The EPPI shall stipulate operating regulations for conducting operations in accordance with the Regulations and file it with the FTC for approval. The same procedure shall apply for revisions.
The operating regulations stated in the preceding paragraph shall include the items specified in Article 3 of the Regulations.

Upon receipt of a request for mediation from an MLM enterprise or other participant, the EPPI shall assign a dedicated person to investigate the case. The three members of the mediation committee on duty will then conduct the mediation. The assigned mediation committee members shall select one person to preside over the mediation proceedings. However, a full mediation committee meeting may be convened for major cases.
The mediation committee members are required to hold the meeting within 15 working days after the EPPI receiving a request. The meeting may be postponed for 7 working days if necessary or with the consent of both parties to the dispute.
Depending on the parties involved, the mediation may be performed at the nearest place of domicile, residence or place of business.
The requirements, procedures, and the advance amounts for the major cases, as described in the first paragraph, shall be proposed by the EPPI, and then submitted to the FTC for its approval before implementation.
The mediation committee members（or the committee）shall carefully review related facts and evidence in mediation of disputes and may request MLM enterprises and participants to provide assistance or present related documents and information if it is reasonable and necessary.

Either party to a dispute may not disclose any information with regard to the request, statement or concession proposed by the other party during the mediation process, unless such information is already made public or the disclosure is conducted according to law or with the consent of the other party. The EPPI and its staff members and mediation committee members shall keep confidentiality in mediation process and corresponding information, unless it is otherwise stipulated in related regulations or with the consent of both parties to the dispute.
The directors（or the board）and supervisors shall not intervene in the mediation of individual disputes.

A successful mediation is accomplished when all parties concerned have reached an agreement. If the MLM enterprise is liable for compensation, or should pay a certain amount according to the investigation results, as made by the mediation committee, and fails to fulfill the payment obligation by the end of the contract, the EPPI shall order the said enterprise to pay within 30 days. The EPPI shall make an advance payment on behalf of the enterprise, if the payment is overdue.
The amount of an advance payment made by the EPPI, as referred to in the preceding paragraph, shall be determined by the Mediators（Mediation Committee）, based on such factors as the circumstances of the case, the imputability of the MLM business and the extent of damage suffered by the distributor, and the income of the EPPI and the risk to the EPPI for advancing such a payment. However, the board of directors should approve the advance payment for major cases.
After the EPPI makes an advance payment, the participant shall assign its rights of claim to the EPPI. The EPPI assumes the rights of claim of the participant starting from the date of the claims assignment, and then seeks recovery from the said enterprise.
After deducting the amount of the advanced payment, litigation costs and attorney's fees, the remaining amount recovered by the EPPI, as referred to in the preceding paragraph, shall be delivered to the participant, who signed over the rights of claim.
No application may be filed for mediation of the same dispute that has already settled.

Under one of the following circumstances, a dispute is considered unsettled:
1. One of the parties to the dispute fails to attend mediation meetings held by mediation committee members in 2 consecutive times.
2. A mediation proposal shall be reached after three mediation meetings are held. However, this rule does not apply if both parties agree to continue the mediation.

In the event that the mediation is not successful and, the Mediation Committee determines that the participant's request is justified, the participant may ask the EPPI to advance the litigation costs and attorney's fees up to a certain amount, file a lawsuit in court, and then return the aforementioned costs after the conclusion of the lawsuit. However, this does not apply if the participant is indigent and the EPPI agrees to waive the repayment.
The criteria for the maximum amount of an advance payment for litigation costs and attorney's fees, and the standards for repayment waiver due to indigence, shall be prescribed by the EPPI and then implemented after approval by the FTC, and the same shall apply to any amendments.

In the event that the mediation is not successful, if the mediators（committee）determine that the MLM enterprise is liable for compensation, the participant may also assign all of its claims to the EPPI and then ask the EPPI for an advance payment.
The provisions of Paragraphs 2 through 4 of Article 31 shall apply mutatis mutandis to a case, as described in the preceding paragraph.
A participant, who has asked the EPPI for advance payment in accordance with the provisions of the first paragraph, shall not apply again, in accordance with provisions of the first paragraph of the preceding Article.

The meeting minutes of the board of directors and mediation committee of the EPPI shall be provided to the FTC for reference on a quarterly basis.

If directors（or the board）, supervisors and mediation committee members（or the committee）violate related regulations during execution of their duties, neglect their duties, fail to execute their duties out in a diligent manner or make serious mistakes, the FTC may revoke their decisions, dismiss them or impose other proper sanctions.

In order to understand its operations, the FTC may notify the EPPI to provide operation and financial reports at any time, or send staff members or appoint CPAs for auditing whenever necessary.
The EPPI shall be responsible for the fees required for the CPAs’ auditing services stated in the preceding paragraph.

The EPPI shall keep the following documents for inspections by the FTC’s staff members:
1. The charter for endowment;
2. Rosters of directors, supervisors and mediation committee members;
3. The certificate for registration of legal person issued by the court;
4. Board of directors meeting minutes for the past 5 years;
5. Dispute resolutions and information related to mediation cases processed for the past 5 years;
6. The inventory of property, budgetary statements, final accounting statements, and CPA-audited financial statements for the past 10 years;
7. Accounting books for the past 10 years and related certificates for the past 5 years;
8.Registers for MLM enterprises and participants which have paid protection fund contributions and annual fees for the past 5 years.

These Regulations shall come into effect on the date of promulgation, except for Article 21, which shall come into effect on January 1, 2024.