TAIWAN Law and Practice Contributed by: Peng-Kwang Chen, Pamela Huang, Claudia Huang and Ching-Tzu (Katie) Chang, Formosa Transnational Attorneys At Law
11.2 Factors Considered When Awarding Costs In principle, the court will determine the costs of litigation in proportion to the parts that each par- ty loses. For example, where the plaintiff claims for TWD100 from the defendant, and the court awards the plaintiff TWD80, the court will likely decide that the plaintiff shall be responsible for 20% of the costs of litigation incurred, while the defendant is responsible for 80%. However, where the successful party’s act is not necessary to assert their rights, such as excessively requesting examination from court- appointed experts and hence incurring related fees, the court may order the prevailing party to pay all or a portion of the costs of litigation. 11.3 Interest Awarded on Costs Interest on the costs of litigation will accrue at the statutory rate of 5% per annum, starting from the date the decision is served on the parties. 12. Alternative Dispute Resolution (ADR) 12.1 Views of ADR Within the Country There are multiple ADR options available in Tai- wan, including settlement, mediation, concilia- tion and arbitration. Because ADR can effectively reduce judicial burdens, and help the parties to devise an acceptable solution to their disagree- ments, the Taiwanese government actively pro- motes the use of ADR. ADR has been identified as a priority for judicial reform. The Judicial Yuan even established the ADR Mechanism Search Platform in 2017 to connect parties seeking ADR options with relevant institutions. Among the ADR options mentioned above, settlement in litigation and mediation are the
reverse the judgment and remand the case back to the High Court with directions on matters to be further investigated, and the legal opinions that the High Court shall obey. Remands are fairly common. In exceptional cases where further fact-finding by a lower court is not required, the Supreme Court may also enter a judgment on its own. 11. Costs 11.1 Responsibility for Paying the Costs of Litigation Costs of litigation consist of numerous items, including court costs, fees for photocopies, vid- eo recording, transcripts, translation of litigation documents, daily fees and travel expenses for witnesses and court-appointed experts, and oth- er necessary fees. Also, attorney fees incurred during an appeal to the Supreme Court (where the mandatory legal representation applies) are considered to be costs of litigation. However, the Supreme Court will determine an “appro- priate amount” of attorney fees to be included in the costs of litigation. This usually ranges between TWD20,000 (approximately USD623) to TWD50,000 (approximately USD1,558). In prac- tice, court awards of reasonable attorney fees are usually much lower than actual attorney fees. Court costs must be paid in advance by the plaintiff when the lawsuit is filed, and are calcu- lated based on the amount or value of the sub - ject matter of the litigation. If the court wrongfully determines the value of the subject matter of the litigation, the parties may file an interlocutory appeal to challenge such determination.
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