Plenty of titles can be found in Thailand. Depending on the usage you plan to do of it, the legal designation is primordial.
In most cases, you want a plot to build your own residence building, to develop a project or simply for investment. In this case only 4 sorts of titles are relevant and shall be considered. These Four types of plot are the Nor Sor Si Djor (N.S.4.Jor) well known as Chanote, the Nor Sor Sam Kor (N.S.3.Kor), Nor Sor Sam Gor (N.S.3.Gor) and the Nor Sor Sam (N.S.3).
They provide the same joy. You have full control and right over the land as you can alienate, use and get the fruct of these plots.
Consequently, without these rights, you can not dispose of your Land as you want and your future project can since the beginning be impossible to realize.
But the full right of ownership according to the Romans right, means, the ‘ABUSUS’, the ‘USUS’ and the ‘FRUCTUS’ is attached only to the Nor Sor Si Djor (N.S.4.Jor). It is the sole Ownership title that is inalienable.
The Nor Sor Sam Kor (N.S.3.Kor), Nor Sor Sam Gor (N.S.3.Gor) and the Nor Sor Sam (N.S.3) provide you only Possession rights so are “the Possession Title”. Consequently, the USUCAPION, means the right to acquire a third party property by uninterrupted time of occupation is only 1 year for these 3 types of Title according to Section 1375 of the Civil and Commercial Code (CCC).
In the presence of Chanote, the uninterrupted time of occupation is 10 years (Section 1382 of CCC).
During Land transaction, the Possession Title needs also 30 Days Public advertising before to register the act at the Land Department. In the case of Chanote, the transaction can be completed immediately without extra time.
The other difference between them concerns notably the calculation of the superficies and boundaries. It is not much but can be a source of future litigation. We can explain to you in detail in our next meeting.
An upgrade of the Possession title or a survey on the plot of land shall be occurred.
More than clarifying the boundaries of the land and the area, it will help to determine if the land is connected to a public road directly or by a way (legal way in Thailand).
The good type of land with access way being confirmed, the next step shall be environmental and city zone plan, that determines for example the altitude of the land, the height of the building, the purpose of the construction or the building area ratio, questions that we will have the pleasure to develop in the next Newsletter.
Read Introduction to Due Diligence
Written by Frederic Retif
French Lawyer and Thai Legal advisor