TAIWAN Law and Practice Contributed by: Jaclyn Tsai, Aaron Chen, Teresa Huang and Jaime Cheng, Lee, Tsai & Partners
protection measures in their network establish - ment plans. (b) Compliance considerations: As outlined above, although there is currently no specific legislation addressing the integration of emerg - ing technologies by telecommunications enter - prises, operators should still comply with the existing regulatory framework when adopting such technologies. Particular attention should be given to areas such as personal data pro - tection, cybersecurity and intellectual property rights protection. 7. Challenges with Technology Agreements 7.1 Legal Framework Challenges Legal Compliance Points for Technology Agreements In practice, the types of technology agree - ments are diverse, including but not limited to technology licensing, technology transfer, com - missioned development and technology co- operation. While Taiwan has not enacted laws specifically regulating technology agreements, there are many legal compliance points to be aware of during the negotiation or performance stages. The key points are as follows: (a) Personal data protection: Compliance with the PDPA is crucial when collecting, processing or using personal data. (b) Fair trade compliance: Agreements must comply with the Fair Trade Act to avoid anti- competitive practices or engaging in unfair com - petition, such as “discriminatory treatment of the licensee”, “exclusive grand-back licensing”, “package licensing” or “restricting the licensee’s implementation of technology”. The Fair Trade
Commission has issued the “Principles for the Handling of Technology Licensing Agreements” for businesses to follow. (c) Export control: Agreements involving the exportation of “Strategic High-Tech Commodi - ties”, such as dual-use military and commercial products or goods on the technology export control list, or involving “goods that require an international import certificate or other related guarantees issued by Taiwan in accordance with the exporting country’s regulations”, require approval from the International Trade Adminis - tration of the Ministry of Economic Affairs. (d) Investment or co-operation in China, Hong Kong or Macau: Agreements involving “investing or technology co-operation in Mainland China” or “investing or technology co-operation in Hong Kong or Macau” require approval from the Min - istry of Economic Affairs under relevant regula - tions. Sector-Specific Considerations The competent authorities for specific industries have promulgated “Personal Data File Security Maintenance Plans or Methods for Handling Personal Data After Business Termination” for their respective industries and are empowered to restrict the international transmission of personal data by businesses under their jurisdiction. Cur - rent restrictions include: • The NCC restricts “communication business operators” from transmitting personal data of their users to Mainland China. • The Ministry of Labour restricts “manpower agency businesses” from transmitting per - sonal data of parties involved to Mainland China.
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