January, 2016 [ Decisions]

1. When recruiting franchisees to join the “Nan Taiwan” chain operation, Zhong Wei (transliteration) Enterprise Co., Ltd. did not fully disclose important franchise information in writing before contract signature. The conduct was in violation of Article 25 of the Fair Trade Act. In addition to ordering the company to immediately cease the unlawful act, the FTC also imposed on it an administrative fine of NT$150,000.
2. Bai Mian Dong Industry Co., Ltd. violated Article 25 of the Fair Trade Act for failing to fully disclose important franchise information before contract signature when recruiting franchisees to join the “Bai Mian Dong Carambola Juice” chain operation. The FTC ordered the company to immediately cease the unlawful act and also imposed on it an administrative fine of NT$150,000.
3. Netwave Cable TV Co., Ltd. and Powerful Cable TV Co., Ltd. started in May 2014 to share machine rooms, make joint purchases and engage in business promotion as well as use the same personnel. The joint management behavior met the merger type described in Subparagraph 4, Article 6 (1) of the Fair Trade Act at the time of conduct, whereas the market share of both companies also achieved the merger-filing thresholds specified in Subparagraphs 1 and 2 of Article 11 (1) of the same act, while the proviso set forth in Article 11-1 did not apply. By failing to file their merger as required by law, the two companies violated Article 11 (1) of the Fair Trade Act. In addition to ordering the two companies to file a merger notification and make other necessary corrections within three months, the FTC also imposed administrative fines of NT$850,000 on Netwave Cable TV and NT$250,000 on Powerful Cable TV.    
4. Isagenix Taiwan, a multi-level marketing business, changed its office location, sales system and product items without filing with the FTC in advance. The conduct was in violation of Article 7 (1) of the Multi-level Marketing Supervision Act and the FTC therefore imposed an administrative fine of NT$150,000 on the company.
5. When marketing the “Dun Nan Guan Zhi (transliteration)” housing project, Guan Hao (transliteration) Construction Co., Ltd. and Zhong Xing Xing (transliteration) Development Co., Ltd. claimed the location was only “8 minutes away from Taipei 101.” It was a false, untrue and misleading representation able to affect consumers’ decisions about the product and therefore in violation of Article 21 (1) of the Fair Trade Act. The FTC imposed administrative fines of NT$300,000 on Guan Hao Construction and NT$150,000 on Zhong Xing Xing Development.
6. Mr. A and Mr. B engaged in multi-level marketing but did not file with the FTC before starting their operations. The conduct was in violation of Article 6 (1) of the Multi-level Marketing Supervision Act. In addition to ordering them to immediately cease the unlawful act and stop their multi-level marketing organizations from undertaking further business activities, the FTC also imposed administrative fines of NT$250,000 on Mr. A and NT$150,000 on Mr. B.
7. When marketing the “Waterfront Villas (translation)” housing project, Ya Pu (transliteration) Construction Co., Ltd. marked the landings, porches, motorcycle parking spaces and open lots as part of the interior. It was a false, untrue and misleading representation with regard to use of product in violation of Article 21 (1) of the Fair Trade Act. The FTC imposed an administrative fine of NT$200,000 on the company.

 《In case of any discrepancy between the English version and the Chinese Version, the latter shall prevail.》