Arbitration is a dispute settlement procedure whereby the disputants agree to be bound by the arbitrator’s decision.
The SEC Office facilitates dispute settlement by means of arbitration between investors and intermediaries (e.g., securities firms, selling agents of foreign shares, mutual fund supervisors, private fund custodians and derivatives business operators).
A dispute may be settled through arbitration when the following criteria are met:
(1) The dispute is a result of the respondent’s breach of contract or contravention of the Securities and Exchange Act, the Provident Fund Act, the Derivatives Act, or any regulations prescribed thereunder;
(2) The amount of damages claimed by each claimant does not exceed five million baht;
(3) Where the dispute is related to any offering of securities services or contravention of
the Securities and Exchange Act, the Provident Fund Act, or any regulations prescribed thereunder, the dispute shall:
i. arise out of matter relevant to the claimant who is a natural person being or having been
a customer or a member of the provident fund of the respondent who is a securities business.
In either case, the claimant shall produce evidence of the respondent’s consent to enter the SEC arbitration.
ii. have undergone the respondent’s complaint handling procedure in accordance with the Notification of the Capital Market Supervisory Board or the Notification of the Office of the Securities and Exchange Commission, as the case maybe, and it appears one of the followings:
a) The claimant has not received a response within 15 days after filing.
b) The respondent has failed to resolve the dispute to the satisfaction of the claimant within 45 days after filing.
c) The claimant views the resolution or the remedy inappropriate, and produces
the reservation of right to enter arbitration.
iii. be within 6 months old after one of these followings:
a) 15 days after filing, in case that the claimant has not received a response.
b) 45 days after filing, in case that the respondent has failed to resolve the dispute.
c) 45 days after filing, in case that the claimant views the resolution or the remedy inappropriate.
iv. not be older than 2 years as of the date of the cause of such dispute unless the SEC office deems necessary and appropriate, but under the prescription.