanagingpartner
whowishestoresignfromhispostshallnotifyanyotherpartnerofhisintentioninwriting,together
withtheletterofresignation,sothatameetingcouldbeheldwithaviewtoappointanew
managingpartner.Theresignationshalltakeeffectfromthedatetheresignationreachesthesaid
partner.
Themanagingpartnerwhoresignsunderparagraphoneorparagraphtwohereofmaynotifythe
Registrarofhisresignation.
Section1064/2.Whenthereisachangeofmanagingpartner,theregisteredpartnershipshalleffect
theregistrationthereofwithinfourteendaysfromthedateofsuchachange.
Section1065.Apartnercantakeadvantageagainstthirdpersonsofanyrightacquiredbythe
registeredpartnership,eventhoughhisnamedidnotappearinthetransaction.
Section1066.Nopartnerofaregisteredpartnershipmay,eitheronhisownaccountoronaccount
ofanotherperson,carryonwithouttheconsentofalltheotherpartnersanybusinessofthesame
natureasandcompetingwiththatofthepartnershiporwithoutsuchconsentbememberwith
unlimitedliabilityinanotherpartnershipcarryingonabusinessofthesamenatureasand
competingwiththatoftheregisteredpartnership.
Suchprohibitiondoesnotapplyifitwasalreadyknowntothepartnersatthetimeofregistrationof
thepartnershipthatoneofthemwasengagedinabusinessorinotherpartnershiphavingthesame
object,andifhiswithdrawalwasnotstipulatedinthecontractofpartnership.
Section1067.Ifapartneractscontrarytotheprovisionsoftheforegoingsection,theregistered
partnershipisentitledtoclaimfromhimalltheprofitswhichhehadmadeorcompensationforthe
injurywhichtheregisteredpartnershiphassufferedthereby.
Suchclaimcannotbeenteredlaterthanoneyearafterthedateofcontravention.
Theprovisionsofthissectionarewithoutprejudicetotherightsoftheremainingpartnersto
demandthedissolutionofthepartnership.
Section1068.Theliabilityofapartnerinapartnershipinrespecttoobligationsincurredbythe
partnershipbeforeheceasedtobeamemberofsuchpartnership,islimitedtoaperiodoftwoyears
aftertheceasedtobeamember.
Section1069.InadditiontothecasesprovidedbySection1055,aregisteredpartnershipisdissolved
ifitbecomesbankrupt.
Section1070.Thecreditorofanobligationduebyaregisteredpartnershipisentitled,assoonasthe
partnershipisindefault,todemandperformanceoftheobligationfromanyofthepartners.
Section1071.InthecaseprovidebySection1070,ifthepartnerproves:
(1)
Thattheassetsofthepartnershiparesufficienttoperformthewholeorpartoftheobligation,
and
(2)Thatenforcementagainstthepartnershipwouldnotbedifficult.
TheCourtmay,initsdiscretion,orderthattheobligationbeenforcedfirstagainsttheassetsofthe
partnership.
Section1072.Aslongasaregisteredpartnershipisnotdissolvedthecreditorsofapartnermay
exercisetheirrightsonlyontheprofitsorothersumsduebythepartnershiptosuchpartner.After
dissolutiontheymayexercisetheirrightsontheshareofsuchpartnerintheassetsofthe
partnership.

PARTVI
AmalgamationofRegisteredPartnerships
Section1073.Aregisteredpartnershipmayamalgamatewithanotherregisteredpartnershipwith
theconsentofallthepartners,unlesstherebeanagreementprovidingotherwise.
Section1074.Whenaregisteredpartnershiphasdecidedtoamalgamate,thepartnershipmust
publishtwiceatleastinalocalpaperandsendtoallcreditorsknowntothepartnershipanoticeof
theproposedamalgamationrequiringthecreditorstopresentwithinthreemonthsfromthedateof
noticeanyobjectionthemayhavetoit.
Ifnoobjectionisraisedduringsuchperiod,nonisdeemedtoexist.
Ifanobjectionisraised,thepartnershipmaynotproceedwiththeamalgamationunlessithas
satisfiedtheclaimgivenasecurityforit.
Section1075.Whentheamalgamationhasbeenmadeitshallbethedutyofeachofthepartnership
tocausetheamalgamationtoberegisteredasanewpartnership.
Section1076.Thenewpartnershipisentitledtotherightsandsubjecttotheliabilitiesofthe
amalgamatedpartnership.
(up)
CHAPTERIII
LIMITEDPARTNERSHIPS
Section1077.Alimitedpartnershipisthatkindofpartnershipinwhichthereare:
(1)
Oneormorepartnerswhoseliabilityislimitedtosuchamountastheymayrespectively
undertaketocontributetothepartnership.
(2)
Oneormorepartnerswhoarejointlyandunlimitedlyliableforalltheobligationsofthe
partnership.
Section1078.Alimitedpartnershipmustberegistered.
Theentryintheregistermustcontainthefollowingparticulars:
(1)Thefirmnameofthepartnership
(2)Astatementthatthepartnershipisalimitedpartnership,andtheobjectofsuchpartnership.
(3)Theaddressoftheprincipalbusinessofficeandofallbranchoffices.
(4)
Thefullnames,tradenames,addressesandoccupationsofthepartnerswithlimitedliability,and
theamountoftheirrespectivecontributionsofthepartnership.
(5)Thefullnames,tradenames,addressesandoccupationsofthepartnerswithunlimitedliability.
(6)Thenamesofthemanagingpartners.
(7)
Therestrictions,ifany,imposedupontheposersofthemanagingpartnerstobindthe
partnership.
Theentrymaycontainanyotherparticularswhichthepartiesmaydeemexpedienttomadeknown
tothepublic.
Theentrymustbesignedbyeverymemberofthepartnership,andmustalsobesealedwiththe
commonsealofthepartnership.
Acertificateofregistrationshallbedeliveredtothepartnership.
Section1078/1.Amanagingpartnerwhowishestoresignfromhispostshalltenderhisresignation
lettertoanymanagingpartner.Theresignationshalltakeeffectfromthedatetheresignationletter
reachesthesaidpartner.
Inthecasewherethelimitedpartnershiphasonlyonemanagingpartner,whowishestoresignfrom
hispostshallnotifyanyotherpartnerofhisintentioninwriting,togetherwiththeletterof
resignation,sothatameetingcouldbeheldwithaviewtoappointinganewmanagingpartner.The
resignationshalltakeeffectfromthedatetheresignationletterreachesthesaidpartner.
Themanagingpartnerwhohasresignedunderparagraphoneorparagraphtwohereofmaynotify
theRegistrarofhisresignation.
Section1078/2.Whenthereisachangeofthemanagingpartner,thelimitedpartnershipshalleffect
theregistrationthereofwithinfourteendaysfromthedateofsuchachange.
Section1079.Untilregistrationalimitedpartnershipisdeemedanordinarypartnershipinwhichall
thepartnersarejointlyandunlimitedlyliableforalltheobligationsofthepartnership.
Section1080.TheprovisionsconcerningOrdinaryPartnershipsapplytoLimitedPartnershipsinso
farastheyarenotexcludedormodifiedbytheprovisionsofthisChapterIII.
Ifthereareseveralpartnershipswithunlimitedliability,therulesoftheordinarypartnershipapply
totheirrelationstooneanotherandtothepartnership.
Section1081.Thefirmnameshallnotcontainanyofthenamesofthepartnerswithlimitedliability.
Section1082.Apartnerwithlimitedliabilitywhoexpresslyorimpliedlyconsentstotheuseofhis
nameinthefirmnameisliabletothirdpersonsinthesamemannerasifhewasapartnerwith
unlimitedliability.
Asbetweenthepartnersthemselves,theliabilityofsuchpartnerremainsgovernedbythecontactof
partnership.
Section1083.Thecontributorsofthepartnerswithlimitedliabilitymustbeinmoneyorother
properties.
Section1084.Nodividendorinterestmaybedistributedtopartnerswithlimitedliabilityexceptout
oftheprofitsmadebythepartnerships.
Ifthecapitalofthepartnershiphasbeenreducedbylosses,nodividendorinterestmaybe
distributedtopartnerswithlimitedliabilityuntilthesaidlosseshavebeenmadegood.
Providedthatapartnerwithlimitedliabilitycannotbeobligedtoreturnthedividendorinterest
whichhehasreceivedingoodfaith.
Section1085.Ifapartnerwithlimitedliabilityhas,byletter,circularorotherwise,informedthird
personsthathiscontributionisgreaterthantheregisteredamount,hebecomesliableforsuch
greateramount.
Section1086.Agreementsenteredintobetweenthepartnersforalteringthenatureorreducingthe
amountofthecontributionofapartnerwithlimitedliabilityhavenoeffectasregardstothird
personsuntilregistered.
Whenregistered,theyhaveeffectonlyastoobligationsincurredbythepartnershipaftertheir
registration.
Section1087.Alimitedpartnershipmustbemanagedonlybythepartnerswithunlimitedliability.
Section1088.Ifapartnerwithlimitedliabilityinterfereswiththemanagementofthepartnership,
hebecomesjointlyandunlimitedliableforalltheobligationsofthepartnership.
Optionsandadvice,votesgivenfortheappointmentordismissalofmanagersincasesprovidedby
thecontractofpartnership,arenotconsideredasinterferencewiththemanagementofthe
partnership.
Section1089.Apartnerwithlimitedliabilitymaybeappointedaliquidatorofthepartnership.
Section1090.Partnerswithlimitedliabilitymaycarryonanybusiness,eitherontheirownaccount
orontheaccountofthirdpersons,evenifsuchbusinessisofthesamenatureasthatofthe
partnership.
Section1091.Partnerswithlimitedliabilitymaytransfertheirshareswithouttheconsentofthe
otherpartners.
Section1092.Unlessotherwiseprovidedbythecontract,alimitedpartnershipisnotdissolvedby
thedeathofoneofthepartnerswithlimitedliabilityorbyhisbecomingbankruptorincapacitated.
Section1093.Ifapartnerwithlimitedliabilitydies,hisheirsbecomepartnersinplace,unless
otherwiseprovidedbythecontract.
Section1094.Ifapartnerwithlimitedliabilitybecomesbankrupt,hisshareinthepartnershipmust
besoldasanassetofthebankruptcy.
Section1095.Thecreditorsofalimitedpartnershiphavenoactionagainstthepartnerswithlimited
liabilityaslongasthepartnershipisnotdissolved.
Afterthedissolutionofthepartnership,thecanenteractionsagainsteverypartnerwithlimited
liabilityuptothefollowingamounts:
(1)Thepartofcontributionsofsuchpartnerwhichhasnotbeendeliveredtothepartnership.
(2)
Suchpartofthecontributionasthepartnermayhavewithdrawfromtheassetofthe
partnership.
(3)
Dividendsandinterestwiththepartnermayhavereceivedinbadfaithandcontrarytothe
provisionsofSection1084.
(up)

CHAPTERIV
LIMITEDCOMPANIES
PARTI
NatureandFormationofLimitedCompanies
Section1096.AlimitedcompanyisthatkindofwhichisformedwiththeCapitaldividedintoshares,
andtheliabilityoftheshareholdersislimitedtotheamount,ifany,unpaidontheshares
respectivelyheldbythem.
Section1096bis.(Repealed)
Section1097.Anythreeormorepersonsmay,bysubscribingtheirnamestoamemorandumand
otherwisecomplyingwiththeprovisionsofthisCode,promoteandformalimitedcompany.
Section1098.Thememorandummustcontainthefollowingparticulars:
(1)Thenameoftheproposedcompany,whichmustalwaysendwiththewordlimited.
(2)ThepartoftheKingdominwhichtheregisteredofficeofthecompanyshallbesituated.
(3)Theobjectsofthecompany.
(4)Adeclarationthattheliabilityoftheshareholdersshallbelimited
(5)Theamountofsharecapitalwithwhichthecompanyproposestoberegistered,andthedivisions
thereofintosharesofafixedamount.
(6)Thenames,addresses,occupationsandsignaturesofthepromoters,andthenumberofshares
subscribedbyeachofthem.
Section1099.Thememorandummustbemadeintwooriginalcopiesatleastandsignedbythe
promoters,andthesignaturesshallbecertifiedbytwowitnesses.
OneofthecopiesofthememorandummustbedepositedandregisteredattheRegistrationOffice
ofthatpartoftheKingdominwhichtheregisteredofficeofthecompanyisdeclaredtobesituated.
Section1100.Everypromotermustsubscribeatleastoneshare.
Section1101.Theliabilityofthedirectorsofalimitedcompanymaybeunlimited.
Insuchcase,astatementtothateffectmustbeinsertedinthememorandum.
Theunlimitedliabilityofadirectorterminatesattheexpirationoftwoyearsafterthedateatwhich
heceasedtoholdoffice.
Section1102.Noinvitationtosubscribeforsharesshallbemadetothepublic.
Section1103.(Repealed)
Section1104.Thewholenumberofshareswithwhichthecompanyproposestoberegisteredmust
besubscribedorallottedbeforeregistrationofthecompany.
Section1105.Sharesmaynotbeissuedatalowerpricethantheirnominalamount.
Theissueofsharesatahigherpricethantheirnominalamountispermissible,ifsanctionedbythe
memorandum.Insuchcasetheexcessamountmustbepaidtogetherwiththefirstpayment.
Thefirstpaymentonthesharesmustnotbelessthantwentyfivepercentoftheirnominalamount.
Section1106.Apersonbysubscribingforsharesbindhimself,onconditionthatthecompanybe
formed,topaytothecompanytheamountofsuchsharesinconformitywiththeprospectusand
regulations.
Section1107.Whenallthesharestobepaidinmoneyhavebeensubscribed,thepromotersmust
withoutdelayholdageneralmeetingofsubscriberswhichshallbecalledthestatutorymeeting.
Thepromotersshall,atleastsevendaysbeforethedayonwhichthemeetingistobeheld,forward
toeverysubscriberastatutoryreport,dulycertifiedbythem,containingtheparticularsofthe
businesstobetransactedatthestatutorymeetingunderthefollowingsection.
Thepromotersshallcauseacopyofthestatutoryreport,certifiedasbythissectionrequired,tobe
filedwiththeRegistrarofcompaniesforthwithaftersendingthereoftothesubscribers.
Thepromotersshallalsocausealistshowingthenames,descriptionsandaddressesofthe
subscribers,andthenumberofsharessubscribedbythemrespectively,tobeproducedatthe
meeting.
TheprovisionsofSection1176,1187,1188,1189,1191,1192and1195shallapplymutatismutandis
tostatutorymeeting.
Section1108.Thebusinesstobetransactedatthestatutorymeeting:
(1)Theadoptionoftheregulationsofthecompany,ifany.
(2)Theratificationofanycontractsenteredintoandanyexpensesincurredbythepromotersin
promotingthecompany.
(3)Thefixingoftheamount,ifany,tobepaidtothepromoters.
(4)Thefixingofthenumberofpreferenceshares,ifany,tobeissued,andthenatureandextentof
thepreferentialrightsaccruingtothem.
(5)Thefixingofthenumberofordinarysharesorpreferencesharestobeallottedasfullyorpartly
paidupotherwisethaninmoney,ifany,andtheamountuptowhichtheyshallbeconsideredas
paidup.
Thedescriptionoftheserviceorpropertyinreturnforwhichsuchordinarysharesorpreference
sharesshallbeallottedaspaidupshallbeexpresslylaiddownbeforethemeeting.
(6)Theappointmentofthefirstdirectorsandauditorsandthefixingoftheirrespectivepowers.
Section1109.Apromoterorasubscriberwhohasaspecialinterestinaresolutioncannotexercise
therightofvoting.
Noresolutionofthestatutorymeetingarevalidunlesspassedbyamajorityincludingatleastone
halfofthetotalnumberofsubscribersentitledtovote,andrepresentingatleastonehalfofthe
totalnumberofsharesofsuchsubscribers.
Section1110.Afterthestatutorymeetingisheld,thepromotersshallhandoverthebusinesstothe
directors.
Thedirectorsshallthereuponcausethepromotersandsubscriberstopayforthwithuponeachshare
payableinmoneysuchamount,notlessthantwentyfivepercent,asprovidedbytheprospectus,
notice,advertisementorinvitation.
Section1111.WhentheamountmentionedinSection1110hasbeenpaid,thedirectorsmustapply
fortheregistrationofthecompany.
Theapplicationandentryintheregistermustcontain,inconformitywiththedecisionsofthe
statutorymeeting,thefollowingparticulars:
Thetotalnumberofsharessubscribedorallotted,distinguishingordinarysharesandpreference
shares.
Thenumberofordinarysharesorpreferencesharesallottedasfullyorpartlypaidupotherwise
thaninmoney,andinthelattercase,theextenttowhichtheyaresopaidup.
Theamountalreadypaidinmoneyoneachshare.
Thetotalamountofmoneyreceivedinrespectofshares.
Thenames,occupationsandaddressesofthedirectors.
Ifthedirectorshavepowertoactseparately,theirrespectivepowersandthenumberornamesof
thedirectorswhosesignatureisbindingonthecompany.
Theperiod,ifanyhasbeenfixed,forwhichthecompanyisformed.
Theaddressoftheprincipalofbusinessofficeandofallbranchoffices.

Theentrymaycontainanyotherparticularswhichthedirectorsmaydeemexpedienttomaketothe
public.Theapplicationmustbeaccompaniedbythecopyoftheregulations,ifany,andofthe
proceedingsofthestatutorymeeting,bothcertifiedbythesignatureofatleastonedirector.The
directorsmustatthesametimedepositwiththeRegistrationOfficetenprintedcopiesofthe
memorandumandoftheregulations,ifany,ofthecompany.
Acertificateofregistrationshallbedeliveredtothecompany.
Sections1111/1Informingacompany,thedirectorsmay,uponcompletingallthefollowingstepson
thedaythememorandumofassociationismadebythepromoters;applyforregistrationofthe
memorandumofassociationandregistrationofthecompanyonthesameday.
Haveallsharestoberegisteredbythecompanysubscribed;
HoldastatutorymeetingtoconsiderthebusinessasprovidedinSection1108,themeetingbeing
attendedbyallpromotersandsubscribersandthebusinesstobetransactedatthemeetingbeing
approvedbyallpromotersandsubscribers;
Havethepromotershandoverthebusinesstothedirectors;and
HavethedirectorscausethesubscriberstopaytheamountforeachshareasprovidedinSection
1110paragraphtwoandtheamountisactuallypaid.

