ADMINISTRATIVE EXECUTION LAW AMENDMENT

01/01/1999

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The Law of Administrative Execution (the Law) recently underwent an amendment, which was announced by the President on 11 November 1998. The original Law had only 12 Articles; the amended Law has 44 articles in all. Key contents are outlined below:

Administrative execution should conform to the principle of proportionality, and should take into account both the public interest and personal rights and interests. It should be enforced by appropriate means, and its extent should not exceed that necessary to achieve the objectives of the execution.

Administrative execution should be enforced by the original agency rendering the decision or the governing administrative agency. Regarding cases of compulsory execution of pecuniary payment obligations under public law (such as collection of taxes or fines in arrears), an Administrative Execution Office is to be set up under the Ministry of Justice, Administrative Execution Department. It will be charged specifically with overseeing the handling of such obligations on a nationwide level.

In cases where administrative execution has not been enforced within five years of the day concluding the period during which the obligor should have performed the obligation, it no longer should be enforced. In cases where execution has already begun prior to expiry of the five-year period, the execution may still continue. However, if still not complete after five years have passed from the date of expiry of the first five-year period, the execution no longer should be enforced.

An obligor or an interested party who objects to matters pertaining to administrative execution procedures may declare an opposition.

Except otherwise provided by the Law, execution procedures for pecuniary payment obligations under public law should be governed by the provisions of the compulsory execution procedures. The amended Law also specifies the period for participation in allocation, and procedures for expressing opposition to allocation.

In execution of obligations relating to action or omission, indirect compulsion (action by substitute, imposition of delinquency fees) should take preference over direct compulsion. The latter may be resorted to only under specified conditions (when indirect execution fails to achieve the objectives of execution, or where circumstances are urgent, such as in cases where it would clearly be difficult to achieve the objectives of execution without timely enforcement). Methods of "direct compulsion" as mentioned above are as follows:

1.Seizure, collection of delivery, dissolution of possession, disposition, or use or restriction of use of movable property or immovables.
2.Entry, sealing off, or dismantling of residences, buildings, or other sites.
3.Revoking or canceling licenses.
4.Cutting off water, electricity, or other utilities required for operation.
5.Other methods that make use of force to directly achieve a state of affairs substantially identical to performance of the obligation.

Persons who suffer special damage to life, body, or property as a result of immediate direct compulsory measures implemented by administrative agencies under the Law may seek restitution.

To ensure the realization of pecuniary obligations under public law, administrative execution may under certain conditions be enforced directly against the property of a guarantor.

Delinquency fees should be no less than NT$5,000 and no more than NT$300,000, and may be imposed consecutively.

The Administrative Execution Office should apply for a ruling of approval from the competent district court prior to arresting or detaining an obligor.

Since the new amendment entails major changes to the judicial and administrative systems, a lengthy preparatory period is required. Therefore, the provisions of the amendment will take effect on a date to be separately prescribed by an order of the Executive Yuan.