To what extent does the Monopoly Regulation and Fair Trade Act apply?

Hello. I will explain the Monopoly Regulation and Fair Trade Act.

If your company is a market-dominating business to the extent that it controls the entire domestic hat-related market, or if it enters into contracts by unfairly exploiting its position in transactions, this could become a problem.

This is because, under the Monopoly Regulation and Fair Trade Act, if it is determined that market order may be harmed, you may receive a corrective order from the Fair Trade Commission.

However, the Fair Trade Commission does not make this determination arbitrarily; it comprehensively considers factors such as market share, the existence and degree of entry barriers, and the relative size of competing businesses.

In addition, a corrective order may also be issued where, as a party to a contract, a business uses a markedly superior position to limit the range within which customers may choose other businesses.

If a business receives such a corrective measure order from the Fair Trade Commission but fails to comply with it appropriately, it may be subject to imprisonment for up to two years or a fine of up to 100 million won.

If such matters relating to the Monopoly Regulation and Fair Trade Act require careful review and judgment, I recommend seeking advice and assistance from an attorney specializing in this area.