Section1112.Ifregistrationdoesnottakeplacewithinthreemonthsafterthestatutorymeeting,
thecompanyisnotformed,andallthemoneyreceivedfromtheapplicantsmustberepaidwithout
deduction.
Ifanysuchmoneyhasnotbeensorepaidwithinthreemonthsafterthestatutorymeeting,the
directorsofthecompanyarejointlyliabletorepaythatmoneywithinterestfromtheexpirationof
thethreemonths.
Providedthatadirectorshallnotbeliableforrepaymentofinterestifheprovesthatthelossof
moneyordelaywasnotduetohisfault.
Section1113.Thepromotersofthecompanyarejointlyandunlimitedlyliableforallobligationsand
disbursementnotapprovedbythestatutorymeeting;evenifapprovedtheyremainsoliableuntil
theregistrationofthecompany.
Section1114.Afteracompanyisregistered,asubscriberofsharescannotenteraclaimfor
cancellationbytheCourtofhissubscriptiononthegroundof,mistake,duressorfraud.
Section1115.Ifthenameinsertedinamemorandumisidenticalwiththenameofanexisting
registeredcompanyorwiththenameinsertedinaregisteredmemorandum,orsonearlyresembling
thesameastobelikelytodeceivethepublic,anyinterestedpersoncanenteraclaimfor
compensationagainstthepromotersofthecompanyandcanaskforanorderfromtheCourtthat
thenamebechanged.
Uponsuchorderbeingmade,thenewnamemustberegisteredintheplaceoftheformernameand
thecertificateofregistrationmustbealteredaccordingly.
Section1116.Anyinterestedpersonisentitledtoobtainfromanycompanyacopyofits
memorandumandregistration,forwhichasumnotexceedingonebahtpercopymaybechargedby
thecompany.
PARTII
SharesandShareholders
Section1117.Theamountofasharemaynotbelessthanfivebaht.
Section1118.Sharesareindivisible.
Ifashareisheldbytwoormorepersonsincommon,theymustappointoneofthemtoexercise
theirrightsasshareholders.
Personsholdingashareincommonarejointlyliabletothecompanyforpaymentoftheamountof
theshare.
Section1119.Thewholeamountofeverysharemustbepaidinmoney,exceptsharesallottedunder
Section1108subsection5,orunderSection1221.
Ashareholdercannotavailhimselfofasetoffagainstthecompanyastopaymentsonshares.
Section1120.Unlessotherwisedecidedbyageneralmeeting,thedirectorsmaymakecallsuponthe
shareholdersinrespectofalmoneybeingdueontheirshares.
Section1121.Twentyonedaysnoticeatleastmustbegivenbyregisteredletterofeachcalland
eachshareholdermustpaytheamountofsuchcalltothepersonandatthetimeandplacefixedby
thedirectors.
Section1122.Ifthecallpayableinrespectofanysharehasnotbeenpaidonthedayfixedfor
paymentthereof,theholderofsuchshareisboundtopayinterestfromthedayfixedforpayment
tothetimeoftheactualpayment.
Section1123.Ifashareholderfailstopayacallonthedayfixedforpaymentthereof,thedirectors
maygivehimnoticebyregisteredlettertopaysuchcallwithinterest.
Thenoticemustfixareasonabletimewithinwhichsuchcallandinterestmustbepaid.
Itmustalsofixtheplacewherepaymentmustbemade.Thenoticemayalsostatethatinthecaseof
nonpaymenttheshareinrespectofwhichsuchcallwasmademaybeforfeited.
Section1124.Ifastatementastoforfeiturehasbeenmadeinthenoticethedirectorsmay,aslong
asthecallandinterestremainunpaid,declarethesharestobeforfeited.
Section1125.Sharesforfeitedmustbesoldwithoutdelaybypublicauction.Theproceedsmustbe
appliedtothepaymentofthecallandinterestdue.Thesurplus,ifanymustbereturnedtothe
shareholder.
Section1126.Thetitleofthepurchaseroftheforfeitedshareisnotaffectedbyanyirregularityin
theproceedingsofsuchforfeitureandsale.
Section1127.Acertificateorcertificatesshallbedeliveredtoeachshareholderforthesharesheld
byhim.
Thedeliveryofacertificatemaybesubjecttothepaymentofsuchfee,notexceedingfiftysatang,as
thedirectorsmaydecide.
Section1128.Everycertificateofsharesshallbesignedbyoneofthedirectorsatleast,andshall
bearthesealofthecompany.
Itmustcontainthefollowingparticulars:
(1) Thenameofthecompany.
(2) Thenumbersofthesharestowhichitapplies.
(3) Theamountofeachshare.
(4) Inthecasethesharesarenotfullypaidup,theamountpaidoneachshare.
(5) Thenameoftheshareholderorastatementthatthecertificateistobearer.
Section1129.Sharesaretransferablewithouttheassetsofthecompanyunless,incaseofshares
enteredinanamecertificate,itisotherwiseprovidedintheregulationsofthecompany
Thetransferofsharesenteredinanamecertificateisvoidunlessmadeinwritingandsignedbythe
transferorandthetransfereewhosesignaturesshallbecertifiedbyonewitnessatleast.
Suchtransferisinvalidasagainstthecompanyandthirdpersonuntilthefactofthetransferandthe
nameandaddressofthetransfereeareenteredintheregisterofshareholders.
Section1130.Thecompanymaydeclinetoregisteratransferofsharesonwhichacallisdue.
Section1131.Thetransferbookmaybeclosedduringfourteendaysimmediatelyprecedingthe
ordinarygeneralmeeting.
Section1132.Ifbysomeeventsuchasthedeathorbankruptcyofanyshareholder,anotherperson
becomesentitledtoashare,thecompanyshall,onsurrenderofthesharecertificatewhenpossible,
andonproperevidencebeingproduced,registersuchotherpersonasashareholder.
Section1133.Thetransferorofasharenotfullypaidupcontinuestobeliableforthefullamount
unpaidthereon,providedthat:
(1)Notransferorshallbeliableinrespecttoanyobligationofthecompanyincurredafterthe
transfer.
(2)NotransferorshallbeliabletocontinueunlessitappearstotheCourtthattheexisting
shareholdersareunabletosatisfythecontributionsrequiredtobemadebythem.
Noactionagainstthetransferorforsuchliabilitycanbeenteredlaterthantwoyearsafterthe
transferhasbeenenteredintheregisterofshareholders.
Section1134.Certificatestobearermaybeissuedonlyifauthorizedbytheregulationsofthe
companyandforshareswhicharefullypaidup.Insuchcasetheholderofanamecertificateis
entitledtoreceivecertificatetobeareronsurrenderingthenamecertificateforcancellation.
Section1135.Sharesenteredinacertificatetobeareraretransferredbythemeredeliveryof
certificate.
Section1136.Theholderofacertificatetobearerisentitledtoreceiveanamecertificateon
surrenderingthecertificatetobearerforcancellation.
Section1137.Ifitisprescribedbytheregulationsofthecompanythatadirectormustholdacertain
numberofsharesofthecompanyasaqualificationforsuchoffice,suchsharesmustbeshares
enteredinanamecertificate.
Section1138.Everylimitedcompanymustkeeparegisterofshareholderscontainingthefollowing
particulars:
(1)Thenamesandaddresses,andoccupations,ifany,oftheshareholders,astatementoftheshares
heldbyeachshareholder,distinguishingeachsharebyitsnumber,andoftheamountpaidor
agreedtobeconsideredaspaidonthesharesofeachshareholder.
(2)Thedateatwhicheachpersonwasenteredintheregisterasashareholder.
(3)Thedateatwhicheachshareholderceasedtobeashareholder.
(4)
Thenumbersanddateofcertificatesissuedtobearer,andtherespectivenumbersofshares
enteredineachsuchcertificate.
(5)Thedateofcancellationofanynamecertificateorcertificatebearer.
Section1139.Theregisterofshareholderscommencingfromthedateoftheregistrationofthe
companyshallbekeptattheregisteredofficeofthecompany.Itshallbegratuitouslyopento
inspectionbytheshareholders,duringbusinesshours,subjectedtosuchreasonablerestrictionsas
thedirectorsmayimpose,butnotlessthan2hoursaday.
ItshallbethedutyofthedirectorstosendonceatleastineveryyeartotheRegistrar,andnotlater
thanonthefourteenthdayaftertheordinarymeeting,acopyofthelistofallshareholdersatthe
timesuchmeetingandthosewhohaveceasedtobeshareholderssincethedateofthelastordinary
meeting.Suchlistshallincludeallparticularsspecifiedintheforegoingsection.
Section1140.Anyshareholdersisentitledtorequireacopyofsuchregisterorofanypartthereofto
bedeliveredtohimonpaymentoffiftysatangforeveryhundredwordsrequiredtobecopied.
Section1141.Theregisterofshareholdersispresumedtobecorrectevidenceofanymatters
directedorauthorizedbylawtobeinsertedtherein.
Section1142.Ifpreferenceshareshavebeenissued,thepreferentialrightsattributedtosuchshares
cannotbealtered.
Section1143.Alimitedcompanymaynotownitsownsharesortaketheminpledge.
PARTIII
ManagementofLimitedCompanies
1.GENERALPROVISIONS
Section1144.Everylimitedcompanyshallbemanagedbyadirectorordirectorsunderthecontrol
ofthegeneralmeetingofshareholderandaccordingtotheregulationsofthecompany.
Section1145.Afterregistrationofthecompany,noregulationsmaybemadeandnoadditionstoor
alterationsoftheregulationsorofthecontentsofthememorandummaybeadoptedexceptby
passingaspecialresolution.
Section1146.Itshallbethedutyofthecompanytocausetoberegisteredeverynewregulation,
additionoralterationwithinfourteendaysafterthedateofthespecialresolution.
Section1147.Repealed
Section1148.Everylimitedcompanymayhavearegisteredofficetowhichallcommunicationsand
noticesmaybeaddressed.
Noticeofthesituationoftheregisteredofficeandofanychangetherein,shallbegiventothe
Registrarofcompanies,whoshallrecordthesame.
Section1149.Aslongastheshareshavenotbeenfullypaidup,thecompanymaynotprintor
mentionthecapitalofthecompanyinanynotice,advertisement,bills,invoices,lettersorother
documents,withoutclearlymentioningatthesametimewhatproportionofsuchcapitalhasbeen
paidup.
2.DIRECTORS
Section1150.Thenumberandremunerationofthedirectorsshallbefixedbyageneralmeeting.
Section1151.Adirectorcanbeappointedorremovedonlybyageneralmeeting.
Section1152.Atthefirstordinarymeetingaftertheregistrationofthecompanyandatthefirst
ordinarymeetingineverysubsequentyearonethirdofthedirectors,or,iftheirnumberisnota
multipleofthree,thenthenumbernearesttoonethirdmustretirefromoffice.
Section1153.Anydirectorwhowhishestoresignfromhispostshalltenderhisresignationletterto
thecompany.Theresignationshalltakeeffectfromthedateofresignationletterreachesthe
company.
ThedirectorwhoresignsunderparagraphonehereofmaynotifytheRegistrarofhisresignation.
Section1154.Ifadirectorbecomesbankruptorincapacitated,hisofficeisvacated.
Section1155.Anyvacancyoccurringintheboardofdirectorsotherwisethanbyrotationmaybe
filledupbythedirectors,butanypersonsoappointedshallretainhisofficeduringsuchtimeonlyas
thevacatingdirectorwasentitledtoretainthesame.
Section1156.Ifageneralmeetingremovesadirectorbeforetheexpirationofhisperiodofoffice,
andappointsanotherpersoninhisstead,thepersonsoappointedshallretainhisofficeduringsuch
timeonlyastheremoveddirectorwasentitledtoretainthesame.
Section1157.Whenthereisachangeofadirectorordirectors,thecompanyshalleffectthe
registrationthereofwithinfourteendaysfromthedateofsuchchange.
Section1158.Unlessotherwiseprovidedbytheregulationsofthecompany,thedirectorshavethe
powersdescribedinthesixfollowingsections.
Section1159.Thesubsistingdirectorsmayactnotwithstandinganyvacancyamongthembut,ifand
solongastheirnumberisreducedbelowthenumbernecessarytoformaquorum,thesubsisting
directorsmayactforthepurposeofincreasingthenumberofdirectorstothatnumber,orof
summoningageneralmeetingofthecompanybutfornootherpurpose.
Section1160.Thedirectorsmayfixthequorumnecessaryforthetransactionofbusinessattheir
meetingsandunlesssofixedthequorumshall(whenthenumberofdirectorsexceedsthree)be
three.
Section1161.Questionsarisingatanymeetingofdirectorsaredecidedbyamajorityofvotes,in
caseofanequalityofvotesthechairmanhasacastingvote.
Section1162.Adirectormayatanytimesummonameetingofdirectors.
Section1163.Thedirectorsmayelectachairmanoftheirmeetings,andfixtheperiodforwhichheis
toholdoffice,butifnosuchchairmaniselected,orifatanymeetingthechairmanisnotpresentat
thetimeappointedforholdingthesame,thedirectorspresentmaychooseoneoftheirmembersto
bechairmanofsuchmeeting.
Section1164.Thedirectorsmaydelegateanyoftheirpowerstomanagersortocommittees
consistingofmembersoftheirbody.Everymanagerorcommitteeshall,intheexerciseofthepower
sodelegated,conformtoanyorderorregulationthatmaybeimposedonthembythedirectors.
Section1165.Unlessotherwiseprovidedbythedelegation,questionsarisingatanymeetingofa
committeeshallbedecidedbyamajorityofvotesofthemembers;incaseofanequalityofvotes
thechairmanhasacastingvote.
Section1166.Allactsdonebyadirectorshall,notwithstandingthatitbeafterwardsdiscoveredthat
therewassomedefectinhisappointment,orthathewasdisqualified,beasvalidasifsuchperson
hadbeendulyappointedandwasqualifiedtobeadirector.
Section1167.Therelationsbetweenthedirectors,thecompanyandthirdpersonsaregovernedby
theprovisionsofthisCodeconcerningAgency.
Section1168.Thedirectorsmustintheirconductofthebusinessapplythediligenceofacareful
businessman.
Inparticulartheyarejointlyresponsible:
(1)Forthepaymentofsharesbytheshareholdersbeingactuallymade;
(2)Fortheexistenceandregularkeepingofthebooksanddocumentsprescribedbylaw;
(3)Fortheproperdistributionofthedividendorinterestasprescribedbylaw;
(4)Fortheproperenforcementofresolutionsofthegeneralmeetings.
Adirectormustnotwithouttheconsentofthegeneralmeetingofshareholders,undertake
commercialtransactionsofthesamenatureasandcompetingwiththatofthecompany,eitheron
hisownaccountorthatofathirdperson,normayhebeapartnerwithunlimitedliabilityinanother
concerncarryingonbusinessofthesamenatureasandcompetingwiththatofthecompany.
Section1169.Claimsagainstthedirectorsforcompensationforinjurycausedbythemtothe
companymaybeenteredbythecompanyor,incasethecompanyrefusestoact,byanyofthe
shareholders.
Suchclaimsmayalsobeenforcedbythecreditorsofthecompanyinsofarastheirclaimsagainst
thecompanyremainunsatisfied.
Section1170.Whentheactsofadirectorhavebeenapprovedbyageneralmeeting,suchdirectoris
nolongerliableforthesaidactstotheshareholderswhohaveapprovedthem,ortothecompany.
Shareholderswhodidnotapproveofsuchactscannotentertheiractionlaterthansixmonthsafter
thedateofthegeneralmeetingonwhichsuchactswereapproved.
3.GENERALMEETINGS
Section1171.Ageneralmeetingofshareholdersshallbeheldwithinsixmonthsafterthe
registration,andshallsubsequentlybeheldatleastevery12months.Suchmeetingiscalledan
ordinarymeeting.
Allothergeneralmeetingsarecalledextraordinarymeetings.
Section1172.Thedirectorsmaysummonextraordinarymeetingwhenevertheythinkfit.
Theymustwithoutdelaysummonsuchmeetingwhenthecompanyhaslosthalftheamountofits
capital,inordertoinformtheshareholdersofsuchloss.
Section1173.Extraordinarymeetingsmustbesummonedifarequisitiontothateffectismadein
writingbyshareholdersholdingnotlessthanonefifthofthesharesofthecompany.Therequisition
mustspecifytheobjectforwhichthemeetingisrequiredtobesummoned.
Section1174.Wheneverarequisitionforthesummoningofanextraordinarymeetingismadeby
theshareholdersaccordingtothelastprecedingsection,thedirectorsshallforthwithsummonsuch
meeting.
Ifthemeetingisnotsummonedwithinthirtydaysafterthedateoftherequisition,therequisitionist,
oranyothershareholderamountingtotherequirednumber,maythemselvessummonit.
Section1175Noticeofthesummoningofeverygeneralmeetingshallbepublishedatleastonceina
localpapernotlaterthansevendaysbeforethedatefixedforthemeeting,andsentbypostwith
acknowledgementofreceipttoeveryshareholderwhosenameappearsintheregisterof
shareholdersnotlaterthansevendaysor,incasethenoticeisforaspecialresolutiontobemadeby
thegeneralmeeting,fourteendaysbeforethedatefixedforthemeeting.
Thenoticeofthesummoningofageneralmeetingshallspecifytheplace,thedayandthehourof
meetingandthenatureofthebusinesstobetransacted.Incasethenoticeisforaspecialresolution
tobemadeinthegeneralmeeting,thesubstanceoftheproposedresolutionshallalsobeincluded
inthenotice.
Section1176.Everyshareholderhastherighttobepresentatanygeneralmeeting.
Section1177.Unlessthereareprovisionstothecontraryintheregulationsofthecompany,the
rulesprovidedbythefollowingsectionsshallapplytogeneralmeetings.
Section1178.Ageneralmeetingmaynottransactanybusinessunlessshareholdersrepresentingat
leastonefourthofthecapitalofthecompanyarepresent.
Section1179.Ifwithinanhourfromthetimeappointmentforthegeneralmeetingthequorum
prescribedbySection1178isnotpresent,themeeting,ifsummonedupontherequisitionof
shareholders,shallbedissolved.
Ifthegeneralmeetinghadnotbeensummonedupontherequisitionofshareholders,another
generalmeetingshallbesummonedwithinfourteendaysandatsuchmeetingnoquorumshallbe
necessary.
Section1180.Thechairmanoftheboardofdirectorsshallpresideateverygeneralmeetingof
shareholders.
Ifthereisnosuchchairman,orofatanygeneralmeetingheisnotpresentwithinfifteenminutes
afterthetimeappointedfortheholdingthemeeting,theshareholderspresentmayelectoneof
theirmemberstobechairman.
Section1181.Thechairmanmay,withtheconsentofmeeting,adjournanygeneralmeeting,butno
businessmaybetransactedatanyadjournedmeetingotherthanthebusinessleftunfinishedatthe
originalmeeting.
Section1182.Onashowofhandseveryshareholderpresentinpersonorrepresentedbyproxyshall
haveonevote.Onapolleveryshareholdershallhaveonevoteforeachshareofwhichheisthe
holder.
Section1183.Iftheregulationsofthecompanyprovidethatnoshareholderisentitledtovote
unlessheisinpossessionofacertainnumberofshares,theshareholderwhodonotpossesssuch
numberofshareshavetherighttojoininordertoformthesaidnumberandappointoneofthemas
proxytorepresentthemandvoteatanygeneralmeeting.
Section1184.Noshareholderisentitledtovoteunlessallcallsduebyhimhavebeenpaid.
Section1185.Ashareholderwhohasinaresolution,aspecialinterestcannotvoteonsuch
resolution.
Section1186.Holdersofcertificatestobearermaynotvoteunlesstheyhavedepositedtheir
certificatewiththecompanybeforethemeeting.
Section1187.Anyshareholdermayvotebyproxy,providedthepowergiventosuchproxyisin
writing.
Section1188.Theinstrumentappointingaproxyshallbedatedandsignedbytheshareholderand
shallcontainthefollowingparticulars:
(1) Thenumberofsharesheldbytheshareholder
(2) Thenameoftheproxy
(3) Themeetingormeetingsortheperiodforwhichtheproxyisappointed.
Section1189.Theinstrumentappointingaproxymustbedepositedwiththechairmanatorbefore
thebeginningorthemeetingatwhichtheproxynamedinsuchinstrumentproposedtovote.
Section1190.Atanygeneralmeeting,aresolutionputtothevoteshallbedecidedonashowof
hands,unlessapollis,beforeoronthedeclarationoftheresultoftheshowofhands,demandedby
atleasttwoshareholders.
Section1191.Atanygeneralmeeting,adeclarationbythechairmanthataresolutionhasonashow
ofhands,beenpassedorlost,andanentrytothateffectinthebooksoftheproceedingsofthe
companyshallbesufficientevidenceofthefact.
Ifapollisdemanded,theresultofthepollshallbedeemedtobetheresolutionofthemeeting.
Section1192.Ifapollisdulydemanded,itshallbetakeninsuchmannerasthechairmandirects.
Section1193.Inthecaseofanequalityofvotes,whetheronashowofhandsoronapoll,the
chairmanofthemeetingshallbenetitledtoasecondorcastingvote.
ection1194*Anyresolutiontocarryoutabusinessrequiredbylawtobepassedasaspecial
resolutionshallbepassedbyamajorityofnotlessthanthreefourthsofthevotesofthepresent
shareholderswhoareeligibletovote.Section1194.Aresolutionisdeemedtobeaspecialresolution
ifpassedbytwosuccessivegeneralmeetingsinthefollowingway.
Thesubstanceoftheproposedresolutionhasbeenincludedinthenoticeforsummoningthefirst
generalmeeting.
Theresolutionhasbeenpassedinthefirstmeetingbyamajorityofnotlessthanthreefourthsof
thevotes.
Thesubsequentgeneralmeetinghasbeensummonedandhasbeenheldnotlessthanfourteendays
andnotmorethansixweeksaftertheformermeeting.
Thefulltextoftheresolutionpassedinthefirstmeetinghasbeenincludedinthenoticesummoning
thespecialmeeting.
Theresolutionpassedintheformermeetinghasbeenconfirmedinthesubsequentmeetingbya
majorityofnotlessthantwothirdsofthevotes.
Section1195.Ifageneralmeetinghasbeensummonedorheldoraresolutionpassedcontraryto
theprovisionsofthisTitleorcontrarytotheregulationsofthecompany,theCourtshallon
applicationofanydirectororshareholder,cancelanysuchresolutionoranyresolutionspassedat
suchirregulargeneralmeeting,providedthattheapplicationisenteredwithinonemonthafterthe
dateofresolution.
(up)
4.BALANCESHEET
Section1196.Abalancesheetmustbemadeatleastonceeverytwelvemonths,attheendofsuch
twelvemonthsasconstitutethefinancialyearofthecompany.
Itmustcontainasummaryoftheassetsandliabilitiesofthecompanyandaprofitandlossaccount.
Section1197.Thebalancesheetmustbeexaminedbyoneormoreauditorsandsubmittedfor
adoptiontoageneralmeetingwithinfourmonthsafteritsdate.
Acopyofitmustbesenttoeverypersonenteredintheregisterofshareholdersatleastthreedays
beforethegeneralmeeting.
Copiesmustalsobekeptopenattheofficesofthecompanyduringthesameperiodforinspection
bytheholdersofcertificatestobearer.
Section1198.Onsubmittingthebalancesheet,thedirectorsmustlaybeforethegeneralmeetinga
reportshowinghowthebusinessofthecompanywasconductedduringtheyearunderreview.
Section1199.Anypersonisentitledtoobtainfromanycompanyacopyofitslatestbalancesheet
onpaymentofasumnotexceedingtwentybaht.
ItshallbethedutyofthedirectorstosendtotheRegistraracopyofeverybalancesheetnotlater
thanonemonthafterithasbeenadoptedbythegeneralmeeting.
5.DIVIDENDANDRESERVE
Section1200.Thedistributionofdividendmustbemadeinproportiontotheamountpaidupon
eachshare,unlessotherwisedecidedwithregardstopreferenceshares.
Section1201.Nodividendmaybedeclaredexceptbyaresolutionpassedinageneralmeeting.
Thedirectorsmayfromtimetotimepaytotheshareholderssuchinterimdividendsasappearedto
thedirectorstobejustifiedbytheprofitsofthecompany.
Nodividendshallbepaidotherwisethanoutofprofits.Ifthecompanyhasincurredlosses,no
dividendmaybepaidunlesssuchlosseshavebeenmadegood.
Section1202.Thecompanymustappropriatetoareservefund,ateachdistributionofdividend,at
leastonetwentiethoftheprofitsarisingfromthebusinessofthecompany,untilthereservefund
reachesonetenthpartofthecapitalofthecompanyorsuchhigherproportionthereofasmaybe
stipulatedintheregulationsofthecompany.
Ifshareshavebeenissuedatavaluehigherthanthefacevalue,theexcessmustbeaddedtothe
reservefunduntilthelatterhasreachedtheamountmentionedintheforgoingparagraph.
Section1203.Ifdividendhasbeenpaidcontrarytotheprovisionsofthelasttwoproceeding
sections,thecreditorsofthecompanyareentitledtohavetheamountsodistributedreturnedto
thecompany,providedthatashareholdercannotbeobligedtoreturndividendwhichhehas
receivedingoodfaith.
ection1204*Noticeofanydividendthatmayhavebeendeclaredshallbegivenbylettertoeach
shareholderwhosenameappearsontheregisterofshareholders.Ifthecompanyhasanyshare
representedbyacertificateissuedtobearer,thenoticeshallalsobepublishedonceatleastina
localpaper.Section1204.Noticeofanydividendthatmayhavebeendeclaredshallbeeither
publishedtwiceatleastinalocalpaperorgivenbylettertoeachshareholderwhosenameappears
ontheregisterofshareholders.
Section1205.Nodividendcanbearinterestagainstthecompany.
6.BOOKSANDACCOUNTS
Section1206.Thedirectorsmustcausetrueaccountstobekept:
(1)Ofthesumsreceivedandexpendedbythecompanyandofthemattersinrespectofwhicheach
receiptorexpendituretakesplace.
(2)Oftheassetsandliabilitiesofthecompany.
Section1207.Thedirectorsmaycauseminutesofallproceedingsandresolutionsofmeetingsof
shareholdersanddirectorstobedulyenteredinthebookswhichshallbekeptattheregistered
officeofthecompany.Anysuchminutessignedbythechairmanofthemeetingatwhichsuch
resolutionwerepassedorproceedingshad,orbythechairmanofthenextsucceedingmeeting,are
presumedcorrectevidenceofthemattersthereincontained,andallresolutionsandproceedingsof
whichminuteshavebeenmadearepresumedtohavebeendulypassed.
Anyshareholdermayatanytimeduringbusinesshoursdemandinspectionoftheabove
documents.
PARTIV
Audit
Section.1208.Theauditorsmaybeshareholdersofthecompany;butnopersoniseligibleasan
auditorwhoisinterestedotherwisethanasashareholderinanytransactionofthecompany,andno
directororotheragentoremployeeofthecompanyiseligibleasanauditorduringhiscontinuance
inoffice.
Section1209.Theauditorsshallbeelectedeveryyearatanordinarymeeting.
Aretiringauditoriseligibleforreelection.
Section1210.Theremunerationoftheauditorsshallbefixedinanygeneralmeeting.
Section1211.Ifanycasualvacancyoccursamongtheauditors,thedirectorsshallforthwithsummon
anextraordinarymeetingforthepurposeoffillingthevacancy.
Section1212.Ifnoelectionofauditorsismadeinamanneraforesaid,theCourtshall,onthe
applicationofnotlessthanfiveshareholders,appointanauditorforthecurrentyearandfixhis
remuneration.
Section1213.Everyauditorshallatallreasonabletimehaveaccesstothebooksandaccountsofthe
company,andwithregardtosuchbooksandaccountshemayexaminethedirectorsoranyother
agentsoremployeesofthecompany.
Section1214.Theauditorsmustmakeareporttotheordinarymeetingonthebalancesheetand
accounts.
Theymuststateinsuchreportwhetherintheiropinionthebalancesheetisproperlydrawnupsoas
toexhibitandcorrectviewofthestateoftheaffairsofthecompany.
PARTV
Inspection
Section1215.Upontheapplicationofshareholdersholdingnotlessthanonefifthpartoftheshares
ofthecompany,thecompetentMinistershallappointoneormorecompetentinspectorsto
examineintotheaffairsofanylimitedcompanyandtoreportthereon.
TheMinister,beforeappointinganysuchinspector,mayrequiretheapplicantstogivesecurityfor
paymentofexpensesoftheinspection.
Section1216.Thedirectors,employeesandagentsofthecompanyareboundtoproducetothe
inspectorsallbooksanddocumentsintheircustodyorpower.
Anyinspectormayexamineuponoaththedirectors,employeesandagentsofthecompanyin
relationtoitsbusiness
Section1217.TheinspectorsmustmakeareporttobewrittenorprintedasthecompetentMinister
directs.CopiesmustbeforwardedbytheMinistertotheregisteredofficeofthecompanyandtothe
shareholdersuponwhoseapplicationtheinspectionwasmade.
Section1218.Allexpensesofsuchinspectionmustberepaidbytheapplicants,unlessthecompany,
inthefirstgeneralmeetingaftersuchinspectionisfinished,consentsthatthesameshallbepaidout
oftheassetsofthecompany.
Section1220.ThecompetentMinistermayalso,ofhisownmotion,appointinspectorstoreportto
theGovernmentontheaffairsofthecompany.Suchappointmentliesentirelywithinthediscretion
oftheMinister.
PARTVI
IncreaseandReductionsofCapital
Section1220.Alimitedcompanycanbyspecialresolutionincreaseitscapitalbyissuingnewshares.
Section1221.Nonewsharesofalimitedcompanymaybeallottedasfullyorpartlypaidup
otherwisethaninmoney,exceptinexecutionofaspecialresolution.
Section1222.Allnewsharesmustbeofferedtotheshareholdersinproportiontothesharesheldby
them.
Suchoffermustbemadebynoticespecifyingthenumberofsharestowhichtheshareholderis
entitled,andfixingadateafterwhichtheoffer,ifnotaccepted,shallbedeemedtobedeclined.
Aftersuchdateoronthereceiptofanintimationfromtheshareholderthathedeclinedtoaccept
thesharesoffered,thedirectormayoffersuchsharesforsubscriptiontoothershareholdersormay
subscribethesharestohimself.
Section1223.AnoticetoanyshareholdertosubscribeforNewSharesmustbedatedandSignedto
thedirectors.
Section1224.Alimitedcompanymay,byspecialresolution,reduceitscapitaleitherbyloweringthe
amountofeachshareorbyreducingthenumberofshares.
Section1225.Thecapitalofthecompanymaynotbereducedtolessthanonefourthofitstotal
amounts.
ection1226*Whenacompanyproposestoreduceitscapital,itmustpublishonceatleastinalocal
paperandsendtoallcreditorsknowntothecompanyanoticeoftheparticularsoftheproposed
reduction,requiringthecreditorstopresentwithinthirtydaysfromthedateofsuchnoticeany
objectiontheymayhavetosuchreduction.Ifnoobjectionisraisedwithintheperiodofthirtydays,
noneisdeemedtoexist.Ifanobjectionisraised,thecompanycannotproceedwiththereductionof
itscapitalunlessithassatisfiedtheclaimorgivensecurityforit.Section1226.Whenacompany
proposestoreduceitscapital,itmustbepublishedseventimesatleastinalocalpaperandsendto
allcreditorsknowntothecompanyanoticeoftheparticularsoftheproposedreduction,requiring
thecreditorstopresentwithinthreemonthsfromthedateofsuchnoticeanyobjectiontheymay
havetosuchreduction.
Ifnoobjectionisraisedwithintheperiodofthreemonths,noneisdeemedtoexist.
Ifnoobjectionisraised,thecompanycannotproceedwiththereductionofitscapitalunlessithas
satisfiedtheclaimorgivensecurityforit.
Section1227.Ifacreditorhas,inconsequenceofhisignoranceoftheproposedreductionofcapital,
failedtogivenoticeofhisobjectionthereto,andsuchignorancewasinnowayduetohisfault,
thoseshareholdersofthecompanytowhomhasbeenrefundedorremittedaportionoftheir
sharesremain,foraperiodoftwoyearsfromthedateofregistrationofsuchreduction,personably
liabletosuchcreditortotheextentoftheamountrefundedorremitted.
Section1228.Thespecialresolutionbywhichanyincreaseorreductionofcapitalhasbeen
authorizedmustberegisteredbythecompanywithinfourteendaysafteritsdate.
PARTVII
Debentures
Section1229.Debenturesmaynotbeissued.
Secion1230to1235(Repealed)
PARTVIII
Dissolution
Section1236.Alimitedcompanyisdissolved:
(1) Inthecase,ifany,providedbyitsregulations.
(2) Ifformedforaperiodoftime,bytheexpirationofsuchperiod.
(3) Ifformedforasingleundertaking,bytheterminationofsuchundertaking.
(4) Byaspecialresolutiontodissolve.
(5) Bythecompanybecomingbankrupt
Section1237.AlimitedcompanymayalsobedissolvedbytheCourtonthefollowinggrounds:
(1)Ifdefaultismadeinfilingthestatutoryreportorinholdingthestatutorymeeting.
(2)
Ifthecompanydoesnotcommencebusinesswithinayearfromthedateofregistrationor
suspendsitsbusinessforawholeyear.
(3)
Ifthebusinessofthecompanycanonlybecarriedonatalossandthereisnoprospectofits
fortunes,beingretrieved.
(4)Ifthenumberoftheshareholdersisreducedtolessthanseven.
However,inthecaseofdefaultinfilingthestatutoryreportorinholdingthestatutorymeeting,the
Courtmay,insteadofdissolvingthecompany,directthatthestatutoryreportbefiledorthe
statutorymeetingbeheldasitmaythinkfit.
PARTIX
AmalgamationofLimitedCompanies
Section1238.AlimitedcompanymaynotamalgamatewithanotherlimitedcompanyExceptby
specialresolution.
Section1239.Thespecialresolutionbywhichanamalgamationisdecidedmustberegisteredbythe
companywithinfourteendaysfromitsdate.
Section1240.Thecompanymustpublishseventimesatleastinalocalpaperandsendtoall
creditorsknowntothecompanybyregisteredletteranoticeoftheparticularsoftheproposed
amalgamationrequiringthecreditorstopresentwithinsixmonthsafterthedateofthenoticeany
objectionstheymayhavetoit.
Ifnoobjectionisraisedduringsuchperiod,noneisdeemedtoexist.
Ifanobjectionisraised,thecompanycannotproceedwiththeamalgamationunlessithassatisfied
theclaimorgivensecurityforit.
Section1241.Whentheamalgamationhasbeenmade,itmustberegisteredwithinfourteendaysby
eachamalgamatedcompanyandthelimitedcompanyformedbytheamalgamationmustbe
registeredasanewcompany.
Section1242.Thesharecapitalofthenewcompanymustbeequivalenttothetotalsharecapitalof
theamalgamatedcompanies.
Section1243.Thenewcompanyisentitledtotherightsandsubjecttotheliabilitiesofthe
amalgamatedcompanies.
PARTX
Notices
Section1244.Anoticeisdeemedtobedulyservedbythecompanytoashareholderifitisdelivered
personallyorsentbyposttosuchshareholderattheaddressappearingintheregisterof
shareholders.
Section1245.Anynoticesentbypostinaletterproperlyaddressedisdeemedtohavebeenserved
atthetimewhensuchletterwouldhavebeendeliveredintheordinarycourseofpost.
PARTXI
RemovalofDefunctCompaniesfromRegister
Section1246(Repealed)
PARTXII
TransformationofaRegisteredPartnershipandaLimitedPartnershiptoaLimitedCompany
Section1246/1Aregisteredpartnershiporlimitedpartnershipconsistingofatleastthreepartners
maybeconvertedintoalimitedcompanybyconsentofallpartnersandperformanceofthe
following:
Notificationoftheconsentofpartnerstoconvertthepartnershipintoalimitedcompanytothe
Registrarinwritingwithinfourteendaysfromthedateofconsentbyallpartners;and
Publicationatleastonceinalocalpaperandsendingtoallcreditorsknowntothepartnershipa
noticeoftheparticularsoftheproposedconversion,requiringthecreditorstopresentwithinthirty
daysfromthedateofsuchnotice,anyobjectiontheymayhavetosuchconversion.Ifanobjectionis
raised,thepartnershipcannotproceedwiththeconversionunlessithassatisfiedtheclaimorgiven
securityforit.

Section1246/2Ifnoobjectionisraisedoranobjectionisraisedbuttheclaimhasbeensatisfiedor
securityhasbeengiven,allpartnersshallholdameetingtoconsenttoandproceedwiththe
following:
Preparethememorandumofassociationandthearticlesofassociationofthecompany(ifany);
Fixtheamountofsharecapitalofthecompany,whichshallbeequivalenttotheamountoftotal
contributionsofallpartners,andfixthenumberofsharesofthecompanytobevestedwitheach
partner;
Fixtheamountalreadypaidinmoneyoneachshare,whichshallbeatleasttwentyfivepercentof
thestatedvalueofeachshare;
Fixthenumberofordinarysharesorpreferencesharestobeissuedandallottedtothepartnersand
thenatureandextentofthepreferentialrightsaccruingtothepreferenceshares;
Appointdirectorsandfixtheirrespectivepowers;
Appointauditors;and
Carryoutotheractivitiesasnecessaryfortheconversion.Inproceedingwiththeactionsunderthe
firstparagraph,theprovisionsrelatingtoalimitedcompanyregardingsuchrespectiveactionsshall
applymutatismutandis.

Section1246/3Theformermanagingpartnersshalldeliverthebusinesses,property,accounts,
documentsandevidenceofthepartnershiptotheboardofdirectorsofthecompanywithin
fourteendaysaftertheconsentbypartnersandthecompletionofactionsunderSection1246/2.If
anypartnerhasnotpaidinatleasttwentyfivepercentofthepriceofanyshareorhasnot
transferredownershipofanypropertyorproducedanydocumentorevidenceofexerciseofrights
totheboardofdirectors,theboardofdirectorsofthecompanyshallissuealetterdemandingthat
thepartnerpayintheshareprice,transfertheownership,orproducethedocumentorevidenceof
exerciseofrights,asthecasemaybe,fortheboardofdirectorswithinthirtydaysfromthedateof
receiptofthedemandletter.
Section1246/4TheboardofdirectorsofthecompanyshallfilewiththeRegistraranapplicationto
registertheconversionintoalimitedcompanywithinfourteendaysfromthedateoffullcompliance
withSection1246/3.Inapplyingforregistrationoftheconversion,theboardofdirectorsshallalso
submittotheRegistrar,togetherwiththeapplicationforregistration,theminutesofpartners
meetingonconsiderationofconsentingtoandproceedingwiththeconversionofthepartnership
intoalimitedcompanyunderSection1246/2,thememorandumofassociation,thearticlesof
association,andthelistofshareholders.
Section1246/5Aftertheconversionoftheregisteredpartnershiporlimitedpartnershipintoa
limitedcompanyhasbeenacceptedforregistrationbytheRegistrar,theformerregistered
partnershiporlimitedpartnershipshallloseitsstatusasaregisteredpartnershiporlimited
partnershipundertheCivilandCommercialCodeandtheRegistrarshallmakeanoteofsuchlosson
theregister.
Section1246/6Aftertheregistrationforconversionoftheregisteredpartnershiporlimited
partnershipintoalimitedcompany,thecompanyshallbevestedwithalltheproperty,obligations,
rightsandresponsibilitiesoftheformerregisteredpartnershiporlimitedpartnership.
Section1246/7Ifaftertheregistrationforconversionintoalimitedcompany,thecompanyisunable
toperformanyobligationasvestedfromtheconvertedpartnership,thecreditorofsuchobligation
mayenforcetheperformanceoftheobligationonthepartnersoftheconvertedpartnershiptothe
extentthateachpartnerisliablefortheobligationsofthepartnership.
CHAPTERV
LIQUIDATIONOFREGISTEREDPARTNERSHIP,LIMITEDPARTNERSHIPSANDLIMITEDCOMPANIES
Section1247.Theliquidationofabankruptregisteredpertnership,limitedpartnershiporlimited
companyshallbemade,asfaraspracticable,inaccordancewiththeprovisionsoftheLawof
Bankruptcyforthetimebeinginforce.
ThecompetentMinistershallissueMinisterialRegulationsgoverningtheliquidationofpartnership
andcompaniesanddeterminingtherateoffeesforthispurpose.
Section1248.WhenageneralmeetingisprescribedinthisChapter,itmeans:
(1)Astoregisteredpartnershipsandlimitedpartnerships,ameetingofallthepartners,inwhicha
majorityofvotesdecides.
(2)Astolimitedcompanies,thegeneralmeetingprovidedbySection1171.
Section1249.Apartnershiporcompanyisdeemedtocontinueafteritsdissolutionasfarasitis
necessaryforthepurposeofliquidation.
Section1250.Thedutiesoftheliquidatorsaretosettletheaffairsofthepartnershiporcompany,to
payitsdebtsandtodistributesitsassets.
Section1251.Upondissolutionofapartnershiporcompanyforanyothercausethanbankruptcy,
themanagingpartnersordirectorsbecomeliquidatorsunlessotherwiseprovidedbythecontractof
partnershiporbytheregulationsofthecompany.
Iftherearenopersonstobeliquidatorsundertheforegoingprovision,aliquidatororliquidators
shallbeappointedbytheCourtupontheapplicationofthePublicProsecutororanyother
interestedperson.
Section1252.Themanagingpartnersofdirectorsretainasliquidatorsthesamerespectivepowers
whichtheyhadasmanagingpartnersordirectors.
Section1253.whenfourteendaysafterthedateofdissolutionorincaseofliquidatorsappointedby
theCourt,afterthedateofappointment,theliquidatorsmust:
(1)
Notifythepublicbytwosuccessiveadvertisementatleastinalocalpaperthatthepartnershipor
companyisdissolvedandthatitscreditorsmustapplyforpaymenttotheliquidators,and
(2)
Sendasimilarnoticebyregisteredlettertoeachcreditorswhosenameappearsinthebooksor
documentsofthepartnershiporcompany.
Section1254.Thedissolutionofthepartnershiporcompanyandthenamesoftheliquidatorsmust
beregisteredwithinfourteendaysafterthedateofdissolutionbyheliquidators.
Section1255.Theliquidatorsmust,assoonaspossible,makeabalancesheetandhaveitexamined
andcertifiedbytheauditors,andmustsummonageneralmeeting.
Section1256.Thebusinessofthegeneralmeetingis:
(1)
Toconfirmthedirectorsormanagingpartnersasliquidators,orappointotherliquidatorsintheir
stead,and
(2)Toadoptthebalancesheet.
Thegeneralmeetingmaydirecttheliquidatorstomakeaninventoryortodowhateverthemeeting
maydeemadvisableforthesettlementoftheaffairsofthepartnershiporcompany.
Section1257.LiquidatorsnotappointedbytheCourtmayberemovedandsupersededbya
unanimousvoteofthepartnersorbyageneralmeetingoftheshareholders.Liquidators,whether
appointedbytheCourtornot,mayberemovedandsupersededbytheCourtontherequestofone
ofthepartnersoroftheshareholdersrepresentingonetwentiethpartofthepaidupcapitalofthe
company.
Section1258.Anychangeamongsttheliquidatorsmustberegistered,withinfourteendaysafterthe
dateofchange,bytheliquidators.
Section1259.Theliquidatorshavepower:
(1)
Tobringordefendanylegalproceeding,civilorcriminal,andtomakecompromise,inthename
ofthepartnershiporcompany.
(2)
Tocarryonthebusinessofthepartnershiporcompany,asfarasmaynecessaryforabeneficial
settlementoftheaffairs.
(3)Tosellthepropertyofthepartnershiporcompany.
(4)Todoallotheractsasmaybenecessaryforabeneficialsettlementoftheliquidation.
Section1260.Nolimitationofthepoweroftheliquidatorsisvalidasagainstthirdpersons.
Section1261.UnlessotherwisefixedbythegeneralmeetingorbytheCourtatthetimeofthe
appointmentoftheliquidators,noactoftheliquidatorsisvalidunlessdonebythemjointly.
Section1262.AresolutionofageneralmeetingoradecisionoftheCourtauthorizingaliquidatoror
liquidatorstoactseparatelymustberegisteredwithinfourteendaysfromitsdate.
Section1263.Allcosts,chargesandexpensespropertyincurredintheliquidationmustbepaidby
theliquidatorsinpreferencetootherdebts.
Section1264.Ifacreditordoesnotapplyforpayment,theliquidatorsmustdeposittheamountdue
tohimasdescribedbytheprovisionsoftheCodeconcerningDepositinlieuofperformance.
Section1265.Theliquidatorsmayrequirethepartnersorshareholderstopaysuchpartoftheir
contributionsorsharesasmaybestillunpaidandsuchpartmustbepaidatonce,evenifitwas
previouslyagreedbythecontractsofpartnershiportheregulationsofthecompanythatitwouldbe
calledforatalaterperiod.
Section1266.Iftheliquidatorsfindthatafterthewholeofthecontributionsorshareshasbeenpaid
up,theassetsinsufficienttomeettheliabilities,theymustapplyatoncetotheCourttohavethe
partnershiporcompanydeclaredbankrupt.
Section1267.TheliquidatorsmustdepositeverythreemonthsattheRegistrationOfficeareportof
theiractivities,showingthesituationoftheaccountsoftheliquidation.Suchreportshallbeupon
gratuitouslyforinspectiontothepartners,shareholdersorcreditors.
Section1268.Iftheliquidatorscontinuesformorethatoneyear,theliquidatorsmustsummona
generalmeetingattheendofeachyearfromthebeginningoftheliquidationandmustlaybefore
thismeetingareportoftheiractivitiesanddetailedaccountofthesituation.
Section1269.Onlysomuchofthepropertyofthepartnershiporcompanymaybedividedamongst
thepartnersorshareholdersasisnotrequiredforperformingalltheobligationsofthepartnership
orcompany.
Section1270.Assoonastheaffairsofthepartnershiporcompanyarefullyliquidated,the
liquidatorsshallmakeupanaccountoftheliquidationshowinghowtheliquidationhasbeen
conductedandthepropertyofthepartnershiporcompanyhasbeendisposedof;andthereupon
shallcallageneralmeetingforthepurposeoflayingbeforeittheaccountandgivingany
explanationthereof.
Aftertheaccountisapproved,theproceedingsofthemeetingmustberegisteredwithinfourteen
daysfromitsdatebytheliquidators.Suchregistrationistakenasbeingtheendoftheliquidation.
Section1271.Aftertheliquidation,thebooks,accountsanddocumentsoftheliquidatedpartnership
orcompanyshallbedepositedwithinfourteendaysprovidedbytheforegoingsectionatthe
Registrar'sOfficewheretheyshallbekeptfortenyearsaftertheendoftheliquidation.
Allsuchbooks,accountsanddocumentsshallbegratuitouslyopenforinspectionbyanyinterested
person.
Section1272.Noactionforpaymentofdebtsduefromthepartnershiporcompanyorfromthe
partners,shareholdersorliquidatorsassuchcanbeenteredlaterthantwoyearsaftertheendofthe
liquidation.
Section1273.TheprovisionsofSections1172to1193and1207applytogeneralmeetingsheld
duringliquidationmutatismutandis.
CHAPTERVI
RemovalofRegisteredPartnerships,LimitedPartnershipsandLimitedCompaniesfromtheRegister
Sections
Section1273/1WheretheRegistrarhasreasonablecausetobelievethataregisteredpartnership,a
limitedpartnershiporacompanyisnotcarryingonbusinessorinoperation,heshallsendtothe
partnershiporcompanybypostwithacknowledgementofreceiptaletterinquiringwhetherthe
partnershiporcompanyiscarryingonbusinessorinoperationandinformingitthatifanansweris
notreceivedwithinthirtydaysfromthesendingdatethereof,anoticewillbepublishedina
newspaperwithaviewtostrikingthenameofthepartnershiporcompanyofftheregister.Ifthe
Registrareitherreceivesananswerfromthepartnershiporcompanytotheeffectthatitisnot
carryingonbusinessorinoperation,ordoesnotwithinthirtydaysaftersendingtheletterreceive
anyanswer,hemaypublishonceatleastinoneofthelocalnewspapers,andsendtothe
partnershiporcompanybypostwithacknowledgementofreceipt,anoticethatattheexpirationof
ninetydaysfromthesendingdateofthatnoticethenameofthepartnershiporcompany
mentionedthereinwill,unlesscauseisshowntothecontrary,bestruckofftheregister.
Section1273/2If,inanycasewhereapartnershiporcompanyhasbeendissolvedandisinthe
processofliquidation,theRegistrarhasreasonablecausetobelieveeitherthatnoliquidatoris
actingorthattheaffairsofthepartnershiporcompanyarefullywoundup,andtheliquidation
returnshavenotbeenmadebytheliquidatorortheregistrationofcompletionofliquidation
processhasnotbeenappliedforbytheliquidator,theRegistrarmaysendaletterbypostwith
acknowledgementofreceipttothepartnershiporcompanyandtotheliquidatorathislastknown
placeofbusinessdemandingtheappointmentofanactingliquidator,submissionofthereturnsor
registrationofthecompletionofliquidation,asthecasemaybe,andinformingthemthatifthe
actionisnotcarriedoutwithinonehundredandeightydaysfromthesendingdatethereof,anotice
willbepublishedinanewspaperwithaviewtostrikingthenameofthepartnershiporcompanyoff
theregister.Ifthepartnershiporcompanyortheliquidatorfailstotaketheactionwithintheperiod
oftimeprescribedintheforegoingparagraph,theRegistrarshallpublishonceatleastinalocal
newspaperandsendbypostwithacknowledgementofreceipttothepartnershiporcompanyand
theliquidatornoticethatattheexpirationofninetydaysfromthedateofsendingofthatnoticethe
nameofthepartnershiporcompanymentionedthereinwill,unlesscauseisshowntothecontrary,
bestruckofftheregister.
Section1273/3AttheexpirationofthetimementionedinthenoticeunderSection1273/1or
Section1273/2,theRegistrarmay,unlesscausetothecontraryispreviouslyshownbythe
partnershiporcompanyortheliquidator,strikethenameofthepartnershiporcompanyoffthe
register,andonthestrikeofitsnameofftheregisterthepartnershiporcompanyshallloseitsstatus
asajuristicperson:providedthattheliabilityofeverymanagingpartner,partner,director,
managingofficerandshareholdersshallcontinueandmaybeenforcedasifthepartnershipor
companyhadnotlostitsstatusasajuristicperson.
Section1273/4Ifapartnership,apartner,acompanyoranyshareholderorcreditorthereoffeels
unfairlyaggrievedbythepartnershiporcompanyhavingbeenstruckofftheregister,theCourton
theapplicationofthepartnership,partner,companyorshareholderorcreditormay,ifsatisfiedthat
thepartnershiporcompanywasatthetimeofthestrikingoffcarryingonbusinessorinoperation,
orotherwisethatitisjustthatthepartnershiporcompanyberestoredtotheregister,orderthe
nameofthecompanytoberestoredtotheregister,andthereuponthepartnershiporcompany
shallbedeemedtohavecontinuedinexistenceasifitsnamehadnotbeenstruckoff;andtheCourt
maybytheordergivesuchdirectionsandmakesuchprovisionsasseemjustforplacingthe
partnershiporcompanyandallotherpersonsinthesamepositionasnearlyasmaybeasifthe
nameofthepartnershiporcompanyhadnotbeenstruckoff.Anyrequestforrestorationofthe
nameofthepartnershiporcompanytotheregistermaynotbemadeaftertheexpirationoften
yearsfromthedaythenameisstruckoffbytheRegistrar.
TITLEXXIII
ASSOCIATIONS
Section12741297(Repealed)ProvisionsofAssociationsareinsertedinBookI(PartII)oftheCivil
andCommercialCode(Sections78109).
Backtopart1 Continuetopart3

