Fair Trade Commission: "Geonchuk Gujo Gisulsahoe Sets Minimum Service Fees, Restricting Competition... 500 Million KRW Fine"

[Sejong=Asia Economy Reporter Joo Sang-don] The Korea Architectural Structure Engineers Association was found to have determined the fee standards for architectural structure technical services (1994?2019) and required its members to comply with them. On the 21st, the Fair Trade Commission announced that it decided to impose a corrective order (including a future prohibition order and a notification order to member businesses) along with a total fine of 500 million KRW.

According to the Fair Trade Commission, in March 1994, the Architectural Structure Engineers Association first established the "Standards for Architectural Structure Technical Service Fees," which set the criteria for calculating the fees for services performed by member structural engineers. Subsequently, it revised and implemented these standards five times in 1995, 2002, 2005, 2008, and 2013.

Based on the "Standards for Architectural Structure Technical Service Fees," the association determined the "Minimum Service Unit Price" by structure type and area in 2010, and revised and implemented it again in 2012 and 2013.

The standards for architectural structure technical service fees and the minimum service unit prices were abolished in December 2019, after the Fair Trade Commission began its investigation.

A Fair Trade Commission official explained, "In 2005, the association explicitly stipulated in its internal ethical regulations that members are obligated to comply with the fee standards. It also held various events such as seminars multiple times to urge members to adhere to the related standards. The association, which includes about 94% of domestic architectural structural engineers as member businesses, engaged in acts that unfairly restrict price competition in the domestic architectural structure technical service market."

Accordingly, the Fair Trade Commission decided to impose a total fine of 500 million KRW along with corrective orders including a future prohibition order and a notification order to member businesses.

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