Dispute Resolutions in the Platform Sector Jumped Twofold Last Year

Fair Trade Mediation Agency Announces Last Year's Dispute Mediation Status
Total Cases Received Up 22% Year-on-Year
Platform Sector Surges 106% Increase

Last year, the number of dispute resolution cases in the online platform sector more than doubled compared to the previous year. The total amount of direct and indirect compensation resulting from dispute resolutions also increased by 38%.

According to the "2023 Dispute Resolution Status" announced by the Korea Fair Trade Mediation Agency on the 5th, the total number of dispute resolution cases last year was 3,481, a 22% increase from the previous year (2,846 cases).

By sector, the general unfair trade sector had the highest number with 1,372 cases, a 26% increase compared to 1,085 cases a year earlier.

This is analyzed to be due to a 106% surge in unfair trade dispute resolution cases in online platforms such as open markets, reaching 229 cases.

Han Ki-jung, Chairman of the Fair Trade Commission, is responding to a lawmaker's question at the National Assembly's Political Affairs Committee audit held on the 16th. Photo by Hyunmin Kim kimhyun81@

Next were the subcontracting transaction sector (1,044 cases), franchise business transaction sector (605 cases), and terms and conditions sector (339 cases) in order of the number of dispute resolution cases.

Among the subcontracting sectors, the number of cases in the construction subcontracting sector increased by 25% compared to a year earlier. The main reason for filing for dispute resolution was non-payment of subcontracting fees, accounting for 62.1% of the cases.

In the terms and conditions sector, there was a notable increase in applications related to excessive penalty claims. The most common reason for applications was also excessive penalty claims (41.3%).

The total number of dispute resolution cases processed last year was 3,151, a 10% increase from the previous year (2,868 cases). Among these, 1,278 cases were successfully mediated, and the direct compensation amount was 122.9 billion KRW.

The total amount of direct and indirect compensation, including saved litigation costs, was 130.9 billion KRW, a 38% increase compared to a year earlier.

This year, the domestic and international economic conditions are expected to worsen due to the three major adverse factors of high inflation, high interest rates, and high exchange rates, and the types of unfair trade practices are expected to become more complex with the acceleration of the digital economy.

The Mediation Agency stated, "Based on accumulated mediation capabilities and know-how, we will strive to provide professional dispute resolution services to promptly resolve damages caused by unfair trade practices."

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