30 Pattaya hotels closed for not having licences

[Up2u]

http://www.bangkokpost.com/news/general ... g-licences

[Gaybutton]

If the article is accurate about the numbers, that means the majority of Pattaya's hotels have been operating without being licensed. That brings to mind some questions.

Why would someone build or buy a hotel, but not obtain proper documentation to operate it? What does it take to obtain a license? Are they trying to save money? That doesn't make sense to me. I have to wonder if the reasons have anything to do with fear of the outcome of inspections. Are they fire safe? Are the elevators safe? Is the construction shoddy?

I'd like to know why so many hotel failed to obtain licenses - and which hotels are properly licensed.

And why do I have a feeling the same problems are not exclusive to Pattaya?

[Up2u]

Not having proper documents, licenses, etc. pertains to many businesses, not just hotels. It's about enforcement or lack thereof. Simply not fair to businesses that play by the rules.

[mahjongguy]

Any business that rents rooms for less than 30 days is regulated by the Hotel Act. A large percentage of the violators in Pattaya are guesthouses and condo units.

- Guesthouses don't want to be bothered with the regulations regarding foreigner reporting, safety requirements, etc. Nor do they want to pay tax.

- Rental of condo units for less than 30 days cannot be licensed because it is illegal.

[Gaybutton]

Rental of condo units for less than 30 days cannot be licensed because it is illegal.

I never knew that. I thought a condo owner could rent his unit for whatever time period he wants provided he reports the presence of a guest to immigration.

[Undaunted]

Rental of condo units for less than 30 days cannot be licensed because it is illegal.

I never knew that. I thought a condo owner could rent his unit for whatever time period he wants provided he reports the presence of a guest to immigration.

Such rentals are also subject to a 12% tax! I would love to see a crack down on condo rentals!

[Undaunted]

To managers/developers of condominiums,

Today, there is a lot of news about condominium developers/owners renting out rooms or buildings that they have ownership of to foreigners or tourists on a daily basis (daily rental) rate that generate income as if they were a hotel (under the Hotel Act 2004).

“This type of operation is causes a public nuisance for renters in the same complex and creates unsafe places for tourists, which may lead to loss of life and property. It is inacceptable to operate an illegal hotel. The penalty for this is up to one year in jail or a fine of up to B20,000, or both.

[Up2u]

To managers/developers of condominiums,

Today, there is a lot of news about condominium developers/owners renting out rooms or buildings that they have ownership of to foreigners or tourists on a daily basis (daily rental) rate that generate income as if they were a hotel (under the Hotel Act 2004).

“This type of operation is causes a public nuisance for renters in the same complex and creates unsafe places for tourists, which may lead to loss of life and property. It is inacceptable to operate an illegal hotel. The penalty for this is up to one year in jail or a fine of up to B20,000, or both.

I sit on a condominium homeowners committee and this is a big issue for us. Since we are registered under the Condominium Act of Thailand and not the Hotel Act there is little that we can do according to our lawyer. And yes, condo owners that rent for less than 30 days are in violation of the law, don't pay the hotel tax (12%) and seriously doubt they report their renters to immigration. These rentals are often booked on the web using sites like airbnb and booking.com.

[Undaunted]

I resigned from my condominium committee after reading much of what the responsibilities of a committee member legally entails......ultimately your sole purpose is to provide oversight to what is done by the Juristic Mgr. I wanted no liability as to what was or was not actually happening from a legal perspective.

[mahjongguy]

there is little that we can do according to our lawyer.

The committee could start by getting a better lawyer.

It takes a two-pronged approach. While pushing City Hall to punish the landlord via the Hotel Act, the condo can also take action directly by invoking the condo's bylaws which prohibit operating a public business from interior rooms.