In June of 2011, the Korea Fair Trade Commission (KFTC) has begun to enforce Notification of the Standards on Imposing Penalties on Companies that Act on Fair Labeling and Advertising. The KFTC is very aggressive in enforcing law. We suspect to see a few public cases this year concerning mislabeled foreign products
- The Act was violated on two or more occasions in a three year period; or
- Serious harm is realized by customers; or
- Seller engages in prohibited acts that are intentional or are a clear violation of law (typical vague catchall language).
We have run into a few companies over the years that were exporting products from a particular country, but the country of origin of the product was actually a third country. Check your labeling an insure that your labels reflect the proper quantity, quality, ingredients and country of origin.
- Civil Liability of Companies for Actions of Employees Off the Company Property and After Work Hours
- Korean Distributor Sales Territory or Customer Restrictions in Korea: Korean Distributor law Agreements in Korea
- Changes to Korea’s Franchise Law May Lead to an Increased Potential for Criminal Sanctions: Franchise Law Basics
- Termination of Commercial Agent/Distribution Agreements in Korea: Korea’s Agent Compensation Rule
- Damages for Material Omissions in Franchise Disclosure Documents in South Korea
- Abuse of Market Dominance in Korea: Competition Law in Korea