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Chapter Law Content

Chapter III Land Use and Building
Article 8
Investors applying to establish business in the Park (hereinafter referred to as the “investors”), who reserve public land or building at the Bureau or branches, shall pay the down payment and ink the reservation contract according to the following standards:
1.Land down payment: It is calculated on the basis of six months’ rent for the land area.
2.Building down payment: The purchaser should pay 5% of the selling price for reserved building area, and the lessee should pay six months’ rent for the building area. For reserved public land in the previous paragraph on which there are private buildings, no land down payment and signing of reservation contract is required. The investors in Para graph 1 who reserve, rent, or purchase the land or building from a private owner shall prepare the land or building use certificate or other relevant documents upon submitting investment application. Representatives of the investors in foregoing three paragraphs who reserve and present investment plan on behalf of a corporate entity before the establishment of the corporation shall remark:
“Representative of provisional office of the name of corporation to be established (i.e. the company to be established)” under his/her name. The source of capital shall also come from the name of provisional office of the corporation.
If lease and purchase of additional building or land is needed because of cash injection, mergers and acquisition, or expansion of investment plan, provisions of Paragraph 1, Paragraph 2 or Paragraph 3 are applicable to business entities in the Park.
Article 9
The preference of building allotment is as follows:
1.The preference allotment is granted in accordance with Paragraph 4, Article 19 of the Act.
2.Owing to expansion, the business entity submits the expansion plan, obtains the approval, and pays the down payment according to provision of the aforementioned Article.
3.If the approval notice of new investment states as soon as the building is about to transfer, then the preference allotment is granted. Yet the business entity must pay the down payment according to provisions of the aforementioned article.
4.If the building used by the business entity is not able to meet the business requirements, then the business entity needs to purchase another building, enter the registration to the Bureau or branches, and pay the down payment according to provisions of the aforementioned Article.
Article 10
After an investor makes the down payment, he should submit the investment application within 30 days. If the investor has any legitimate reason, he or she may apply for a postponement at the Bureau or branches within the time limit. The time limit may be extended by 30 days, but the extension is limited to once only.
The Bureau or branches shall notify the investor in writing 10 days prior to expiration of the said time limit.
An investor may apply for a refund of the down payment without interest prior to the expiration of the time limit, as stated in the first paragraph. The land or building will not be reserved.
Article 11
If the investment application of a business entity in the Park is not approved, the land or building down payment submitted shall be refunded by the Bureau or branches in total and without interest. For those approved for incorporation, the Bureau or branches shall inform the applicant of the allotted land or building as reserved, and sign a contract with the applicant
pursuant to Article 12. The land or building down payment will then be refunded in total and without interest. If the contract is not signed within the specified period, the paid down payment will be transferred to the national treasury, and any request for refund will not be entertained. Applications for extended deadlines with legitimate reasons may be approved by the Bureau or branches. There is no limitation to the number of applications approved; however, the total extended period shall be no longer than one year.
The Bureau or branches shall notify the investor in writing 10 days prior to expiration of the said period for contract signing.
If the lease and purchase of additional building or land is needed because of cash injection, mergers and acquisition, or expansion of investment plan, the provisions of the preceding two paragraphs are applicable to the refund or non-refund of the down payment.
Article 12
When the business entity within the Park leases the land, or when it leases or purchases the building, it should sign the rent and purchase contract according to allotted area within 60 days starting from the notice date by the Bureau or branches. Its renting duration should be 20 years maximum, and the contract can be renewed as soon as it expires.
Starting from the contract signing date, the business entity within the Park should pay the rental or the cost to share the public facility construction expense. After the Bureau or branches approve the investment case and before the contract is signed, the expense of land or building use
should be traced back to the usage date.
If the business entity within the Park in the aforementioned paragraph pre-purchases the newly-built building, then the expense is calculated starting from the notice of construction completion.
Article 13
If the business entity within the Park leases the land to build the building by itself, it should apply to the Bureau or branches for building permit within six months according to provisions of Construction Law after the renting contract is inked. After construction license is obtained, the construction should be proceeded in accordance with relevant provisions of Construction Law.
Article 14
If a business entity within the Park fails to begin building construction and complete the construction as scheduled, or fails to complete construction within the approved investment period, the Bureau or branches may terminate the lease of land, and the Bureau may revoke its investment application. The paid rent will not be refunded, and the land will be taken
back by the Bureau or branches for other uses. If construction work is ongoing or a change of the land’s appearance has been made, the foresaid business entity shall restore the land to its original condition within the specified period. If the business entity fails to restore the land to its
original condition within the specified period, the Bureau or branches may work on its behalf, with the costs attributable to the business entity. However, if the construction work or change of the land’s appearance does not hinder other users, the business entity may be free from the restoration responsibility, provided that approval of the Bureau or branches has been obtained.
Article 15
If the business entity leases the land or building, it should be restricted to actual business demand. In the lease duration, if part of or all of the leased area are not needed, the business entity should apply to the Bureau or branches for refund. The business cannot sublease or re-lend to others. If the building’s sublease or re-lending is approved by the Bureau or branches, it is beyond this restriction.
The paid rental and public facility construction expense in the aforementioned Paragraph shall not be refunded in the case of return, sub-lease or re-lending.
All buildings of the business entity should be leased or lent to business of approved establishment within the Export Processing Park. Additionally, the business entity should report to the Bureau or branches for its lease or lending. However, in the case of the building’s sub-lease or re-lending by the business entity of incubator services, it will be allowed not to report to the Bureau or branches.
Article 16
The business entity within the Park should apply to the Bureau or branches for registration in the transference of business building. When both transaction parties settle the price, the business entity should report to the Bureau or branches for future references.
Article 17
The buildings in the Park should adopt inflammable materials which are permanently constructed.
Article 18
The construction line in the Park should be appointed by the Bureau or branches.
Article 19
If owing to construction demand, the business entity has to pile up material that may use or ruin public facilities; the business entity should apply to the Bureau or branches for approval in advance, and restore the public facilities to its original form before deadline.