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Chapter Law Content

Chapter II Hotel Establishment Preparation, Licensing and Changes
Article 5
Parties intending to set up tourist hotels shall submit the following documents to apply to the MOTC for approval to start preparation:
1. Intended hotel locations not involving urban planning changes or not included in areas designated for urban land rezoning:
(1) The Hotel Establishment Preparation Approval Application Form
(2) The list of founders or directors and supervisors
(3) The corporate charter
(4) The business plan
(5) The financial plan
(6) The land registration transcript, land-use zoning certificate and land-use rights certificate issued within the three most recent months; for hotels to be using existing buildings, the building registration transcript and building use rights documents issued within the three most recent months shall also be required.
(7) Hotel building blueprints
(8) General hotel facility description
2. In the event that the intended hotel location involves urban planning changes or is not included in an area designated for urban land rezoning, the applicant shall draw up a business establishment plan and acquire the ratification of the competent authority before submitting the finalized business establishment plan and the documents specified in Items 1 to 6 and Item 8 to apply to the MOTC for approval to start preparation.
The building projects specified in the business plan or the business establishment plan described in the preceding paragraph may be conducted in stages and in divided zones.
Article 6
After accepting a hotel establishment preparation approval application, the MOTC shall conclude the reviewing within 60 days and notify the applicant and concerned agencies of the decision. However, under special circumstances, the reviewing period may be extended for up to 50 days and the applicant shall be notified.
If further information is required, the applicant shall be notified to provide such information within a given period which shall not be included as part of the reviewing timeline specified in the preceding paragraph. If the applicant fails to provide further information or the further information provided is incomplete, the application shall be rejected.
Before the period given for provision of further information expires, the applicant may provide justifiable reasons and apply for extension of the period or withdraw the application. If the applicant does not apply for extension or withdraw the application or the reasons provided are not justifiable, the MOTC shall reject the application.
Article 7
Parties approved to start hotel establishment preparation shall take the due procedure to apply for company registration and submit the following documents to the MOTC for reference:
1. A photocopy of the company registration
2. The list of directors and supervisors
Changes made to information registered in the documents specified in the preceding paragraph shall be submitted to the MOTC within 15 days after they are ratified by the competent authority.
Article 8
The name of a tourist hotel in Chinese or in a foreign languages may not be identical or similar to that of any already registered tourist hotel unless the tourist hotel has joined an international or domestic hotel chain and registered the chain membership in accordance with Article 36 of these Regulations.
Article 9
Parties approved to start hotel establishment preparation shall complete the following undertakings within the given periods:
1. Act according to related regulations in the Building Act and apply to the local building authority for a tourist hotel building permit within two years after obtaining the approval for starting preparation and submit a photocopy of the building permit to the MOTC for reference within 15 days after receiving the building permit.
2. Apply to the local building authority for a tourist hotel building use permit within five years after obtaining the building permit as well as submit a copy of the building use permit to the MOTC for reference within 15 days after receiving the building use permit.
3. Apply to the local building authority for a tourist hotel building use permit within two years after acquiring the approval for starting preparation if a building use permit has already been issued for the building to be used for the tourist hotel and also submit a copy of the tourist hotel building use permit to the MOTC for reference within 15 days after receiving the permit.
4. Apply for permission to begin operation according to Article 12 of these Regulations within one year after acquiring the tourist hotel building use permit.
The hotel establishment preparation approval for those failing to complete the undertakings specified in the preceding paragraph shall be nullified and the MOTC shall inform related agencies of the nullification. However, concerned parties with justifiable reasons may provide such reasons and apply to the MOTC for extension before the specified periods expire.
The extension application described in the preceding paragraph may be filed up to two times. Each extension shall be half year at the maximum; the hotel establishment preparation approval shall lose its validity if the undertakings remain uncompleted after the extended periods expire.
Parties acquiring extension permission from the MOTC more than two times before the amendment to these regulations takes effect on Jan. 28, 2016 shall obtain tourist hotel building permits or building use permits within one year after the amendment takes effect. The hotel establishment preparation permission of those failing to comply shall be nullified and the MOTC shall inform related agencies of the nullification.
Article 10
A tourist hotel intending to make area changes during the preparation process shall apply to the MOTC for approval in advance. However, if the changes involve more than one fifth of the original area approved or such changes are considered entailing serious impacts on the preparation of the tourist hotel in question, the MOTC may revoke the preparation approval
A tourist hotel intending to make building design changes before or during construction shall submit plans of design changes and related documents to apply to the MOTC for approval in advance and the changes shall be conducted according to related regulations in the Building Act.
Article 11
The preparation approval of any tourist hotel dissolving the company or having its company registration revoked during the preparation process shall lose its validity.
