Estate planning is a critical aspect of managing one’s assets, ensuring that wealth is distributed according to personal wishes after death. In Thailand, the importance of a will and a clear succession plan cannot be overstated. Whether you are a Thai national or a foreigner owning assets in Thailand, having a legally binding will is vital to prevent disputes, reduce administrative burdens, and protect your beneficiaries. The Thai Civil and Commercial Code provides a legal framework for succession, but without a valid will, the estate is distributed according to statutory inheritance rules, which may not align with the deceased’s intentions.
Understanding Thai Succession Law
Will and Succession in Thailand is governed by Book VI of the Civil and Commercial Code, which outlines the procedures for inheritance and estate administration. Under Thai law, there are two types of succession:
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Testate Succession – when the deceased leaves a valid will.
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Intestate Succession – when there is no will, or the will is invalid.
The law also defines statutory heirs and the order of inheritance, which includes six classes of relatives, as well as the spouse. Without a will, the estate is divided among these heirs according to a set hierarchy, which may not reflect the deceased’s true wishes.
Why Having a Thai Will Matters
1. Ensures Distribution According to Your Wishes
The most obvious benefit of a will is that it allows you to decide who inherits your assets. You can include individuals outside the statutory line of heirs—such as friends, charities, or distant relatives. Without a will, your estate is divided among statutory heirs, which could result in unintended individuals receiving parts of your estate or excluding those you care most about.
2. Avoids Family Disputes
Inheritance issues are a common cause of conflict among family members. A clear and legally binding will minimizes confusion and potential disputes by explicitly stating how assets should be distributed. This can preserve family harmony during an emotionally difficult time.
3. Provides for Foreign Heirs and Assets
For foreigners with property or bank accounts in Thailand, a Thai will ensures that Thai assets are managed in accordance with local laws. A foreign will may not be recognized without a court procedure, translation, and legal validation. A Thai will simplifies the probate process and facilitates asset distribution to overseas beneficiaries.
4. Reduces Legal and Administrative Burdens
Probate proceedings can be lengthy and complex, especially in the absence of a will. A will appoints an executor (or administrator), simplifying the estate administration and reducing the time, cost, and stress involved. The executor will have clear authority to manage and distribute assets, settle debts, and handle legal formalities.
5. Protects Minor Children and Dependents
A will enables parents to appoint a guardian for minor children, ensuring they are cared for by someone the parents trust. It can also provide financial support through trusts or specific bequests, safeguarding the children’s future.
6. Covers a Wide Range of Assets
A Thai will can include real estate, bank accounts, vehicles, businesses, shares, and personal possessions. This ensures that all your property, regardless of value, is accounted for and allocated appropriately.
What Happens Without a Will?
If a person dies intestate (without a will) in Thailand, their estate is distributed among heirs in the following order of priority:
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Descendants (children and grandchildren)
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Parents
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Full-blood brothers and sisters
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Half-blood brothers and sisters
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Grandparents
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Uncles and aunts
The spouse of the deceased is also entitled to a share, depending on which relatives survive. For instance, if the deceased is survived by children and a spouse, the estate is divided equally among them.
This statutory order may not reflect the deceased’s wishes. In addition, complications can arise in identifying heirs or proving relationships, especially for foreigners or individuals with blended families.
Creating a Legally Binding Will in Thailand
To be valid under Thai law, a will must follow one of the forms outlined in the Civil and Commercial Code. The most common types include:
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Ordinary Written Will (Holograph Will): Must be dated, signed, and written entirely by the testator.
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Public Will: Made before a district officer and two witnesses.
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Secret Will: Written and sealed by the testator and delivered in the presence of witnesses.
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Document by Word of Mouth (Oral Will): Only valid under exceptional circumstances, such as during imminent death.
The ordinary written will is the most frequently used format. It should clearly identify the testator, list all assets, name beneficiaries, appoint an executor, and be signed and dated. Having a lawyer draft or review the will is advisable to ensure legal compliance and clarity.
Considerations for Foreigners in Thailand
Foreigners who own property, businesses, or bank accounts in Thailand should always create a Thai will for their Thai-based assets. Relying on a foreign will may complicate the probate process due to differences in legal systems, required translations, and court recognition. A Thai will can coexist with a foreign will, provided they are carefully drafted to avoid conflicting provisions.
Additionally, foreigners are generally prohibited from owning land in Thailand, but they may own condominiums or lease land long-term. These types of ownership can and should be included in a Thai will.
Updating Your Will
Life changes—such as marriage, divorce, births, deaths, or significant asset acquisitions—necessitate updating your will. Failure to revise your will could result in outdated instructions or unintended beneficiaries. In Thailand, a new will can revoke and replace a prior one if stated explicitly.
Conclusion
The importance of having a Thai will and succession plan cannot be overstated. Whether you are a Thai national or a foreign resident, a well-drafted will ensures that your assets are distributed according to your wishes, reduces legal complications, and protects your loved ones. It serves as a crucial part of responsible financial and personal planning. By taking the time to prepare a valid Thai will, you gain peace of mind knowing your legacy will be honored, and your family will be spared unnecessary hardship in the future.