These Regulations are enacted in accordance with Paragraph 3, Article 40 of the Fair Trade Act (hereinafter referred to as the Act).
The serious violations stated in Paragraph 2, Article 40 of the Act refer to unlawful conduct that has seriously affected market competition and order.
The competent authority shall take the following into consideration to determine whether market competition and order has been seriously affected as stated in the preceding paragraph:
Conduct leading to one of the following circumstances may be deemed serious violations:
The total sales income of an enterprise in the previous fiscal year stated in Paragraph 2, Article 40 of the Act refers to the total sales income of the enterprise in the fiscal year before the year in which the competent authority finalizes the sanction.
Administrative fines to be imposed in accordance with Paragraph 2, Article 40 of the Act shall be determined based on the basic amount and adjustment factors.
The Basic amount stated in the preceding article shall be thirty percent of the total product or service sales achieved during the violation period.
The adjustment factors stated in Article 4 include the reasons for administrative fine increase and reduction to be taken into consideration by the competent authority when determining the administrative fine amount.
Subparagraphs 1 and 2 of the preceding paragraph shall not apply to enterprises that have acquired the approval of the competent authority to reduce the administrative fine in accordance with Article 35 of the Act.
Administrative fines imposed according to Article 4 may not exceed ten percent of the previous fiscal year’s total sales income of the enterprise to be sanctioned.
These Regulations shall enter into force on the day they are promulgated.