BOOKIV
PROPERTY
TITLEI
GENERALPROVISIONS
Section1298.RealrightsmaybecreatedonlybythevirtueofthisCodeorotherlaws.
Section1299.SubjecttoaprovisionofthisCodeorotherlaws,noacquisitionbyjuristicactof
immovableorofrealrightappertainingtheretoiscompleteunlessthejuristicactismadeinwriting
antheacquisitionisregisteredbythecompetentofficial.
Whereimmovablepropertyorrealrightappertainingtheretoisacquiredotherwisethanbyjuristic
act,theacquirer'srightcannotbedealtwiththroughtheregisterunlessithasbeenregistered,nor
canit,withoutregistration,besetagainstathirdpersonwhohas,forvalueandingoodfaith,
acquireditandregisteredhisright.
Section1300.Whereatransferofimmovablepropertyorrealrightappertainingtheretohasbeen
registeredtotheprejudiceofapersonwhowaspreviouslyinapositiontohavehisrightregistered,
hemayclaimcancellationofsuchregistration,providedthatinnocasecancellationbeclaimed
againstatransfereeforvalueingoodfaith.
Section1301.Theprovisionsofthetwoforegoingsectionsshallapplymutatismutandisto
modification,extinctionandrevivalofrealrightsappertainingtoimmovableproperty.
Section1302.Theprovisionsofthethreeforegoingsectionsshallapplymutatismutandistoshipsor
vesselsofsixtonsandover,tosteamlaunchesormotorboatsoffivetonsandover,tofloating
housesandtobeastsofburden.
Section1303.Whereseveralpersonsclaimtohaveacquiredthesamemovablepropertyunder
differenttitles,thepersonwhoisinpossessionofthepropertyispreferredthathehasacquiredit
forvalueandhasobtainedthepossessioningoodfaith.
Thissectiondoesnotapplytomovablepropertyspecifiedintheforegoingsectionnortolost
propertyorpropertyacquiredthroughanoffence.
Section1304.ThedomainepublicofStateincludeseverykindofStatepropertywhichisinusefor
publicinterestorreservedforthecommonbenefit,suchas:
(1)
wastelandandlandsurrendered,abandonedorotherwiserevertedtotheStateaccordingto
thelandlaw;
(2)propertyforthecommonuseofthepeoplee.g.,foreshores,waterways,highways,lakes;
(3)
propertyforspecialusetotheStatee.g.,afortressorothermilitarybuildings,publicoffices,
warships,armsandammunition.
Section1305.AnypropertywhichformspartofthedomainepublicofStateisinalienableexceptby
virtueofaspeciallaworRoyalDecree.
Section1306.NoprescriptioncanbesetupagainsttheStatewithregardtoanypropertywhich
formspartofitsdomainepublic.
Section1307.NoseizureofStatepropertycanbeeffected,whethersuchpropertyformspartofits
domainepublicornot.
(up)
TITLEII
OWNERSHIP
CHAPTERI
ACQUISITIONOFOWNERSHIP
Section1308.Wherelandisformedbyalluvion,itbecomesthepropertyoftheriparianowner.
Section1309.Islandsformedinalakeorwaterwayofinterritorialwaters,andbedsofwaterways
leftdry,arethepropertyoftheSate
Section1310.Ifapersonhas,ingoodfaith,constructedabuildinguponanotherperson'sland,the
ownerofthelandbecomestheownerofthebuilding,buthemustpaytheconstructorforany
increaseofvalueaccruingtothelandbyreasonofthebuilding.
However,iftheownerofthelandcanshowthattherewasnegligenceonhispart,hemayrefuseto
takethebuildingandrequirethatitberemovedbytheconstructorandthelandputinitsformer
condition,unlessthiscannotbedoneatreasonablecosts,inwhichcasehemayrequirethe
constructortobuythewholeorpartofthelandatthemarketprice.
Section1311.Ifapersonhas,inbadfaith,constructedabuildinguponanotherperson'sland,he
mustreturnthelandafterhavingputitinitsformercondition,unlesstheownerofthelandchooses
tohaveitreturnedinitspresentcondition,inwhichcasetheownerofthelandmustpayathis
optionthepriceofthebuildingorasumrepresentingtheincreasedvalueoftheland.
Section1312.Ifapersonhas,ingoodfaith,constructedabuildingencroachingonanotherperson's
land,theconstructoristheownerofthebuilding,subjecttohispayingtheownerofthelandforthe
useofsuchlandandhavinghisrightsontheencroachedlandregisteredasservitude.Theownerof
thelandmaydemandcancellationoftheregistrationifsubsequentlythebuildingistotally
destroyed.
Iftheconstructorofthebuildingisinbadfaith,theownerofthelandmayrequirethatitbe
removedbytheconstructorandthelandputinitsformercondition,attheexpenseofthelatter.
Section1313.Iftheconditionalownerofapieceoflandhasconstructedabuildingonitandtheland
becomesafterwardsthepropertyofanotherpersonbyeffectofthecondition,theprovisionsofthis
CodeconcerningUndueEnrichmentshallapply.
Section1314.TheprovisionsofSections1310,1311and1313applymutatismutandistoanykindof
workwhichisfixedtoland,andtotheplantingoftreesorcrops.
However,incaseofpaddyorothercropsharvestedoneormoretimesayear,theowneroftheland
musteitherallowthepersoningoodfaithortheconditionalownerwhohasmadetheplantingto
remaininthepossessionofthelandtillaftertheharvestonpaymentofasumofmoneybasedon
therentalvalueoftheland,ortakeimmediatepossessionofthelandonpaymentofcompensation
totheotherparty.
Section1315.Whenapersonhasconstructedbuildings,orhasmadeanyotherworkwhichisfixed
toland,orhasplantedtreesorcrops,onhislandwithmaterialsbelongingtoanotherperson,he
becomestheownerofthematerials,buthemustpayfortheirvalue.
Section1316.Ifseveralmovablesbelongingtodifferentpersonshavebeenjoinedinsuchmatter
thattheybecomecomponentpartsorindivisible,thedifferentpersonsbecomecoownersofthe
compositething,eachperson'ssharebeingproportionatetothevalueofhisthingatthetimeofits
beingjoinedwiththeotherthings.
Ifoneofthethingscouldberegardedastheprincipalthing,theownerbecomesthesoleownerof
thecompositething,buthemustpaythevalueoftheotherthingstotheirrespectiveowners.
Section1317.Ifapersonusesmaterialsbelongingtoanotherpersontomakeanewthing,thelatter
personbecomestheownerofsuchthing,irrespectiveofthequestionwhetherthematerialscanor
cannotassumetheirformercondition,buthemustpayforthework.
However,ifthevalueoftheworkgreatlyexceedsthevalueofthematerialsused,theworkershall
becometheownerofthethingwhichistheresultofhiswork,buthemustpaythevalueofthe
materials.
Section1318.Apersonmayacquiretheownershipofanownerlessmovablebyoccupation,unless
theoccupationisforbiddenbylaworisinviolationofanotherperson'srighttooccupationofsuch
movable.
Section1319.Amovablebecomesownerlessiftheownergivesupitspossessionwiththeintention
ofrenouncingitsownership.
Section1320.Subjecttospeciallawsandregulationsrelatingthereto,wildanimalsareownerlessso
longastheyhavetheirfreedom.Wildanimalsinzoologicalgardensandfishesinpoundsorother
enclosedprivatewatersarenotownerless.
Acapturedwildanimalbecomesownerlessifitregainsitsfreedomandtheownersdoesnotpursue
itwithoutdelayorgivesupthepursuit.
Atamedanimalbecomesownerlessifitgivesupthehabitofreturning.
Section1321.Subjecttospeciallawsandregulationsrelatingthereto,apersonwhocatchesawild
animalonwastelandsorinpublicwaters,or,withoutoppositionoftheowner,onprivatelandsorin
privatewaters,becomesitsowner.
Section1322.Ifawildanimalwhichiswoundedandpursuedbyonepersoniscaughtbyanother
personorfallsdeadonanotherperson'sland,thefirstpersonbecomesitsowner.
Section1323.Apersonwhofindslostpropertyisbound:
(1)todeliverittotheloser,theowneroranyotherpersonentitledtoreceiveit,or
(2)toinformwithoutdelaytotheloser,theowneroranyotherpersonentitledtoreceiveit,or
(3)
todeliveritwithinthreedaystothepoliceorothercompetentofficialandinformthemofall
circumstanceswithinhisknowledgewhichmaybematerialforthepersonwhoisentitledto
receiveit.
However,theprocedureprovidedinsubsection3mustbefollowedittheloser,ownerorother
personentitledtoreceivethepropertyisunknownordoesnottakedeliveryofit.
Inanycasethepropertyfoundmustbekeptwithreasonablecareuntildelivery.
Section1324.Afinderoflostpropertymayclaimfromthepersonentitledtoreceiveitarewardof
tenpercentofthevalueofthepropertyuptothirtythousandbaht,andfivepercentonthe
additionalvalue.However,ifhedeliversthepropertytothepoliceorothercompetentofficial,two
andahalfpercentofthevalueofthepropertyshall,inadditiontothereward,bepaidasafeeto
theGovernmentserviceconcerned,but,innocase,shallsuchfeeexceedonethousandbaht.
Thefinderisnotentitledtoanyrewardifhedoesnotcomplywiththeprovisionsoftheforegoing
section.
Section1325.IfthefinderoflostpropertyhascompliedwiththeprovisionsofSection1323andthe
personentitledtoreceiveithasnotclaimeditwithinoneyearfromthedayoffind,theownership
vestedinthefinder.
However,iftheunclaimedpropertyisanantiqueobject,theownershipvestedintheState,butthe
finderisentitledtoreceivearewardoftenpercentofitsvalue.
Section1326.Thefindingofpropertythrownintotheseaorwaterwaysorwashedashoreis
governedbythelawsandregulationsrelationsthereto.
Section1327.Subjecttotheprovisionsofthecriminallaw,theownershipofanythingwhichhas
beenusedforcommitting,orhasbeenacquiredthrough,orisotherwiseconnectedwith,an
offence,andplacedunderthecareofaGovernmentDepartment,isvestedintheStateifithasnot
beenclaimedbytheownerwithinoneyearfromthedayofitsbeingsoplacedor,incaseofa
criminalactionhavingbeenenteredinCourt,fromthedayoffinaljudgment.However,iftheowner
isunknown,theperiodshallbeextendedtofiveyears.
Ifthepropertyisperishable,ondelayinvolvesrisksorexpensesoutofproportiontoitsvalue,the
GovernmentDepartmentmay,beforetheexpirationoftheperiods,causethepropertytobesoldby
publicauction,providedthatbeforethesalepropermeasuresaretakenforrecordingallsuch
particularsasmayenablethepersonentitledtoreceivethepropertytoidentifyitandprovehis
rightsthereto.Afterthesale,thenetproceedsshallbesubstitutedfortheproperty.
Section1328.Whereamovableofvaluewhichhasbeenhiddenorburiedisfoundundersuch
circumstancesthatnopersoncanclaimtobeitsowner,theownershipisvestedintheState.The
finderisboundtodeliverittothepoliceorothercompetentofficial,inwhichcaseheisentitledto
receivearewardofonethirdofitsvalue.
Section1329.Therightofapersonwhohasacquiredpropertyfrothevalueaningoodfaithisnot
affectedeveniftheactunderwhichhistransferoracquiredthepropertywasvoidableandhasbeen
subsequentlyavoided.
Section1330.Therightofapersonwhohasingoodfaithpurchasedpropertyatasalebypublic
auctionunderanorderoftheCourtoroftheOfficialReceiverinbankruptcyisnotaffectedevenifit
issubsequentlyprovedthatthepropertydidnotbelongtothedefendant,judgmentdebtoror
bankrupt.
Section1331.Therightofapersonwhohasacquiredmoneyingoodfaithisnotaffectedevenifitis
subsequentlyprovedthatitdidnotbelongtothepersonfromwhomheacquiredit.
Section1332.Whenapersonhasingoodfaithpurchasedpropertyatasalebypublicauctionorin
openmarketorfromatraderdealinginsuchthings,heshallnotbeboundtoreturnittothetrue
ownerunlessthelatterreimbursesthepurchaseprice.
Section1333.OwnershipmaybeacquiredbyprescriptionundertherulesprovidedinTitleIIIofthis
Book.
Section1334.Wastelandandlandsurrendered,abandonedorotherwiserevertedtotheState
accordingtothelandlawmaybeacquiredaccordingtothesaidlaw.
CHAPTERII
EXTENTANDEXERCISEOFOWNERSHIP
Section1335.SubjecttotheprovisionsofthisCodeorotherlaws,theownershipoflandextends
aboveandbelowthesurface.
Section1336.Withinthelimitsoflaw,theownerofpropertyhastherighttouseanddisposeofit
andacquiresitsfruits;hehastherighttofollowandrecoveritfromanypersonnotentitledto
detainit,andhastherighttopreventunlawfulinterferencewithit.
Section1337.Ifapersonintheexerciseofhisrightcausestotheownerofanimmovableproperty
greaterinjuryorinconveniencethanshouldnaturallyandreasonablybeexpectedoranticipated,
havingregardtothenatureandsituationofsuchproperty,theownerisentitled,withoutprejudice
toanyclaimforcompensation,tohavesuchinjuryorinconvenienceabated.
Section1338.Restrictionsimposedbylawontherightsofanownerofimmovablepropertyneed
notberegistered.
Suchrestrictionsimposedbylawontherightsofanownerofimmovablepropertyneednotbe
registered.
Restrictionsimposedinthepublicinterestcanneitherberemovednormodified.
Section1339.Theownerofapieceoflandisboundtotakethewaterthatflowsnaturallyontoit
fromhigherland.
Waterthatflowsnaturallyontolowerlandandisnecessarytosuchlandmayberetainedbythe
ownerofthehigherlandonlytosuchextentasisindispensabletohisland.
Section1340.Theownerofapieceoflandisboundtotakewatercomingtoitfromthehigherland
inconsequenceoftheartificialdrainageofthehigherland,ifbeforethedrainagethewaterflowed
naturallyontohisland.
Ifanydamageissufferedbyreasonofsuchartificialdrainage,theownersofthelowerlandsmay,
withoutprejudicetoanyclaimforcompensation,requiretheownerofthehigherland,atthe
latter'sexpense,tocarrythedrainagerightthroughthelowerlandstoapublicwaterwayordrain.
Section1341.Theownerofanimmovablepropertymustnotconstructroofsorotherstructures
whichcauserainwatertofallupontheadjoiningproperty.
Section1342.Nowell,pond,cesspoolorreceptacleformanureorrefusemaybedugwithintwo
metersoftheboundaryline.
Noditchorexcavationforlayingundergroundwaterpipesorsimilarinstallationsmaybemade
nearertotheboundarylinethanonehalfofthedepthofsuchditchorexcavationprovidedalways
thatitmaybemadeatadistanceofonemeterormore.
Inanycasewhentheworksmentionedintheforegoingparagraphsarecarriedoutnearthe
boundaryline,duecaremustbetakentopreventearthorsandfromfallingin,orwaterorfilthfrom
percolatingthrough.
Section1343.Landmaynotbeexcavatedoroverloadedinsuchmannerastoendangerthestayof
soilofanadjoiningpieceoflandunlessadequatemeasuresareprovidedforpreventingandinjury.
Section1344.Fenceswalls,hedgesorditches,whichserveasaboundary,arepresumedtobelongto
theownersoftheadjoiningpropertiesincommon.
Section1345.Whenahedge,orditchwhichisnotusedasadrain,belongstotheownersoftwo
adjoiningpiecesoflandincommon,eachoftheownersisentitledtocutdownthehedgeorfillup
theditchtotheboundarylineprovidedhebuildsawallorerectsafencealongtheboundaryline.
Section1346.Atreewhichstandsuponaboundarylineispresumedtobelongtotheownersofthe
adjoiningpiecesoflandincommon.Itsfruitsbelongtosuchownersinequalsharesaswellasthe
timberitselfifthetreeisfelled.
Eitherownermayrequiretheremovalofthetree,thecostofremovalbeingbornebythemequally.
However,theneighbourwhorequirestheremovalshallbearthecostaloneiftheotherwaiveshis
righttothetree.Removalmaynotberequiredifthetreeservesasaboundarymarkandcannotbe
replacedbyanyappropriateboundarymark.
Section1347.Theownerofapieceoflandmaycutoffandkeeprootsofatreeorbushwhichhave
penetratedfromtheadjoiningpieceofland.Hemayalsocutoffandkeepoverhangingbranches
aftergivingthepossessoroftheadjoiningpieceoflandreasonablenoticetoremovethem,such
noticenothavingbeencompliedwith.
Section1348.Fruitsfallingnaturallyuponadjoininglandarepresumedtobefruitsofsuchland.
Section1349.Ifapieceoflandissosurroundedbyotherpiecesoflandthatithasnoaccesstothe
publicways,theownermaypassoverthesurroundinglandtoreachapublicway.
Thesameapplies,ifpassagecanonlybehadoverapond,marsh,orsea,orifthereisasteepslope
withaconsiderabledifferenceoflevelbetweenthelandandthepublicway.
Theplaceandthemannerofthepassagemustbechosenastomeettheneedsoftheperson
entitledtopassageandatthesametimetocauseaslittledamageaspossibletothesurrounding
land.Thepersonentitledtopassagemay,ifnecessary,constructaroadforpassage.
Thepersonentitledtopassagemustpaycompensationforanydamagesufferedbythelandowner
onaccountofthepassagebeingestablished.Suchcompensation,exceptfordamagesarisingfrom
theconstructionofaroad,maybemadebyannualpayments
Section1350.Wherelandhasbeensopartitionedorpartiallytransferredthataplotisleftwithout
accesstoapublicway,theownerofsuchplotmayclaimrightofwayundertheforgoingsectiononly
overthelandwhichhasbeensopartitionedorpartiallytransferred.
Insuchcasenocompensationneedtobepaid
Section1351.Theownerofapieceoflandmay,afterreasonablenotice,makeuseofadjoiningland
sofarasnecessaryforthepurposeoferection,orrepairing,afence,wallorbuildingonornearhis
boundaryline,buthemaynotenterthedwellinghouseoraneigbourwithoutthelatter'sconsent.
Ifdamageiscaused,theneighbourmayclaimcompensation.
Section1352.Theownerofapieceoflandisbound,subjecttoreasonablecompensationbeingpaid
him,toallowthelayingthroughhislandofwaterpipes,drainagepipes,electricwiresorsimilar
installationsforuseoftheadjoininglandif,withourmakinguseofhislandtheycouldnotbelaidor
couldbelaidonlyatanexcessivecost;buthemayrequirethathisinterestbetakeninto
consideration.
Inexceptionalcaseswheretheinstallationsaretobeaboveground,hemayrequirethata
reasonableproportionofhisland,overwhichsuchinstallationsaretobelaid,shallbeboughtfrom
himatapricewhichwillcoverthevalueofthelandandcompensationforanydamagearisingfrom
sale.
Wherecircumstancesarechanged,hemayrequirethattheinstallationsberemovedtosuch
differentpartofhislandasmaybesuitabletohisinterests.
Thecostofremovalmustbebornebytheowneroftheadjoiningland.However,ifthespecial
circumstancesofthecasesorequire,theotherlandownermaybeheldliableforareasonable
proportionofthecost.
Section1353.Apersonmayleadhiscattleintoorthroughanotherperson'sunenclosedlandfor
grazingandwatering;hemayfetchwaterfromawellorpoundwithinsuchland;providedalways
thatitisnotaplantationandisnotpreparedforcultivation,sownorcoveredwithacrop.Theowner
mayhoweverforbidsuchaction.
Section1354.Apersonmay,ifpermittedbylocalcustom,enterawood,forestorpastureland
ownedbyanotherpersontocollectfuelorgatherwildfruits,vegetables,mushroomsandthelike,
providedthattheownerdoesnotprohibitit
Section1355.Theownerofapieceoflandalongorthroughwhichawaterwaypassesisnotentitled
todrawmorewaterthannecessaryforhisreasonableneedstotheprejudiceofanyotherpieceof
landonthewaterway.
(up)
CHAPTERIII
COOWNERSHIP
Section1356.Ifapropertybelongstoseveralpersonsincommontheprovisionsofthischapter
applyunlessotherwiseprovidedbylaw.
Section1357.Coownersarepresumedtohaveequalshares.
Section1358.Coownersarepresumedtohavetherighttomanagethepropertyincommon.
Mattersofordinarymanagementaredecidedbythemajorityofthecoowners.However,eachco
ownermaydoanactofordinarymanagementunlessthemajorityhasdecidedotherwise;but,in
anycasehemaydoactsofpreservation.
Allimportantmattersofmanagementmustbedecidedbyamajorityofcoownerswhomustalso
representatleasthalfofthevalueoftheproperty.
Achangeofobjectmaybedecidedupononlybytheconsentofallthecoowners.
Section1359.Eachcoownermayexercise,asagainstthirdpersons,anyrightarisingfromownership
inrespectofthewholeproperty,subjecthowever,incaseofaclaimfortherecoveryofthe
property,totheconditionsspecifiedinSection302ofthisCode.
Section1360.Eachcoownerisentitledtousethepropertyinsofarassuchuseisnotincompatible
withtherightsoftheothercoowners.
Section1361.Eachcoownermaydisposeof,mortgage,orcreateachargeon,hisshare.
Thepropertyitselfmaybedisposedof,pledged,mortgagedormadesubjecttoachargeonlywith
theconsentofallthecoowners.
However,ifacoownerhasdisposedof,pledged,mortgagedorcreatedachargeon,theproperty
withouttheconsentofalltheothercoowners,andhesubsequentlybecomesthesoleownerofit,
suchactshallbecomevalid.
Section1362.Eachcoownerisundertheobligationtotheothercoownerstobearinproportionto
hissharethecostsofmanagement,taxationandexpensesforthepreservationofthepropertyas
wellasforitscommonuse.
Section1363.Eachcoownerisentitledtodemandpartitionoftheproperty,unlessheisdebarred
fromdoingsobyajuristicactorinconsequenceofthepermanentcharacterofthepurposeofthe
coownership.
Therighttodemandpartitionmaynotbeexcludedbyajuristicactforaperiodexceedingtenyears
atatime.
Acoownermaynotdemandpartitionatanunreasonablemoment.
Section1364.Partitioniseffectedbyactuallydividingtheproperty,orbysellingitanddividingthe
proceedsofsale,betweenthecoowners.
Ifthecoownerscannotagreeastothemannerofeffectingpartition,theCourtmay,onthe
applicationofanyofthem,ordertheactualdivisionoftheproperty,andanyinequalitytheremay
beinthesharesallottedmayberectifiedbycompensationinmoney.Ifsuchdivisionisnotpossible
orislikelytocauseseriousloss,theCourtmayorderthesaleofthepropertybyprivateauction
amongthecoownersorbypublicauction.
Section1365.Ifthecoownersarejointlyliabletoathirdpersonforanobligationinrespectofthe
commonproperty,orforanotherobligationincurredforthepurposeoffulfillingsuchobligation,
eachmay,atthetimeofpartition,requirethatperformancebemadeoutofthecommonproperty
orsecuredtherefrom.
Ifacoownerisliabletoanothercoownerforanobligationarisingoutofcoownershiporfor
anotherobligationincurredforthepurposeoffulfillingsuchobligation,thelattermay,atthetimeof
partition,requirethatperformancebemadeoutoftheshareofthecommonpropertyallottedtohis
debtororsecuredtherefrom.
Theaboverightsmaybeexercisedagainstatransfereeofacoowner'sshareorasuccessortothe
same.
Ifsaleofthecommonpropertyisnecessary,theprovisionsoftheforegoingsectionshallapply.
Section1366.Eachcoownerhas,inproportiontohisshare,thesameliabilitiesasasellerinrespect
ofthepropertywhichtheothercoownershavereceivedunderthepartition.
(up)
Samuiforsale
TITLEIII
POSSESSION
Section1367.Apersonacquirespossessoryrightbyholdingapropertywiththeintentionofholding
itforhimself
Section1368.Apersnmayacquirepossessoryrightthroughanotherpersonholdingforhim.
Section1369.Apersonwhoholdsapropertyispresumedtoholditforhimself.
Section1370.Apossessorispresumedtopossessingoodfaith,peacefullyandopenly.
Section1371.Ifitisprovedthatapersonpossessedthesamepropertyattwodifferenttimes,itis
presumedthathispossessioncontinuedduringtheinterval.
Section1372.Itispresumedthatapossessorhas,inlaw,therightwhichheexercisesoverthe
propertypossessed.
Section1373.Wherepropertyisanimmovableenteredinthelandregistered,thepersonwhose
nameisontheregisterispresumedtohavepossessoryrightoverit.
Section1374.Whereapossessorisdisturbedinhispossessionbyunlawfulinterference,heis
entitledtohavethedisturbanceremoved.Iffurtherdisturbanceistobeapprehended,the
possessormayapplyforaninjunction.
Anactionforremovalofdisturbancemustneenteredwithinoneyearfromthetimeofthe
disturbance.
Section1375.Whereapossessorisunlawfullydeprivedofpossession,heisentitledtohaveit
returned,unlesstheotherpartyhasoverthepropertyabetterrightwhichwouldentitlehimto
claimitbackfromthepossessor.
Anactionforrecoveryofpossessionmustbeenteredwithinoneyearfromthetimeof
dispossession.
Section1376.Wherepropertyistobereturnedtothepersonentitledtorecoverit,theprovisionsof
Section412to418ofthisCodeconcerningUndueEnrichmentshallapplymutatismutandis.
Section1377.Possessioncomestoanendifthepossessorabandonstheintentiontopossessorno
longerholdstheproperty.
Possessiondoesnotcometoanendifthepossessorispreventedfromholdingthepropertyby
somecausewhichistemporaryinitsnature.
Section1378.Transferofpossessioniseffectedbydeliveryofthepropertypossessed.
Section1379.Wherepropertyisalreadyheldbythetransfereeorhisrepresentative,thetransferof
possessionmaybeeffectedbyadeclarationofintention.
Section1380.Transferofpossessioniseffectedwhenthetransferor,whilecontinuingtoholdthe
property,declaresanintentiontoholditthenceforwardonbehalfofthetransferee.
Ifthepropertyisheldbyhisrepresentative,thetransferofpossessionmaybeeffectedbythe
transferordirectingsuchrepresentativethenceforwardtoholdthepropertyonbehalfofthe
transferee.
Section1381.Whereapersonholdspropertyasrepresentativeofthepossessor,hemaychangethe
natureofhisholdingonlybyanoticetothepossessorthathenolongerintendstoholdtheproperty
forsuchpossessororbybecomingingoodfaith,throughtheactofathirdperson,possessorundera
newtitle.
Section1382.Whereapersonhas,foranuninterruptedperiodoftenyearsincaseofanimmovable,
orfiveyearsincaseofamovable,peacefullyandopenlypossessedapropertybelongingtoanother,
withtheintentiontobeitsowner,heacquirestheownershipofit.
Section1383.Theownershipofpropertyobtainedthroughanoffencemaybeacquiredbythe
offenderoratransfereeinbadfaithbyprescriptiononlyaftertheexpirationoftheperiodprovided
forprescriptionoftheoffenceoroftheperiodfixedbytheforegoingsectionwhicheverislonger.
Section1384.Possessionshallnotbedeemedinterruptedifthepossessorinvoluntarilylosesthe
holdingoftheproperty,andrecoversitwithinoneyearfromthedateofthelossorbymeansofan
actioninstitutedwiththattime.
Section1385.Wherepossessionistransferred,thetransfereemayaddtheperiodofthetransferor's
possessiontothatofhisown;inwhichcaseanydefectinthepossessionofthetransferormaybeset
upagainstthetransferee.
Section1386.TheprovisionsofthisCodeconcerningPrescriptionshallapplymutatismutandisto
acquisitiveprescriptiontothisTitle.
(up)
TITLEIV
SERVITUDE
Section1387.Animmovablepropertymaybesubjectedtoaservitudebyvirtueofwhichtheowner
ofsuchpropertyisbound,forthebenefitofanotherimmovableproperty,tosuffercertainact
affectinghispropertyortorefrainfromexercisingcertainrightsinherentinhisownership.
Section1388.Theownerofthedominantpropertyisnotentitledtomakeanychange,eitheronthe
servientoronthedominantproperty,whichincreasestheburdenoftheservientproperty.
Section1389.Changesintherequirementsoftheownerofthedominantpropertydonotentitle
himtoimposeanadditionalburdenontheservientproperty.
Section1390.Theowneroftheservientpropertymustrefrainfromanyactwhichwilltendto
diminishtheutilityoftheservitudeortomakeitlessconvenient.
Section1391.Theownerofthedominantpropertyisentitled,athisownexpense,todoallthatis
necessarytopreserveandmakeuseoftheservitude.Hemust,indoingso,causeaslittledamageas
possibletotheservientproperty.
Hemustathisownexpensekeeptheworkdoneinastateofgoodmaintenanceandrepair.
However,iftheowneroftheservientpropertybenefitsbythework,hemustbearashareofthe
expensesinproportiontothebenefitwhichhereceives.
Section1392.Whereservitudeaffectsonepartonlyoftheservientproperty,theownerofthat
propertymay,byshowingthatthechargewouldbeforhisbenefitandbyundertakingtobearthe
costofit,requirethattheservitudeberemovedtoanotherpartofhisproperty,providedthiswould
notbelessconvenienttotheownerofthedominantproperty.
Section1393.Unlessotherwiseprovidedintheactcreatingit,aservitudefollowsthedominant
propertywhenthelatterisdisposedoformadesubjecttootherrights.
Aservitudecannotbedisposedoformadesubjecttootherrightsapartfromthedominant
property.
Section1394.Incaseofadivisionofservientproperty,theservitudecontinuestobeaburdenon
eachpart.However,iftheservitudeisnot,andfromnatureofthecasecouldnotbe,exercisedover
anyparticularpart,theownerofsuchpartmaydemandtoberelievedfromit.
Section.1395.Incaseofadivisionofdominantpropertyproperty,theservitudecontinuestoexist
forthebenefitofeachpart.However,iftheservitudeisnot,andfromthenatureofthecasecould
notbe,exercisedforthebenefitofanyparticularpart,theowneroftheservientpropertymay
demandtoberelievedfromservitudewithrespecttosuchpart.
Section1396.Servitudesacquiredorexercisedbyineofthecoownersofthedominantpropertyis
deemedtohavebeenacquiredorexercisedbyallcoowners.
Section1397.Servitudeisextinguishedbythetotaldestructionoftheservientordominant
property.
Section1398.Ifservientanddominantpropertiesarevestedinoneandthesameowner,such
ownermayhavetheregistrationofservitudecancelled;untilsuchcancellationtheservitude
continuestoexistasregardstothirdpersons.
Section1399.Servitudeisextinguishedbynonusagefrotenyears.
Section1400.Servitudeisextinguishedifithasceasedtobenefitthedominanproperty;butit
revivesiftheconditionofthingsbecomessuchthattheservitudecanbeenjoyedagain,provided
thattheperiodofprescriptionspecifiedintheforegoingsectionhasnotelapsed.
Wheretheservitudeisstillofsomebenefittothedominantproperty,butthebenefitisoflittle
importanceascomparedwiththeburdenontheservientproperty,theowneroftheservient
propertymay,bypaymentofcompensation,obtainatotalorpartialrelieffromtheservitude.
Section1401.Servitudemaybeacquiredbyprescription,theprovisionsconcerningacquisitive
prescriptionasdescribedinTitleIIIofthisbookshallapplymutatismutandis.

