Legal Problems and Dispute Resolution Between Housing Development, Housing Entrepreneur and Community Members

Abstract

          Currently, there are a number of housing estates and people often opt for them because of the convenient spacious areas including playgrounds, security systems and cleanliness. According to these factors, the housing estates have become more popular.  There are various kinds of housings such as townhome, townhouse, or detached house with wide range of prices starting from ฿1 million to ฿10-100 millions. According to various prices, people can make a decision according to their needs or financial status. With a number of residents in the housing estates, some problems and disputes normally occur. For example, problems and disputes between housing entrepreneurs, between housing developments and community members, and between community members themselves. The problems normally occur since the booking of the houses. That is the dispute between the housing entrepreneur and the buyers of land or house. For instance, the construction plan of housing estates must be approved before it is advertised. However, when the project is being constructed, the construction plan is changed making the houses different from the advertisement or the contract given to the buyers. In addition, regarding the sale agreement, the housing entrepreneur has to submit the agreement to the committee to apply for the land allocation method. However, the housing entrepreneur, practically, often use another agreement which contradicts to the agreement prescribed by the government and doesn’t align with the agreement that the entrepreneur submitted for the land allocation method. The housing entrepreneur takes advantage from the buyers of land or house. Concerning the problems and disputes between the housing development and community member, the incompetent community members are elected the administration committee. With the incompetent committee, many problems are following leading to disputes between community members and housing development. These are the reasons of the study in this thesis.

          According to the study, the problems and disputes between housing entrepreneur, housing development and community members often occur from the entrepreneur using gap in law to take advantage from the buyers. For instance, regarding the advertisement prior to the authorization of land development; according to Land Allocation Act 2543 B.E., prohibition of the advertisement before it is authorized is not regulated. From this gap in law, the housing entrepreneur can launch the advertisement before it is authorized by the government agent. However, the construction plan authorized by government agent or land allocation committee might not be the same as it is advertised. This is considered as false advertising. Additionally, the housing entrepreneur does not use the sale agreement submitted to the land allocation committee but they use the new one which they write themselves in order to take advantage of the buyers. There, also, is not any law about the warranty of the house. This is different from other goods. Moreover, there are not any specific regulations or laws about the reservation agreement or sale agreement on housing estate. Housing estates are expensive but there are not consumer labels with the information about types, styles and maintenance. Furthermore, dispute resolution on housing estates is usually done   using the dispute resolution of the court only since, according to the law, the dispute resolution before it is done by the court is not regulated. According to the problems mentioned, the author suggests the amendment of the laws according to Land Allocation Act including the amendment of consumer protection law, and suggests about the management of the housing development.

          Therefore, this research suggests the amendment on the laws about advertisement, reservation agreement, sale contract, and changes of construction plan as well as the resolution on housing developer organization including regulations and conditions of the administrative housing development, the guarantee, dispute resolution and consumer protection labeling. These amendments and resolutions will lead to the efficient administration of housing estate. Moreover, community members or buyers can live on the housing estate with peace and security and are not exploited by the housing entrepreneur.