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Chapter Law Content

Title: Civil Code CH
Category: Ministry of Justice(法務部)
Part Ⅲ Rights In Rem
Chapter 8 Dian
Article 911
Dian is, by delivering a price, the right to use and collect profits on a real property of another person, and the ownership of such real property is acquired if the said person refuses to redeem.
Article 912
The period of dian cannot exceed thirty years. If a period exceeding thirty years has been agreed upon, such period is to be reduced to thirty years.
Article 913
If a period of a dian less than fifteen years has been agreed upon, a clause, which provides that the property not redeemed on the date of expiration will be considered sold without a right of redemption, cannot be included in the contract.
If a clause, which provides that the property not redeemed on the date of expiration will be considered sold without a right of redemption, has been agreed upon, the dian-holder acquires the ownership of the property dianed if the dian-maker refuses to redeem at the original dian price on the date of expiration.
A clause, which provides that the property not redeemed on the date of expiration will be considered sold without a right of redemption, shall not be effective against a third party unless it has been registered.
Article 914
(Repealed)
Article 915
For the duration of the dian, the dian-holder may sub-dian or lease the property dianed to another person. Unless it is otherwise provided by agreement or by customs, such agreement or custom shall apply.
If the dian’s duration has been fixed, the duration of the sub-dian or lease cannot exceed that of the original dian. In the absence of such fixed duration, the sub-dian or lease shall not have a fixed duration.
The price for the sub-dian cannot exceed the price of the original dian.
If the land and the buildings thereon belong to the same person, and a dian is created for one person, the dian-holder shall not separately sub-dian or dispose of the property dianed.
Article 916
The dian-holder is liable to compensate for any injury caused to the property dianed resulting from the sub-dian or lease.
Article 917
The dian-holder may transfer the dian to another person or create a mortgage.
If the property dianed is a land, and the dian-holder has a building thereon, the dian and such building cannot be separately transferred or disposed of.
Article 917-1
The dian-holder shall use the property dianed and acquire the profit therefrom according to the nature of the property dianed, and shall maintain sustainable use for the property dianed maintained.
If the dian-holder violates the provision of the preceding paragraph, the dian-maker is entitled to redeem the property dianed if the dian-holder ignores his inhibition. If a mortgage is created on the dian, the mortgagee shall also been informed about such inhibition.
Article 918
The dian-maker may after the creation of the dian transfer the property dianed to another person. However, the dian remains un-affected.
Article 919
When the dian-maker sells the property dianed to another person, the dian-holder has the right of first purchasing under the same terms and conditions.
In the case of the preceding paragraph, the dian-maker shall notify the dian-holder in writing accordingly. If the dian-holder fails to express his intent of purchasing in writing under the same terms and conditions within ten days after receiving the notice of sell, his right of first purchasing is deemed waived.
If the dian-maker violates the provision of notice of the preceding paragraph and transfers the ownership of the property dianed, such transfer shall not be effective against the dian-holder.
Article 920
If, for the duration of the dian, the property dianed has been wholly or partially destroyed by force majeure, both the dian and the right of redemption are extinguished in respect to the part destroyed.
In the case of the preceding paragraph, if the dian-maker redeems the part remaining, he may deduct from original price received for the dian the price for the dian of the destroyed part. The price for the dian of the destroyed part is calculated according to the proportion of the value which the part destroyed had at the time of such destruction and the value which the property dianed had at the time of such destruction.
Article 921
If, for the duration of the dian, the property dianed is wholly or partially destroyed by force majeure, the dian-holder may reconstruct or repair the property dianed within the value which the part destroyed had at the time of such destruction, unless otherwise agreed by the dian-maker. Original dian is deemed continually existing on the reconstruction.
Article 922
If, for the duration of the dian, the property dianed is wholly or partially destroyed due to
the dian-holder's fault, he is liable for such destruction to the extent of the amount of the
price given for the dian. However, if the destruction is caused by his intentional actions or
gross negligence, he shall compensate for further injury, in addition to that covered by the
price given for the dian.