TITLEV
HABITATION(arsai)
Section1402.Apersonwhohasbeengrantedarightofhabitation(arsai)inabuildingisentitledto
occupysuchbuildingasadwellingplacewithoutpayingrent.
Section1403.Arightofhabitationmaybecreatedeitherforaperiodoftimeorforthelifeofthe
grantee.
Ifnotimehasbeenfixed,suchrightmaybeterminatedatanytimebygivingreasonablenoticeto
thegrantee.
Ifitisgrantedforaperiodoftime,theperiodmaynotexceedthirtyyears;ifalongerperiodis
stipulated,itshallbereducedtothirtyyears.Thegrantmayberenewedforaperiodnotexceeding
thirtyyearsfromthetimeofrenewal.
Section1404.Therightofhabitationisnottransferableevenbywayofinheritance.
Section1405.Unlesstherightofhabitationisexpresslylimitedtobeforthebenefitofthegrantee
personally,themembersofhisfamilyandhishouseholdmaydwellwithhim.
Section1406.Unlessexpresslyforbiddenbythegrantor,thegranteemaytakesuchnaturalfruitsor
productsofthelandasarenecessaryfortheneedsofhishousehold.
Section1407.Thegrantorisnotboundtomaintainthepropertyinagoodstateofrepair.
Thegranteecannotclaimreimbursementofexpensesmadebyhimforimprovementstothe
property.
Section1408.Whentherightofhabitationcomestoanendthegranteemustreturnthepropertyto
thegrantor.
Section1409.TheprovisionsofthisCodeconcerningDutiesandLiabilitiesoftheHirer,asspecified
inSections552,555,558,562and563shallapplymutatismutandis.

Samuiforsale
TITLEVI
SUPERFICIES
Section1410.Theownerofapieceoflandmaycreatearightofsuperficiesinfavourofanother
personbygivinghimtherighttoown,uponorundertheland,buildings,structuresorplantations.
Section1411.Unlessotherwiseprovidedintheactcreatingit,therightofsuperficiesistransferable
andtransmissiblebywayofinheritance.
Section1412.Arightofsuperficiesmaybecreatedeitherforaperiodoftimeorforlifeoftheowner
ofthelandorthesuperficiary.
Ifitiscreatedforaperiodoftime,theprovisionsofSection1403paragraph3shallapplymutatis
mutandis.
Section1413.Ifnoperiodoftimehasbeenfixed,therightofsuperficiesmaybeterminatedatany
timebyanypartnergivingreasonablenoticetotheother.Butwhenrentistobepaid,eitherone
year'spreviousnoticemustbegivenorrentforoneyearpaid.
Section1414.Ifthesuperficiaryfailstocomplywithessentialconditionsspecifiedintheactcreating
superficiesor,whenrentistobepaid,hefailstopayitfortwoconsecutiveyears,hisrightof
superficiesmaybeterminated.
Section1415.Therightofsuperficiesisnotextinguishedbydestructionofthebuildings,structures
orplantationsevenifcausedbyforcemajeure.
Section1416.Whentherightofsuperficiesisextinguished,thesuperficiarymaytakeawayhis
buildings,structuresorplantations,providedherestoresthelandtoitsformercondition.
Ifinsteadofpermittingtheremovalofthebuildings,structuresorplantations,theowneroftheland
notifieshisintentiontobuytheatamarketvalue,thesuperficiarymaynotrefusetheofferexcept
onreasonableground.
Samuiforsale
TITLEVII
USUFRUCT
Section1417.Animmovablepropertymaybesubjectedtoausufructbyvirtueofwhichthe
usufructuaryisentitledtothepossession,useandenjoymentoftheproperty.
Hehastherightofmanagementoftheproperty.
Theusufructofaforest,mineorquarryentitlestheusufructuarytotheexploitationoftheforest,
mineorquarry.
Section1418.Ausufructmaybecreatedeitherforaperiodoftimeorforthelifeofthe
usufructuary.Ifnotimehasbeenfixed,itispresumedthattheusufructisforthelifeofthe
usufructuary.
Section1419.Ifpropertyisdestroyedwithoutcompensationbeingpaid,theownerisnotboundto
restoreit;but,ifhedoessotoanyextent,theusufructrevivestothatextent.
Ifanycompensationispaid,theownerortheusufructuarymustrestorethepropertysofarasitis
impossibletodoso,havingregardtotheamountofthecompensationreceived,andtheusufruct
revivestothatextent;but,ifrestorationisimpossible,theusufructcometoanendandthe
compensationmustbedividedbetweentheownerandtheusufructuaryinproportiontothe
damagessufferedbythemrespectively.
Thesamerulesapplymutatismutandisincaseofexpropriationaswellasincaseofpartial
destructionofthepropertyorofpartialimpossibilitytorestoretheproperty.
Section1420.Whenusufructcomestoanend,theusufructuarymustreturnthepropertytothe
owner.
Theusufructuaryisliableforthedestructionordepreciationinvalueoftheproperty,unlesshe
provesthatthedamagewasnotcausedbyhisfault.
Hemustreplaceanythingwhichhehaswrongfullyconsumed.
Heisnotboundtogivecompensationfordepreciationinvaluecausedbyreasonableuse.
Section1421.Theusufructuarymust,intheexerciseofhisrights,takeasmustcareoftheproperty
asapersonofordinaryprudencewouldtakeofhisownproperty.
Section1422.Unlessotherwiseprovidedintheactcreatingtheusufruct,theusufructuarymay
transfertheexerciseofhisrighttothethirdperson.Insuchcasetheownerofthepropertymaysue
thetransfereedirect.
Section1423.Theownermayobjecttoanyunlawfulorunreasonableuseoftheproperty.
Iftheownerprovesthathisrightsareinperil,hemaydemandsecurityfromtheusufructuary,
exceptinthecaseofdonorwhohasreservedtohimselftheusufructofthepropertygiven.
Iftheusufructuaryfailstogivesecuritywithinareasonabletimefixedforthepurpose,orif,inspite
oftheowner'sobjectionhecontinuestomakeuseofthepropertyunlawfullyorunreasonably,the
CourtmayappointaReceivertomanagethepropertyinhisstead.Uponsecuritybeinggiventhe
CourtmayreleasetheReceiversoappointed.
Section1424.Theusufructuaryisboundtokeepthesubstanceofthepropertyunaltered,andis
responsibleforordinarymaintenanceandprettyrepairs.
Ifimportantrepairsormeasuresarenecessaryforthepreservationoftheproperty,theusufructuary
mustforthwithinformtheownerthereofandpermitthemtobecarriedout.Incaseofdefaultby
theowner,theusufructuarymayhavetheworkcarriedoutattheowner'sexpense.
Section1425.Allextraordinaryexpensemustbebornebytheowner,butinordertomeettheseor
expensescomingundertheforegoingsectionhemayrealizepartofthepropertyunlessthe
usufructuaryiswillingtoadvancethenecessaryfundswithoutcharginginterest.
Section1426.Theusufructuaryshall,forthedurationoftheusufruct,bearexpensesforthe
managementoftheproperty,paytaxesandduties,andberesponsibleforinterestspayableon
debtschargeduponit.
Section1427.Ifrequiredbytheowner,theusufructuaryisboundtoensurethepropertyagainstloss
forthebenefitoftheowner;andifthepropertyisalreadyinsuresheisboundtorenewsuch
insurancewhendueHemustpaythepremiumsoftheinsuranceforthedurationofhisusufruct.
Section1428.Noactionbytheowneragainsttheusufructuaryorhistransfereeinconnectionwith
theusufructorviceversamaybeenteredlaterthanoneyearaftertheusufructcomestoanend.
Butinanactionbytheownerwhocouldnothaveknownoftheendoftheusufruct,theprescription
ofoneyearshallrunfromthetimewhenhekneworoughttohaveknownofit.
TITLEVIII
CHARGEONIMMOVABLEPROPERTY
Section1429.Animmovablepropertymaybesubjecttoachargeentitlingthebeneficiarytoa
periodicalperformanceoutofsuchpropertyortoaspecifieduseandenjoymentthereof.
Section1430.Achargeonimmovablepropertymaybecreatedeitherforaperiodoftimeorforthe
lifeofthebeneficiary.
Ifnotimehasbeenfixed,itispresumedthatthechargeisforthelifeofthebeneficiary.
Ifitiscreatedforaperiodoftime,theprovisionsofSection1403paragraph3shallapplymutatis
mutandis.
Section1431.Unlessotherwiseprovidedintheactcreatingit,achargeonimmovablepropertyis
nottransferableevenbywayofinheritance.
Section1432.Ifthebeneficiaryfailstocomplywithanyessentialconditionspecifiedintheact
creatingthecharge,hishisrightmaybeterminated.
Section1433.Iftheownerofthepropertydoesnotperformhisobligationsunderthecharge,the
beneficiarymay,inadditiontotheremediesfornonperformance,applytotheCourttoappointa
Receivertomanagethepropertyandperformtheobligationsfortheowner,orordertheproperty
tobesoldbyauctionandthebeneficiarybepaidoutoftheownertogetherwiththevalueofthe
charge.
TheCourtmay,uponsecuritybeinggivenbytheowner,refusetomakeanorderforthe
appointmentofareceiverorforanauction,orreleaseaReceiveralreadyappointed.
Section1434.Sections1388to1395and1397to1400shallapplymutatismutandistothechargeon
immovableproperty.
(up)
TITLEI
MARRIAGE
CHAPTERI
BETROTHAL
Section1435.Abetrothalcanbeeffectedonlywhenthemanandthewomenhavecompletedthere
seventeenthyearofage.
Thebetrothalcontrarytotheprovisionofparagraphoneisvoid.
Section1436.Ifaminorwillconcludeabetrothal,theconsentofthefollowingpersonsisrequired:
(1)hisorherparents,incaseboothofhisherfatherandmotherarestillalive;
(2)hisorherparent,incasehisorherfatherormotherdied,orisinconditionofstateofbeing
unabletogiveconsent,orisunderthecircumstancesthatmaketheminorunabletoaskforsuch
consent;
(3)hisorheradopter,incasetheminorisandadoptedchild
(4)
hisorherguardian,incasethereisnopersongivingconsentunder(1),(2)and(3),orsuch
personisdeprivedofparentialpower.
Abetrothalconcludedbytheminorwithoutthesaidconsentisvoidable.
Section1437.BetrothalisnotvaliduntilthemangivesortransfersthepropertywhichisKhongman
tothewomanasevidencethatthewomanafterthebetrothalhastakenplace.
TheKhongmanshallbecomethepropertyofthewomanafterthebetrothalhastakenplace.
Sinsodispropertygivenonthepartofthemantotheparents,adopterofguardianofthewoman,as
thecasemaybe,inreturnofthewomanagreeingtomarry.Ifthemarriagedoesnottakeplace
causingmainlyfromthewomanoronaccountofanycircumstancesthatmakethewoman
responsiblethereforeandmakethemarriageunsuitableforthemanormakethemanunableto
marrythatwoman,themanmayclaimthereturnoftheSinsod.
TheprovisionsofSection412toSection418ofthisCodeonundueenrichmentshallapplytothe
returnoftheKhongmanorSinsodunderthisChapter,mutatismutandis.
Section1438Betrothaldoesnotgiverisetoanactionforcompulsoryperformanceofthemarriage.
Anagreementtopayapenaltyincaseofbreachofthebetrothalagreementisvoid.
Section1439.Afterthebetrothalhastakenplaceifeitherpartycommitsabreachofthebetrothal
agreement,suchpartyshallbeliabletomakecompensation.Incasethewomancommitsabreach
ofthebetrothalagreement,theKhongmanshallalsobereturnedtotheman.
Section1440.Compensationmaybeclaimedasfollows:
(1)forinjurycausedtothebodyorreputationofthemanorwoman;
(2)forappropriateexpensesordebtincurredingoodfaithbythebetrothed,hisorherparentsora
personactinginthecapacityofhisorherparentsinpreparationforthemarriage;
(3)fordamagesufferedbythemanorwomanthroughhavingtakeappropriatemeasuresaffecting
hisorherpropertyorotheraffairsrelatingtohisorheroccupationorearninginexpectationof
themarriage.
Incasewherethewomanisentitledtothecompensation,theCourtmaydecidethattheKhongman
whichhasbecomeherpropertyisthewholeorapartofcompensationshewillreceive,ortheCourt
mayorderforpaymentofthecompensationwithoutregardtoKhongmanthathasbecomeproperty
ofthewoman.
Section1441.Whereoneofthebetrothaldiesbeforethemarriage,thereshallbenoclaimfor
compensation.AsfortheKhongmanorSinsod,itneednotbereturnedbythewomanoronthepart
ofthewoman,irrespectiveifthedeathofeitherparty.
Section1442.Incasewherethereisanessentialeventhappeningtothebetrothedwomanthat
makethemarriagetothewomanunsuitable,themanisentitledtorenouncethebetrothal
agreementandthewomanshallreturntheKhongmantotheman.
Section1443.Incasewherethereisanessentialeventhappeningtothebetrothedmanthatmakes
marriagetothemanunsuitable,thewomanisentitledtorenouncethebetrothalagreementandthe
Khongmanneednottobereturnedtotheman.
Section1444.Ifthegroundthatmakestheonebetrothedrenouncethebetrothalagreementinthe
grossmisconductiftheothertakenplaceaftertheconclusionofbetrothal,thebetrothedwhohad
committedthegrossmisconductshallbeliabletomakecompensationtotheotherwhohas
exercisedhisorherrighttorenouncethebetrothalagreementasiftheformerhadcommitteda
breachofthebetrothalagreement.
Section1445.Amanwhoisbetrothedtoawomanmay,afterthebetrothalagreementhavingbeen
renouncedundertheSection1442,claimcompensationfromanymanwhohassexualintercourse
withthewomanandhasknownorshouldhaveknownofherbetrothal.
Section1446.Amanwhoisbetrothedmay,withoutrequiringhimtorenouncethebetrothal
agreement,claimcompensationfromanymanwhohashadsexualintercourseorattemptedtohave
sexualintercoursewiththewomanagainstherwill,andthefactthatthewomanhadbeen
betrothedhasbeenknownoroughttohaveknowntohim.
Section1447.TheCourtshalldeterminethecompensationclaimedunderthisChapteraccordingto
thecircumstances.
TheclaimunderthisChapter,excepttooneinSection1440(2),cannotbetransferredorinherited
unlesssuchclaimhasbeenacknowledgedinwritingortheactionforcompensationhasbeen
enteredbytheinjuredperson.
Section1447/1.TheprescriptionfortheclaimforcompensationunderSection1439shallbesix
monthsfromthedateofthebreachofthebetrothalagreement.
TheprescriptionfortheclaimforcompensationunderSection1444shallbesixmonthsfromtheday
whenthecommissionofgrossmisconductwhichisthecauseofrenunciationofthebetrothal
agreementisknownorshouldhaveknowntotheotherbetrothed,butnolaterthanfiveyearsfrom
thedateofthesaidcommission.
TheprescriptionfortheclaimforcompensationunderSection1445andSection1446shallbesix
monthsfromthedaywhenthebetrothedmanknowsorshouldhaveknownthecommissionofany
othermanwhichisthecauseoftheclaimandthepersonboundtomakethecompensationis
known,butnotlaterthanfiveyearsfromthedateofsuchcommission.
Section1447/2.TheprescriptionfortheclaimforreturnoftheKhongmanundersection1439shall
besixmonthsfromthedateofthebreachofthebetrothalagreement.
TheprescriptionforthereturnoftheKhongmanunderSection1442shallbesixmonthsfrothedate
ofdenunciationofthebetrothalagreement.
CHAPTERII
CONDITIONSOFMARRIAGE
Section1448.Amarriagecantakeplaceonlywhenthemanandwomanhavecompletedtheir
seventeenthyearofage.ButtheCourtmay,incaseofhavingappropriatereason,allowthemto
marrybeforeattainingsuchage.

Section1449.Amarriagecannottakeplaceifeitherthemanorthewomanisaninsanepersonor
adjudgedincompetent.

Section1450.Amarriageconnottakeplaceifthemanandwomanarebloodrelationsinthedirect
ascendantordescendantline,orbrotherorsisteroffullorhalfblood.Thesaidrelationshipshallbe
inaccordancewithbloodrelationwithoutregardtoitslegitimacy.

Section1451.Anadoptercannotmarrytheadopted.

Section1452.Amarriagecannottakeplaceifthemanorwomanisalreadythespouseofanother
person.

Section1453.Incaseofthewomanwhosehusbanddiedorwhosemarriagehasbecome
terminated,themarriagecanonlytakeplaceifnotlessthanthreehundredandtendayshave
elapsedsincetheterminationofherpreviousmarriage;unless
(1)achildhasbeenbornduringsuchperiod;
(2)thedivorcedcoupleremarry;
(3)
thereisacertificateissuedbyaqualifieddoctorwhoisalawfulphysicalpractitionerinmedicine
showingthatthewomanisnotpregnant;
(4)thereisanorderoftheCourtallowingthewomantomarry.
Section1454.Incaseofmarriageofaminor,theprovisionsofSection1436shallapplymutatis
mutandis.

Section1455.Givingconsenttothemarriagemaybemade:
(1)
byaffixingsignatureofthepersongivingconsentintheRegisteratthetimeofregistrationofthe
marriage;
(2)
byaconsentdocumentstatingthenamesofthepartiestothemarriageandsignedbythe
persongivingconsent;
(3)byverbaldeclarationbeforeatleasttwowitnessesincaseofnecessity.
Theconsenthavingbeengivencannotberevoked.

Section1456.IncasewherethereisnopersonhavingthepowertogiveconsentunderSection
1454,orifthepersonrefusestogiveconsentorisinthepositionofbeingunabletogiveconsent,or
theminorcannot,insuchcircumstances,askfortheconsent,theminormayfileanapplicationwith
theCourtforgivingconsenttothemarriage.

Section1457.MarriageunderthisCodeshallbeeffectedonlyonregistrationbeingmade.

Section1458.Amarriagecantakeplaceonlyifthemanandwomanagreetotakeeachotheras
husbandandwife,andsuchagreementmustbedeclaredpubliclybeforetheRegistrarinorderto
haveitrecordedbytheRegistrar.

Section1459.AmarriageinforeigncountrybetweenThaipeopleorbetweenaThaipeopleanda
foreignermaybeeffectedaccordingtotheformprescribedbyThailaworbythelawofthecountry
whereittakesplace.
IfthespousesdesiretohavethemarriageregisteredaccordingtoThailaw,theregistrationshallbe
effectedbyaThaiDiplomaticorConsularOfficer.

Section1460.Incasewherethereexistsspecialcircumstancesthatmakethemarriageregistration
bytheRegistrarunablebecauseeitherorbothofthemanandwomanwereinimminentdangerof
deathorinthestateofarmedconflictorwar,ifadeclarationofintentiontomarryhasbeenmade
bythemanandwomanbeforeapersonofsuijurislivingthere,whowouldhavenoteddownasan
evidencesuchintention,andiftheregistrationofmarriagebetweenthemanandwomanwas
effectedthereafternotlaterthanninetydaysasfromthedateoffirstpossibleopportunitytoapply
forregistrationofmarriagewithproductionoftheevidenceoftheintentioninordertohavethe
dateandplaceofdeclarationofintentiontomarryandthespecialcircumstancesrecordedbythe
RegistrarintheMarriageRegister,thedayonwhichdeclarationofintentiontomarryhasbeen
madetothesaidpersonshallbedeemedasthedateofregistrationofmarriage.
TheprovisionsofthisSectionshallnotapplytothemarriagethatisvoidifitshouldtakeplaceonthe
dateofdeclarationofintention.
CHAPTERIII
RELATIONSHIPOFHUSBANDANDWIFE
Section1461.Husbandandwifeshallcohabitashusbandandwife.
Husbandandwifeshallmaintainandsupporteachotheraccordingtohisorherabilityandcondition
inlife.

Section1462.Wherethephysicalormentalhealthorhappinessofeitherspouseisgreatlyimperiled
bycontinuanceofcohabitation,thespousesoimperiledmayapplytotheCourtforauthorizationto
liveapartwhilethedangerpersists;andinsuchcase,theCourtmayordersuchamountof
maintenancetobefurnishedbyoneofthespousestotheotherasmaybeproperaccordingtothe
circumstances.

Section1463.Ifoneofthespousesisadjudgedincompetentorquasiincompetent,theother
becomesguardianorcuratorbyoperationoflaw.Butonapplicationofanyinterestedpersonorof
PublicProsecutor,theCourtmayonsubstantialgrounds,appointanotherpersonasguardianor
curator.

Section1464.Ifoneofthespousebecomesinsane,irrespectiveofwhetherheorshehasbeen
adjudgedincompetentornot,andtheotherfailstogivepropermaintenancetotheinsanespouse
underSection1461paragraphtwo,doesorfailstodoanythingtotheextentthatitplungesthe
insawspouseintothepositionwhichislikelyendangeringthelatter'sbodyormind,orcausingany
unduelosstothelatter'sproperty,thepersonsasspecifiedinSection28ortheguardianmayenter
anactionagainsttheotherclaimingmaintenancefortheinsanespouse,orapplyforanyorderofthe
Courttoprotecttheinsanespouse.
If,incaseofenteringtheactionformaintenanceunderparagraphone,noorderhasyetbeengiven
toeffecttheinsanespousetobecomeincapacitatedperson,anapplicationshallbemade10the
Courtinthesamecaseforanordereffectingsuchinsanespousetobeanincapacitatedpersonand
toappointtheapplicanthimselforherselfastheguardian.Ifsuchordereffectingtheincapacitated
personontheinsanespousehasbeengiven,anapplicationforremovaloftheoldguardianand
appointmentofanewonemaybemade.

InapplyingforanyorderoftheCourtforprotectingtheinsanespousewithoutclaiming
maintenance,theapplicantmaynotrequesttheCourttoordereffectingtheinsanespousetobean
incapacitatedpersonortochangetheguardian.Ifthemeasuresforprotectionasrequested,inthe
opinionoftheCourt,requiresanappointmentorchangeoftheguardian,theCourtshallfirstlygive
anordereffectingthecarryingoutofthesimilaractivitiesasprovidedinparagraphtwo,andthen
giveaprotectionorderasitisdeemedsuitable.
Section1464/1DuringtheCourttrialunderSection1464,theCourtmay,uponrequest,determine
anytemporarymeasuresconcerningthemaintenanceorprotectionoftheinsanespouseasitis
deemedsuitable.Ifitisacaseofemergency,theprovisionsontherequestincaseofemergency
undertheCivilProcedureCodeshallapply.
(up)
CHAPTERIV
PROPERTYOFHUSBANDANDWIFE
Section1465.Wherethehusbandandwifehavenot,previoustotheirmarriage,concludedaspecial
agreementconcerningtheirproperties,therelationsbetweenthemasregardstotheirproperties
shallbegovernedbytheprovisionsofthisChapter.
Anyclauseintheantinuptial(alsocalledprenuptial)agreementcontrarytopublicorderorgood
morals,orprovidedthattherelationsbetweenthemasregardssuchpropertiesaretobegoverned
byforeignlawshallbevoid.
Section1466.TheantenuptialagreementisvoidifnotenteredintheMarriageRegisteratthetime
ofmarriageregistrationtermsoftheantenuptial;orifnotmadeinwritingandsignedbyboth
spousesandbyatleasttwowitnessesandenteredintheMarriageRegisteratthetimeofmarriage
registrationstatingthattheantenuptialistheretoannexed.
Section1467.Aftermarriagetheantenuptialagreementcannotbealteredexceptbyauthorization
oftheCourt.
WhenthereisfinalorderoftheCourttoeffectthealterationofcancellationoftheantenuptial
agreement,theCourtshallnotifytheMarriageRegistrarofthematterinordertohaveitenteredin
theMarriageRegister.
Section1468.Clausesintheanteprenuptialagreementshallhavenoeffectasregardstherightsof
thirdpersonsactingingoodfaithirrespectiveofwhethertheybealteredorcancelledbytheorder
oftheCourt.
Section1469.Anyagreementconcludedbetweenhusbandandwifeduringmarriagemaybe
avoidedbyeitherofthematanytimeduringmarriageorwithinoneyearfromthedayofdissolution
ofmarriage;providedthattherightofthirdpersonsactingingoodfaitharenotaffectedthereby.
Section1470.PropertiesofhusbandandwifeexceptinsofarastheyaresetasideasSinSuanTua,
areSinSomros.
Section1471.SinSuanTuaconsistsof:
(1)propertybelongingtoeitherspousebeforemarriage
(2)propertyforpersonaluse,dressorornamentsuitableforstationinlife,ortoolsnecessaryfor
carryingontheprofessionofeitherspouse
(3)propertyacquiredbyeitherspouseduringmarriagethroughawillorgift
(4)Khongman.
Section1472.AsregardstoSinSuanTua,ifithasbeenexchangedtootherproperty,otherproperty
hasbeenboughtormoneyhasbeenacquiredfromsellingit,suchotherpropertyormoneyacquired
shallbeSinSuanTua.
WheretheSinSuanTuahasbeentotallyorpartlydestroyedbutreplacedbyotherpropertyorthe
money,suchotherpropertyshallbeSinSuanTua.
Section1473.EachspouseismanagerofhisorherSinSuanTua.
Section1474.SinSomrosconsistsof:
(1)propertyacquiredduringmarriage;
(2)
propertyacquiredbyeitherspouseduringmarriagethroughawillofgiftmadeinwritingifitis
declaredbysuchwillordocumentofgifttobeSinSomros;
(3)fruitsofSinSuanTua.

IncaseofdoubtastowhetherapropertyinSinSomrosornotshallbepresumedtobeSinSomros.
Section1475.WhereanySinSomrosispropertyofthekindmentionedinSection456ofthisCodeor
hasdocumentarytitle,eitherhusbandorwifemayapplyforhavinghisorhernameenteredinthe
documentsascoowners.
Section1476.InmanagingtheSinSomrosinthefollowingcases,thehusbandandwifehavetobe
jointmanager,oronespousehastoobtainconsentfromtheother:
(1)Selling,exchanging,salewiththerightofredemption,lettingoutpropertyonhirepurchase,
mortgaging,releasingmortgagetomortgagorortransferringtherightofmortgageon
immovablepropertyoronmortgageablemovableproperty.
(2)
Creatingordistinguishingthewholeorapartoftheservitude,rightofinhabitation,rightof
superficies,usufructorchargeonimmovableproperty.
(3)Lettingimmovablepropertyformorethanthreeyears.
(4)Lendingmoney
(5)
Makingagiftunlessitisagiftforcharitable,socialormoralpurposesandisauitabletothefamily
condition.
(6)Makingacompromise.
(7)Submittingadisputetoarbitration.
(8)PuttingupthepropertyasguaranteeorsecuritywithacompetentofficialortheCourt.

