‘Lemon Law’ gains traction as Cabinet backs defective goods bill

‘Lemon Law’ gains traction as Cabinet backs defective goods bill | Thaiger
‘Lemon Law’ gains traction as Cabinet backs defective goods billLegacy

‘Lemon Law’ gains traction as Cabinet backs defective goods bill | Thaiger

Thailand’s defective goods bill, dubbed the Lemon Law, has cleared the Cabinet after a decade-long bureaucratic entanglement and delays, shifting the burden of proof to sellers when goods are found to be defective.

The proposed Lemon Law, formally known as the Liability for Defective Goods Act, was submitted by the Office of the Consumer Protection Board (OCPB) and received Cabinet approval yesterday, June 16.

Minister of the Prime Minister’s Office Supamas Isarabhakdi said the measure marked a significant reform of Thailand’s consumer protection system. She added that the bill would help bring Thailand’s consumer protection standards closer to international practices.

According to Supamas, consumers who discover defects in newly purchased products currently bear the burden of proving that faults existed at the time of purchase before they can access warranty protections.

Minister of the Prime Minister’s Office Supamas Isarabhakdi
Photo via Facebook/ ศุภมาส อิศรภักดี

She further stated that the warranty conditions are often determined by sellers, leaving consumers facing repeated repairs with no clear deadlines. In many cases, customers seeking remedies beyond repairs must pursue legal action, resulting in additional costs and delays.

Under the proposed Lemon Law framework, products that develop defects within a specified period would be presumed to have been defective at the time of delivery unless the seller can prove otherwise.

The draft legislation provides four forms of consumer remedies: repair, replacement, price reduction, and contract termination, depending on the nature of the defect.

For general consumer goods, defects discovered within six months of delivery would be covered by the law’s presumption period. For vehicles, the protection period would extend to one year.

Consumer gets defect product
Photo by DragonImages via Canva

The bill also sets repair deadlines. General consumer goods and motorcycles must be repaired within 60 days of being accepted for service, while vehicles must be repaired within 90 days.

If those deadlines are exceeded, consumers would have the right to request a price reduction, terminate the contract, or seek compensation for damages.

The draft also grants consumers the right to request immediate replacement of products with significant defects. General products may be replaced within seven days of purchase, while electrical appliances and electronic devices may be replaced within 14 days.

For vehicles, sellers would be required to provide a replacement if a safety-related defect cannot be repaired.

Consumer right thailand reformed
Photo by FG Trade via Getty Images Signature

The legislation would cover transactions between businesses and consumers, business-to-business sales, hire-purchase agreements, financed purchases, and exchange contracts.

However, it would not apply to second-hand goods, live animals, or transactions between private individuals.

Following Cabinet approval, the defective goods bill will be submitted to Parliament for consideration. If approved by both the House of Representatives and the Senate, the legislation will take effect after publication in the Royal Gazette.

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