Litigation 2025

TAIWAN Law and Practice Contributed by: Peng-Kwang Chen, Pamela Huang, Claudia Huang and Ching-Tzu (Katie) Chang, Formosa Transnational Attorneys At Law

2.7 Time Limit for Obtaining Third-Party Funding There are no specific time limits or regulations in Taiwan governing when a party to litigation should obtain third-party funding.

3.2 Statutes of Limitations The statute of limitations varies greatly based on the type of claim. The regular statute of limita- tions for a civil claim is 15 years and runs from the date when the claimant may exercise their rights. However, there are many exceptions with shorter periods. For example, claims arising from tortious acts have a statute of limitations of two years from the date when the claimant becomes aware of the harm. The claims for construction work payment are time-barred after two years. Claims for payment of interest are extinguished by prescription if not exercised within five years. 3.3 Jurisdictional Requirements for a Defendant In civil cases, the court with jurisdiction is the one located where the defendant resides. However, other courts may also have jurisdiction depend- ing on the nature of the case. For example, in contract disputes, the court in the place of per- formance of the contract also has jurisdiction; in matters relating to tort claims, an action may be initiated at the court for the location where the tortious act occurred. If multiple courts have jurisdiction over a case, the plaintiff may, in principle, choose to file a lawsuit in any one of these courts. Exceptions to this rule include when the case is subject to exclusive jurisdiction, such as in real property disputes, when the court for the place where the real property is located has exclusive jurisdic- tion. 3.4 Initial Complaint The initial complaint must: • identify the parties; • specify the subject matter of the lawsuit and its cause of action; and • include a statement of the relief sought.

3. Initiating a Lawsuit 3.1 Rules on Pre-action Conduct

Under Taiwan law, other than requirements enacted by the legislature, the courts have no authority to impose rules on the parties in rela- tion to pre-action conduct. For most cases, there are no statutory require- ments for pre-action procedures, and the parties may initiate lawsuits directly. However, there are some notable exceptions, including the follow- ing. • Mandatory mediation – the parties to certain types of cases must have their dispute medi- ated before they can litigate it. The cases include family matters, labour disputes, major commercial disputes, and medical disputes. • Written request for compensation – a plain- tiff is required to make a written request for compensation to the relevant authority and negotiate with that agency before litigation of claims against the state under the State Compensation Law. • Where individuals challenge administrative decisions made by government agencies, they must file administrative appeals/make objections to and seek review by the gov- ernment agency. If the government agency denies the appeals/objection, the plaintiff can challenge the government agency’s decision in the courts.

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