The Notice Letter Format in Accordance with Thai Law

Abstract

     With the power of contractual obligation, the law grants creditors the right to demand payment from debtors. When a debt becomes due and the debtor fails to pay, the creditor is legally entitled to issue a demand for payment, serving as a formal notification to the debtor to pay their due, failing to do so will made the default on debtor’s payment. However, Thai law does not prescribe a specific format for such notification letter, leading to questions about the appropriate form and content. This study examines the essential elements of a demand letter in accordance with the Debt Collection Act B.E. 2558. The findings reveal three key components: 1) specifying the date and place of the demand; 2) detailing the legal basis for the claim, including the parties involved, the relevant actions, and the specific amount or performance sought; and 3) ensuring that the content of the demand letter is free from threats, harassment, or any language that could cause embarrassment to the debtor. Additionally, the use of any words, symbols, or business names that could identify the communication as a debt collection attempt is prohibited.