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🇻🇳 Thai Law vs Vietnamese Law: Key Differences
Comparative guide highlighting differences between Thai and Vietnamese legal systems — useful for Vietnamese nationals and Vietnam-Thailand business operators.
Vietnam operates a socialist civil-law system with French colonial heritage and substantial post-1986 Doi Moi reforms. Thailand is a constitutional monarchy with a Continental civil-law system. Both are ASEAN members; cross-border labour migration (Vietnamese to Thailand) and manufacturing competition shape practical legal interaction.
Comparison Table
| Area | 🇹🇭 Thai Law | 🇻🇳 Vietnam | Key Difference |
|---|---|---|---|
| Legal System Basis | Continental civil law. Constitutional monarchy. Single secular code. | Socialist civil law with French colonial influence. Single-party state. Reformed since 1986 (Doi Moi). | Vietnamese law operates under one-party Communist Party oversight; Thailand has a multi-party (currently re-establishing) framework with no party-state structure. |
| Land Ownership | Foreigners cannot own land. Condo Act 49% foreign quota. Long-lease 30 years renewable. | No private freehold land — all land is owned by the state, held by users under LURC (Land Use Rights Certificate). Foreigners can hold LURC apartments up to 30% of building, 50-year terms. | Both restrict foreign land — Vietnam has no freehold at all (even for nationals); foreign apartments in Vietnam use LURC, in Thailand use Condominium Act registration. |
| Business Formation | Foreign Business Act restricts foreign ownership in most sectors. BOI promotes specific sectors. | Investment Law (Law 61/2020) plus Enterprise Law. Negative list of restricted sectors. Foreign-invested enterprise (FIE) common. SEZ programmes. | Vietnam has substantially liberalised since the 2020 Investment Law; many sectors now allow full foreign ownership. |
| Visa Status with Thailand | Vietnam on the 93-country visa-exempt list — 60 days visa-exempt. | Thai nationals can enter Vietnam visa-exempt for 30 days under ASEAN bilateral arrangements. | Both nationalities benefit from streamlined ASEAN entry. |
| Labour Law | Labour Protection Act B.E. 2541. Severance 30-400 days based on tenure. Minimum wage set provincially. | Labour Code 2019. Regional minimum wage (4 zones). Maximum 48 hr/week. Severance 0.5 month per year of service. | Vietnamese severance is lower than Thai; both have strong statutory protections. |
| Drug Laws | Cannabis decriminalised 2022 with restrictions since 2024. Death penalty possible for trafficking. | Drug Prevention and Combat Law. Death penalty for trafficking 100g+ of heroin, methamphetamine, etc. Cannabis fully illegal. | Vietnam has lower thresholds for death-penalty drug offences; cannabis remains fully illegal. |
| IP Protection | Intellectual Property and International Trade Court since 1997. DIP within Ministry of Commerce. | Intellectual Property Office of Vietnam (NOIP). Specialised IP enforcement courts since 2009. | Both have specialised IP enforcement infrastructure; Vietnam's TRIPS-compliance significantly improved post-WTO accession (2007). |
| Tax System | Worldwide remittance basis from 2024. Tax-resident at 180+ days. Top personal rate 35%. | Worldwide taxation for residents (183+ days or permanent home). Top personal rate 35%. Vietnam-Thailand DTA in force. | Both apply worldwide taxation for residents; Vietnam-Thailand DTA prevents double taxation. |
| Family Law | Community property default. Civil marriage. Same-sex marriage from 22 Jan 2025. | Marriage and Family Law 2014. Community property default with prenup option. Same-sex marriage not recognised but no longer criminalised. | Both have community property defaults; Thailand recognises same-sex marriage from 2025, Vietnam does not yet. |
| Court System | Civil and Commercial Court system + Constitutional Court + Administrative Court. No jury trials. | Supreme People's Court + provincial People's Courts. No jury trials. Procuracy plays prosecution role. | Vietnam's procuracy (Vien Kiem Sat) is a distinct constitutional organ with no Thai equivalent; both lack juries. |
Important Notes
Both Vietnam and Thailand are members of ASEAN with services-sector liberalisation under the ASEAN Economic Community framework.
Vietnam-Thailand DTA (signed 1992) covers personal and corporate income tax.
Vietnam has substantial Thai investment (Central Group, SCG, etc.); the bilateral commercial framework is mature.
Vietnamese migrant workers in Thailand fall under the Thai-Vietnam MoU on labour migration (renewed periodically).
Professional Legal Assistance
When a matter involves investigation, arrest, detention, litigation, or regulatory action, professional legal representation becomes essential.
Anglo Siam Legal provides experienced legal services across Thailand for both Thai nationals and foreigners.
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