Samsung Electronics Wins Final Verdict in Consumer Compensation Lawsuit Over 'Galaxy Note7 Recall'

Galaxy Note 7 / Photo by Asia Economy DB

[Asia Economy Reporter Kim Hyung-min] Consumers who filed a lawsuit against Samsung Electronics seeking compensation for damages following the full recall of the 'Galaxy Note7' due to battery explosion issues have ultimately lost the case.

The Supreme Court's 2nd Division (Presiding Justice Ahn Cheol-sang) on the 28th upheld the lower court's ruling that dismissed the appeal filed by 1,321 Galaxy Note7 consumers, including Mr. Hwang, who claimed approximately 760 million KRW in damages from Samsung Electronics related to the recall measures.

The court stated, "There is insufficient evidence to conclude that Samsung Electronics acted with any intent or negligence constituting an illegal act regarding the recall measures taken domestically for the mobile phones in question," and added, "Even if consumers temporarily felt anxiety or psychological fear before the recall was implemented, it is difficult to recognize such feelings as mental damages legally subject to compensation."

Samsung Electronics launched the Galaxy Note7 in August 2016, but after multiple incidents of devices exploding during battery charging, the company announced a full recall in September of the same year.

In response, Mr. Hwang and others filed a lawsuit against Samsung Electronics seeking compensation for mental damages such as the costs and time spent visiting stores for refunds and device exchanges, as well as anxiety caused by using the product.

The first trial court ruled in favor of Samsung Electronics, stating, "Although the Galaxy Note7 had defects that made it unusable for consumers, the recall measures were lawful," and "Since there were exchange and refund stores nationwide, it cannot be considered that Mr. Hwang and others experienced inconvenience to an extent that is socially unacceptable."

The appellate court also upheld the first trial court's decision and dismissed the appeals by Mr. Hwang and others.

Meanwhile, a Supreme Court official explained the significance of this ruling, stating, "This decision clarifies that time-related and economic damages or vague anxieties that inevitably occur during the recall process itself are difficult to recognize as legally compensable damages."

This content was produced with the assistance of AI translation services.