Seoul Reduces Consumer Penalty Fee by 40% for Wedding Cancellations Due to COVID-19

Seoul City-Wedding Industry Association-Consumer Groups Operate 'Seoul Sangsaeng Counseling Center'
Postponement Without Penalty Until Year-End... Minimum Guaranteed Number Also Adjustable

(Photo is not related to the article content) [Image source=Yonhap News]

[Asia Economy Reporter Jo In-kyung] As the implementation of 'Social Distancing Level 2' due to the spread of the novel coronavirus infection (COVID-19) has led to a series of wedding cancellations or postponements and a surge in penalty disputes between prospective couples and wedding service providers, the Seoul Metropolitan Government has actively stepped in to mediate.

On the 25th, Seoul announced that it had reached a consensus with the Korea Wedding Industry Association and the Korea Consumer Organization Council the day before to minimize the current social conflicts and devised a win-win plan.

According to this plan, if consumers wish to postpone their weddings, they can do so in principle until December 31 of this year. If Social Distancing Level 2 or higher is extended, postponement is allowed up to February 28 of next year at the latest.

Also, if consumers cancel their weddings, 40% of the penalty fee (35% of the total cost) borne by the consumer will be reduced.

Furthermore, when the minimum guaranteed number of guests is adjusted, single-item service providers are allowed a 10-20% reduction (providing meals within the permitted range + giving return gifts to the remaining guests), and buffet providers are allowed a 30-40% reduction (giving return gifts to the adjusted number of guests).

The Korea Wedding Industry Association has decided to recommend this plan to its member companies. Seoul and the Korea Consumer Organization Council will establish the 'Seoul Win-Win Counseling Center' to mediate disputes and operate it temporarily until the Social Distancing Level 2 is lifted.

The center will handle consumer consultations, guidance, and mediation regarding the win-win plan, mediating disputes between prospective couples and wedding service providers and encouraging agreements between parties. Six consumer specialist counselors belonging to the Korea Consumer Organization Council will receive wedding dispute consultations, explain the agreed dispute resolution standards between consumer organizations and business groups, conduct first-stage self-mediation, and link to second-stage mediation through business groups. The Korea Wedding Industry Association will conduct second-stage mediation with its member companies based on the agreed dispute resolution standards.

For non-member companies, the center will request cooperation to follow the agreed dispute resolution standards to promote the spread of the win-win plan.

Mediation consultations will be conducted via non-face-to-face telephone counseling (02-2133-4864, 4936), and consultation hours are from 10 a.m. to 5 p.m.

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