Article 922-1
A reconstruction is financed by the compensation received from the loss of the property dianed, the original dian shall be deemed as continuously existing upon the reconstructed property.
Article 923
If a period has been fixed for the duration of the dian, the dian-maker may redeem the property dianed at the original price received for the dian after the end of such period.
If the dian-maker does not redeem the property dianed at the original price received for the dian within two years from the end of the said period, the dian-holder acquires the ownership of the property dianed.
Article 924
If no period has been fixed for the duration of the dian, the dian-maker may redeem the property dianed at any time at the original price received for the dian. However, if it is not redeemed within thirty years from the creation of the dian, the dian-holder acquires the ownership of the property dianed.
Article 924-1
When the dian-maker makes an expression of redeeming the property sub-dianed to the dian-holder, if the dian-holder does not redeem from the sub-dian-holder and cancel the recordation of dian within a reasonable period, the dian-maker is entitled to redeem, within the price of original claim, the property dianed from the last sub-dain holder at the price of the last sub-dianed.
In the case of the preceding paragraph, if the price for sub-dian is lower than the price for the original dian, the dian-holder or the sub-dian-holder is entitled to claim the difference of the price between the original dian and the sub-dian. The dian-maker can also lodge the difference in amount for every person who is entitled to claim.
The provision of the preceding two paragraphs shall also apply to the following circumstances:
1. The dian-holder has previously declared that he refuses to cancel the recordation of the dian.
2. The dian-maker cannot make the expression of redemption because the dian-holder is missing or other circumstances.
Article 924-2
Where the land and the building thereon are owned by the same person, and the dian is only created on the land, a lease relationship is presumed to exist between the dian-holder and the owner of the building during the existence of the dian or the building. If the dian is only created on the building, a lease relationship is presumed to exist between dian-holder and the landowner within the duration of the dian. If the dian is created on the land and the building respectively, a lease relationship is presumed to exist between the dian-holders within the duration of both dian.

In the case of the preceding paragraph, if the sum of the rental cannot be agreed upon by the parties, they can apply to a court for a judgment to determine it.
Where the dian is created according to the first paragraph, and the dian-holder acquiring the ownership of the property dianed according to the provisions of the second paragraph of Article 913, the second paragraph of Article 923 and Article 924 results in the land and the building owned by different person, the provision of Article 838-1 shall be applied.
Article 925
The redemption made by the dian-maker shall be informed to the dian-holder six months beforehand.
Article 926
If, for the duration of the dian, the dian-maker expresses to transfer to the dian-holder the ownership of the property dianed, the dian-holder may acquire such ownership by paying the difference between the current value of the property dianed and the price given for such dian.
The payment of the difference specified in the preceding paragraph shall be made once only.
Article 927
If beneficial outlays have been incurred by the dian-holder, whereby the value of the property dianed is increased or where reconstruction or repairs have been made in accordance with the provisions of Article 921, the dian-holder may demand return to the extent of the benefits existing at the time of the redemption of the said property.
The provision of Article 839 shall apply mutatis mutandis to the redemption of the said property.
If the property dianed is a land, and the dian-maker agrees the dian-holder to construct buildings on it, the dian-maker shall reimburse the dian-holder according to the current market price of such building at the time of the redemption of the said property, except there is another agreement. If the dian-maker refuses to reimburse, a superficies is deemed to be created at the time of the redemption.
If the dian-maker is willing to reimburse according to the preceding paragraph, but the parties cannot agree upon the current market price, the parties can apply to a court to determine the price. If the dian-maker refuses to reimburse according to the price decided by the court, a superficies is also deemed to be created at the time of the redemption.
In the circumstance that a superficies is deemed to be created as specified in the preceding two paragraphs, if the parties cannot agree upon the rental, duration and scope, the parties can apply to a court to determine it.