@959xbrfz

https://youtu.be/4KwsALramtA?si=VG8su7p91H6Rejnr

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Key Takeaways – Interim Injunctions in Taiwan Corporate Control Disputes

• Interim Injunctions Provide Time-Critical Relief: Under Taiwan's Code of Civil Procedure and the Commercial Case Adjudication Act, a party may apply for an interim injunction maintaining the status quo where it is necessary to prevent substantial harm, imminent danger, or other urgent circumstances pending resolution of the underlying dispute
• Emergency Measures Are Available Before the Court Rules: Recognizing that an application for an interim injunction may take time to adjudicate, courts may issue temporary emergency measures to preserve the applicant's rights before deciding the injunction application, ensuring that urgent corporate actions do not render subsequent judicial relief ineffective.
• 2018 Company Act Reform Adopted a Formal Review Standard: Following the 2018 amendment to the Company Act, companies generally may not substantively screen or reject director nominees properly proposed by qualified shareholders. As a general rule, nominated candidates must be included on the ballot unless a statutory ground for exclusion clearly exists．
• The Court's Balancing Test Is Critical: In determining whether to grant interim relief, courts generally assess (i) the necessity of preserving the disputed legal relationship, (ii) the likelihood of irreparable harm if relief is denied, and (iii) the comparative impact of granting or refusing relief on the parties and the public interest.
• Timing Is Often Decisive in Board Election Disputes: Because director nomination lists, shareholder meeting notices, and election materials must be finalized within statutory deadlines, delayed judicial relief may become meaningless. Prompt applications for interim injunctions and emergency measures are therefore essential in contested board elections.
• Evidence Remains the Key to Success: Applicants should present persuasive evidence demonstrating both the apparent illegality of the board's exclusion decision and the immediate, irreparable prejudice that would result if the nominated candidates are prevented from participating in the election.
• A Continuing Policy Debate: Although the Company Act now favors a formal review approach and imposes administrative penalties for unlawful exclusions, recent practice suggests that some companies may still choose to exclude nominees first and litigate later. This raises broader questions as to whether the current statutory framework sufficiently protects shareholder nomination rights or warrants further legislative refinement.

©Debby S.C.Yu, 2026. All rights reserved. 

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