ThemanagementoftheSinSomrosinanycaseotherthanthoseprovidedinparagraphonecanbe
madeonlybyonespousewithouthavingtoobtainconsentfromtheother.
Section1476/1.ThehusbandandwifecanmanagetheSinSomros,differently,inwholeorinpart,
fromprovisionsofSection1476,providedthattheantenuptialagreementunderSection1465and
Section1466hasbeenmade.Insuchcase,themanagementoftheSinSomrosshallbemadein
accordancewiththeantenuptialagreement.
IncasethespecificationsofthemanagementoftheSinSomrosinheantenuptialagreementare
onlypartindifferencetotheprovisionsofSection1476,themanagementoftheSinSomrosother
thanthosespecifiedintheantenuptialcontractshallbemadeinaccordancewithSection1476.
Section1477.Eitherspouseisentitledtolitigate,defend,takelegalproceedingsconcerning
maintenanceoftheSinSomrosorforthebenefitoftheSinSomros.Debtsincurredbythesaid
litigation,defenseandlegalproceedingsshallberegardedastheobligationtobeperformedjointly
bythespouses.
Section1478.Whereonespousehastogiveconsentortoaffixasignaturetogetherwiththeother
inthemanagementoftheproperty,butunreasonablyrefusestogivesuchconsentortoaffixsuch
signature,orisnotinapositiontogivesuchconsent,thelattermayapplytotheCourtforanorder
grantingthenecessarypermission.
Section1479.Whereanactbyeitherspouserequirestheconsentoftheotherspouse,andifsuch
actisrequiredbylawtobemadeinwritingorregisteredbythecompetentofficial,suchconsent
mustbegiveninwriting.
Section1480.InthemanagementoftheSinSomroswhichhastobemadejointlyorhastoobtain
theconsentfromtheotherspouseunderSection1476,ifeitherspousehasenteredintoanyjuristic
actaloneorwithoutconsentoftheother,thelattermayapplyinCourtforrevokingsuchjuristicact
,unlessithasbeenratifiedbytheotherspouse,orthethirdpersonwasatthetimeofenteringinto
suchjuristicact,actingingoodfaithandmakethecounterpayment.
ThelitigationforrevocationofthejuristicactbytheCourtunderparagraphonecannotbemade
laterthanoneyearfromthedaywhensuchcauseasbeingthegroundfortherevocationisknown,
orlaterthantenyearssincethejuristicactwasdone.
Section1481.NeitherspouseisentitledtodisposeoftheSinSomrosbywillinfavouroftheother
personstoanextentexceedinghisorherownportionthereof.
Section1482.IncaseeitherspouseisthesolemanageroftheSinSomros,theotherspouseis
neverthelessentitledtomanagehouseholdaffairsorprovideforthenecessariesofthefamily,and
theexpensesthereforewouldbindtheSinSomrosandSinSuanTuaofbothparties.
Ifsuchmanagementofhouseholdaffairsorprovisionforthenecessariesofthefamilybythe
husbandorwiferesultsintheundueloss,theotherspousemayapplytotheCourttoforbidorlimit
hisorherpower.
Section1483.IncaseeitherspouseisthesolemanageroftheSinSomros,ifthemanagerisgoingto
commitoriscommittinganyactinthemanagementoftheSinSomroswhichwouldappeartoresult
inundueloss,theotherspousemayapplytotheCourtforanorderforbiddingcommissionofsuch
act.
Section1484.IfeitherspousewhoisthemanagerofSinSomros:
(1) causesunduelosstoit;
(2) failstosupporttheotherspouse;
(3) becomesinsolventorincursdebtstoanamountexceedingonehalfoftheSinSomros;
(4) hindersthemanagementofSinSomrosbytheotherspousewithoutreasonableground;
(5) isfoundtohavecircumstancesthatwillruintheSinSomros;
theotherspousemayapplytotheCourtforanorderauthorizinghimorhertobethesolemanager
ordividingtheSinSomros.
Incasethereisanapplicationismadeunderparagraphone,theCourtmaydeterminetemporary
protectivemeasuresinthemanagementoftheSinSomros.Ifthatisthecaseofemergency,the
provisionsontherequestincaseofemergencyundertheCivilProcedureCodeshallapply.
Section1484/1.IncasewherehasbeenanorderoftheCourtforbiddingorlimitingthepowerof
eitherspousetomanagetheSinSomros,ifthecausewhichwasthegroundfortheCourtorderor
thecircumstanceshavelaterchanged,eitherspousemayapplytotheCourtrevocationorchangeof
theorderforbiddingorlimitingthepowertomanagetheSinSomros.TheCourtinthiseffectmay
giveanyorderwhichisdeemedsuitable.
Section1485.ThehusbandorwifemayapplytotheCourtforauthorizinghimorhertobethe
managerofanyparticularSinSomrosorparticipateinthemanagement,ifsuchmanagementor
participationwillbringaboutmorebenefit.
Section1486.WhentheCourthaspronouncedafinaljudgmentorgivenanorderunderSection
1482paragraphtwo,Section1483,Section1484,Section1484/1orSection1485infavourofthe
applicant,orSection1491,Section1492/2orSection1598/17,orthehusbandandwifehasbeen
relievedofbecomingbankrupt,theCourtshallnotifythemarriageRegistrarofthematterinorder
tohaveitenteredintheMarriageRegsitrar.
Section1487.Nospousecanseizeattachanypropertyoftheotherduringthemarriage,exceptthe
seizureorattachmentmadeinthecasewhichhasenteredforthepurposeofexercisinghisorher
dutyorformaintainingrightsbetweenhusbandandwifeasspeciallyprovidedinthisCodeoras
speciallyprovidedbythisCodeallowingonespousetosuetheother,orforallowanceduefor
maintenanceandcostunderthejudgmentoftheCourt.
Section1488.Whereeitherspouseispersonallyliabletoperformanobligationincurredbeforeor
duringmarriage,suchperformanceshallbefirstmadeoutofhisorherSinSuanTua;ifthe
obligationisnotperformedinfull,itshallbesatisfiedoutofhisorherportionoftheSinSomros.
Section1489.Wherebothspousesarecommondebtors,theperformanceshallbemadeoutofthe
SinSomrosandtheSinSuanTuaofbothspouses.
Section1490.Debtsthatbothspousesarejointlyliabletoperform,shallincludethefollowingdebts
incurredbyeitherspouseduringmarriage:
(1)
debtsincurredinconnectionwithmanagementofhouseholdaffairsandprovidingforthe
necessariesofthefamily,ormaintenance,medicalexpensesofthehouseholdandforproper
educationofthechildren;
(2)debtsincurredinconnectionwiththeSinSomros;
(3)debtsincurredinconnectionwithabusinesscarriedonbythespousesincommon;
(4)debtsincurredbyeitherspouseonlyforhisorherownbenefitbutratifiedbytheother.
Section1491.Ifeitherspouseisadjudgedbankrupt,theSinSomrosisdividedbyoperationoflawas
fromthedateofadjudication.
Section1492.AftertheSinSomroshasbeendividedunderSection1484paragraphtwo,Section
1491orSection1598/17paragraphtwo,theportionsodividedbecomesSinSuanTuaofeach
spouse.AnypropertyobtainedafterthedivisionbyeitherspouseshallbeSinSuanTuaofthat
spouseandnotberegardedasSinSomros.Andthepropertyacquiredthereafterbythespouse
throughawillorgiftmadeinwritingunderSection1474(2)shallbecomeSinSuanTuaofthe
husbandandwifeequally.
FruitsoftheSinSuanTuaaccruedafterthedivisionoftheSinSomrosshallbeSinSuanTua.
Section1492/1.IncasethedivisionoftheSinSomrosismadebytheorderoftheCourt,the
revocationofthedivisionshallbemadeupontherequestofeitherspouseandtheCourthasgiven
theordertothateffect.Ifeitherspouseraisesanobjectiontosuchrequest,theCourtcannotgive
anorderfortherevocationofthedivisionoftheSinSomrosunlessthecausefordivisionoftheSin
Somroshasceasedtoexist.
AfterthedivisionoftheSinSomrosunderparagraphonehavingbeenrevoked,orsuspendeddueto
thehusbandorwifehavingbeenrelievedfrombeingbankrupt,thepropertywhichistheSinSuan
TuaonthedateoftheorderoftheCourt,oronthedateofhisorherrelievingfrombeingbankrupt
shallremainthesameasSinSuanTua.
Section1493.IncasewheretheSinSomroshasbeendisposedof,bothspousesareliabletopayfor
thehouseholdexpensesinproportiontotheamountoftheirrespectionSinSuanTua.
(up)
CHAPTERV
VOIDOFMARRIAGE
Section1494.ThemarriagewillbevoidonlyasprovidedinthisChapter.
Section1495.ThemarriagewhichismadeagainstSection1449,Section1450,Section1452and
Section1458shallbevoid.
Section1496.ItisonlyajudgmentoftheCourtthateffectsthevoidofthemarriagewhichismade
againstSection1449,Section1450andSection1458.
Thespouses,parentsordescendantsofthespousemayapplyforajudgmentoftheCourteffecting
thevoidofthemarriage.Ifthereisnoneofthesaidpersons,anyinterestedpersonmayrequestthe
PublicProsecutortoapplytotheCourtforsuchjudgment.
Section1497.AnyinterestedpersonmayallegeorapplyforajudgmentoftheCourteffectingthat
themarriagemadeagainstSection1452isvoid.
Section1497/1.IncasethereisafinaljudgmentoftheCourteffectingthevoidofanymarriage,the
CourtshallnotifytheMarriageRegistrarofthematterinordertohaveitenteredintheMarriage
Register.
Section1498.Thevoidofmarriagewillnotcreatepropertyrelationbetweenhusbandandwife.
Incaseofmarriagehasbeenadjudgedvoid,thepropertypossessedoracquiredbyeitherparty
beforeorafterthemarriageaswellasthefruitsthereofremainasthatparty'sproperty.Asforthe
propertyjointlyearned,theyshalldividedequallyunlesstheCourtdeemsitproperandorder
otherwisebytakingintoconsiderationtheobligationinthefamilyandearningsofbothpartiesas
wellastheirstationinlife,includingallothercircumstances.
Section1499.ThemarriageadjudgedvoidasbeingagainstSection1449,Section1450orSection
1458shallnotprejudicetherightacquiredthroughsuchmarriagebeforepronouncingthefinal
judgmenteffectingthevoidofthemarriagebythepartywhohasmarriedingoodfaith.
ThemarriageadjudgedvoidasbeingagainstSection1452shallnotprejudicetherightacquired
throughsuchmarriagebeforethecausethatthemakerthemarriagevoidisknowntothemanor
woman.Butthesaidmarriageshallnotmakeonespousebecomestatutoryheiroftheotherand
havetherightofinheritancetotheotherspouse.
IncaseofthemarriageadjudgedvoidasbeingagainstSection1449,Section1450,Section1458or
Section1452,ifonepartyonlyactedingoodfaith,suchpartymayclaimcompensation.However,if
suchmarriagemakesthepartyingoodfaithbecomedestitutederivinginsufficientincomeoutofhis
orherpropertyorbusinesswhichusedtobecarriedonbeforepronouncingthefinaljudgmentto
effectthevoidofthemarriage,orbeforethevoidofhisorhermarriagebecomingknown,asthe
casemaybe,thatpartycanalsoclaimlivingallowance,andtheprovisionsofSection1526paragraph
oneandSection1528shallapplytotheclaimforlivingallowancesinthiscase,mutatismutandis.
Theprescriptionforclaimingcompensationorlivingallowancesunderparagraphthreeshallbetwo
yearsfromthedateofpronouncingthefinaljudgmenttoeffectthevoidofthemarriageincaseof
themarriagemadeagainstSection1449,Section1450orSection1448,orfromthedaywhenthe
voidofhisorhermarriagebecomingknowninthecaseofthemarriagemadeagainstSection1452.
Section1499/1.Incaseofthemarriageadjudgedvoid,theagreementbetweenthespousesasto
whichpartytoexercisetheparentalpoweroveranychild,oreitherpartyorbothofthemtobe
responsiblefortheamountofcontributionofthemaintenanceofthechildshallbemadeinwriting.
Iftheagreementcannotbereached,theCourtshallmakedecisiononthematter.Inmakingsuch
decision,ifthearegroundsfordeprivingthatspouseofparentalpowerunderSection1582,the
Courtmaygiveanorderdeprivingthatspouseofthesameandappointathirdpersonasaguardian
bytakingintoconsiderationthehappinessandinterestofthechild,andtheprovisionsofSection
1521shallapply,mutatismutandis.
Section1500.Themarriageadjudgedisvoidshallnotprejudicetherightsacquiredbythirdperson
actingingoodfaithbeforeenteringthevoidofthemarriageintotheMarriageRegisterunder
Section1497/1.
CHAPTERVI
TERMINATIONOFMARRIAGE
Section1501.Marriageisterminatedbydeath,divorceorbeingcancelledbytheCourt.
Section1502.AvoidablemarriageterminatesuponcancellationdecidedbyjudgmentoftheCourt.
Section1503.AnapplicationtotheCourtforcancellationofmarriageonthegroundofitsavoidable
shallbemadeonlyinthecasewherethespouseshavenotcompliedwithSection1448,Section
1505,Section1506,Section1507,andSection1509.
Section1504.Aninterestedpersonotherthantheparentsorguardianwhohavegiventheirconsent
tothemarriageisentitledtoapplyforcancellationofthemarriageonthegroundofitsvoidability.
Ifthecourthasnotcancelledthemarriageuntilbothmanandwomanhavecompletedtheage
requiredunderSection1448orifthewomanhasbecomepregnantbeforesuchcompletion,the
marriageshallbedeemedtobevalidfromthetimeitwasmade.
Section1505.Amarriagewhichismadeonaccountofmistakeastotheidentityoftheotherspouse
shallbedeemedtobevoidable.
Therighttoapplyforcancellationofthemarriageonaccountofmistakeastotheidentityofthe
spouseshallbeterminatedafterthelapseofninetydaysfromthedateofmarriage.
Section1506.Amarriageisvoidableifitismadebythespouosesonaccountoffraudtosuchan
extentthatwithoutitthemarriagewouldnothavebeenmade.
Theprovisionsofparagraphoneshallnotapplytothecasenotapplytothecasewheretheother
spousehasnotknownthefraudcommitedbyathirdperson.
Therighttoapplyforcancellationofthemarriageonaccountoffraudshallbeterminatedafterthe
lapseofninetydaysfromthedayonwhichthespousehasknownorshouldhaveknownofthe
fraud,orafterthelapseofoneyearfromthedatemarriage.
Section1507.Amarriageisvoidableifitismadebythespousesonaccountofduresstosuchan
extentthatwithoutitthemarriagewouldnothavebeenmade.
Therighttoapplyforcancellationofthemarriageonaccountofduressshallbeterminatedafterthe
lapseofoneyearfromthedayonwhichthespouseisfreefromduress.
Section1508.Wherethemarriageisvoidableonaccountofmistakeastotheidentityofthespouse,
fraudorduress,onlythespousewhomistooktheidentityoftheother,orwasinducedbyfraudor
duresstocontractthemarriagemayapplyforthecancellationofsuchmarriage.
Incasewherethepersonentitledtoapplyforthecancellationofthemarriagehasbeenadjudged
incompetent,thepersonwhomayapplytotheCourtforanordereffectinganinsanepersontobe
anincapacitatedpersonunderSection29,mayalsoapplyforthecancellationofsuchmarriage.
Wherethepersonentitledtoapplyforthecancellationofthemarriageisaninsanepersonnotyet
adjudgedincompetent,thesaidpersonmayapplyforthecancellationofsuchmarriagebutmust
applyconcurrentlytotheCourtforanordereffectinghimtobeanincapacitatedperson.IftheCourt
givesanorderrevokingtheapplicationforanordereffectinghimtobeanincapacitatedperson,the
Courtshallalsoorderrevokingtheapplicationmadebythesaidpersonforthecancellationofthe
marriage.
TheorderoftheCourtrevokingtheapplicationmadebythepersonforcancellationofthemarriage
underparagraphtwodoesnoteffecttherightofthespousetoapplyforthecancellationofthe
marriage;providedthatthespouseexercisehisorherrightwithintheremainingperiodoftime.If
theremainingperiodoftimeislessthansixmonthsasfromthedayonwhichtheorderoftheCourt
revokingtheapplicationmadebythesaidpersonforcancellationofthemarriageisgiven,orifthere
remainsnosuchperiod,theperiodoftimeshallcorrespondinglybeextendedtothecompletionof
sixmonthsasfromthedayonwhichtheorderoftheCourtrevokingtheapplicationmadebythe
saidpersonforthecancellationofthemarriageisgiven.
Section1509.ThemarriagemadewithoutconsentofthepersonsmentionedinSection1454is
voidable.
Section1510.Wherethemarriageisvoidableonaccountofhavingbeenmadewithoutconsentof
thepersonsmentionedinSection1454,onlythepersonwhocangivetheconsentunderSection
1454mayapplyforthecancellationofthemarriage.
TherighttoapplyforthecancellationofthemarriageunderthisSectionisextinguishedwhenthe
spousehascompletedtheageoftwentiethyearorwhenthewomanhasbecomepregnant.
TheactionforthecancellationofthemarriageunderthisSectionisbarredbyprescriptionafterone
yearfromthedaywherethemarriageisknown.
Section1511.ThemarriagewhichiscancelledbyjudgmentoftheCourtshallbedeemedtohave
terminatedonthedaywhenthejudgmentbecomesfinal;provided,however,thatitmaynotbeset
uptotheprejudiceoftherightsofthirdpersonsactingingoodfaithunlessthecancellationofthe
marriagehasbeenregistered.
Section1512.TheprovisionsconcerningtheresultofdivorcebyjudgmentoftheCourtshallapplyto
theresultofcancellationofthemarriagemutatismutandis[Ed.Latin,thenecessarychangeshaving
beenmade].
Section1513.Ifitappearsthatthespousesuedoncancellationofthemarriagehasknownofthe
groundoftheavoidability,suchspouseisrequiredtomakecompensationforthedamagetothe
body,reputationorpropertyoftheotherarisingfromsuchmarriage,andtheprovisionsofSection
1525shallapplymutatismutandis.
Iftheotherspousebecomesdestituteduetothecancellationofthemarriageunderparagraphone
andderivesinsufficientincomeoutofhisorherpropertyofbusinesswhichusedtobecarriedon
duringthemarriage,thespouseagainstwhomtheactionhasbeenbroughtisalsorequiredtobe
liabletolivingallowancesasprovidedinsection1526.
Section1514.DivorcemaybeeffectedonlybymutualconsentorbyjudgmentoftheCourt.
Divorceeffectedbymutualconsentmustbemadeinwritingandcertifiedbythesignaturesofat
leasttwowitnesses.
Section1515.WheremarriagehasbeenregisteredasprovidedbythisCode,divorcebymutual
consentisvalidonlyiftheregistrationthereofiseffectedbyboththehusbandandwife.
Section1516.Groundsofactionfordivorceareasfollows:
(1)
thehusbandhasgivenmaintenancetoorhonoredsuchotherwomanashiswife,orthewife
hascommittedadultery,theotherspousemayenteraclaimfordivorce;
(2)
onespouseisguiltyofmisconduct,notwithstandingwhethersuchmisconductisacriminal
offenceornot,ifitcausestheother:

(a) tobeseriouslyashamed;

(b)
tobeinsultedofhatedoraccountofcontinuanceofbeinghusbandorwifeofthespouse
havingcommittedthemisconduct;or

(c)
tosustainexcessiveinjuryortroublewherethecondition,positionandcohabitationas
husbandandwifearetakenintoconsideration;
thelattermayenteraclaimfordivorce;
(3)
onespousehascausedseriousharmortorturetothebodyormindoftheother,orhas
seriouslyinsultedtheotherorhisorherascendants,thelattermayenteraclaimfordivorce;
(4)
onespousehasdesertedtheotherformorethanoneyear,thelattermayenteraclaimfor
divorce;

(4/1)
onespousehadbeensentencedbyafinaljudgmentoftheCourtandhasbeenimprisoned
formorethanoneyearintheoffencecommittedwithoutanyparticipation,consentorin
theknowledgeoftheother,andthecohabitationashusbandandwifewillcausetheother
partysustainexcessiveinjuryortrouble,thelattermayenteraclaimfordivorce;

(4/2)
Thehusbandandwifevoluntarilyliveseparatelybecauseofbeingunabletocohabit
peacefullyformorethanthreeyears,orliveseparatelyformorethanthreeyearsbythe
orderoftheCourt,eitherspousemayenteraclaimfordivorce;
(5)
onespousehasbeenadjudgedtohavedisappeared,oraslefthisorherdomicileorresidence
formorethanthreeyearsandbeinguncertainwhetherheorsheislivingordead;
(6)
onespousehasfailedtogivepropermaintenanceandsupporttotheother,orcommittedacts
seriouslyadversetotherelationshipofhusbandandwifetosuchanextentthattheotherhas
beeninexcessivetroublewherethecondition,positionandcohabitationashusbandandwife
aretakingintoconsideration,thelattermayenteraclaimfordivorce;
(7)
onespousehasbeenaninsanepersonformorethanthreeyearscontinuouslyandsuchinsanity
ishardlycurablesothatthecontinuanceofmarriagecannotbeexpected,theothermayentera
claimfordivorce;
(8)
onespousehasbrokenabondofgoodbehaviorexecutedbyhimorher,theotherspousemay
enteraclaimfordivorce;
(9)
onespouseissufferingfromacommunicableanddangerousdiseasewhichisincurableand
maycauseinjurytotheother,thelattermayfileaclaimfordivorce;
(10)
onespousehasaphysicaldisadvantagesoastobepermanentlyunabletocohabitashusband
andwife,theothermayenteraclaimfordivorce.
Section1517.Noactionfordivorcemaybeinstitutedbythehusbandorwife,asthecasemaybeif
suchspousehasconsentedtoorconnivedattheactsunderSection1516(1)and(2)uponwhichthe
actiofordivorceisbased.
IfthegroundofactionfordivorceunderSection1516(10)hasresultedfromtheactoftheother
spouse,theactionfordivorcebaseduponsuchgroundmaynotbeinstitutedbysuchotherspouse.
Wheretheactionfordivorcebaseduponthegroundundersection1516(8)hasbeeninstituted,the
Courtmaynotpronouncejudgmenttoeffectthedivorceifthebahaviorofthehusbandorwifethat
causesthebondtohavebeenexecutedisaminorcauseorofnoimprtanceinrelationtopeacful
cohabitationashusbandandwife.
Section1518.Therighttoinstituteanactionfordivorcewouldbeterminatedifthespouseentitled
theretohascommittedanyactshowinghisorherforgivenesstotheactdonebytheotherthathas
causedtherighttoinstitutetheactionfordivorce.
Section1519.Incasewhereonespouseisaninsanepersonandiftheregivesrisetothegroundof
actionfordivorceirrespectiveofwhetheritarisesbeforeoraftertheinsanity,thepersonentitledto
applytotheCourtforanordereffectingtheinstancepersontobeanincapicitatedpersonunder
Sectoin28*shallhavethepowertoenteranactionagainsttheotherspousefordivorceand
liquidationoftheproperty.InsuchacaseifnoorderoftheCourteffectingtheinsancespousetobe
anincapacitatedpersonhasyetbeengiven,thesaidpersonshallapplytotheCourtinthesamecase
foranordereffectingtheinsanespousetobeanincapacitatedperson.
Thesaidpersonmay,ifdeemedsuitable,alsoapplytotheCourtforgivingtheorderunderSection
1526andSection1530.
Incasewherethespouseallegedtobeaninsancepersonhasnotyetbeenadjudgedincompetent,
andiftheCourtdeemsthatsuchspouseshouldnotbejudgedincompetent,thecaseshallthenbe
dismissed.Ifthespouseisdeemedsuitabletobeadjudgedincompetentbutanordertoeffectthe
divorceshouldnotyetbegivenasyet,theCourtshalladjudgethespousetobeanincapacitated
personandmaynotgiveorderconcerningtheguardianorappointingotherpersontobeguardian
underSection1463whiletheapplicationfordivorcewillbedismissed,andtheCourtmayinthis
connectiongiveanorderdetermininglivingallowances.Incasewherethespouseisdeemedtobe
insaneandshouldbeadjudgedincompetentbytheCourtandtheapplicationfordivorceshouldalso
begranted,theCourtshallissueanordernthejudgmenteffectingsuchspousetobean
incapacitatedperson,appointingaguardianandallowingthedivorce.
IncasetheretheCourtdeemsthatthegrounduponwhichtheclaimfordivorceisbasedisnot
propertotheconditionoftheincapacitatedspousewhoisgoingtodivorcetheotherspouse,iritis
notproperundersuchcircumstancesthatdivorceshouldbeallowed,theCourtmaynotpronounce
thejudgmenttoeffectthedivorce.
Section1520.Incaseofdivorcebymutualconsent,thespousesshallmakeanagreementnwriting
fortheexerciseofparentalpowerovereachofthechildren.Intheabsenceofsuchagreementoran
agreementthereoncannotbereached,themattershallbedecidedbytheCourt.
IncaseofdivorcebyjudgmentoftheCourt,theCourttryingthedivorcecaseshallalsoorderthat
theparentalpowerovereachofthechildrenbelongstoanyparty.If,insuchtrial,itisdeemed
propertodeprivethatspouseoftheparentalpowerunderSection1582,theCourtmaygivean
orderdeprivingthatspouseofthesameandappointingathirdpersonasaguardian,bytakinginto
considerationthehappinessandinterestofthechild.
Section1521.IfitappearsthatthepersonexercisingparentalpoweroftheguardianunderSection
1520behaveshimselforherselfimproperlyorthereisachangeofcircumstancesafterthe
appointment,theCourthasthepowertogiveanorderappointinganewguardianbytakinginto
considerationthehappinessandinterestofthechild.
Section1522.Incaseofdivorcebymutualconsent,anarrangementshallbemadeandcontainedin
theagreementofdivorceastowho,bothofthespousesoreitherspouse,willcontributetothe
maintenanceofthechildrenandhowmuchisthecontribution.
IncaseofdivorcebyjudgmentoftheCourtorincasetheagreementofdivorcecontainsno
provisionsconcerningthemaintenanceofthechildren,theCourtshalldetermineit.
Section1523.IncaseofdivorcebyjudgmentoftheCourtonthegroundasprovidedinSection1516
(1),thehusbandorwifeisentitledtocompensationfromthehusbandorwifeandotherwomanor
adulterer,asthecasemaybe.
Thehusbandisentitledtoclaimcompensationfromanypersonwhohaswrongfullytakenliberties
withhiswifeinanadulterousmanner,andthewifeisentitledtoclaimcompensationfromother
womanwhohasopenlyshownheradulterousrelationswiththeformer'shusband.However,the
husbandorwifeisnotentitledtoclaimcompensationifheorshehasconsentedtoorconnivedat
theactdonebyotherpartyunderSection1516(1)orallowedotherpersontoactasprovidedin
paragraphtwo.
Section1524.IfthegroundofactionfordivorceunderSection1516(3),(4)or(6)hasarisenthrough
anactofthepartyatfaultwiththeintentiontomaketheotherpartysointolerablethatactionfor
divorcehastobeentered,theotherpartyisentitledtocompensationfromthepartyatfault.
Section1525.ThecompensationunderSection1523andSection1524shallbedecidedbytheCourt
accordingtothecircumstances,andtheCourtmaygiveanorderforasinglepaymentthereofor
paymentininstallmentsasmaybedeemedsuitablebytheCourt.
IncasewherethepersonwhohastomaketheCompensationisaspouseoftheotherparty,the
shareofthepropertyreceivedbytheformerfromtheliquidationoftheSinSomrosonaccountof
divorceshallalsobetakenintoconsideration.
Section1526.Inacaseofdivorce,ifthegroundfordivorcehasderivedfromtheguiltofonlyone
party,andthedivorcewillmaketheotherbecomedestitutederivinginsufficientincomeoutofhis
orherpropertyorbusinesswhichusedtobecarriedonduringthemarriage,thelatterisentitledto
applyforthelivingallowancestobepaidbythepartyatfault.TheCourtmaydecidewhetherthe
livingallowancesbegrantedornotbytakingtheabilityofthegrantorandtheconditioninlifeofthe
receiverintoconsideration,andtheprovisionsofSection1598/39,Section1598/40andSection
1598/41shallapplymutatismutandis.
Therighttoclaimthelivingallowancesisextinguishedifitisnotraisedintheplaintorcounterclaim
intheactionfordivorce.
Section1527.IfadivorceiseffectedonthegroundofinsanityunderSection1516(7)oronthe
groundofsufferingfromacommunicableanddangerousdiseaseunderSection1516(9),theother
spouseshallfurnishlivingallowancestothespousewhoisinsaneorissufferingfromthedisease,
accordingtoSection1526,mutatismutandis.
Section1528.Ifthepartyreceivinglivingallowancesremarries,therighttoreceivelivingallowances
isextinguished.
Section1529.RightsofactionbaseduponanyofthegroundsprovidedinSection1516(1),(2),(3)or
(6),orSection1523areextinguishedafteroneyearwhenthefactwhichcanbeallegedbythe
claimanthasbeenknownorshouldhavebeenknowntohimorher.
Groundsuponwhichaclaimfordivorcecannolongerbebasedmaystillbeprovedinsupportof
anotherclaimfordivorcebaseduponothergrounds.
Section1530.Whereanactionfordivorceispending,theCourtmay,onapplicationofeitherparty,
makeanyprovisionalorderwhichitthinkspropersuchasthoseconcerningtheSinSomros,the
lodging,themaintenanceofthespousesandthecustodyandmaintenanceofchildren.
Section1531.Incasewhereamarriagehasbeenregisteredaccordingtolaw,divorcebymutual
consenttakeseffectfromthetimeofregistration.
DivorcebyjudgmentoftheCourttakeseffectonandfromthetimewhenthejudgmentbecomes
final;however,suchjudgmentmaynotbesetuptotheprejudicetotherightsofthirdpersons
actingingoodfaithunlessthedivorcehasbeenregistered.
Section1532.Afterdivorce,thepropertyofthehusbandandwifeshallbesubjecttoliquidation.
Butasbetweenthespouses,
(a)
incaseofdivorcebymutualconsent,theliquidationshallapplytothepropertyofthehusband
andwifeasitwasonthedateofregistrationofdivorce;
(b)
incaseofdivorcebyjudgment,theliquidationshallapplytothepropertyofthehusbandand
wifeasitwasonthedaywhentheactionfordivorcewasenteredinCourt.
Section1533.Upondivorce,theSinSomrosshallbedividedequallybetweenmanandwoman.

Section1534.WhereeitherspousehasmadedisposaloftheSinSomrosforhisorherexclusive
benefit,orhasmadedisposalthereofwithanintentiontocauseinjurytotheother,orhasmade
disposalthereofwithouttheconsentoftheotherinthecasewheresuchdisposalisrequiredbylaw
tohaveconsentoftheother,orhaswilfullydestroyedit,itshall,forthepurposeofdivisionofthe
SinSomrosunderSection1533,beregardedasifsuchpropertyhadstillremained.Iftheshareofthe
SinSomrosthattheotherwillreceiveisnotcompletetowhatheorsheshouldhavereceived,the
partyatfaultisrequiredtomakeupforthearrearsfromhisorhershareoftheSinSomrosorhisor
herSinSuanTua.

Section1535.Uponterminationofthemarriage,themanandwomanshallbeliableforcommon
debtsequally.
Samuiforsale
TITLEII
PARENTANDCHILD
CHAPTERI
PARENTAGE
Section1536.Achildbornofawomanduringwedlockorwithinthreehudredandtendaysafterthe
terminationofthemarriageispresumedtobethelegitamatechildofthehusbandorthemanwhi
usedtobethehusband,asthecasemaybe.
Theprovisionsofparagraphoneshallapplytoachildbornofawomanbeforethemarriagehas
beenannouncedvoidbythefinaljudgmentoftheCourt,orwithinthreehundredandtendaysas
fromthedateofsuchfinaljudgment.
Section1537.Incasewherethewomanhadmadethenewmarriageandgavebirthtoachildwithin
threehundredandtendaysasfromthedayofterminationofthemarriage,thechildshallbe
presumedtobethelegitimatechildofthenewhusband,andnopresumptionunderSection1536
sayingthatthechildisthelegitimatechildoftheformerhusbandshallapply;providedthatthereis
ajudgmentpronouncingthatthechildisnotthelegitimatechildofthenewhusband.
Section1538.IncasewherethemanorwomanhadmadethemarriageagainstSection1452,achild
bornduringsuchmarriageshallbepresumedtobethelegitimatechildofthehusbandwhohaslast
marriageenteredintotheMarriageRegister.
IncasewherethewomanhadmadethemarriageagainstSection1452,thepresumptioninSection
1536shallapply;providedthatthereisafinaljudgmentpronouncingthatthechildisnotlegitimate
childofthehusbandwhohasthelastmarriageenteredintotheMarriageRegister.
Theprovisionsofparagraphoneshallapplytothechildbornwithinthreehundredandtendays
fromthedateofthefinaljudgmentpronouncingthevoidofthemarriagemadeagainstSection
1452.
Section1539.Incasewherethechildispresumedtobethelegitimatechildofthehusbandorthe
manwhousedtobethehusbandunderSection1536,Section1537orSection1537orSection1537
orSection1538,thehusbandorthemanwhousedtobethehusbandmayrepudiatethechildby
enteringanactioninCourtagainstthechildandthemotherjointly,andprovidingthathedidnot
cohabitwiththemotherofthechildduringtheperiodofconception,thatistosay,theperiod
extendingfromtheonehundredandeightiethdaytothethreehundredandtendayinclusive,prior
tothebirthofthechild,orthathecouldnothavebeenthefatherofthechildonothergroundsof
impossibility.
Theactionmaybebroughtagainstonlythechildifatthetimeofenteringtheactionthemotherof
thechildisnotalive.Wherethechildisnotaliveirrespectiveofwhetherthemotherofthechildis
aliveornot,theCourtmayberequestedtodeclarethatthechildisnothislegitimatechild.Incase
wherethemotherofthechildortheheirofthechildisstillalive,theCourtshallsendacopyofthe
requesttothesaidpersonandmay,ifitthinksproper,sendalsoacopyoftherequesttothePublic
Prosecutorforconsiderationofproceedingthecaseonbehalfofthechild.
Section1540.(Repealed)
Section1541.Anactionforrepudiationofachildcannotbeenteredbythehusbandorthemanused
tobethehusbandifitappearsthatthelattercausestohavethebirthofthechildenteredinthe
BirthRegisterashislegitimatechildorarrangesoragreestohaveitenteredintheBirthRegister.
Section1542.Anactionforrepudiationofachildshallbeenteredbythemanwhoisorusedtobe
thehusbandwithinoneyearafterthebirthofthechild.Inanycasenosuchactioncanbeentered
laterthantenyearsafterthebirthofthechild.
Incasewherethereisajudgmentpronouncingthatthechildisnotthelegitimatechildofthenew
husbandunderSection1537orofthehusbandinthelastmarriageunderSection1538,ifthe
husbandofthemanwhousedtobethehusbandandispresumedbySection1536tobethefather
ofthechild,heshallentertheactionwithinoneyearsincethefinaljudgmentbecameknownto
him.
Section1543.Incasewherethemanbeingorusedtobethehusbandwhohasenteredanactionfor
repudiationofthechild,diedbeforethecasebecomingfinal,apersonwhohastherightof
inheritancetogetherwiththechildorapersonwhoserightofinheritancewouldbedeprivedon
accountofthebirthofthechild,mayfileamotiontosubstitutehimselformaybesummonedto
substituteforthedeceased.
Section1544.Anactionforrepudiationofachildcanbeenteredbyapersonwhohastherightof
inheritancetogetherwiththechildorbyapersonwhoserightofinheritancewouldbedeprivedon
accountofthebirthofthechildinthefollowingcases:
(1)
themanwhoisorusedtobethehusbanddiedbeforetheexpirationoftheperiodwithinwhich
theactioncouldhavebeenenteredbyhim;
(2)
thechildwasbornafterthedeathofthemanwhoisorusedtobethehusband.Theactionfor
repudiationofthechildunder(1)mustbeenteredwithinsixmonthssincethedeathoftheman
beingorhavingeverbeenthehusbandbecomingknowntothatperson.Inanycasenosuch
actioncanbeenteredlaterthantenyearsafterthebirthofthechild.
TheprovisionsofSection1539shallapplytotheenteringofanactionforrepudiationofthechild,
mutatismutandis.
Section1545.AchildmayrequestthePublicProsecutortoenteranactionunderSection1536for
repudiationtobelegitimatechildofthehusbandofhisorhermotherifitbecomesknowntothe
childthatheorsheisnotaninheritedchildofthehusbandofthemother.
Inenteringtheactionunderparagraphone,ifitbecomesknowntothechildbeforeheorshe
becomingsuijuristhatheorsheisnotthelegitimatechildofthehusbandofhisorhermother,no
actioncanbeenteredbythePublicProsecutorafteroneyearasfromthedateofhisorher
becomingsuijuris.Ifitbecomesknowntothechildafterhisorherbecomingsuijuris,noactioncan
beenteredbythePublicProsecutorlaterthanoneyearsincethedaywhenthefactscometohisor
herknowledge.
Section1546.Achildbornofawomanwhoisnotmarriedtoamanisdeemedtobethelegitimate
childofsuchwoman.
Section1547.Achildbornoftheparentswhoarenotmarriedtoeachotherislegitimatebythe
subsequentmarriageoftheparents,orbytheregistrationmadeonapplicationbythefather,orbya
judgmentoftheCourt.
Section1548.Whenlegitimationisappliedforbythefather,thechildandthemothermustgive
consenttotheapplicant.
IncasewherethechildandthemotherdonotappearbeforetheRegistrarforgivingtheconsent,
theRegistrarshallnotifythechildandthemotherofthefathersapplicationforregistration.Ifthe
childorthemotherraisesnoobjectionordoesnotgivetheconsentwithinsixtydaysafterthe
acceptanceofthenotificationbythechildormother,itispresumedthatthechildorthemother
doesnotgiveconsent.Theperiodoftimeshallbeextendedtoonehundredandeightydaysincase
wherethechildorthemotherhasbeenoutsideThailand.
Incasewherethechildorthemotherraisesanobjectionthattheapplicantisnotthefather,ordoes
notgivetheconsent,orisunabletogivetheconsent,theregistrationforlegitimationmustbe
effectedbyajudgmentoftheCourt.
AftertheCourthadpronouncedajudgmenteffectingtheregistrationofthelegitimationandthe
judgmenthasbeenproducedtotheregistrarforregistration,theRegistrarshalleffectthe
registration.
Section1549.Whentheregistrarhasnotifiedthechildandthemotheroftheapplicationof
legitimationunderSection1548,notwithstandingwhetherthechildandthemotherwillobjectto
theapplicationunderSection1548ornot,thechildorthemothermay,withinaperiodofnotmore
thanninetydayssincethenotificationreachedthechildormother,notifytheRegistrartomakea
recordthattheapplicantisnotasuitablepersonforexercisingpartlyorwhollytheparentalpower.
AlthoughtheregistrationoflegitimationunderSection1548hadbeenmade,iftherehasbeena
notificationofthechildandthemotherunderparagraphone,thechildsfatherwillnotbeableto
exercisepartlyorwhollysuchparentalpowerashadbeennotifiedbythechildorthemotheruntil
thecourtwillpronounceajudgmenteffectingthechildsfathertoexercisepartlyorwhollythe
parentalpower,oraperiodofninetydayshadelapsedsincetheregistrarwasnotifiedbytheChild
orthemotheroftheunsuitabilityonthepartyoftheapplicantforregistrationoflegitimationtobe
thepersonunsuitableforexercisingapartofthewholeoftheparentalpower.
Incasethecourtpronouncesajudgmentthattheapplicantforregistrationoflegitimationisnotthe
suitablepersonforexercisingapartorthewholeoftheparentalpowerorbetheguardian.
Section1550.(Repealed)
Section1551.Incasewherethereisanobjectiontotheapplicantforregistrationoflegitimationon
accountofnotbeingthechildsfather,iftheapplicantforregistrationoflegitimationhasbroughtan
actiontothecourtforajudgmenteffectinghimtobethechildsfather.Thechildormothermay
applytothecourtinthesamecaseforanordertotheeffectthattheapplicantforregistrationof
legitimationisnotasuitablepersonforexercisingapartorthewholeoftheparentalpowereven
thoughheistherealfatherofthechild.Insuchcase,theprovisionsofparagraphthreeofSection
1599shallbeappliedmutatismutandis.
Section1552.Incasethechildhasnomotherorhasmotherbutthelatterhasbeendeprivedpartly
orwhollyofherparentalpowerandtheotherpersonhasbeenappointedbytheCourttobe
guardianpartlyorwhollybeforetheregistrationoflegitimation.
Thefatherwhocausestheregistrationoflegitimationhavingbeenenteredmay,ifhethinksthatfor
thebenefitofthechild,heshouldbethepersonexercisingtheparentalpowerpartlyorwholly,
applytothecourtforanordereffectingthedeprivationofapartofthewholeofguardianshipfrom
theguardianopinionofthecourt,exercisetheparentalpowerforbringaboutmorehappinessand
interesttothechild.Thecourtmaygiveanordereffectingthedeprivationofapartorthewholeof
guardianshipfromtheguardianandmakingthefathertobethepersonexercisingtheparental
power.
Section1553.(Repealed)
Section1554.Anyinterestedpersonmay,withinthreemonthsfromthetimewhentheregistration
oflegitimationcomestohisknowledge,applytothecourtforcancellationoftheregistrationonthe
groundthatthepersonatwhoseinstancethelegitimationhasbeenregisteredisnotthefatherof
thechild.Inanycase,nosuchactionmaybeenteredafterthelapseoftenyearssincethedateof
registration.
Section1555.Anactionforlegitimationmaybeenteredonlyinthefollowingcases:
Wherethereisarape,abductionorillegalconfinementofthemotherduringtheperiodwhen
conceptioncouldhavetakenplace;
Wheretherehasbeenelopementorseductionofthemotherduringtheperiodwhereconception
couldhavebeentakenplace;
Wherethereisadocumentemanationfromthefatherandacknowledgingthechildashisown;
Whereitappearsinthebirthregisterthatthechildisasonordaughterofthemanwhonotifiedof
thebirth,orsuchnotificationwasmadewiththeknowledgeoftheman;
Wheretherehasbeenopencohabitationofthefatherandthemotherduringtheperiodwhere
conceptioncouldhavebeentakenplace;
Wherethefatherhadsexualintercoursewiththemotherduringtheperiodwhenconceptioncould
havebeentaken,andtherearegroundstobelievethatheorsheisnotthechildofanotherman;
Wheretherehasbeenacontinuouscommonreputeofbeingalegitimatechild.Therestatus
resultingfromcontinuouscommonreputeofbeingalegitimatechildisestablishedbymeansof
factsshowingtherelationshipoffatherandchild,asevidencedbythechildsconnectionwiththe
familytowhichheclaimstobelong,suchasthefactthatthefatherhasprovidedthechilds
educationormaintenance,orthathehasallowedthechildtousehisfamilynameorotherfacts.
Inanycase,ifthemanisfoundunabletobeafather,thecaseshallbedismissed.
Section1556.Theactionforlegitimationmaybebroughtbythelegalrepresentativeofthechildif
thechildisaminorofnotyetcompletedhisfifteenthyearsofage.Incasethereisnolegal
representativeorthelegalrepresentativecannotperformhisduties,aclosedrelativeorthepublic
prosecutormayapplytothecourtforappointingarepresentativeadlitemtobringtheactionon
behalfofthechild.
Afterattainingtheageoffifteenthyearsoldcomplete,thechildhastobringtheactionhimselfand
neednotobtainconsentofthelegalrepresentative.
Afterattainingtheageofsuijuris,theactionhastobeenteredwithinoneyearfromthedayof
becomingsuijuris.
Incasethechildisdeadduringthetimehasrighttobringanactionforlegitimation,hisdescendant
mayenteranactionforlegitimation.Shouldthedescendantknowthegroundoftheactionfor
legitimationbeforethedeathofthechild,theactionwouldhavetobeenteredbytheformerwithin
oneyearfromthedeathofthechildshouldthegroundoftheactionforlegitimationbecomeknown
tothedescendantafterthedeathofthechild.However,theactionwouldhavetobeenteredwithin
oneyearasfromtheday;thesaidgroundcametohisknowledge;providedthatiscannotbe
enteredaftertenyearshaveelapsedsincethedeathofthechild.
Theprovisionofparagraphoneandparagraphtwoshallapplytotheactionoflegitimationentered
bytheminordescendantmutatismutandis.
Section1557.LegitimationunderSection1547shalltakeeffect:
Fromthedayofmarriageincaseofsubsequentmarriageoftheparents;
Fromthedayofregistrationincasewheretheregistrationoflegitimationismadebythefather;
Fromthedayoffinaljudgmentincaseoflegitimationpronouncedbythecourt,providedthatitmay
besetuptotheprejudiceoftherightsofthirdpersonsactingingoodfaith,unlessithasbeen
registeredaccordingtothejudgment.
Section1558.Asregardstheactionforlegitimationofthedeceasedhavingbeenenteredwithinthe
periodofprescriptionforclaimforinheritance,ifthecourtadjudgesthechildtobelegitimateheis
entitledtoinheritanceasastatutoryheir.Incasewheretheestatehasbeendividedtheprovisions
ofthisCodeconcerningUndueEnrichmentshallbeappliedmutatismutandis.
Section1559.Afterregistrationoflegitimationhasbeenmade,itcannotberevoked.
Section1560.Thechildbornduringmarriageisdeemedtobelegitimate,eventhoughthemarriage
hasbeensubsequentlycancelled.
CHAPTERII
RIGHTSANDDUTIESOFPARENTANDCHILD
Section1561.Achildhastherighttousethefamilynameofthefather.Incasethefatheris
unknown,achildhastherighttousethefamilynameofthemother.
Section1562.Nopersoncanenteranaction,eithercivilorcriminal,againsthisascendants,unless
thecaseistakenupbythePublicProsecutoruponapplicationofsuchpersonoracloserelativeof
suchperson.
Section1563.Childrenareboundtomaintaintheirparents.
Section1564.Parentsareboundtomaintaintheirchildrenandtoprovidepropereducationfor
themduringtheirminority.
Whenthechildrenaresuijuris,parentsareboundtomaintainthemonlywhentheyareinfirmand
unabletoearntheirliving.
Section1565.Asregardstheapplicationsformaintenanceofthechildrenorforanyotherformof
maintenancestobegiventochildren,itmaybetakenupbythefatherorthemotherexceptthe
casetobetakenupbythePublicProsecutoraccordingtoSection1562.
Section1566.Achildissubjecttoparentalpoweraslongasheisnotsuijuris.
Theparentalpowerisexercisedbythefatherorthemotherinanyofthefollowingcases;
themotherorthefatherisdead;
Itisuncertainwhetherthemotherorthefatherislivingordead;
themotherorthefatherhasbeenadjudgedincompetentorquasiincompetent;
themotherorthefatherisplacedinahospitalbyreasonofmentalinfirmity;
theparentalpowerhasbeengrantedtothemotherorthefatherbyanorderofthecourt;
themotherorthefatherhavecometosuchagreementasprovidedbythelawthatitcanbemade.

