A partnership is a recognized type of business organization in Thailand. It is further classified into three general types: 1) unregistered ordinary partnerships; 2) registered ordinary partnerships and 3) limited partnerships.
Unregistered ordinary partnerships are characterized by non-registration and joint liability among the partners. There is no need to register this partnership in the Commercial Registration Department of the Ministry of Commerce, but the partners shall be held solely and jointly liable for all the obligations incurred by the partnership.
Registered partnerships, on the other hand, are characterized by registration and a legal personality conferred on the partnership itself. This legal personality is separate and distinct from that of its partners; thus, making the partnership solely liable for all the obligations it incurred.
Finally, limited partnerships are characterized by registration and limited liability. Registration confers legal personality to the partnership. Partners on the other hand, have limited liability for obligations incurred by the partnership to the extent of their contributions.
This post was provided by Siam Legal, an international law firm with offices in Bangkok, Chiang Mai, Hua Hin, Pattaya, Phuket, and Samui. Siam Legal publishes legal guides to doing business in Thailand on its website.
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