The Fair Trade Law was amended to require the Fair Trade Commission to solicit relevant opinions in case of a hostile takeover(Taiwan)

Sean Liu

The President promulgated Article 11, as amended, of the Fair Trade Law (hereinafter, the “Law”) via the Hua-Zhong-One-Yi-10600073211 Directive of June 14, 2017. The focus of this amendment is on the period in which the Fair Trade Commission (hereinafter, the “FTC”) reviews enterprise merger notification cases and which is changed from 30 days before amendment to 30 business days. In addition, relevant merger materials will be provided to the merged party along with opportunities to present its opinion.

Article 11, Paragraphs 7 and 8 of the Law as amended provide that the period in which the FTC reviews an enterprise merger notification case is changed into 30 business days and can be shortened or extended, if necessary, to a maximum of 60 business days. In addition, paragraph 10 of the same article as amended provides that the FTC may solicit opinions from the public with respect to enterprise merger notification. If necessary, academic research institutions may be invited to provide industry and economic analysis and opinions. If one of the enterprises participating in the merger does not agree to the merger, the FTC shall provide the notification reasons submitted by the enterprise filing the merger notification to such enterprise and solicit its opinion.