Searching for a lawyer in Koh Phangan who can advise on land ownership issues? Whether you’re worried about the legal risks of a nominee structure or need help correcting a Thai land title deed, this guide from TR Law and Counsel, a local law firm based on Koh Phangan, explains what you need to know before you invest.
What Is a Nominee Structure and Why It’s a Problem on Koh Phangan
Under Thai law, foreigners cannot directly own land (with limited exceptions). Because Koh Phangan attracts significant foreign investment in land and tourism businesses, it’s common to see “nominee” arrangements, where a Thai national holds land on behalf of a foreign buyer. Typical structures include:
A Thai spouse, friend, or acquaintance holding the title on paper while the foreign buyer provides the funds
A Thai limited company where Thai nationals legally hold the majority of shares, but the foreign investor actually supplies the capital and controls decisions
Long-term lease agreements paired with side agreements that give the foreigner effective control over the property
Legal Risks of Using a Nominee
Nominee land holding is a way of circumventing the Foreign Business Act and Land Code, and it carries serious risks:
Criminal liability — both the Thai nominee and the foreign investor can face fines and imprisonment under the Foreign Business Act.
Increased government scrutiny — Thai land authorities have tightened checks on land transactions involving foreigners, particularly in popular areas like Koh Phangan and Koh Samui.
No real security of ownership — if the nominee dies, divorces, incurs debt, or simply changes their mind, the true investor has little to no legal recourse to reclaim the property.
Forced sale — if a nominee arrangement is discovered, the Land Department can order the property sold within a set period.
Legal Alternatives for Foreign Investors
Rather than relying on a nominee structure, foreign buyers interested in Koh Phangan should consider legitimate options such as:
A properly registered long-term lease (up to 30 years, renewable)
Freehold ownership of a condominium unit, which foreigners may own directly, subject to the 49% foreign-ownership quota per building
Investing through a properly structured Thai company, with share ownership and control that genuinely reflect the underlying investment
BOI investment promotion, where eligible
A local lawyer in Koh Phangan can review your specific situation and structure the investment correctly from the start, rather than fixing problems after the fact.
Correcting Land Title Deeds on Koh Phangan
Beyond nominee issues, another common problem on Koh Phangan is inaccuracies in land title deeds, often caused by imprecise historical surveys, the island’s hilly terrain, or registration errors.
Common Title Deed Issues in Island Areas
Boundary lines that don’t match actual land use on the ground
Registered area that doesn’t match the area found in a new survey
Misspelled names or details that don’t match the owner’s ID
Land overlapping with forest reserve or state land, which is not uncommon on Koh Phangan
Title upgrades, such as converting a Nor Sor 3 Kor to a full Chanote title
Steps to Correct a Land Title
The process varies depending on the issue, but generally includes:
Reviewing the title history at the Surat Thani Land Office, Koh Phangan branch, to check past registrations and surveys
Re-surveying the land to establish the correct boundaries and area
Gathering supporting evidence, such as witness testimony, aerial photographs, or older land documents
Filing a petition with the land officer to request the correction — some cases require a committee review or a court order
Court proceedings, where necessary, particularly in boundary disputes with neighboring landowners or where the Land Department cannot resolve the issue administratively
Why Work with a Local Koh Phangan Lawyer
Both nominee issues and title corrections require a lawyer who understands local land history and terrain, not just the law on paper. TR Law and Counsel is based directly on Koh Phangan and works with land records at the local Land Office every day, which means fewer surprises and a smoother process for clients buying, holding, or correcting land on the island.
In Summary
Whether you’re considering a land investment on Koh Phangan and want to avoid nominee-related legal exposure, or you’re dealing with a title deed that needs correcting, getting the right advice early can save significant time, money, and stress.
Before you invest, talk to us first. Contact TR Law and Counsel for an initial consultation, and make sure your land purchase or investment on Koh Phangan is structured correctly from day one — not something you have to fix after the fact.
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