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Legal Intellectual

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Q

What measures are taken if the Electronic Commerce Act is violated through false advertising?

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We run an import and sales business, and while making the product detail page, functions and designs that the actual product does not have were included in the detail page, so we were reported for false advertising. If we committed false advertising and a violation of the Electronic Commerce Act is recognized, what measures would we receive? I would like to receive advice from a specialized attorney.

Electronic Commerce Act

A

Answer to Related Inquiry

Article 21 of the Electronic Commerce Act sets out prohibited matters that a business operator engaged in electronic commerce must not commit.

In particular, it strictly prohibits an electronic commerce business operator from informing consumers of false or exaggerated facts, or from luring consumers by deceptive means.

If a violation of this is detected, a specific corrective measure regarding the violation, along with an administrative fine of up to 10 million won, may be imposed.

Corrective measures for a violation of the Electronic Commerce Act

▶ Cessation of the violation in question

▶ Publication of the fact that a corrective measure was received

▶ Measures necessary to prevent and remedy consumer harm

▶ Other measures necessary to correct the violation

If you failed to comply with the order despite having received such a corrective measure, you may bear criminal liability in the form of imprisonment for up to 3 years or a fine of up to 100 million won.

For this reason, if you are running a business to which the Electronic Commerce Act applies, it is important to understand and comply well with the related statutes.

However, if you find it difficult because the related law is complex, it is advisable to obtain help from an attorney with expertise in the fields of fair trade and electronic commerce.

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