Section1567.Apersonexercisingparentalpower(naturalguardian)hastheright:
todeterminethechildsplaceofresidence;
topunishthechildinareasonablemannerfordisciplinarypurposes;
torequirethechildtodosuchworkasmaybereasonabletohisabilityandconditioninlife;
todemandthereturnofthechildfromanypersonwhounlawfullydetainshim.

Section1568.Whereapersonwhoalreadyhasachildmarriesanotherpersontheparentalpower
oversuchchildisexercisedbytheformerperson.
Section1569.Apersonexercisingparentalpoweristhelegalrepresentativeofthechild.Ifthechild
isadjudgedincompetentorquasiincompetent,thepersonexercisingparentalpowershallbethe
custodianorcurator,asthecasemaybe.
Section1569/1.Incasewheretheminorhasbeenadjudgedincompetentorquasiincompetentand
otherpersonwhoisnottheoneexercisingtheparentalpowerortheguardianhasbeenappointed
astheguardianbytheorderoftheCourt,suchordershalleffecttherevocationoftheperson
exercisingtheparentalpowerorguardian,atthemoment.
Incasewherethepersonbeingsuijurisandhavingnospousehasbeenadjudgedincompetentor
quasiincompetent,theparentsorthefatherorthemothershallbetheguardianorcurator,asthe
casemaybe,unlesstheCourtshallorderotherwise.
Section1570.NotificationsmadebyortothepersonexercisingparentalpoweraccordingtoSection
1566orSection1568aredeemedtonotificationsmadebyortothechild.
Section1571.Parentalpowerincludesthemanagementofthepropertyofthechildandsuch
managementshallbeexercisedwiththesamecareasthatofapersonofordinaryprudence.
Section1572.Apersonexercisingparentalpowercannot,withouttheconsentofthechild,createan
obligationthesubjectofwhichispersonaltothechild.
Section1573.Ifthechildhasanincome,itshallinthefirstplacebeusedforhismaintenanceand
education;anyresiduethereofshallbekeptbythepersonexercisingparentalpowerandbe
returnedtothechild.But,ifthepersonexercisingparentalpowerhasnoincomesufficientforliving
tohiscondistioninlife,thatincomemaybeexpendedinareasonablemeasurebytheperson
exercisingparentalpower,unlessitisanincomederivedfromgiftorlegacysubjecttothecondition
thatitshallnotbeforthebenefitofthepersonexercisingparentalpower.
Section1574.Apersonexercisingparentalpowercannotenterintoanyofthefollowingjuristicacts
withregardtothepropertyoftheminorexceptwithpermissionoftheCourt;
selling,exchanging,salewithrightofredemption,lettingoutpropertyonhirepurchase,mortgaging,
releasingmortgagetomortgagorortransferringtherightofmortgageonimmovablepropertyoron
mortgageablemovableproperty;
extinguishingthewholeorapartofrealrightoftheminoronimmovableproperty;
creatingservitude,rightofinhabitation,rightofsuperficies,usufructoranychargeonimmovable
property;
disposingofthewholeorapartoftheclaimthepurposeofwhichistocreaterealrighton
immovablepropertyoronmortgageableproperty,ortheclaimthepurposeofwhichistohavea
realrightonsuchpropertyoftheminorrelieved;
lettingimmovablepropertyformorethanthreeyears;
creatinganycommitmentsthepurposeofwhichistoachievetheobjectiveasprovidedin(1),(2)
and(3);
makingaloanofmoney;
makingagift,exceptoutoftheincomeoftheminorontheminorsbehalfforcharitable,socialor
moralpurposes,andsuitabletotheminorsconditioninlife;
acceptingagiftsubjecttoanyconditionorcharge,orrefusingagift;
givingguaranteebyanymeanswhatsoeverwhichmaycausetheminortobecompelledtoperform
anobligationortoenterintootherjuristicact,asrequiringtheminortoperformanobligationto
otherpersonoronbehalfofotherperson;
makingbenefitoutofthepropertyotherthanthoseprovidedinSection1598/4(1),(2)or(3)
makingacompromise;
submittingadisputetoarbitration.

Section1575.Whereinregardtoanyact,theinterestsofapersonexercisingparentalpowerorthe
interestsofaspouseorchildrenofapersonexercisingparentalpowerconflictwiththoseofthe
minor,theformermustobtainthepermissionofthecourtinordertoperformsuchact,failingsuch
actshallbevoid.
Section1576.Theinterestsofapersonexercisingparentalpowerortheinterestsofaspouseor
childrenofapersonexercisingparentalpowerinSection1575shallincludeinterestinthefollowing
businesses:
Interestsinthebusinessthatthesaidpersonperformswithanordinarypartnershipofwhichthat
personisapartner.
Interestsinthebusinessthatthesaidpersonperformswithalimitedpartnershipofwhichthat
personisapartnerwithunlimitedliability.

Section1577.Apersonmaytransferbylegacyorgiftapropertytoaminor,subjecttoitsbeing
managed,uptothetimeofmajority,byapersonotherthanthepersonexercisingparentalpower.
Suchmanagermustbenamedbythetransferor,indefault,orbycourtandhismanagementshallbe
subjectedtoSection56,Section57andSection60.
Section1578.Whenparentalpowerceasesastheminorissuijuris,thepersonwhoexercised
parentalpowermusthandovertothechildforcertification,withoutdelay,thepropertyso
managedandrendertohimawrittenaccountthereof,andifthereisanydocumentrelatingthereto,
itshallbehandedoveratthesametimeastheaccount.
Iftheparentalpowerceasesotherthanthosementionedinparagraphone,theproperty,account
anddocumentrelatingtomanagementofthepropertyshallbehandedovertotheperson
exercisingparentalpower,ifany,ortotheguardian,asthecasemaybe,forcertification.
Section1579.Incasewhereonespouseisdeadandtheotherwhohasachildbornwithinwedlock
intendstomakeanewmarriage,ifthelatterhaspossessedthepropertyproperlyseparatedforthe
child,thepropertymaybehandedovertothechildwhenthechildcanmanageit,ortheproperty
maybekeptandhandedovertothechildatthepropertime.IfitisthepropertyspecifiedinSection
456orhasadocumentarytitle,thechildsnameshallbeenteredinthedocumentasthecoowner,
andthatthemarriagecannottakeplaceunlesstheaforesaidmanagementhasbeencompleted.
Iftheisreasonableground,theCourtmaygiveanorderallowingthesaidspousetomakethe
marriagefirst.ButtheCourtmustspecifyintheorderthatthespousemustcompletetheseparation
orthepropertyandamakingofaninventoryasprovidedinparagraphonewithinaspecifiedperiod
oftimeafterthemarriage.
Incasethemarriageismadeincontraventionofparagraphone,orincasethespousedoesnot
complywiththeorderoftheCourtgivenunderparagraphtwo,theCourtmayonitsknowledgeof
thefactoronapplicationoftheminorsrelativeorofthePublicProsecutor,giveanorderdepriving
thespouseoftheparentalpowerordirectinganypersontomaketheinventoryandtohavethe
childsnameenteredascoownerinthesaiddocumentinstead,andanyexpensesincurredthereby
shallbebornebythespouse.
ForthepurposeofthisSection,theadoptedofthedeceasedspouseandofthelivingspouseshallbe
deemedtobeachildborneofthespouse.
Section1580.Theminorhavingbeensuijuris,thepersonexercisingtheparentalrightorthe
guardiancanmakeacertificatetothemanagementoftheminor'spropertyaftertheproperty,
accountanddocumentsasprovidedinSection1587havebeenobtained.
Section1581.Anactionrelatingtothemanagementofpropertybetweentheminorandtheperson
exercisingparentalpowercannotbeenteredlaterthanoneyearfromtherimeofthecessationof
therightofmanagement.
Iftheparentalpowerceaseswhilethechildisaminor,theperiodmentionedinparagraphoneis
computedfromthetimewhenthechildbecomessuijurisorhasanewlegalrepresentative.
Section1582.Whenthepersonexercisingparentalpowerisadjudgedincompetentorquasi
incompetent,orabuseshisorherparentalpowerasregardsthechildsperson,orisguiltyofgross
misconduct,theCourtmay,ofitsownmotionorontheapplicationofacloserelativeofthechildor
ofthePublicProsecutor,orderthedeprivationoftheparentalpowereitherpartlyorwholly.
Ifthepersonexercisingparentalpowerisbankruptorlikelytoendangertheminorspropertyby
mismanagement,theCourtmay,uponthesameproceedingsasmentionedintheparagraph
one,orderthedeprivationoftherightofmanagement.
Section1583.IfthecausesmentionedintheforgoingSectionhaveceasedtoexist,apersonwhohas
beenpartlyorwhollydeprivedofparentalpowermayrecoveritbypermissionoftheCourton
applicationmadebyhimorbyarelativeoftheminor.
Section1584.Apersonwhohasbeendeprivedpartlyorwhollyofparentalpowerisnotthereby
relievedfromthedutytofurnishmaintenancetotheminoraccordingtolaw.
Section1585.Thefatherormotherwouldbeentitledtoconacthisorherchild,asmaybesuitable
tothecircumstances,irrespectiveofwhetherwhoisthepersonexercisingtheparentalpowerorthe
guardian.

CHAPTERIII
GUARDIANSHIP
Section1585.Apersonwhoisnotsuijurisandhasnoparents,orwhoseparentsaredeprivedof
theirparentalpower,maybeprovidedwithaguardianduringminority.
Incasewherethepersonexercisingtheparentalpowerhasbeendeprivedofapartoftheparental
powerunderparagraphoneofSection1582,theCourtmayappointaguardiantoexercisethepart
oftheparentalpower,ormay,incaseofthedeprivationoftherightofmanagementfromthe
personexercisingtheparentalpowerhavingbeeneffectedunderparagraphtwoofSection1582,
appointtheguardianformanagementoftheproperty.
Section1586.TheguardianunderSection1585shallbeappointedbytheorderoftheCourton
applicationofarelativeoftheminor,thePublicProsecutororofthepersonwhosenamehasbeen
specifiedinthewillbythelastsurvivingparent.
SubjecttoSection1590,theCourtshall,incasethereisatestamentarydispositiononthe
appointmentofaguardian,appointtheguardianaccordinglyunlessthewillisnoteffectiveorthe
personspecifiedinthewillisprohibitedtobeguardianunderSection1587.
Section1587.Anypersonsuijurismaybeappointedaguardian,exceptthefollowing:
personadjudgedincompetentorquasiincompetent;
personwhoisbankrupt;
personwhoisunfittotakechargeofthepersonorpropertyoftheminor;
personhavingorhavinghadalawsuitagainsttheminor,ascendantsorbrothersandsistersoffull
bloodorbrothersandsistersofhalfbloodoftheminor;
personhavingbeenexcludedbynameinwritingfromguardianshipbythedeceadedparent.

Section1588.IfitappearsthatthepersonappointedastheguardianbytheCourtisatthetimeof
appointmentaprohibitedpersonunderSection1587,theCourtshall,upontheCourtsown
knowledgeoronapplicationofaninterestedpersonorofthePublicProsecutor,revoketheorderof
appointmentofthatpersonandshallgivesuchorderconcerningtheguardianastheCourtthinksfit.
Therevocationoftheorderofappointmentoftheguardianunderparagraphonedoesnotaffectthe
rightofthethirdpersonactingingoodfaithunlessinthecaseofrevocationoftheorderof
appointmenttheprohibitedpersonunderSection1587(1)or(2),theactdonebytheguardianare
notbindingtheminorwhetherthethirdpersonactedingoodfaithornot.
Section1589.(Repealed)
Section1590.Therecanbeonlyoneguardianatthetime;however,incasewherethereisa
testamentarydespositiondirectingthatseveralguardiansbeappointedorthereisanapplicationby
thepersonwithproperreasons,severalguardiansmaybeappointedastheCourtconsiders
necessary.Incaseseveralguardiansareappointed,theCourtmayordertheguardianstoacteither
jointlyorinaccordancewiththepowerspeciallyconferreduponeachofthem.
Section1591.Thestatusofguardiancommencesfromthedaywhenthenotificationofhis
appointmentbytheCourtisknowtohim.
Section1592.Theguardianmustwithoutdelaymakeaninventoryofthewardspropertywithin
threemonthsfromthedatewhentheappointmentbytheCourtisknowntohim,butthisperiodof
timemaybeextendedonapplicationmadebytheguardiantotheCourtbeforetheexpirationofthe
threemonths.
Theinventoryshallbemadeinpresenceofatleasttwowitnesseswhomustbesuijurisandbe
relativesoftheward,butifnorelativecanbefound,otherpersonsmaybewitnessesthereto.
Section1593.Withintendaysafterthecompletionoftheinventory,theguardianshallsubmitone
certifiedcopythereoftotheCourt,andtheCourtmayrequirehimtogivesupplementary
informationortoproducedocumentsinordertoshowthattheinventoryiscorrect.
IftheCourtdoesnotgiveanorderotherwisewithinfifteendaysafterdeliveryoftheinventoryor
thedayofproducingofsupplementaryinformationordocuments,asthecasemaybe,theinventory
isdeemedacceptablebytheCourt.
Section1594.Iftheguardiandoesnotcomplywiththeprovisionsconcerningthemakingofthe
inventoryorthesubmissionofacompleteandcorrectinventoryasdescribedinSection1592or
Section1593,ordoesnotcomplywiththeorderoftheCourtgivenunderSection1593,ortheCourt
isdissatisfiedwithsuchinventoryonthegroundsofgrossnegligence,dishonestyorobvious
inefficiencyoftheguardian,theCourtmaydischargetheguardian.
Section1595.BeforetheinventoryhasbeenSection1595.Beforetheinventoryhasbeenaccepted
bytheCourt,aguardianmaydonothingbuturgentnecessaryacts,butsuchactscannotbesetup
againstthirdpersonsactingingoodfaithandforvalue.
Section1596.Ifanobligationexistinfavouroftheguardianagainstthewardorinfavourofthe
wardagainsttheguardian,theguardianmustgivenoticethereoftotheCourtbeforecommencing
theinventory.
Iftheguardianknowsthatanobligationexistsinhisfavouragainstthewardanddoesnotgive
noticethereoftotheCourt,suchobligationisextinguished.
Iftheguardianknowsthatanobligationexistsagainsthiminfavourofthewardanddoesnotgive
noticethereoftotheCourt,theCourtmaydischargehim.
Section1597.TheCourtmay,ofitsownmotionoronapplicationofanyinterestedpersonorofthe
PublicProsecutor,orderaguardian
Tofurnishpropersecurityforthemanagementaswellasforthereturnofthewardsproperty
Togiveinformationastotheconditionofthewardsproperty.

Section1598.Where,duringtheguardianshipthewardacquiresavaluablepropertybysuccession
orgift,Section1592toSection1597shallapplymutatismutandis.
Section1598/1.TheguardianshallrenderaccounttotheCourtconcerningthepropertyonceayear
asfromthedaywhenhebecomesguardian.However,theCourtmay,aftertheaccountofthefirst
yearhasbeenrendered,orderthattheaccountberenderedatalongerintervalthanoneyear.
Section1598/2.Theguardianhasthesamerightsanddutiesasapersonexercisingparentalpower
asprovidedinSection1564paragraphoneandSection1567.
Section1598/3.Aguardianisthelegalrepresentativeoftheward,Section1570,Section1571,
Section1572,Section1574,Section1575,Section1576and1577shallapplytotheguardianand
wardmutatismutandis.
Section1598/4.Aguardianmaydisposeonlyofsuchpartoftheincomeofthewardasisnecessary
forthemaintenanceandeducationofthelatter,Theresidueshallbeinvestedonly;
inbondsissuedbytheThaiGovernmentorinbondsguaranteedbytheThaiGovernment;
intakingsalewiththerightofredemptionorinmortgageofimmovablepropertyoffirstrank,the
amountofwhichmustnotexceedhalfofthemarketvalueofsuchproperty;
infixeddepositinabankestablishedbylaworauthorizedtocarryinbusinessintheKingdom;
inanyotherinvestmentwhichmayspeciallyauthorizedbytheCourt.

Section1598/5.Afterthewardhasreacheddiscretionandhisageisnotlessthanfifteenyears
complete,theguardianmust,inallimportanttransactions,consulthimfirst,sofarasitispossibleto
doso.Thefactthatthewardhasgiveconsentdoesnotexoneratetheguardianfromliability.
Section1598/6.Guardianshipisterminatedbydeathofthewardorbythewardbecomingsuijuris.
Section1598/7.Thefunctionsoftheguardianareterminatedwhentheguardian
isdeath
resignsbypermissionoftheCourt
becomesincompetentorquasiincompetent
becomesbankrupt
isrevokedbytheorderoftheCourt.

1598/8.TheguardianshallbedischargedbytheCourtonthefollowinggrounds:
Theguardianfailstoperformhisduties.
Theguardianisguiltyofgrossnegligenceinperforminghisduties.
Theguardianabuseshisfunctions.
Theguardianisguiltyofsuchmisconductastomakeunworthyofthepost.
Theguardianissoinefficientinhisdutiesthatthewardsinterestislikelytobeimperiled.
ThereasanoccurrenceasprovidedinSections1587(3),(4)or(5).

Section1598/9.AnapplicationfordischargeofaguardianunderSection1598/8maybemadeby
thewardhimselfifhisageisnotlessthanfifteenyearscompleteorbyarelativeofthewardorby
thePublicProsecutor.
Section1598/10.WhenanapplicationforthedischargeofaguardianispendinginCourt,theCourt
mayappointinhissteadatemporarymanagerofthepropertyoftheward.
Section1598/11.Whentheguardianorthefunctionsoftheguardianareterminated,theguardian
orhisheirmustwithoutdelayhandovertotheward,hisheirorthenewguardiantheproperty
managed;and,withinsixmonths,hemustrenderanaccountofmanagement,andifthereisany
documentrelatingthereto,itshallbehandedoveratthesametimeastheaccount,butthisperiod
oftimemaybeextendedbytheCourtonapplicationoftheguardianorhisheir.
Section1580andSection1581shallapplymutatismutandis.
Section1598/12.Interestshallbepaidontheamountofmoneywhicheithertheguardianorthe
wardhastorepaytotheother,fromthetimewhentheaccountofguardianshipisdelivered.
Iftheguardianhasdisposedofthewardsmoneyotherwisethatforthebenefitofthelatter,heshall
payinterestthereonfromthedaywhenhedisposedofsuchmoney.
Section1598/13.Thewardhaspreferentialrightoverthewholepropertyoftheguardianforthe
performanceoftheobligationduetohim.
Thispreferentialrightshallrankas(6)aftertheothergeneralpreferentialrightsspecifiedinSection
253ofthisCode.
Section1598/14.Aguardianisnotentitledtoreceiveremuneration,exceptinthefollowingcases:
itisprovidedinthewillthattheguardianisentitledtotheremuneration,inwhichcasetheguardian
shallreceivetheremunerationatsuchamountasprovidedinthewill;
incasenoremunerationisprovidedinthewill,butthereisnorestrictionastotheguardianto
receivetheremuneration,theguardianmayapplysubsequentlytotheCourtfordeterminingthe
remuneration,andtheCourtmayormaynotdetermineit;
incasenoappointmentoftheguardianisprovidedinthewillandthereisnorestrictionastothe
guardiantoreceivetheremuneration,theremunerationoftheguardianmaybedeterminedbythe
Courtintheorderappointingtheguardian,or,ifnotbeingdetermined,theguardianmayapply
subsequentlytotheCourtforhavingitdetermined,andtheCourtmayormaynotdetermineit.

