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Chapter Law Content

Chapter 5 Mediation Procedure and Costs
Article 39
In terms of mediation, an applicant shall submit a written application along with the number of copies same as the number of the other parties to the arbitration institution.
The written application referred to in the preceding paragraph shall describe the reasons for the mediation application and the dispute’s status along with copies of relevant evidencing documents.
Article 40
An arbitration institution shall give notice to each of the other party along with a copy of the written application and request the other party to submit a consent to mediation within 7 days beginning with the day of receipt of the notice.
If no consent to mediation is given within the time period specified in the preceding paragraph, such other party shall be deemed to have refused the mediation.
With the other party’s consent to mediation, the arbitration institution shall notify the parties to select the arbitrator(s) to conduct mediation within 7 days beginning with the day of their receipt of such notice.
In calculation of the time period specified in the first paragraph and the preceding paragraph, the time occupied in travel shall be deducted provided that the standard of time en route adopted by the courts shall be applicable herein mutatis mutandis.
Article 41
The parties shall mutually select one arbitrator or select one for each party to conduct mediation.
The arbitration institution may be designated upon the parties’ agreement to select one or two arbitrators for the parties.
Without the agreement set out in the preceding paragraph and no arbitrator is timely selected, either party may request the arbitration institution to select one arbitrator as the mediator for the parties.
Article 42
A party may, by written form, appoint agent(s) to conduct mediation.
A party’s agent shall submit a power of attorney to the arbitration institution or the mediator before the mediation begins.
The power of attorney, if executed overseas, shall be certified by the Republic of China (Taiwan)’s embassy, representative office, office or other institution authorized by the government in that country; otherwise it shall be certified by the local court or other notary office if there is no Republic of China (Taiwan)’s embassy, representative office, office or other institution authorized by the government in that country.
Article 43
The mediator shall set a date of mediation as soon as possible and notify the parties to be present; if a party has appointed an agent, the notice shall be given to the agent.
Article 44
Failure of a party or both parties to be present on the date of mediation without justified reasons shall be deemed that no settlement is reached. However, the mediator may set another date of mediation if it is considered likely to reach a settlement.
Article 45
A mediation proceeding may be conducted in private at the arbitration institution or other place considered appropriate.
The mediator and persons who handle the mediation matters shall keep the mediation case confidential except the matters that have been made public.
Article 46
A mediator shall explore the true facts and the parties’ main dispute and, if required, may conduct investigation on the matter and relationship to the extent necessary.
An arbitration institution may consult relevant authorities for assistance while hosting a mediation over a dispute under this Regulation.
Article 47
If a settlement is reached, the mediator shall prepare a settlement agreement setting forth the following information and the settlement agreement shall be signed or affixed with seals by the parties or their agents and the mediator:
(1) Names and addresses of all parties; if a party is a legal person or an organization or institution, its full name and the address of its office or place of business;
(2) If a party has a legal representative or is represented by mediation agent, their names and addresses;
(3) Name and address of the mediator present;
(4) Subject matter of the mediation;
(5) Settlement terms;
(6) Venue of settlement; and
(7) Day, month and year of settlement
The mediator shall report the settlement agreement referred to in the preceding paragraph to the arbitration institution within 5 days beginning with the day of settlement.
Article 48
The mediation proceeding shall automatically terminate upon occurrence of any of the following:
(1) Settlement is reached;
(2) Settlement cannot be reached; or
(3) A party applies to withdraw the mediation application and the withdrawal is consented by the other party.
When a mediation application or a consent to mediation is withdrawn by a party, the mediation shall be deemed terminated.
Article 49
When a settlement cannot be reached through mediation, a party may apply to the arbitration institution in writing for issuance of a certificate evidencing that the settlement is not reached.
An arbitration institution shall issue the certificate referred to in the preceding paragraph within 7 days beginning with the day of its receipt of the application.
Article 50
For a mediation application concerning matters arising from proprietary rights, a mediation fee calculated pursuant to a claim’s monetary value and the following scales shall be paid:
(1) NTD 3,000 on the first NTD600,000; and
(2) 5 % on the portion over NTD600,000 for a claim’s monetary value over NTD600,000;
If a claim is expressed in foreign currency, the monetary value shall be calculated in accordance with the foreign exchange rate in the market on the date of application.
If a claim is expressed in unit of gold or silver, the monetary value shall be calculated in accordance with the market value on the date of application.
Article 51
For a mediation application concerning matters arising from non-proprietary rights, a mediation fee of NTD3,000 shall be paid.
For a mediation application concerning matters arising from non-proprietary rights, but including a proprietary claim, the mediation fees shall be calculated separately.
Article 52
A mediation claim’s monetary value shall be determined by the mediator.
Articles 4 to 7 of the Civil Procedural Code shall apply mutatis mutandis in calculation of a mediation claim’s monetary value.
A mediation claim’s monetary value shall be deemed NTD60,000 if it cannot be determined.
Article 53
After a mediation proceeding is terminated, with respect to the mediation fee received by an arbitration institution, the amount paid to the mediator presiding a mediation case shall be calculated pursuant to the claim’s monetary value and the following scales:
(1) 60% of the mediation fee for a claim with monetary value of NTD20,000,000 or less;
(2) 50% on the portion over NTD20,000,000 for a claim with monetary value over NTD20,000,000 to NTD300,000,000; and
(3) 40% on the portion over NTD300,000,000 for a claim with monetary value over NTD300,000,000.
Article 54
A party which applies for mediation shall pre-pay one-half of the mediation fee to the arbitration institution. This also applies to the other party which consents to mediation.
Article 55
Articles 29 to 33 and Article 37 shall apply mutatis mutandis to the expenses incurred from the mediation.
Article 56
Unless otherwise agreed upon by the parties, the mediation costs shall be equally borne by the parties.
The party which withdraws the mediation application or the consent to mediation shall bear all mediation costs.