Gyeonggi-do Sees Annual Increase in Franchise Dispute Mediation 'Settlement Rate'

Support Project of Gyeonggi-do Fair Trade Support Center Graphic provided by Gyeonggi Provincial Government

[Asia Economy (Suwon) = Reporter Lee Young-gyu] The 'establishment rate' of franchise business-related disputes managed by Gyeonggi Province is increasing every year.

According to Gyeonggi Province on the 6th, the number of dispute mediation applications received by the Gyeonggi Province Franchise Business Transaction Dispute Mediation Council by year is 74 cases in 2019, 84 cases in 2020, 83 cases in 2021, and 100 cases in 2022 (as of December 5), totaling 341 cases. The province previously received the dispute mediation work related to franchise business transactions from the Fair Trade Commission in 2019.

Among them, the dispute mediation establishment rate (the ratio of established cases among received cases excluding closed cases) has been increasing annually: 71% in 2019, 75% in 2020, and 91% in 2021. Especially this year, excluding 21 closed cases and 21 ongoing cases, 56 out of 57 received cases were successfully mediated.

The average dispute mediation processing period has also shortened to 25 days in 2019, 18 days in 2020, 39 days in 2021, and 22 days in 2022. This means that dispute mediation work is being conducted more quickly than the statutory processing period of 60 days.

Heo Seong-cheol, head of the Fair Economy Division of the province, said, "Gyeonggi Province is striving to practically resolve franchise business transaction disputes. With the solid experience accumulated in dispute mediation so far, we provided particularly meaningful mediation services this year," adding, "We will work to establish fair trade order within the province through active mediation and support roles in franchise business transactions."

Anyone who is a franchisee who has suffered unfair damage within the province or a franchisee whose business site is located within the province can apply for franchise business transaction damage consultation and dispute mediation free of charge.

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