Indeterminingtheremuneration,theCourtshalltakethecircumstances,incomeandconditionof
lifeoftheguardianinconsideration.
Iftheguardianorthewardcanprovethatthecircumstances,incomeorconditioninlifeofthe
guardianorofthewardhaschangedafterthecommencementoftheguardianship,theCourtmay
giveanordereffectingthepayment,suspension,reduction,increaseorrecoveryofpaymentofthe
remuneration,asthecasemaybe;and,thisshallalsoapplytothecasewherethereareprovisionsin
thewillrestrictingtheguardiantoreceiveremuneration.
Section1598/15.IftheCourtadjudgesthehusbandorwifeincompetentandmakesthewifeorthe
husbandguardian,theprovisionsconcerningtherightanddutyofthepersonexercisingparental
powershallapplymutatismutandis,excepttherightunderSection1567(2)and(3).
Section1598/16.Thespousewhoistheguardianoftheotherspousehavingbeenadjudged
incompetentbytheCourthasthepowertomanagetheSinSuanTua(personalproperty)ofthe
latterandhasthepowertomanagesolelySinSomros(commonmaritalproperty).Butmanagement
ofSinSuanTuaandSinSomrosasspecifiedinparagraphoneofSection1476cannotbemadeby
thatspouseexceptwiththepermissionoftheCourt.
Section1598/17.Wherethehusbandorwifehasbeenadjudgedincompetentandtheotherspouse
hasbeenconsiderednotpropertobethecustodianandwherebyhisorherfatherormotheroran
outsiderhadtobeappointedthecustodian,thecustodianshall,inthiscase,beajointmanagerof
theSinSomroswiththeotherspouse,buttheCourtmayorderotherwise,iftherearevital
circumstanceswithmayendangertheincapacitatedperson.
However,theotherspousehastherighttoapplytotheCourtforanorderdividingtheSinSomrosif
thereexistscircumstancesasprovidedinparagraphone.
Section1598/18.Incasewheretheparentsaretheguardianofthechildwhoisnotsuijuristhe
provisionsconcerningpoweranddutiesofthepersonexercisingparentalpowershallapplymutatis
mutandis.But,ifthechildbecomesuijuris,theprovisionsconcerningpoweranddutiesofthe
guardianshallapplymutatismutandis,excepttherightunderSection1567(2)and(3).
(up)
Samuifrosale
CHAPTERIV
ADOPTION
Section1598/19.Apersonwhoisnotlessthantwentyfiveyearsoldmayadoptanother,provided
heisatleastfifteenyearsolderthantheadoptedperson.
Section1598/20.Ifthepersontobeadoptedisnotlessthanfifteenyearsofage,theadoptioncan
takeplaceonlywiththeconsentoftheadoptedperson.
Section1598/21.Ifthepersontobeadoptedistheminor,theadoptioncantakeplaceonlywiththe
consentofhisparents,butifoneofhisparentsdiedorhasbeendeprivedofhisorherparental
powers,consenttheretohastobegivenbyhisfatherormotherwhohasparentalpower.
Ifthereisnopersontogiveconsentunderparagraphoneorthefatherormother,orparentscannot
expresshisorherconsenttheretoorrefusestogivehisorherconsent,andtherefusalhasbeen
madeunreasonablyandhasadverselyaffectedthehealth,progressandwelfareoftheminor,the
motherorfather,thepersonintendingtobetheadoptororthePublicProsecutormayapplytothe
Courtforanorderallowingtheadoptioninlieuofgivingconsenttheretounderparagraphone.
Section1598/22.Incasetheminortobeadoptedhasbeendesertedandbeenundersupervisionof
aninstitutionforchildwelfareunderthelawonchildwelfareandprotection,theinstitutionshall
giveconsentonbehalfofhisparents.Iftheinstitutionrefusestogivesuchconsent,theprovisionsof
paragraphtwoofSection1598/21shallapply,mutatismutandis.http://www.samuiforsale.com
Section1598/23.Incasetheminortobeadoptedhasnotbeendesertedbuthasbeenunder
supervisionofaninstitutionforchildwelfareunderthelawonchildwelfareandprotection,the
parentsoroneoftheparents,incasetheotherdiedorwhoseparentalpowerhasbeendeprived,
maymakealetterofpowerentrustingthesaidinstitutiontogiveconsenttotheadoption,andthe
provisionsofSection1598/22shallapply,mutatismutandis.
Theletterofpowerunderparagraphonecannotberevokedaslongastheminorissupportedand
maintainedbythatinstitution.
Section1598/24.Thepersonwhohasthepowertogiveconsenttotheadoptiononbehalfofthe
institutionunderSection1598/22orSection1598/23mayadopttheminorbeingundersupervision
andsupportoftheinstitutionashisownadoptedchildiftheCourthasgrantedtheapplicationmade
bythesaidpersoninlieuofgivingconsenttheretobytheinstitution.
Section1598/25.Amarriedpersonwhoistoadoptoristobeadopted,mustobtainconsentofhis
orherspouse.Ifhisorherspousecannotexpresstheconsentorhasleftthedomicileorresidence
andnonewsofhimhaseverbeenreceivedfornotlessthanoneyear,theapplicationfortheCourts
permissioninlieuoftheconsentbythespousemustbemade.
Section1598/26.Aminorwhoisanadoptedchildofanypersoncannotconcurrentlybeanadopted
ofanotherpersonexceptanadoptedofthespouseoftheadoptor.
Ifonespousewilladopttheminorwhohasalreadybeentheadoptedchildoftheotherashisorher
adoptedchild,theconsenttheretomustbeobtainedfromthelatter,andSection1598/21shallnot
apply.
Section1598/27.Adoptionisvaliduponregistrationbeingeffectedaccordingtolaw.Ifthepersonto
beadoptedisaminor,ithastocomplyfirstlywiththelawontheadoptionofthechild.
Section1598/28.Anadoptedchildacquiresthestatusofalegitimatechildoftheadoptor,butnone
ofhisrightsanddutiesinthefamilytowhichhebelongsbybirthareprejudicedthereby.Insuch,
thenaturalparentloseparentalpower,ifany,fromthetimewhenthechildisadopted.
TheprovisionsofTitle2ofthisbookshallapplymutatismutandis.
Section1598/29.Adoptiondoesnotcreatestotheadoptortherightofastatutoryheirtothe
inheritanceoftheadopted.
Section1598/30.Iftheadopteddieswithoutaspouseordescendantbeforetheadoptor,the
adoptorisentitledtoclaimfromtheestateoftheadoptedthepropertieswhichweregiventothe
adoptedbytheadoptorandwhichstillexistinkindaftertheliquidationoftheestate.
Noactionforclaimingtherightunderparagraphoneshallbeenteredlaterthatoneyearasfromthe
daywhentheadoptorhasknownoroughttohaveknownthedeathoftheadopted,orlaterthan
tenyearsasfromthedeathoftheadopted.
Section1598/31.Iftheadoptedhasbecomesuijuris,thedissolutionofadoptionmaybemadeat
anytimebymutualconsentoftheadopted.
Iftheadoptedisnotyetsuijuris,thedissolutionofadoptionshalltakeplaceaftertheconsentofthe
parentshasbeenobtained,andSection1598/20andSection1598/21shallapplymutatismutandis.
IncasewheretheadoptionhasbeeneffectedunderparagraphtwoofSection1598/21,Section
1598/22,Section1598/24orparagraphtwoofSection1598/26,iftheadoptedisnotyetsuijuris,
thedissolutionofadoptionshallbeeffectedonlybytheorderoftheCourtuponapplicationofan
interestedpersonorofthePublicProsecutor.
Thedissolutionisvalidonlyuponregistrationbeingeffectedaccordingtolaw.
Section1598/32.Theadoptionwillbecomedissolvedifthemarriageismadeincontraventionof
Section1451.
Section1598/33.Asregardsactionfordissolutionofadoption:
ifonepartyisguiltyofseriousmisconductwhetheritbeacriminaloffenceornot,whichcausesthe
otherverymuchashamedorbeinghated,orsustainingexcessiveinjuryortrouble,thelattermay
claimdissolution
ifonepartyhasseriouslyinsultedorheldinseriouscontempttheotherorhisascendants,thelatter
mayclaimdissolution,andifthesaidcommissionhasbeendoneagainstthespouseoftheadoptor
bytheadopted,theadoptormayclaimdissolution;
ifonepartyhascommittedanyactofviolenceagainsttheother,hisascendantsorhisspousewhich
causesgravedangertothebodyormindandconstitutesoffencecriminallypunishable,thelatter
mayclaimdissolution;
ifonepartydoesnotmaintaintheother,thelattermayclaimdissolution;
ifonepartyhaswillfullydesertedtheotherformorethanoneyear,thelattermayclaimdissolution;
ifonepartyhasbeensentencedtoimprisonmentexceedingthreeyears,exceptanoffence
committedthroughnegligence,theothermayclaimdissolution;
iftheadoptorfailstocomplywithhisparentaldutiesandsuchfailureconstitutesawrongfulactor
noncompliancewithSection1564,Section1571,Section1573,Section1574orSection1575which
causedorwouldhavecausedseriousinjurytotheadopted,theadoptedmayclaimdissolution;
iftheadoptorhasbeendeprivedpartlyorwhollyofhisparentalpower,andthegroundsforsuch
deprivationbearscircumstantialevidenceshowingthattheadoptorisnottheproperpersontobe
adoptorfurther,theadoptedmayclaimdissolution;
(Repealed)
Section1598/34.Noactionfordissolutionofadoptionshallbeenteredlaterthanoneyearfromthe
daywhentheclaimanthasknownoroughttohaveknownofthefactconstitutingthegroundfor
dissolution,orlaterthattenyearsfromthetimeoftheoccurrenceofsuchfact.
Section1598/35.Iftheadoptedisunderfifteenyearsold,theactionfordissolutionofadoptionshall
beenteredonhisorherbehalfbytheinbornparents.Asregardstheadoptedbeingmorethan
fifteenyearsold,heorshecanentertheactionwithouthavingtoobtainconsentfromanyperson.
ThePublicProsecutormay,incaseunderparagraphone,entertheactiononbehalfoftheadopted.
Section1598/36.DissolutionpronouncedbytheCourttakeseffectonandfromthetimewhenthe
judgmentbecomesfinal.However,itmaynotbesetuptotheprejudiceoftherightsofthird
personsactingingoodfaithunlessithasbeenregistered.
Section1598/37.Upondeathofachildadopteroradissolutionofachildadoption,thenatural
parentsshall,inthecaseoftheadoptedchildnotyetbecomingsuijuris,recovertheparentalpower
fromthedateofthedeathofthechildadopterorfromthedateofthechildadoptiondissolution
registrationunderSection1598/1orfromthedateonwhichthefinaljudgmentaffectingsuchchild
adoptiondissolutionhasbeenpronouncedbytheCourtunlesstheCourthasotherwiseexpediently
decided.
Incasewhereaguardianofanadoptedchildhasbeenappointedpriortothedeathofachild
adopterorpriortothechildadoptiondissolution,suchguardiansexistingpoweranddutiesshall
continueunlessthechildsnaturalparentshaveotherwisepetitionedtheCourtandthattheCourt
hasissuedanorderrestoringtheparentalpoweruponsuchpetitioners.
Achangeinthepersonexercisingtheparentalpowerunderparagraphoneortheguardianunder
paragraphtwoaboveshallnotprejudicetherightsofthethirdpersonacquiredingoodfaithpriorto
thechildadoptionregistrationdissolution.
ThePublicProsecutorshallbethepersonempoweredtosubmitapetitiontotheCourtinorderto
havetheCourtissueanorderotherwiseinaccordancewithparagraphoneabove.
TITLEIII
MAINTENANCE
Section1598/38.Maintenancemaybeclaimedbetweenhusbandandwifeorparentandchildwhen
thepartyentitledtomaintenancehasnotbeenfurnishedwiththemaintenanceorhasbeen
furnishedwiththemaintenanceinsufficienttohisconditioninlife.Howmuchandtowhatextend
themaintenancewouldbegrantedornotwillbedecidedbytheCourt,bytakingaccountofthe
abilityofthepersonboundtofurnishthemaintenance,theconditioninlifeofthereceiverandthe
circumstancesofthecase.
Section1598/39.Whenanyinterestedpersoncanshowthattherehasbeenachangein
circumstancesorinthemeansorconditioninlifeoftheparties,theCourtmaymakealterationof
themaintenancebycancelling,reducing,increasingorreestablishingtheamountofmaintenance.
IncasetheCourtgivesanordernotgrantingthemaintenanceonlyonaccountofonepartynot
beinginthepositiontofurnishthemaintenanceatthemoment,theCourtmayberequestedto
alteritsordergiveninthatcaseifthecircumstances,meansorconditionsonlifeoftheotherhave
changedandtheclaimant,afterhavingtakenaccountofthecircumstances,hismeansandcondition
inlife,shouldbefurnishedwiththemaintenance.
Section1598/40.Maintenanceshallbefurnishedbyperiodicalpaymentsinmoneyunlesstheparties
agreetopayotherwiseorinsomeothermanners.Howver,inabsenceofsuchagreementandfor
specialreason,theCourtmay,uponapplicationofanypartyanditisdeemedproper,determinethe
maintenancetobefurnishedotherwiseorinsomeothermannersandwhetherthepaymenttobe
madeinmoney.Incaseofclaimformaintenanceofachild,iftherearespecialreasonsanddeemed
proper,theCourtmaydeterminethemaintenancetobefurnishedbyanymeansotherthanthose
agreedbytheparties,orotherthanwhathasbeenappliedforbyanypartysuchastosendthechild
toaneducationalorvocationalinstitutionandtheexpensesincurredtherebyaretobebornebythe
personboundtofurnishthemaintenance.
Section1598/41.Therighttomaintenancecannotberenounced,attachedortransferredandisnot
subjecttoexecution.
(up)
TITLEI
GENERALPROVISIONS
CHAPTERI
DEVOLUTIONOFANESTATE
Section1599.Whenapersondies,hisestatedevolvesontheheirs.
AnheirmaylosehisrighttothesuccessiononlyundertheprovisionsofthisCodeorotherlaws.
Section1600.SubjecttotheprovisionsofthisCode,theestateofadeceasedincludeshisproperties
ofeverykind,aswellashisrights,dutiesandliabilities,exceptthosewhichbylaworbytheirnature
arepurelypersonaltohim.
Section1601.Anheirshallnotbeliableinexcessofthepropertydevolvingonhim.
Section1602.WhenapersonisdeemedtohavediedundertheprovisionsofSection62*ofthis
Codeshall,theestatedevolvesontheheirs.
Ifitisprovedthatsuchpersonislivingorthathediedatatimedifferentfromthatspecifiedinthe
adjudicationofdisappearance,theprovisionsofSection63*ofthisCodeshallapplyasregardshis
heirs.
Section1603.Anestatedevolvesontheheirsbystatutoryrightorbywill.
Heirswhoaresoentitledbylawarecalledstatutoryheirs'.
Heirswhoareentitlesbywillarecalledlegatees'.
[*Amendedbysection15ActPromulgatingtheRevisedProvisionsofBookIoftheCiviland
CommercialCodeB.E.2535]
CHAPTERII
HEIRSHIP
Section1604.Anaturalpersoncanbeanheironlywhenhehas,atthetimeofthedecujesdeath,
personalityoriscapableofrightsunderSection15ofthisCode.
Forthepurposeofthissection,achildshallbedeemedtohavebeenenventresamereatthetime
ofsuchdeathifheisbornoralivewithinthreehundredandtendaysaftersuchtime.
Section1605.Anheirwho,fraudulentlyorwiththeknowledgethatheprejudicesanyotherheirs,
divertsorconcealpropertyuptoorinexcessofhisshareinthesuccession,shallbeabsolutely
excludedfromthesuccession;ifhedivertsorconcealslessthanhisshareinthesuccession,heshall
beexcludedfromthesuccessionuptotheextentofthepartsodivertedorconcealed.
Thissectiondoesnotapplytoalegateetowhomaspecificpropertyhasbeenbequeathed,insofar
ashisrighttoreceivesuchpropertyisconcerned.
Section1606.Thefollowingareexcludedfromsuccessionasbeingunworthy:
(1)thepersonwhoisconvictedbyafinaljudgmentofhavingwrongfullyandintentionallycaused
thedeathorattemptedtocausethedeathofthedecujusorofapersonhavingpriorrighttothe
succession;
(2)thepersonwho,havingprosecutedthedecujesforhavingcommittedanoffencepunishable
withdeath,hashimselfbeenconvictedbyafinaljudgmentforbringingafalsechargeorfor
fabricatingfalseevidence.
(3)thepersonwho,havingknowledgethatthedecujeswasmurdered,didnotgiveinformation
thereofforthepurposeofbringingtheoffendertopunishment;butthisdoesnotapplyifhehasnot
completedsixteenyearsofage,orifheisunsoundmindsoastobeunabletodistinguishbetween
rightandwrong,orifthemurdererishisspouseoranyofhisdirectascendantsordescendants;
(4)thepersonwho,byfraudorduress,hascausedthedecujestomake,revokeorchangepartlyor
whollyawillconcerningtheestateorhaspreventedhimfromsodoing;
(5)thepersonwho,haspartlyorwhollyforged,destroyedorconcealedawill.
Thedecujesmayremovetheexclusionduetounworthinessbyapardoninwriting.
Section1607.Theeffectsofexclusionfromthesuccessionarepersonal.Thedescendantsofthe
excludedheirsucceedasifsuchheirweredead,nutasregardsthepropertysodevolved,the
excludedheirhasnorightofmanagementandenjoymentasspecifiedinBookVtitleIIChapterIIIof
thisCode.InsuchcaseSection1548shallapplymutatismutandis.
CHAPTERIII
DISINHERINTANCE
Section1608.Adecujusmaydisinheritanyofhisstatutoryheirsonlybyanexpressdeclarationof
intention,
(1)bywill
(2)bywritingdepositedwiththecompetentofficial.
Theidentityofthedisinheritedheirmustbeclearlystated.
However,whenapersonhasdistributedallhisestatebywill,allhisstatutoryheirswhoarenot
beneficiariesunderthewillaredeemedtobedisinherited.
Section1609.Adeclarationofdisinheritancemayberevoked.
Ifthedisinheritancehasbeenmadebywill,therevocationmaybemadeonlybywill;butifthe
disinheritancehasbeenmadeinwritingdepositedwiththecompetentofficial,suchrevocationmay
bemadeeitherfromprescribedinSection1608(1)or(2).
CHAPTERIV
RENUNCIATIONOFANESTATEANDMISCELLANEOUSPROVISIONS
Section1610.Whenanestatedevolvesonaminor,orapersonofunsoundmind,oronaperson
incapableofmanaginghisownaffairswithinthemeaningofSection32*ofthisCode,andsuch
personhasnotalreadyhadalegalrepresentativeorcustodianorcurator,thecourtshallappointa
guardian,custodianorcuratorasthecasemaybe,onapplicationofanyinterestedpersonorofthe
PublicProsecutor.
[*AmendedbySection15ActPromulgationtheRevisedProvisionsofBookIoftheCiviland
CommercialCode(B.E.2535)]
1611.Anheirwhoisaminor,apersonofunsoundmind,orapersonincapableofmanaginghisown
affairswithinthemeaningof32*thisCode,cannot,exceptwiththeconsentofhisparents,
guardian,custodianorcuratorasthecasemaybeandwiththeapprovaloftheCourt,dothe
followingacts:
(1)renounceandinheritanceorrefuselegacy
(2)acceptaninheritanceorlegacyencumberedwithachargeorcondition.
[*AmendedbySection15ActPromulgationtheRevisedProvisionsofBookIoftheCiviland
CommercialCode(B.E.2535)]
Section1612.Renunciationofaninheritanceorrefusalofalegacyshallbemadebyanexpress
declarationofintentioninwritingdepositedwiththecompetentofficial,orbyacontractof
compromise.
Section1613.Renunciationofaninheritanceorrefusalofalegacycannotbemerelyforapartor
madesubjecttoaconditionortimeclause.
Renunciationofaninheritanceorrefusalofalegacycannotberevoked.
Section1614.Inanheirinanywayrenouncesaninheritanceorrefusesalegacywiththeknowledge
thatinsodoingheprejudiceshiscreditor,thecreditorisentitledtoclaimcancellationofsuch
renunciationorrefusal;butthisdoesnotapplyifthepersonenrichedbysuchactdidnotknow,at
thetimeoftherenunciationorrefusal,ofthefactswhichwouldmakeitprejudicialtothecreditor;
provided,however,thatthecaseofrenunciationorrefusalmadegratuitously,theknowledgeonthe
partoftheheiraloneissufficient.
Aftercancellationoftherenunciationorrefusal,thecreditormayapplytotheCourtfor
authorizationtoaccepttheinheritanceorlegacyinthesteadandbytherighttosuchheir.
Insuchcase,afterpaymenttothecreditorofsuchheir,theremainder,ifany,ofhisshareinthe
estateshallaccruetohisdescendantsortotheotherheirsofthedecujusasthecasemaybe.
Section1615.Therenunciationofaninheritanceorrefusalofalegacybyanheirrelatesback,as
regardsitseffect,tothetimeofthedeathofthedecujus.
Whenrenunciationismadebyanystatutoryheir,hisdescendants,providedtheyarenotpersonsin
whosenameavalidrenunciationhasbeenmadeonbehalfbytheirparents,guardiansorcustodians
asthecasemaybe,shallsucceedundertheirownrightsandshallbeentitledtotheportionequalto
thesharewhichwouldhavedevolvedontherenouncer.
Section1616.IfthedescendantsoftherenouncerhaveacquiredinheritanceasprovidedinSection
1615,asregardsthepropertysoinheritedbyhisdescendants,therenouncerhasnorightof
managementandenjoymentasspecifiedinBookVTitleIIChapterIIIofthisCode,andSection1548
shallapplymutatismutandis.
Section1617.Ifanypersonrefusesalegacy,neithersuchpersonnorhisdescendantsareentitledto
receivethelegacysorefused.
Section1618.Ifarenunciationismadebyastatutoryheirwhohasnodescendanttoinheritorifa
refusalismadebyalegatee,thepartoftheestatesorenouncedorrefusedshallbedistributedto
theotherheirsofthedecujus.
Section1619.Apersoncannotrenounceorotherwisedisposeoftherightswhichhemay
contingentlyhavetothesuccessionofalivingperson.
(up)
TITLEII
STATUTORYRIGHTOFINHERITANCE
CHAPTERI
GENERALPROVISIONS
Section1620.Whereapersondieswithouthavingmadeawill,orifhavingmadeawill,hiswillhas
noeffect,thewholeofhisestateshallbedistributedamonghisstatutoryheirsaccordingtothelaw.
Whereapersondieshavingmadeawillwhichdisposesoforhaseffectforapartonlyofhisestate,
thepartwhichhasnotbeendisposedoforisnotaffectedbythewillshallbedistributedamonghis
statutoryheirsaccordingtothelaw.
Section1620.Whereapersondieswithouthavingmadeawill,orifhavingmadeawill,hiswillhas
noeffect,thewholeofhisestateshallbedistributedamonghisstatutoryheirsaccordingtothelaw.
Whereapersondieshavingmadeawillwhichdisposesoforhaseffectforapartonlyofhisestate,
thepartwhichhasnotbeendisposedoforisnotaffectedbythewillshallbedistributedamonghis
statutoryheirsaccordingtothelaw.
Section1621.Unlessotherwiseprovidedbythetestatorinhiswill,althoughastatutoryheirmay
havereceivedanypropertyunderthewill,suchheirisstillentitledtoavailhimselfofhisstatutory
rightofinheritanceuptotheextentofhisstatutorysharefromtheestatewhichhasnotbeen
disposedofbythewill.
Section1622.ABuddhistmonkcannotclaiminheritanceasastatutoryheir,unlessheleavesthe
monkhoodandenforceshisclaimwithintheperiodofprescriptionspecifiedinSection1754.
However,aBuddhistmonkcanbealegatee.
Section1623.AnypropertyacquiredbyaBuddhistmonkduringhismonkhoodshallbecome,upon
hisdeath,propertyofthemonasterywhichishisdomicile,unlesshehasdisposedofitduringhislife
orbywill.
Section1624.PropertybelongingtoapersonbeforeheenteredtheBuddhistmonkhoodshallnot
becomepropertyofthemonastery,andshalldevolveonhisstatutoryheirs,ormaybedisposedof
himbyanywaywhatsoeveraccordingtothelaw.
Section1625.Ifthedeceasedwasmarried,theliquidationofpropertyandthedistributionofthe
estatebetweenthedeceasedandthesurvivingspouseshallbeasfollows:
(1)asregardstheshareinthepropertyofhusbandandwife,theprovisionsofthisCodeconcerning
divorcebymutualconsentassupplementedbySections1637and1638andespeciallySection1513
to1517ofthisCodeshallapply;however,suchliquidationshalltakeeffectasfromthedateof
dissolutionofthemarriagebydeath;
(2)asregardstheshareintheestateofthedeceased,theprovisionsofthisBookotherthanSections
1637and1638shallapply.
Section1626.AfterSection1625(1)hasbeencompliedwith,thedivisionoftheestatebetweenthe
statutoryheirsshallbeasfollows:
(1)theestatewillbedividedbetweentheseveralclassesanddegreesofheirsasprovidedinChapter
IIofthisTitle;
(2)theproportionaccruingtoeachclassanddegreeshallbedividedbetweentheheirsofsuchclass
anddegree,asprovidedinChapterIIIofthisTitle.
Section1627.Anillegitimatechildwhohasbeenlegitimatedbyhisfatherandanadoptedchildare
deemedtobedescendantsinthesamewayaslegitimatechildrenwithinthemeaningofthisCode.
Secion1628.Spouseswhoarelivingapartunderdesertionorseparationdonotlosethestatutory
rightofinheritancetooneanotheraslongasdivorcebetweenthemhasnottakenplaceaccording
tothelaw.
CHAPTERII
DIVISIONINTOPORTIONSBETWEENSEVERALCLASSESANDDEGREESOFSTATUTORYHEIRS
Section1629.Thereareonlysixclassesofstatutoryheir;andsubjecttotheprovisionsofSection
1630paragraph2,eachclassisentitledtoinheritinthefollowingorder:
1)descendants;
2)parents;
3)brothersandsistersoffullblood;
4)brothersandsistersofhalfblood;
5)grandparents;
6)unclesandaunts.
Thesurvivingspouseisalsoastatutoryheir,subjecttothespecialprovisionsofSection1635.
Section1630.SolongasthereisanyheirsurvivingorrepresentedinaclassasspecifiedinSection
1629asthecasemaybe,theheirofthelowerclasshasnorightatalltotheestateofthedeceased.
However,theforgoingparagraphdoenotapplyintheparticularcasewherethereisanydescendant
survivingorrepresentedasthecasemaybe,andalsotheparentsoroneofthemarestillsurviving;
insuchcaseeachparentisentitledtothesameshareasanheirinthedegreeofchildren.
Section1631.Asbetweendescendantsofdifferentdegrees,onlythechildrenofthedecujuswho
areentitledtoinherit.Thedescendantsoflowerdegreemayreceivetheinheritanceonlybythe
rightofrepresentation.
CHAPTERIII
DIVISIONINTOSHARESBETWEENTHESTATUTORYHEIRSINEACHCLASSANDDEGREE
Section1632.SubjecttotheprovisionsofSection1629lastparagraph,thedistributionof
inheritancetothestatutoryheirsintheseveralclassesofrlativesshallbeinaccordancewiththe
provisionsinPartIofthisChapter.
Section1633.ThestatutoryheirsofthesameclassinanyoftheclassesasspecifiedinSection1629
areentitledtoequalshares.Ifthereisonlyonestatutoryheirinsuchclass,heisentitledtothe
wholeportion.
Section1634.Asbetweenthedescendantsentitledbywayofrepresentativetothedivisionper
stirpesasprovidedinChapterIVofTitleII,thedivisionsshallbeasfollows:
(1)Iftherearedescendantsofdifferentdegrees,onlythechildrenofthedeceasedwhoarethe
nearestindegreeareentitledtoreceivetheinheritance.Thedescendantsoflowerdegreemay
receivetheinheritanceonlybyvirtueoftherightofrepresentation;
(2)descendantsinthesamedegreeareentitledtoequalparts
(3)ifinonedegreethereisonlyonedescendantssuchdescendantisentitledtothewholeshare.
PARTII
Spouses
Section1635.Thesurvivingspouseisentitledtotheinheritanceofthedeceasedintheclassand
accordingtothedivisionashereunderprovided:
(1)ifthereisanheiraccordingtoSection1629(1)survivingorhavingrepresentativesasthecase
maybe,suchsurvivingspouseisentitledtothesameshareasanheirinthedegreeofchildren;
(2)ifthereisanheiraccordingtoSection1629(3)andsuchheirissurvivingorhasrepresentatives,
orifindefaultofanheiraccordingtoSection1629(1),thereisanheiraccordingtoSection1629(2)
asthecasemaybe,suchsurvivingspouseisentitledtoonehalfoftheinheritance;
(3)ifthereisanheiraccordingtoSection1629(4)or(6)andsuchheirissurvivingorhas
representatives,orifthereisanheiraccordingtoSection1629(5)asthecasemaybe,suchsurviving
spouseisentitledtotwothirdsoftheinheritance;
(4)ifthereisnoheirasspecifiedinSection1629,suchsurvivingspouseisentitledtothewhole
inheritance.
Section1636.Ifthedecujushasleftseveralwivessurvivingwhoacquiredtheirlegalstatusbefore
theenforcementoftheCivilandCommercialCodeBookV,allthosewivesarejointlyentitledto
inheritintheclassandaccordingtothedivisionasprovidedinSection1635.However,asbetween
themselveseachsecondarywifeisentitledtoinheritonehalfofthesharewhichtheprincipalwifeis
entitled.
Section1637.Ifanysurvivingspouseisthebeneficiaryofaninsuranceonlife,suchsurvivingspouse
isentitledtoreceivethewholesumagreedwiththeinsurer.Butheorsheshallbeboundto
compensateeithertheSinDermortheSinSomrosoftheotherspouse,asthecasemaybe,by
restoringsuchsumspaidaspremiumsasmaybeprovedtohavebeeninexcessoftheamountof
moneywhichcouldbepaidaspremiumsbythedeceasedhavingregardtothelatter'sincomeor
usualstationinlife.
Theamountofpremiumstoberestoredundertheforgoingprovisionsshallinnocasebemorethan
thesumpaidbytheinsurer.
Section1638.Wherebothspouseshaveinvestedmoneyinacontractwherebyanannuityispayable
tobothofthemduringtheirjointlivesandafterwardstothesurvivorforlife,thelattershallbe
boundtocompensateeithertheSinDermortheSinSomrosoftheotherspouseasthecasemaybe,
insomuchassuchSinDermorSinSomroshasbeenusedforsuchinvestment.Suchcompensation
totheSinDermorSinSomrosshallbeequalintheamounttotheextrasumrequiredbythegrantor
oftheannuityisordertocontinuetopaytheannuitytothesurvivingspouse.
CHAPTERIV
REPRESENTATIONFORTHEPURPOSEOFRECEIVINGINHERITANCE
Section1639.IfanypersonwhowouldhavebeenanheiraccordingtoSection1629(1),(3),(4)or(6)
isdeadorhasbeenexcludedbeforedeathofthedecujus,hisdescendants,ifany,shallrepresent
himforthepurposeofreceivinginheritance.Ifanyofhisdescendantsisdeadorhasbeenexcluded
inthesamemanner,thedescendantsofsuchdescendantsshallrepresenthimforthepurposeof
receivinginheritanceandtherepresentationshalltakeplaceinthiswayasregardstheshareofeach
personconsecutivelytotheendofthestirpes.
Section1640.WhereapersonisdeemedtohavediedaccordingtotheprovisionsofSection65of
thisCode,theremayberepresentationforthepurposeofreceivinginheritance.
Section1641.IfanypersonwhowouldhavebeenanheiraccordingtoSection1629(2)or(5)isdead
orhasbeenexcludedbeforethedeathofthedecujus,thewholeshareshalldevolvetotheother
survivingheirs,ifany,ofthesameclassandnorepresentationshalltakeplace.
Section1642.Representationforthepurposeofreceivinginheritanceshalltakeplaceonlyamong
statutoryheirs.
Section1643.Therightofrepresentationforthepurposeofreceivinginheritancebelongsonlyto
thedirectdescendants,theascendantshavingnosuchright.
Section1644.Adescendantmayrepresentforthepurposeofreceivinginheritanceonlyifhehas
completerighttotheinheritance.
Section1645.Renunciationofinheritanceofapersondoesnotprecludetherenouncerfrom
representingsuchpersonininheritingfromanotherperson.

