"Crack Down on Aggressive Sales Tactics Like Auto-Payment Inducement and Popup Pressure"... 'Jeonsang Act Amendment' to Be Promoted

[Asia Economy Reporter Eunju Lee] The Korea Fair Trade Commission (KFTC) is set to amend the Electronic Commerce Act to address deceptive online marketing tactics that are difficult to regulate under current laws, such as inducing automatic payments and pressuring consumers with pop-up windows.

On the 23rd, the KFTC reported to the Consumer Policy Committee on the agenda titled "Current Status and Response Directions of Deceptive Online Marketing Tactics," highlighting the recent increase in consumer damage and complaints caused by such tactics. The Consumer Policy Committee serves as a government-wide control tower for consumer policies, composed of ministers from eight related government departments, 15 private members, and the head of the Korea Consumer Agency. On this day, the committee reviewed and approved a total of four agenda items, including this one.

The KFTC identified new types of deceptive marketing tactics that have been on the rise: pressure-type (repeated pop-ups that psychologically pressure consumers regarding settings they have already made), obstruction-type (making it more difficult for consumers to unsubscribe or cancel membership than to sign up or purchase goods), inducement-to-defraud type (small manipulations that are hard for consumers to notice, leading them to automatic payments), and misleading-type (displaying certain product attributes as superior when consumers consider their choices).

The KFTC stated, "These new types of deceptive marketing tactics cannot be adequately regulated under current laws," and added, "We will amend the Electronic Commerce Act to protect consumers from tactics that structure screens to make consumers unknowingly agree to automatic payments." According to the KFTC, discussions are also underway in the United States, the EU, and the OECD to directly regulate these new deceptive marketing tactics. The KFTC also announced, "We will strengthen enforcement of existing laws such as the Electronic Commerce Act and the Act on Labeling and Advertising to prevent deceptive tactics that can be regulated under current laws, including false or exaggerated advertising, undisclosed sponsored posts on social media, and manipulation of user reviews."

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