New Legislations and Amendments in Korea (2022)
Updated: Sep 5
Fair Agency Transactions Act
(1) The Fair Trade Commission shall establish reasonable trade standards for each industry and shall advise suppliers to comply with such standards (Article 12-3, newly inserted).
(2) In order to establish order in agency transactions, the Fair Trade Commission shall conduct education and training for suppliers and agencies, provide and disseminate voluntary compliance programs, and promote policies to bolster balanced growth between suppliers and agencies, and the Commission may designate an institution or organization that satisfies the standards prescribed by Presidential Decree such as facilities, personnel, and education performance, and entrust the abovementioned business affairs to the aforementioned institution or organization (Article 12-4, newly inserted).
(3) In order to promote the voluntary resolution of unfair transactions, actively remedy agencies' damages and to improve order in transaction activities, a supplier who is a subject of the Fair Trade Commission's investigation or deliberation may apply for a consent resolution containing the following matters : (Article 24-2, newly inserted)
Discontinuation of the relevant activity, restoration of former condition to recover order in competition
Measures to actively improve order in transactions
Measures that are necessary for the prevention or remedy of damages done to agents, etc.
(4) For a person who has not carried out the consent resolution without justifiable cause until the due date that was set at the time of consent resolution, the Fair Trade Commission may impose charges for compelling compliance of up to KRW 2 million per day starting from the day after the abovementioned due date (Article 24-3, newly inserted).
(5) Where a supplier takes prohibited retaliatory measures against an agency, resulting in the agency's loss, the compensation amount shall be calculated up to 3 times the actual loss incurred, in order to provide actual remedy measures for agencies (Article 34 (2)).
[Enforced Jun. 8, 2022] [Act no. 18570, Dec. 7, 2021, partially amended]
Special Act on Fostering And Support of Pharmaceutical Industry
The sunset clause for the special regulations on the reduction of charges and construction of research facilities granted to innovative pharmaceutical enterprises which invest highly in R&D activities shall be extended up to Mar. 30, 2032 (Article 16-2, 17-3 newly inserted, Article 2 of Addendum).
[Enforced Jun. 10, 2022] [Act no. 18902, Jun. 10, 2022, partially amended]
Enforcement Decree of the High-Pressure Gas Safety Control Act
(1) Extension of return period for high-pressure gas containers exempted from import inspection (Article 15 (1) 8 of the Act)
Previously, foreign-owned gas containers containing industrial gas for semiconductors, etc. for import were exempted from import inspection if they were returned within six months. However, with the amendment, foreignowned gas containers that are imported shall be exempted from import inspection when they are returned within a period of up to two years in order to stockpile industrial gas for semiconductors. On the other hand, to prevent safety issues that may arise from long-term use, import inspection shall be exempted only for containers that have been inspected by a reliable foreign inspection agency.
(2) Improvement of standards for imposition of surcharges for safety control charges (Article 23-4 (2))
In line with the amendments of the Act mandating that standards for imposition of surcharges shall not exceed 3/100 of the unpaid amount, the period for collecting surcharges shall be shortened accordingly. When 1/10,000 of the unpaid amount is applied for each day of arrears amount to calculate the safety control charges, the period for calculation shall be shortened from a maximum of 60 months to a maximum of 300 days.
(3) For the professional safety management of high-pressure gas charging facilities for automobiles, related training courses shall be opened and a person who completed such training course shall be appointed as the facility's safety manager (attached Table 3).
(4) The administrative fine imposed for refusing, interfering with or avoiding activities to confirm compliance with safety management regulations shall be: KRW 10 million for the first violation; KRW 15 million for the second violation; and KRW 20 million for the third violation and more (attached Table 4, subparagraph 2 (n), newly inserted).
[Enforced Jun. 8, 2022] [Presidential Decree no. 32148, Dec. 7, 2021, partially amended]
*This article is extracted from Invest KOREA information center, 2022.