Abstract:
The objective of this thesis is purposefully to compare the law measures in relation with
the private businesss merger between Thailand, the Socialist Republic of Vietnam and the Laos
Peoples Democratic Republic in order to pursue the suitable ways or measures to amend and
develop the Enterprise Law of Laos, 2005 A.D. Moreover, this thesis is to study other legal issues
in relation with the private businesss merger in order to encourage the private businesss merger
and to protect those who may get affected from the private businesss merger in the Laos Peoples
Democratic Republic in more effective terms.
As a result of the study, it is found out that the Enterprise Law of the Laos, 2005 A.D.
enforced at the present has regulated the main principles of the private businesss merger
(regarding Part 4, Section 2, Class C, Article 51: Merger of ordinary partnerships and Article 52:
Objection to the merger and the effect of the merger ordinary partnership; Part 5, Section 2, Class
D, Section 159: Merger of the limited company and Section 3, Class C, Merger of a public
company. From what stated in Article187, Article 188 and Article 189). However, from these
provisions of this law, it could be seen that they could not help solving legal issues and problems
in the private businesss merger processes because some provisions were written and defined in
broader, unclear and concise circumstances, considering as a major obstacle for the merger
processes of company directly enforced by the law. In addition, it is also found out from the study
that other related laws in regard of the private businesss merger could not protect those who may
get affected from the private businesss merger and such laws could not encourage the private
businesss merger in Laos Peoples Democratic Republic as they are supposed to be.
Hence, it should amend and develop the Enterprise Law of Laos, 2005 A.D., especially
article 51, article 52, article 159 and article 188, in order to be rectified and augmented so that the
private businesss merger processes will be apparent and the arisen issues could be solved which
may cause from the property, liability and privileges of the shareholders which could be
transferred properly as well as the rights of the employees.
The legal principles of the mentioned countries stated in this thesis could be brought to
be applied the ways in regulating processes and procedures of the private businesss merger such
as: (1) The merging companies will be enforced to get the merger contract prepared including the
labor plan set up, merger duration processed and used as well as matters in regard of conditions of
property right transfer, capital, stock and debenture privatization, informing the employees to
acknowledge processes and procedures pertaining the businesss merger prior to the official
processes and procedures take place. (2) There should be a regulation legislated to exempt the
businesss merger whose business has been retained without any new registration of the company
made, (3) The regulation of companys stock buyback rights and allowing the company to get
stake buyers to buy the companys stocks held by the shareholders who are opposed to the
businesss merging plan. (4) The regulation of appointing the seasoned stock appraisal expert
could be rectified to allow the companys directing committee to appoint such person. (5) The
regulation of objection period of the businesss merger processes of the debtors starting off from
the date the company has acknowledged its shareholders regarding the businesss merger plan.
(6) This includes the regulation of allowing the partnership company or the company to pay off
debts or acquire the collateral for the debtors beforehand in case there are any objections towards
the businesss merger processes.
Furthermore, other laws in relation with the private businesss merger are supposed to be
rectified as well, particularly, the employee protection on the result of the businesss merger
initiated by the employer and the taxation policy in regard of the private businesss merger in
order to make the laws enforced more effectively and is in accordance with the social and
economic conditions that have been changed.