(up)
TITLEIII
WILLS
CHAPTER1
GENERALPROVISIONS
Section1646.Anypersonmay,incontemplationofdeath,makeadeclarationofintentionbywill
concerningdispositionsastohispropertyorothermatterswhichschalltakeeffectaccordingtothe
lawafterhisdeath.
Section1647.Thedeclarationofintentionincontemplationofdeathshallbethelatestonein
imperativetermprovidedbywill.
Section1648.AwillmustbemadeaccordingtotheformsprescribedinChapterIIofthisTitle.
Section1649.Theadministratorofanestateappointedbythedeceasedshallhavethepowerand
dutytoarrangeforthefuneralofthedeceasedunlessanotherpersonhasbeenspeciallyappointed
bythedeceasedforthatpurpose.
Ifthereisnoadministrator,ornopersonappointedbythedeceasedtoarrangeforthefuneral,orno
personentrustedbytheheirstoarrangeforthefuneral,thepersonwhohasreceivedthegreatest
amountofpropertybywillorbystatutoryrightshallhavethepoweranddutytoarrangeforthe
funeralunlesstheCourtonapplicationofanyinterestedperson,thinksfittoappointanotherperson
forthatpurpose.
Section1650.Expensescreatinganobligationinfavourofapersonarrangingforthefuneralmaybe
claimedaccordingtothepreferentialrightasspecifiedinSection253(2)ofthisCode.
Ifthefuneralisdelayedforanyreasonwhatsoever,anypersonempoweredundertheforegoing
sectionshallreserveareasonableamountofmoneyoutoftheassetsoftheestateforthispurpose.
Wheretheamounttobereservedcannotbeagreedupon,orwhereanobjectionisraised,any
interestedpersonmayapplytotheCourt.
Inanycase,theexpensesorthemoneyforthearrangementofthefuneralmaybereservedonlyup
totheamountsuitabletothesocialstationinlifeofthedeceased,andprovidedthattherightsof
thecreditorsofthedeceasedarenotprejudicedthereby.
Section1651.SubjecttotheprovisionsofTitleIV:
(1)whereapersonisentitled,underatestamentarydisposition,tothewholeofthedecujus'estate
ortoafractionoraresiduarypartthereofwhichisnotspecificallyseparatedfromthemassofthe
estate,suchpersonissaidtobealegateeunderageneraltitleanhasthesamerightsandliabilities
asastatutoryheir;
(2)whereapersonisentitled,underatestamentarydisposition,onlytoaspecificproperty
identifiedinparticularorspecificallyseparatedfromthemassoftheestate,suchpersonissaidtobe
alegateeunderaparticulartitleandhasonlyrightsandliabilitiespertainingtosuchproperty.
Incaseofdoubt,alegateeispresumedtobealegateeunderaparticulartitle.
Section1652.Awardcannotmakealegacyinfavorofhisguardianorinfavorofthespouse,
ascendantordescendantorbrotherorsisterofhisguardianuntilrenderingoftheaccountofthe
guardianshipprovidedbySection1577andfollowingofthisCodeiscompleted.
Section1653.Thewriterofthewillorawitnessthereofcannotbealegateeundersuchwill.
Theforgoingparagraphshallalsoapplytothespouseofsuchwriterofwitness.
ThecompetentofficialrecordingthestatementmadebywitnessesunderSection1663isdeemedto
beawriterwithinthemeaningofthissection.
Section1654.Thecapacityofthetestatormustbeconsideredonlyasatthetimewhenthewillis
made.
Thecapacityofthelegateemustbeconsideredonlyasatthetimewhenthetestatordies.
CHAPTERII
FORMSOFWILLS
Section1655.AwillmaybemadeonlyinanyoneoftheformsprescribedinthisChapter.
Section1656.Awillmaybemadeinthefollowingform,thatistosay,itmustbemadeinwriting,
datedatthetimeofmakingofwillandsignedbythetestatorbeforeatleasttwowitnessespresent
atthesametimewhoshallthenandtheresigntheirnamescertifyingthesignatureofthetestator.
Noerasure,additionorotheralternationinsuchwillisvalidunlessmadeinthesameformas
prescribedbythissection.
Section1657.Awillmaybemadebyanholographdocument,thatistosaythethetestatormust
writewithhisownhandthewholetextofthedocument,thedateandhissignature.
Noerasure,additionorotheralterationinsuchwillisvalidunlessmadebytherestator'sownhand
andsignedbyhim.
TheprovisionofSection9ofthisCodeshallnotapplytoawillmadeunderthissection.
Section1658.Awillmaybemadebyapublicdocument,thatistosay:
(1)thetestatormustdeclaretotheKromakarnAmphoe*beforeatleasttwootherpersonsas
witnesspresentatthesametimewhatdispositionshewishestobeincludedinthiswill;
(2)theKromakarnAmphoemustnotedownsuchdeclarationofthetestatorandreadittothelatter
andtothewitnesses;
(3)thetestatorandthewitnessesmustsigntheirnamesafterhavingascertainedthatthestatement
noteddownbytheKromakarnAmphoecorrespondswiththedeclarationmadebythetestator;
(4)thestatementnoteddownbytheKromakarnAmphoeshallbedatedandsignedbysuchofficial
whoshallcertifyunderhishandandsealthatthewillhasbeenmadeincompliancewiththe
foregoingSubsections1to3.
Noerasure,additionorotheralternationinsuchwillisvalidunlesssignedbythetestator,the
witnessandtheKromakarnAmphoe.
[*AccordingtoSection40oftheActontheAdministrativeOrganizationoftheState,B.E.2495,all
powersanddutiesrelatingtotheofficialservicearedeterminedbylawtobelongtoKromakarn
AmphoearevestedinNaiAmphoe.]
Section1659.Awillmadebyapublicdocumentmay,uponrequest,bemadeoutsidetheAmphoe
Office.
Section1660.Awillmaybemadebyasecretdocument,thatistosay:
(1)thetestatormustsignhisnameonthedocument;
(2)hemustcloseupthedocumentsandsignhisnameonthedocument;
(3)hemustproducethecloseddocumentbeforetheKromakarnAmphoeandatleasttwoother
personsaswitnessesanddeclaretoallofthemthatitcontainshistestamentarydispositions;andif
thetestatorhasnotwrittenwithhisownhandthewholetextofthedocumenthemuststatethe
nameanddomicileofthewriter;
(4)aftertheKromakarnAmphoehasnoteddownuponthecoverofthedocumentthedeclarationof
thetestatorandthedateoftheproductionandhasaffixedhissealthereupon,theKromakarn
Amphoe,thetestatorandthewitnessmustsigntheirnamesthereon.
Noerasure,additionorotheralternationinsuchwillisvalidunlesssignedbythetestator.
Section1661.Ifaperson,whoisdeafmuteorunabletospeak,desirestomakehiswillbyasecret
document,hemustinsteadofmakingthedeclarationrequiredinSection1660(3)writewithhis
ownland,inthepresenceoftheKromakarnAmphoeandofthewitnesses,onthecoverofthe
document,astatementthattheencloseddocumentishiswillandaddthenameandthedomicileof
thewriterofthedocument,ifany.
Insteadofnothingdownthedeclarationofthetestatoronthecover,theKromakarnAmphoeshall
certifythereonthatthetestatorhascompliedwiththerequirementsoftheforegoingparagraph.
Section1662.Awillmadebyapublicdocumentorbyasecretdocumentshallnotbedivulgedbythe
KromakarnAmphoetoanyotherpersonduringthelifetimeofthetestator,andtheKromakarn
Amphoeisboundtohandoversuchwilltothetestatorwheneverthelattershallrequirehimtodo
so.
IfthewillhasbeenmadebyapublicdocumenttheKromakarnAmphoeshall,beforehandingover
suchwill,makeacopythereofunderhissignatureandseal.Suchcopymaynotbedivulgedtoany
otherpersonduringthelifeoftestator.
Section1663.Whenunderexceptionalcircumstancessuchasimminentdangerofdeath,orduring
anepidemicorwar,apersonispreventedfrommakinghiswillinanyotheriftheprescribedforms,
hemaybemakeanoralwill.
Forthispurpose,hemustdeclarehisintentionregardingthedispositionsofthewillbeforeatleast
twowitnessespresentatthesametime.
SuchwitnessesmustwithoutdelayappearfortheKromakarnAmphoeandstatebeforehimthe
dispositionswhichthetestatorhasdeclaredtothemorally,aswellasthedate,placeand
exceptionalcircumstancesunderwhichthewillwasmade.
TheKromakarnAmphoeshallnotedownthestatementofthewitnessesandsuchtwowitnesses
shallsignthestatementor,failingthat,maymakeanequivalenttosignatureonlybyaffixinga
fingerprintcertifiedbythesignaturesoftwowitnesses.
Section1664.Awillmadeundertheforgoingsectionlosesitsvalidityonemonthafterthetime
whenthetestatorhasagainbeenplacedinapositiontomakeawillinanyotheroftheprescribed
forms.
Section1665.WhenthesignatureofthetestatorisrequiredunderSection1656,1658,1660,the
onlyequivalenttosignatureistheaffixingofafingerprintcertifiedbythesignaturesoftwo
witnessesatthesametime.
Section1666.TheprovisionsofSection9paragraphs2*ofthisCodeshallnotapplytowitnesses
whosesignaturesarerequiredunderSection1656,1658,1660.
[AmendedbySection15ofActPromulgatingtheRevisedProvisionsofBookIoftheCiviland
CommercialCodeB.E.2535.]
Setion1667.IntheeventofaThaisubjectmakinghiswillinaforeignterritory,suchwillmaybe
madeeitheraccordingtotheformprescribedbythelawofthecountrywhereitismadeor
accordingtotheformprescribedbyThailaw.
WhenthewillismadeaccordingtotheformprescribedbyThailaw,thepowersanddutiesofthe
KromakarnAmphoeunderSection1658,1660,1661,1662,1663shallbeexercisedby:
(1)theThaiDiplomaticorConsularOfficeractingwithinthescopeofhisauthority,or
(2)anyauthoritycompetentunderforeignlawformakingauthenticrecordofastatement.
Section1668.Unlessotherwiseprovidedbylaw,thetestatorneednotdisclosetothewitnessthe
contentsofhiswill.
Section1669.Duringthetimewhenthecountryisengagedinarmsconflictorisinthestateofwar,
apersonservinginarmedforcesoractinginconnectiontherewithmaymakeawillaccordingtothe
formprescribedinSection1658,Section1660orSection1663;andinsuchcasethemilitaryofficer
orofficialofcommissionedrankshallhavethesamepowersanddutiesasthoseoftheKromakarn
Amphoe.
Theprovisionsoftheforegoingparagraphshallapplymutatismutandistothepersonservingin
armedforcesoractinginconnectiontherewith,who,whileperformingthedutiesforhiscountry,
makesawillinaforeigncountrywhichisengagedinarmedconflictorisinthestateofwar;andin
suchcasesthemilitaryofficerorofficialcommissionedrankshallhavethesamepowersandduties
asthoseoftheThaiDiplomaticorConsularOfficer.
Ifthetestatorunderthetwoforegoingparagraphsissickorwoundedandisadmittedtoahospital,
thephysicianofthathospitalshallalsohavethesamepowersanddutiesasthoseoftheKromakarn
Amphoe,ThaiDiplomaticorConsularOfficer,asthecasemaybe.
Section1670.Thefollowingpersonscannotwitnessatthemakingofawill;
(1)personsnotsuijuris
(2)personsofunsoundmindorpersonsadjudgedquasiincompetent;
(3)personswhoaredeafordumborblind
Section1671.Whereapersonotherthanthetestatoristhewriterofawill,suchpersonsmustsign
hisnamethereonandaddthestatementthatheisthewriter.
Ifsuchpersonisalsoawitness,astatementthatheisawitnessmustbewrittendownafterhis
signatureinthesamemannerasisdonebyanyotherwitness.
Section1672.TheMinisterofInterior,DefenseandForeignAffairsshallhavethepowersandduties,
insofarastheyarerespectivelyconcerned,toissueMinisterialRegulationsforcarryingoutthe
provisionsofthisBookandforfixingtheratesandfeesinconnectiontherewith.
CHAPTERIII
EFFECTSANDINTERPRETATIONOFWILLS
Section1673.Rightsanddutiesunderawilltakeeffectfromthedeathofthetestator,unlessa
conditionortimeclausehasbeenprovidedbythetestatorforitstakingeffectthereafter.
Section1674.Ifatestamentarydispositionissubjecttoaconditionandtheconditionhasbeen
fulfilledbeforethedeathofthetestator;iftheconditionisprecedent,suchdispositiontakeseffect
atthedeathofthetestator;iftheconditionissubsequent,thedispositionhasnoeffect.
Iftheconditionprecedentisfulfilledafterthedeathofthetestator,thetestamentarydisposition
takeseffectatthedeathofthetestatorbutceasestohaveeffectwhentheconditionisfulfilled.
However,ifthetestatorhasdeclaredinthewillthat,inthecaseprovidedbythetwoforegoing
paragraphstheeffectofthefulfillmentoftheconditionshallrelatebacktothetimeofhisdeath,
suchdeclarationofintentionshallprevail.
Section1675.Wherealegacyissubjecttoaconditionprecedent,thebeneficiaryundersuch
testamentarydispositionmayapplytotheCourtfortheappointmentofanadministratorofthe
propertybequeatheduptothetimewhentheconditionwillbefulfilledorwhensuchfulfillmentwill
becomeimpossible.
IftheCourtthinksfit,suchapplicanthimselfmaybeappointedadministratoroftheproperty,anda
propersecuritymayberequiredfromhim.
Section1676.Awillmaybemadechargingapersontocreateafoundationordirectlydetermining
theappropriationofpropertyforanypurposeinaccordancewiththeprovisionsofSection110*of
thisCode.
Section1677.Wherethereisawillcreatingafoundationundertheforegoingsectionitshallbethe
dutyoftheheiroradministrator,asthecasemaybe,toapplytotheGovernmentforauthorization
toconstituteitasajuristicpersonaccordingtoSection114*ofthisCodeunlessitisotherwise
providedbywill.
IftheauthorizationbytheGovernmenthasnotbeenappliedforbytheaforesaidperson,the
applicationmaybemadebyanyinterestedperson,orbythePublicProsecutor.
[AmendedbySection15oftheActPromulgationtheRevisedProvisionsofBookIoftheCivilCode
B.E.2535.]
Section1678.Whenafoundationcreatedbywillhasbeenconstitutedasajuristicperson,the
propertiesappropriatedtoitspurposebythetestatoraredeemedtovestinsuchjuristicperson
fromthetimewhenthewilltakeseffectunlessitisotherwiseprovidedbywill.
Section1679.Wherethefoundationcannotbeorganizedinaccordancewithitsobject,the
propertiesshalldevolveasmayhavebeenprovidedbythewill.
Intheabsenceofsuchprovision,theCourtshall,onapplicationbytheheir,theadministrator,the
PublicProsecutororanyinterestedperson,appropriatethepropertiestosuchotherjuristicpersons
whosepurposeappearstobethenearestpossibletotheintentionofthetestator.
Ifsuchappropriatecannotbemadeorifthefoundationcannotcomeintoexistanceonaccountof
itsbeingcontrarytolaworagainstpublicorderorgoodmorals,suchtestamentarydisposition
becomesineffective.
Section1680.Thecreditorsofthetestatorsareentitledtoclaimcancellationofanytestamentary
dispositioncreatingafoundation,onlyinsofarastheyareprejudicedthereby.
Section1681.Ifthepropertyformingthesubjectofthelegacyhasbeenlost,destroyedordamaged,
andinconsequenceofsuchcircumstancesasubstituteoraclaimforcompensationforsuch
propertyhasbeenacquired,thelegateemayclaimdeliveryofthesubstitutereceivedormayhimself
claimthecompensationasthecasemaybe.
Section1682.Wherealegacyismadebywayofareleaseoratransferoraclaim,suchlegacyshall
beaffectiveonlyuptotheamountstilloutstandingatthetimeofthedeathofthetestator,unless
otherwiseprovidedbythewill.
Anydocumentevidencingtheclaimreleasedortransferredshallbedeliveredtothelegatee;andthe
provisionsofSections303to313and340ofthisCodeshallapplymutatismutandis;providedthatif
anyactorproceedingsweretohavebeencarriedoutbythetestatorunderthosesections,the
personwhohastoexecutethelegacy,orthelegatee,maycarrythemoutinhisplace.
Section1683.Alegacymadebythetestatortoanyofhiscreditorsispresumednottobemadein
paymentofthedebtduetosuchcreditor.
Section1684.Whereaclauseinawillcanbeinterpretedinseveralsenses,thesensewhichbest
assurestheobservanceoftheintentionofthetestatorshallbepreferred.
Section1685.Wherethetestatorhasmadealegacybydescribingthelegateeinsuchamannerthat
hecanbeidentifiedandthereareseveralpersonsansweringtothedescriptionofthelegateeso
madebythetestator,incaseofdoubtallsuchpersonsaredeemedtobeentitlestoequalshares.
CHAPTERIV
WILLSWITHAPPOINTMENTOFCONTROLLEROFPROPERTY
Section1686.Trustcreatedwhetherdirectlyorindirectlybywillorbyanyjuristicactproducing
effectduringlifetimeorafterdeathshallhavenoeffectwhatever.
Section1687.Ifthetestatordesirestodisposeofhispropertyinfavourofaminororofaperson
adjudgedincompetentorquasiincompetentorofapersonadmittedintoahospitalfor
unsoundnessofmindbutwishestoentrustthecustodyandmanagementthereoftoapersonother
thantheparents,guardian,custodianorcurator,hemustappointacontrollerofpropertybywill.
Suchappointmentofacontrollerofpropertycannotbemadeforalongerperiodthantheminority
ortheadjudicationofincompetencyorquasiincompetencyorthedurationoftheadmittanceinto
hospitalasthecasemaybe.
Section1688.Noappointmentofthecontrollerofpropertyinregardtoanimmovablepropertyor
anyrealrightappertainingtheretoiscompleteunlessithasbeenregisteredbythecompetent
official.
Thesameprovisionappliesasregardsshipsoffivetonsandover,floatinghousesandbeastsof
burden.(1)
[(1)ThesecondparagraphofSection1688hasbeenamendedbySection15oftheCiviland
CommercialCodeAmendmentAct(no.14),B.E.2548.]
Section1689.WiththeexceptionofsuchpersonsasarespecifiedinSection1557ofthisCode,any
juristicornaturalpersonoffullcapacitymaybeappointedacontrollerofproperty.
Section1689.WiththeexceptionofsuchpersonsasarespecifiedinSection1557ofthisCode,any
juristicornaturalpersonoffullcapacitymaybeappointedacontrollerofproperty.
Section1690.Acontrollerofpropertymaybeappointedby:
(1)thetestatorhimself
(2)apersonnominatedforthepurposeinthewill
Section1691.Unlessotherwiseprovidedinthewillbythetestator,acontrollerofpropertymay
appointbywillanotherpersontoactinhisstead.
Section1692.Unlessotherwiseprovidedinthewillbythetestator,thecontrollerofpropertyshall
have,asregardsthepropertyentrustedtohim,thesamerightsanddutiesastheguardianwithin
themeaningofBookVofthisCode.
CHAPTERV
REVOCATIONANDLAPSEOFAWILLORCLAUSEINAWILL
Section1693.Atestatormayatanytimerevokehiswillwhollyorpartly.
Section1694.Ifaformerwillistoberevokedwhollyorpartlybyalatterwill,therevocationisvalid
onlywhenthelatterwillismadeinanyoftheformsprescribedbylaw.
Section1695.Whereawillisembodiedinonedocumentonly,thetestatorcanrevokeitwhollyor
partlybyintentionaldestructionorcancellation.
Wherethewillisembodiedinseveralduplicates,suchrevocationshallnotbecompleteunlessitis
effectedinalltheduplicates.
Section1696.Atestamentarydispositionisrevokedifthetestatorhasintentionallymadeavalid
transferofthepropertywhichisthesubjectofthewill.
Thesameruleappliesifthetestatorhasintentionallydestroyedsuchproperty.
Section1697.Unlessthetestatorhasotherwisemadeadeclarationofintentioninhiswill,ifit
appearsthataformerandalatterwillconflict,theformerisdeemedtohavebeenrevokedbythe
latteronlyastothepartsinwhichtheirprovisionsconflict.
Section1698.Atestamentarydispositionlapses:
(1)ifthelegateediesbeforethetestator;
(2)ifthetestamentarydispositionistotakeeffectonaconditionbeingfulfilledandthelegateedies
beforeitsfulfillment,oritbecomescertainthattheconditioncannotbefulfilled;
(3)thelegateerefuseslegacy
(4)ifthewholepropertybequeathedis,withouttheintentionofthetestator,lostordestroyed
duringhislifetimeandthetestatorhasnotacquiredasubstituteoraclaimforcompensationforthe
lossofsuchproperty.
Section1699.Ifawilloraclauseinawillasregardsanypropertyhasnoeffectforanyreason
whatsoever,suchpropertydevolvesonthestatutoryheirsortheStateasthecasemaybe.
CHAPTERVI
NULLITYOFAWILLOROFCLAUSEINAWILL
Section1700.SubjecttotheprovisionsofthisChapter,apersonmay,beanactproducingeffect
duringlifetimeorafterdeath,disposeofanypropertyunderastipulationthatsuchpropertyshallbe
inalienablebythebeneficiaryundersuchdisposition,providedthatthestipulatorappointssome
person,otherthanthebeneficiaryundersuchdisposition,whoshallbecomeabsolutelyentitledto
suchpropertyincaseofviolationoftheinalienabilityclause.
Thepersonappointedmustbecapableorrightsatthesametimewhentheactdisposingofsuch
propertytakeseffect.
Ifthereisnosuchappointment,theinalienabilityclauseshallbedeemednonexistent.
Section1701.Theinalienabilityclausestipulatedundertheforegoingsectionmaybeeitherfora
periodoftimeorforthelifeofthebeneficiary.
Ifnoperiodhasbeenfixed,theperiodofinalienabilityshallbedeemedtolastforthelifeofthe
beneficiaryifthebeneficiaryisanaturalperson,orthirtyyearsifthebeneficiaryisajuristicperson.
Iftheperiodofinalienabilityisspecified,suchperiodcannotexceedthirtyyears;ifalongerperiodis
specified,itshallbereducedtothirtyyears.
Section1702.Anyinalienabilityclauseconcerningmovablepropertywhoseownershipisnotsubject
toregistrationshallbedeemednonexistent.
Noinalienabilityclauseconcerningimmovablepropertyoranyrealrightappertainingtheretois
completeunlessitismadeinwritingandregisteredbythecompetentofficial.
(*1)Theprovisionsoftheforegoingparagraphappliesasregardsshipsoffivetonsandover,floating
housesandbeastofburden.
[*ThethirdparagraphofSection1702hasbeenbySection16ofCivilandCommercialCode
AmendmentAct,(no.14),B.E.2548.]
Section1703.Awillmadebyapersonwhohasnotcompletedhisfifteenthyearofageisvoid.
Section1704.Awillmadebyapersonadjudgedincompetentisvoid.
Awillmadebyaperson,whoisallegedtobeofunsoundmindbutnotadjudgedincompetent,may
beannulledonlyifitisprovedthatatthetimeofmakingthewillthetestatorwasactuallyof
unsoundmind.
Section1705.AwillorclauseinawillisvoidifitiscontrarytotheprovisionsofSection1652,1653,
1656,1657,1658,1660,1661,or1663.
Section1706.Atestamentarydispositionisvoid:
(1)ifitappointsalegateeupontheconditionthatthelattershalldisposealsobywillofhisown
propertyinfavourofthetestatororofathirdperson;
(2)ifitreferstoapersonwhoseidentitycannotbeascertained;howeveralegacyunderaparticular
titlemaybemadeinfavourofapersontobechosenbyacertainpersonoutofseveralother
personsoroutofanygroupofpersonsspecifiedbythetestator;
(3)ifthepropertybequeathedissoinsufficientdescribedthatitcannotascertainedoriftheamount
ofalegacyislefttothediscretionofacertainperson.
Section1707.Ifatestamentarydispositionappointsalegateeupontheconditionthatthelatter
shalldisposeofthepropertybequeathedinfavourofathirdperson,suchconditionshallbedeemed
nonexistent.
Section1708.Afterthedeathofthetestator,anyinterestedpersonmayapplytotheCourttohavea
willcancelledonaccountofduress;butifthetestatorcontinuestoliveformorethanoneyearafter
hehasceasedtobeundertheinfluenceoftheduress,suchapplicationcannotbemade.
Section1709.Afterthedeathofthetestator,anyinterestedpersonmayapplytotheCourttohavea
willcancelledonaccountofmistakeorfraudonlywhenthemistakeorfraudissuchthatwithoutit
thewillwouldnothavebeenmade.
Theforegoingparagraphshallapplyevenifthefraudhasbeencommittedbyapersonwhoisnota
beneficiaryunderthewill.
However,awillmadeundertheinfluenceofmistakeorfraudisoperativeifthetestatorfailsto
revokeitwithinoneyearafterdiscoveringthemistakeorfraud.
Section1710.Noactionforcancellationofatestamentarydispositioncanbeenteredlaterthan:
(1)threemonthsafterthedeathofthetestatorifthegroundforcancellationwasknowntothe
plaintiffduringthelifetimeofthetestator,or
(2)threemonthsaftertheplaintiffhasacquiredknowledgeofsuchgroundinanyothercase.
However,ifsuchtestamentarydispositionaffectingtheinterestoftheplaintiffisunknowntohim,
eventhoughthegroundforcancellationwasknowntohim,theperiodofthreemonthsshallrun
fromthemomentwhensuchdispositionisknownoroughttohavebeenknowntotheplaintiff.
Inanycase,suchactioncannotbeenteredlaterthantenyearsafterthedeathofthetestator.
TITLEV
ADMINISTRATIVEANDDISTRIBUTIONOFANESTATE
CHAPTERI
ADMINISTRATOROFANESTATE
TITLEIV
ADMINISTRATIONANDDISTRIBUTIONOFANESTATE
CHAPTERI
ADMINISTRATOROFANESTATE
Section1711.Theadministratorsofanestateshallincludedthepersonsappointedbywillorby
orderoftheCourt.
Section1712.Anadministratoroftheestatebywillmaybeappointed:
1. Bythetestatorhimself;or
2. Bythepersonnominatedforthepurposeinthewill
Section1713.AnyheiroranytogerinterestedpersonorthePublicProsecutormayapplytothe
Courttoappointanadministratoroftheestateinthefollowingcases:
1. Ifonthedeathofthedecujusanystatutoryheirorlegateeisnotfoundorisabroadorisa
minor;
2. Iftheadministratoroftheestateortheheirisunableorunwillingtocarryonorisimpeded
incarryingontheadministrationordistributionoftheestate
3. Ifatestamentarydispositionappointinganadministratoroftheestatehasnoeffectforany
reasonwhatsoever
SuchappointmentshallbemadebytheCourtinaccordancewiththeprovisionsofthewill,ifany.
FailingsuchprovisiontheCourtmaymaketheappointmentforthebenefitoftheestate,having
regardtothecircumstancesandtakingintoconsiderationtheintentionofthedecujusastheCourt
maythinkfit.
Section1714.WhereanadministratoroftheestateisappointedbytheCourtforaparticular
purpose,heisnotboundtomakeaninventoryoftheestateunlesstheinventoryisrequiredforsuch
purposeorbyanorderoftheCourt.
Section1715.Atestatormayappointoneormorepersonstobeadministratorsofhisestate.
Unlessotherwiseprovidedbywill,ifseveralpersonshavebeenappointedadministratorsand,
becausesomeofthemareunableorunwillingtoact,thereremainsonlyone,thelatterissolely
entitledtoactasadministrator;ifthereremainseveraladministrators,itispresumedthatthey
cannotactseparately.
Section1716.ThefunctionsofanadministratorappointedbytheCourtbeginfromthedaywhen
theorderoftheCourtisheardorisdeemedtohavebeenheard.
Section1717.Atanytimewithinoneyearfromthedeathofthedecujusbutafterfifteendaysfrom
suchdeath,anyheirorinterestedpersonmaygivenoticerequiringanypersonappointed
administratorbywilltodeclarewhetherheacceptsorrefusestheadministratorship.
Ifthepersonsonotifieddoesnotdeclarehisacceptancewithinonemonthfromthereceiptofsuch
notice,heisdeemedtohaverefused.However,acceptancecannotbemadeafteroneyearfromthe
deathofthedecujusunlessbypermissionoftheCourt.
Section1718.Thefollowingpersonscannotbeadministratatorsofanestate:
1. Personsnotsuijuris;
2. Personsofunsoundmindoradjudgedquisiincompetent;
3. PersonsadjudgedbankruptbytheCourt
Section1719.Theadministratorofanestatehastherightanddutytodoallsuchactsasmaybe
necessaryforcomplyingwiththeexpressorimpliedorderinthewillandforthegeneral
administrationordistributionoftheestate.
Section1720.TheadministratorofanestateshallbeliabletotheheirsasprovidedbySections809,
812,819and823ofthisCodemutatismutandis;andasregardsthirdpersonsSection831shallapply
mutatismutandis.
Section1721.Anadministratorofanestateisnotentitledtoreceiveremunerationoutoftheestate
unlesspermittedbythewillorbythemajorityoftheheirs.
Section1722.Theadministratorofanestatecannot,unlesspermittedbythewillortheCourt,enter
intoanyjuristicactwhereinhehasaninterestadversetotheinterestoftheestate.
Section1723.Theadministratorofanestatemustactpersonallyunlesshecanactbyanagent
throughexpressorimpliedauthorityunderwillorbyorderoftheCourtorbyrequirementofthe
circumstancesforthebenefitoftheestate.
Section1724.Theheirsareboundtothirdpersonsbyactswhichtheadministratorhasdonewithin
thescopeofhisauthoritybyvirtueofhisadministratorship.
Theyarenotboundbyanyjuristicactenteredintobytheadministratorwithathirdpersonifsuch
juristicactwasenteredintoforconsiderationofanypropertyorotheradvantagesgivenforhis
personalbenefitorsopromisedtohimbysuchpersonunlesstheheirshavegiventheirconsent.
Section1725.Theadministratorofanestateshalltakeproperstepstoseekfortheinterested
personandshallnotifythemwithinareasonabletimeofthetestamentarydispositionsconcerning
them.
Section1726.Ifthereareseveraladministratorsofanestate,theperformanceoftheirdutiesshall
bedecidedbyamajorityofvotesunlessotherwiseprovidedbythewill.Incaseofatie,on
applicationofanyinterestedperson,thedecisionshallbegivenbytheCourt.
Section1727.Anyinterestedpersonmay,priortothecompletionofthedistributionoftheestate,
applytotheCourtforthedischargeofanadministratorforreasonofnegrectofhisdutiesorany
otherreasonablecause.
Evenafterhavingassumedhisfunctions,theadministratormayresignforanyreasonablecause
subject,however,tothepermissionoftheCourt.
Section1728.Theadministratorofanestatemustbeginmakinganinventoryoftheestatewithin15
days:
1. fromthedeathofthedecujusif,atsuchtime,theadministratorhasknowledgeofhis
appointmentunderthewillentrustedbytheCourt.
2. fromthedatewhentheadministratorhasknowledgeofhisappointmentunderthewill
entrustedtohim,or
3. fromthedateofhisacceptanceofadministratorshipinanyothercase.
Section1729.Theadministratorofanestatemusthavetheinventoryoftheestatefinishedwithin
onemonthfromthetimeprescribedinSection1728;butthisperiodoftimemaybeextendedby
permissionoftheCourtonapplicationmadebytheadministratorbeforetheexpirationofthe
month.
Theinventoryshallbemadeinthepresenceofatleasttwowitnesseswhomustbepersons
interestedintheestate.
PersonswhocannotbewitnessesatthemakingofthewillunderSection1670cannotbewitnesses
forthemakingofanyinventoryundertheprovisionsofthisCode.
Section1730.Betweentheheirandtheadministratorappointedbywill,andbetweentheCourtand
theadministratorappointedbytheCourt,Sections1563,1564,paragraphs1and2andSection1565
ofthisCodeshallapplymutatismutandis.
Section1731.Ifnoinventoryismadebytheadministratorinduetimeandformoriftheinventoryis
foundunsatisfactorybytheCourtonthegroundsofgrossnegligence,dishonestyorobvious
incapabilityoftheadministrator,theadministratormaybedischargedbytheCourt.
Section1732.Theadministratorofanestateshallperformhisdutiesandcompletetheaccountof
managementanddistributionwithin1yearfromthedatesspecifiedintheSections1728,unlessthe
periodoftimeisotherwisefixedbythetestator,byamajorityoftheheirsorbytheCourt.
Section1733.Noapproval,releasefromliabilitiesoranyotheragreementconcerningtheaccountof
managementprovidedinSection1732,shallbevalidunlesssuchaccounthasbeendeliveredtothe
heirstogetherwithanydocumentrelatingtheretonotlessthanfiveyearsaftertheterminationof
theadministratorship.
CHAPTERII
REALIZATIONOFASSETS,PAYMENTOFDEBTSANDDISTRIBUTIONOFANESTATE
Section1734.Thecreditorsofanestateareentitledtobepaidonlyoutofthepropertyofanestate.
Section1735.Theheirisboundtodisclosetottheadministratorallthepropertiesanddebtsofthe
deceasedknowntohim.
Section1736.Solongasalltheknowncreditorsoftheestateorlegateeshavenotbeensatisfiedby
theperformanceordistribution,thesuccessionisdeemedtobeundermanagement.
Duringsuchperiodtheadministratorisentitledassuchtodothenecessaryactsofmanagement
suchastoenteractionsortosubmitanswersinCourtandsoon.Heshalltakeallnecessarystepsto
collectthedebtsduetoestatewithintheshortestpossibletime.Afterthecreditorsoftheestate
havebeensatisfiedheshalldividetheestate.
Section1737.Acreditoroftheestatemayenforcehisclaimagainstanyheir.However,wherethere
isanadministratoroftheestate,hemustbesummonedbythecreditortoappearintheaction.
Section1738.Beforethedivisionoftheestatethecreditoroftheestatemayenforcefullpaymentof
hisclaimfromtheestate.Insuchcaseeachheirmay,uptothetimeofdivisioninclusively,require
thattheperformancebemadeoutofthedecujussestateorsecuredtherefrom.
Afterthedivisionoftheestate,anyotherplacethisisfoundotherthansamuiforsalethenthisis
copied,thecreditormayclaimperformancefromanyheiruptotheextentofthepropertyreceived
byhim.Insuchcaseanheirwhohasmadeperformancetothecreditorinexcessofhis
proportionateshareintheobligationhasarightofrecourseagainstotherheirs.
Section1739.Withoutprejudicetothecreditorshavingspecialpreferentialrightsunderthe
provisionsofthisCodeorotherlawandtothecreditorssecuredbypledgeormortgage,thedebt
duebytheestateshallbepaidinthefollowingorderandinaccordancewiththeprovisionsofthis
Codeconcerningpreferentialrights:
1. expensesincurredforthecommonbenefitoftheestate;
2. expensesincurredforthefuneralofthedecujus;
3. taxesandratesduebytheestate;
4. wagesduebythedecujustoanyclerk,servantorworkman;
5. suppliesofdailynecessariesmadetothedecujus;
6. remunerationtottheadministrator.
Section1740.Unlessotherwiseprovidedbythedecujusorbylaw,hispropertyshallbe
appropriatedtothepaymentofdebtsinthefollowingorder:
1. propertyotherthanimmovableproperty
2. immovablepropertyexpresslyappropriatedtothatpurposebywill,ifany;
3. immovablepropertytowhichthestatutoryheirsareentitledassuch;
4. immovablepropertybequeathedtoapersonupontheconditionthatheshallpaythedebts
ofthedecujus;
5. immovablepropertybequeathedundergeneraltitleasprovidedbySection1651;
6. anyspecificpropertybequeathedunderaparticulartitleasprovidedbySection1651.
Anypropertyappropriatedundertyheforegoingprovisionsshallbesoldbywayofpublicauction,
butanyheirmaypreventsuchsalebypaying,totheextentrequiredforthesatisfactionofthe
creditors,thevalueofthewholeorpartofthepropertyasmaybedeterminedbyanappraiser
appointedbytheCourt.
Section1741.Anycreditoroftheestatemay,athisownexpense,raiseanobjectiontotheauction
orappraisementofthepropertyspecifiedintheforegoingsection.If,notwithstandingsuch
objectionhavingbeenraisedbythecreditor,anauctionorappraisementiseffectedtheauctionor
appraisementcannotbesetupagainstthecreditorwhohasraisedsuchobjection.
Section1742.If,duringthelifetimeofthedeceased,acreditorhasbeendesignatedasthe
beneficiaryofaninsuranceonthelifeinpaymentofadebtduetohim,heisentitledtoreceivethe
wholesumagreedwiththeinsurer.Heshallhavetoreturntotheestateofthedeceasedthe
amountofthepremiumsonlyifprovedbyothercreditors:
1. Thatbypayinghisdebtinsuchmanner,thedeceasedandsuchcreditorhaveactedin
contraventionoftheprovisionsofSection237ofthisCode;and
2. Thatsuchpremiumswereoutofproportiontotheincomeorstationinlifeofthedeceased.
Innocaseshalltheamountofpremiumstobereturnedinsuchmannerexceedthesumpaidbythe
insurer.
Section1743.Astatutoryheiroralegateeunderageneraltitleisnotboundtoexecutelegacies
underaparticulartitleformorethantheamountofpropertyreceivedbyhim.
Section1744.Theadministratorisnotboundtodelivertheestateoranypartthereoftotheheirs
beforeoneyearhaselapsedfromthedeathofthedecujus,unlessalltheknowncreditorsofthe
estateandlegateeshavebeensatisfiedbytheperformanceanddistribution.
CHAPTERIII
PARTITIONOFANESTATE
Section1745Untilthepartitionoftheestateiscompleted,therightsanddutiesofthecoheirsas
regardstheestateareincommon,andSection1356toSection1366ofthisCodeshallbeappliedin
sofarastheyarenotinconsistentwiththeprovisionsofthisBook.Section1746Subjecttothe
provisionsoflawsorclausesinthewill,ifany,coheirsarepresumedtohaveequalsharesinthe
undividedestate.
Section1747Whereanheirhas,duringthelifetimeofthedecujus,receivedfromthelatterany
propertyorotheradvantagebygiftorbyotheractsundergratuitoustitle,therightsofsuchheirin
thepartitionoftheestateshallinnowaybeprejudicedthereby.
Section1748Anyheirinpossessionoftheundividedestateisentitledtoclaimpartitionthereof
evenafterthelapseoftheperiodofprescriptionasspecifiedinSection1754.Therighttodemand
partitionasprovidedintheforegoingparagraphmaynotbeexcludedbyajuristicactforaperiod
exceedingtenyearsatatime.
Section1749Whenanactionforpartitionofanestateinenteredincourt,everypersonclaimingto
beanheirentitledtosuchestatemayinterveneintheaction.
Thecourtcanneithercallintoparticipateinthepartitionotherheirsthanthepartiesorthe
intervenerintheaction,norreserveapartoftheestateforsuchotherheirs.
Section1750Partitionoftheestatemaybemadebytheheirsseverallytakingpossessionofthe
propertyorbysellingtheestateanddividingtheproceedsofsalebetweenthecoheirs.
Section1751Afterthepartitionofanestate,ifanyheirisbyreasonofevictiondeprivedofthe
wholeorapartofthepropertyallottedtohimunderthepartition,theotherheirsareboundto
compensatehim.
Suchobligationceasesifthereisanagreementtothecontrary,oriftheevictionresultsfromthe
faultoftheheirevictedorfromacausearisingafterthepartition.
Theheirevictedshallbecompensatedbytheotherheirsinproportiontotheirshares,lessthequota
correspondingtothatoftheheirevicted;ifanyoftheheirsboundtomakecompensationis
insolvent.Theotherheirsshallbeliableforthepartoftheinsolventheirinthesameproportionless
thequotacorrespondingtothatofthecompensatedheir.
Theprovisionsoftheforegoingparagraphsshallnotbeappliedtoalegateeunderaparticulartitle.
Section1752NoactionforliabilityonaccountofevictionunderSection1751canbeenteredlater
thanthreemonthsafterthedateofeviction.
TITLEV
VACANTESTATES
Section1753Subjecttotherightsofthecreditoroftheestate,whereonthedeathofaperson,
thereisnostatutoryheirorlegateeorcreationoffoundationunderawill,theestatedevolveson
thestate.
TITLEVI
PRESCRIPTION
Section1754Anactionconcerninginheritancecannotbeenteredlaterthanoneyearafterthe
deathofthedecujusorafterthetimewhenthestatutoryheirknowsoroughttohaveknownof
suchdeath.
Anactionconcerningalegacycannotbeenteredlaterthanoneyearafterthetimewhenthelegatee
knowsoroughttohaveknownoftherightstowhichheisentitledunderawill.Subjecttothe
provisionsofSection193/17ofthisCode,acreditorhavingagainstthedecujusaclaimwhichis
subjecttoaprescriptionlongerthanoneyearisbarredfrombringinganactionafteroneyearfrom
thetimewhenheknowsoroughttohaveknownofthedeathofthedecujus.
Innocaseshallclaimsundertheforegoingparagraphsbeenteredlaterthantenyearsafterthe
deathofthedecujus.
Section1755Theprescriptionofoneyearcanbesetuponlybyanheirorapersonentitledto
exercisetherightsofanheirorbyanadministratoroftheestate.
end