TAIWAN Law and Practice Contributed by: Stephen Wu, Yvonne Hsieh, Wei-Han Wu and Erica Chiu, Lee and Li, Attorneys-at-Law
administrative fine of between TWD100,000 and TWD1 million. There has been no case precedent in this regard in the past five years, according to public infor - mation. 3.8 Review Process The review process is not divided into different phases by the TFTC. Rather, after the initial filing is submitted, the TFTC will request the parties to provide supplemental information by issuing an RFI letter. The RFI procedure will end once the TFTC deems that all the required documents and information have been provided. Once the TFTC deems that the filing is complete, the wait - ing period can start to run. The parties to the proposed transaction are then free to proceed with the merger if the TFTC does not make any objection to the filing within 30 business days following the filing date (with complete docu - ments and information). If it is deemed neces - sary, the TFTC may shorten the 30-day waiting period or extend it by up to 90 business days. 3.9 Pre-Notification Discussions With Authorities The Guidelines on Offering Pre-Filing Consulta - tion were published by the TFTC on 18 August 2021 and aim to help the notifying parties clarify certain filing-related issues before the parties submit a formal filing. However, as the TFTC’s opinions expressed in such consultation are non-binding, the parties might not necessarily find such consultation to be beneficial to their filing decision. The process is treated confiden - tially. 3.10 Requests for Information During the Review Process The RFIs will be issued by the TFTC during the review process requesting the parties to supple -
ment information; such requests reset the clock. Subject to the complexity of the case, there may
be two or more rounds of RFIs. 3.11 Accelerated Procedure
Other than the simplified procedure stated below, there is no other type of accelerated procedure or informal way to expedite the clearance. The waiting period of the following circumstanc - es can be shortened by applying the simplified procedure. • The enterprise files the notification for reach - ing the turnover threshold, but its respec - tive market shares meet one of the following criteria: (a) where the combining parties engage in a horizontal merger, the combined market shares after the merger are below 20%; (b) where the combining parties engage in a horizontal merger, the combined market shares after the merger are below 25% and the market share of one of the partici - pating parties is below 5%; or (c) where the combining parties engage in a vertical merger, the combined market shares in each individual market are be - low 25%. • Where the combining parties engage in a conglomerate merger, the following factors are considered, and it is established that the parties do not have any major potential for competition between each other: (a) the impact of an increase of regulation and control on the cross-industry opera - tion by merging parties; (b) the probability of cross-industry operation by the merging parties because of tech - nological advancement; and (c) the merging parties’ original cross-indus - try development plan besides the merger.
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