Transferring the Ownership of Movable Properties by a Contract of Sale

A Comparative Study between China and Thailand

Abstract

Laws concerning a contract of sale and the transfer of ownership of movable properties relate to the business transactions which help to boost the economy. This article examines laws concerning the transfer of the ownership of movable properties by the contract of sale in China’s and Thailand’s legal systems, both ordinary movable properties and special movable properties. The article found that, in Thai law, transferring the ownership of movable properties is on the basis that the ownership is transferred to the buyer when the parties enter into the contract of sale. Thai law does not require delivery, and delivery is not the publicity because it is only the duty of the seller. By contrast, in Chinese law, transferring the ownership of movable properties require delivery, and such ownership is transferred at the moment of delivery, excepting other laws and parties’ agreement state otherwise. Further, in the case of special movables, there are three kinds of special movable properties in Chinese law, including vessels, aircraft, and motor vehicles. Transferring the ownership of special movables through the contract of sale in Chinese law employs the same method of transfer of ordinary movables, but, without the registration, the buyer shall not confront bona fide third parties. In contrast, in Thai law, special movable properties include ships of five tons and over, floating houses, and beasts of burden. The sale of special immovable properties is void unless it is made in writing and registered by the competent official.