FTC prepares for sanctions on online platform’GapJil’ in earnest… Improvement of the legal system

The online platform bill submitted to the next week of the National Assembly… Penalty twice the amount of violation

Amendment to the Electronic Commerce Act will be announced soon… ‘Namola’ corrected for damage to Sophie

Franchise’Online Sales Ratio/Supply Price’ Should be disclosed to those who wish to start a business

(Sejong = Yonhap News) Reporter Su-yeon Su = The law is being overhauled to prevent online platforms such as Google, Naver, and delivery apps from “jumping” against merchants and consumers.

An online platform fairness bill will be submitted to the National Assembly next week, which will impose penalties equal to twice the amount of violations of the law if the platform engages in unfair acts against a store company. A total amendment to the E-Commerce Act is also coming out, governing the behavior of online platforms mocking consumers.

On the 22nd, the Fair Trade Commission announced a work plan for 2021 containing these details.

Naver, Google and Baemin…  Platform operator regulation speed (CG)
Naver, Google and Baemin… Platform operator regulation speed (CG)

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◇ Complete revision of the Electronic Commerce Act… Securing transparency of search results

The FTC submits the enactment of the online platform fairness law to the National Assembly next week. The key is to include in the contract whether or not to limit entry to a competitive platform, etc., incurring a penalty for double the amount of violation of the law if a company enters a store.

A bill that completely revised the Electronic Commerce Act enacted in 2002 will also be announced as early as this month.

Because the platform is an intermediary, various responsibilities are handed over to the participating companies, and consumer damage is improved. Open market companies sell products directly beyond the brokerage business, but they are classified as’mail-order brokers’ under the current e-commerce law.

It also contains measures to transparently inform general consumers of standards that do not know exactly what exposure ranking, such as’Naver ranking order’. It is expected that a separate icon will reveal whether the standard of’popularity’ is based on sales, and if it is based on sales, then whether the result is based on one-week or one-month performance.

In order to protect those who wish to start a franchise, the enforcement ordinance is amended to include the online sales share and supply price of the franchise headquarters in the information disclosure form. If the franchise headquarters increases online sales and the franchisee’s sales decrease, the standard franchise contract is also changed so that the business can be closed without paying a penalty.

It also protects platform workers such as parcel delivery, delivery, and agent.

It checks the practices of unfair trade between courier companies and agencies, agencies and courier drivers, and also examines the actual status of transactions between delivery agency platforms and local branches, and between local branches and delivery drivers. The’Standard Terms and Conditions of Car Rental’ will be amended so that the agency driver can escape from the claim for reimbursement to ask for money in the event of an accident while driving a rental car.

In the first half of this year, the’Guidelines for Examining Single Behaviors in the Online Platform Field’ was established to clarify the criteria for judging the violation of the law by platform operators.

◇ Correction of unfair advertisement in the field of health and technology… Bridging the information gap between insurance and rental cars

The FTC decided to correct unjust advertisements that deceive consumers in the fields of health, performance, and technology such as antibacterial, energy efficiency, and artificial intelligence (AI) within this year.

It also provides product comparison information for children and the elderly, such as disposable diapers for infants, convenience meals, hair dye for gray teeth, and electric kickboards.

Starting in September, a’service price labeling system’ will be introduced in which gyms and swimming pools are obligated to disclose prices in order to reduce the inconvenience of having to make a phone call to check prices or to consult in person.

When selling or renting an electric kickboard, it is mandatory to indicate safety-related requirements and accident risk.

It also bridges the information gap in the fields of finance, insurance and rental cars.

In the field of finance and insurance where consumers’ rational choices are limited due to indiscriminate information, the FTC conducts a survey on the status of information provision. It also provides comparative information dealing with consumer benefits for each financial product.

In order to prevent excessive billing of repair fees in case of a rental car accident, the standard terms and conditions of car rental are amended to make it mandatory to provide vehicle maintenance specifications.

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