Compensation for damages 
Liability for damages resulting from the loss of or damage to articles
- Unless a beauty arts business operator proves that he/she has not been negligent in giving due care in the custody of articles deposited from his/her guests to him/her or his/her employee, the beauty arts business operator shall be liable to compensate for damage resulting from the loss of or damage to the articles kept in his/her custody (Article 152(1) of the Commercial Act).
※ A “hospitality service provider” refers to any person who engages in the business of making transactions by theaters, hotels, restaurants, or other facilities used by the public is called (Article 151 of the Commercial Act).
- A beauty arts business operator shall be liable to compensate for damage for the loss of or damage to portable goods brought into his/her establishments, even if not particularly deposited by the guest, when it is due to the lack of due care of the business entity or any of his/her employees (Article 152(2) of the Commercial Act).
- Even if the beauty arts business operator has informed that he/she is not liable for the loss of or damage to the portable goods of guests, he/she shall remain liable to compensate for damage suffered (Article 152(3) of the Commercial Act).
Liability for valuables
- With respect to money, securities and other valuables, no beauty arts business operator shall be liable for damage resulting from the loss of or damage to such articles unless the guest deposits them to the business entity by expressly stating the description and value thereof (Article 153 of the Commercial Act).
Dispute settlement
Criteria for the dispute settlement
- If any of the following disputes arise between a beauty arts business operator and a customer, such disputes may be settled in compliance with each applicable criterion [Article 16(2) of the Framework Act on Consumers, Article 8(3) of the Enforcement Decree of the Framework Act on Consumers, and Article 3 and annexed Table II No. 17 of the Criteria for the settlement of consumer disputes (Fair Trade Commission Announcement No. 2021-7, Enacted and enforced on May. 25, 2021)].
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Skin beauty business and hair beauty business
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Types of disputes
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Settlement criteria
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Note
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Where services provided differ from those specified in the contract
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▪ Cancellation of contract (Refund made after deducting the amount payable for the days of use until the contract was cancelled)
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Applicable amount for the days of use = entire amount × (days of actual use/entire days of use under the contract)
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Where a physical injury has been inflicted
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▪ A full recovery is sought under the responsibility of the business operator (the business operator shall bear the expenses), and if the full recovery is not feasible, compensation for damages shall be paid
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Where a contract has been cancelled due to reasons attributable to the business operator
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▪ Before the date of commencement: Full refund of down payment and 10% of the total service fee to be paid as a compensation ▪ After the date of commencement: Refund made after deducting the amount payable for the days of use until the contract cancellation and 10% of the total service fee to be paid as a compensation
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Total service fee means the total amount specified by the user at the time of the contract conclusion to the business operator, including all the costs such as the down payment and monthly fee However, the deposit is not included. If a contract has been entered into based on the number of services to be rendered, a refund will be made after deducting the amount payable for the number of services received
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Where a contract has been cancelled due to reasons attributable to the consumer
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▪ Before the date of commencement: The consumer bears 10% of the total service fee ▪ After the date of commencement: The consumer bears the amount payable for the days of use until the contract cancellation and 10% of the total service fee
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If the fees have already been paid to the business operator, the business operator shall refund the payment after deducting the amount payable by the consumer from the already-paid sum
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※ In addition, private insurance companies sell compensation liability insurances for beauty salons that pay for medical expenses and compensation claimed by customers and indemnify damages such as general risks that occur inside beauty salons, in the event where a hairdresser inflicts bodily injury to customers while performing perms, hair-dyeing.