The Guarantor's Right of Recourse according to the Civil and Commercial Code, Section 693: Study the Case of Grouping, Switching Loans and Switching Guarantees

Abstract

This research article aims to examine and analyze the legal principles surrounding the right of recourse available to guarantors under Thai law, with a comparative analysis of French and German legal systems. In practice, guarantors play a crucial role in financial transactions. However, their ability to recover payments from debtors remains limited, particularly under Section 693 of the Thai Civil and Commercial Code. Using documentary research methods, the study compares relevant statutory provisions and legal practices. The findings reveal that both the French and German laws provide a more proactive approach enabling guarantors to exercise their right of recourse. The study recommends that Thai law be reformed to reflect a more equitable and practical legal framework.