A tourist hotel intending to assign the hotel to another during the preparation process shall submit the following documents to apply to the MOTC for approval:
1. Ownership assignment application
2. Duplicates of related agreements
3. The assigner’s shareholders’ meeting minutes or letter of consent
4. The assignee’s business plan and financial plan
If a tourist hotel takes part in a business merger during the preparation process, the surviving company or the new company shall submit the following documents to the MOTC for reference:
1. The shareholders’ meeting and board of directors meeting minutes indicating the resolution on the merger
2. Proof of company merger registration and a duplicate of the merger agreement
3. Proof of land and building ownership transfers
4. The business plan and financial plan of the surviving company or new company
Article 12
A tourist hotel completing the preparation work shall submit the documents listed below for the MOTC to organize joint inspections with the police department, building authority, fire department and health authority. The tourist hotel may begin operation only after passing the inspections and obtaining a tourist hotel license and an official tourist hotel label,
1. The Tourist Hotel License Application
2. A photo copy of the building use permit and the as-built drawings
3. A photocopy of the company registration
Article 13
A tourist hotel with more than three hundred rooms and meeting the requirements below may apply for inspections according to the preceding article. After passing the inspections, the hotel may be issued a tourist hotel license and an official tourist hotel label to begin operation early.
1. Having obtained the building use permits and the as-built drawings for all the facilities of the hotel
2. Having completed the furnishing of at least 60% of the guest rooms, no less than two 240 rooms, and all the floors to be used for the hotel
3. The floor areas of all the restaurants totaling no less than the number of guest rooms multiplied by 1.5 square meters and the furnishing of all the floors with restaurants completed
4. Having completed the lobby, elevators and restaurant kitchens
5. Having installed noticeable safety warning signs for hotel guests on floors or in areas where the furnishing is not yet completed
A tourist hotel beginning operation early as described in the preceding paragraph shall complete all furnishing within one year as well as apply for and pass the inspections stated in the preceding article. However, with justifiable reason, a tourist hotel may apply to the MOTC for extension for up to one year.
Tourist hotels constructed in stages or in divided zones may apply for inspections according to the preceding article after the construction of each stage of zone is concluded and all the facilities specified in the Tourist Hotel Construction and Facility Standards are completed. A tourist hotel complying with the requirements shall be issued a tourist hotel business license and an official tourist hotel label for the stage or zone to begin operation without being subject to the two preceding paragraphs.
Article 14
The provisions regarding tourist hotel establishment preparation shall apply mutatis mutandis to addition, reconstruction and reparation of tourist hotel buildings, However, the list of founders or directors and supervisors shall not be required.
Article 15
If a tourist hotel approved to be designed and constructed on the same base with buildings for other purposes intending to change the use of such other buildings as part of the hotel after beginning operation shall submit the following documents to apply to the MOTC for approval:
1. The business plan
2. The Financial plan
3. Photocopies or proof of use rights for the buildings to be incorporated as part of the hotel
4. Building design plans
5. Facility descriptions
After the buildings to be incorporated as part of the hotel as described in the preceding paragraph are completed, the tourist hotel shall submit the photocopies of the permits for change of building use license for the buildings in concern and the as-built drawings to request the MOTC to organize joint inspections with the police department, building authority, fire department and health authority. The buildings shall pass the inspections before they may be used as part of the hotel.
Article 16
A tourist hotel intending to change the uses of its lobby, guest rooms, restaurants, recreational facilities and stores shall apply to the MOTC for approval in advance.
After approving an application described in the preceding paragraph, the MOTC shall notify related agencies to take necessary action in accordance with related regulations.
Article 17
A tourist hotel changing its organization, name, address or representative shall submit the following documents to the MOTC to apply for registration of such changes and a new tourist hotel license within 15 days after such changes are approved by the competent authority.
1. The Tourist Hotel Change Registration Application
2. A photocopy of the company registration and the shareholders’ meeting minutes or letter of consent or the board of directors meeting minutes indicating agreement on such changes
The preceding paragraph shall apply to tourist hotel name changes but the regulation on application to the competent authority of the hotel industry for registration of changes shall not apply.
Article 18
The MOTC may perform tourist hotel ratings and issue tourist hotel rating labels in accordance with the results.
The MOTC may delegate the Tourism Administration or private organizations to perform the tourist hotel ratings described in the preceding paragraph provided that the delegation, range of authority delegated and the corresponding legal bases are publicly announced and posted in government gazettes.
When the MOTC delegates the Tourism Administration or private organizations to perform tourist hotel ratings as stated in Paragraph 1, the Tourism Administration shall define the rating standards in accordance with the building and facility quality, management condition and service quality of tourist hotels and also design the tourist hotel rating labels.
Each tourist hotel shall place its rating label issued in accordance with Paragraph 1 at noticeable locations in the lobby.
A tourist hotel unable to continue operation for practical reasons or legal consequences shall return its rating label within 15 days after the practical reasons occur or receiving the administrative disposition. If any tourist hotel enterprise fails to comply, the MOTC may publicly announce the revocation of the tourist hotel rating label or delegate the Tourism Administration to do so in accordance with Paragraph 2. However, tourist hotels in temporary business suspension according to Paragraph 1 of Article 34 are excluded.