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Consumer Dispute Resolution

Using a consumer organization

Using the council of consumer organizations

Using a consumer organization

Consumer organization

- A consumer organization provides consulting and information for the resolution of consumer complaints and damages. It also recommends settlement in the case of disputes between a consumer and a business operator (Articles 2-3 and 28(1)-5 of the 「Framework Act on Consumers」 ).

Using the council of consumer organizations

The council of consumer organizations

- If no settlement is reached concerning a dispute between a consumer and a business operator despite the consumer organization’s recommendation to settle, the consumer may apply to the Council of Consumer Organizations for autonomous dispute mediation (Article 31 of the 「Framework Act on Consumers」 and Article 24 of the「Enforcement Decree of the Framework Act on Consumers 」).

Requirements when applying for autonomous dispute mediation

- If a consumer organization’s recommendation for the settlement of a dispute between a consumer and a business operator is not accepted, the consumer may apply for dispute mediation through the council of consumer organizations (Article 24(1) and (2) of the 「Enforcement Decree of the Framework Act on Consumers」 ).

- However, if the issue is overseen by one of the organizations described below, the council of consumer organizations cannot mediate the dispute (Article 31(1) Proviso of the 「Framework Act on Consumers」 and Article 25 of the「Enforcement Decree of the Framework Act on Consumers」).

1. Financial Disputes Mediation Committee (Article 33 of the Act on the Protection of Financial Consumers)

2. Korea Medical Dispute Mediation and Arbitration Agency (Article 6 of the Act of Medical Malpractice Damage's Relief and Mediation for Medical Disputes)

3. Environmental Dispute Resolution Commission (Article 4 of the Environmental Dispute Adjustment Act )

4. Korea Copyright Commission (Article 112 of the Copyright Act)

5. Personal Information Dispute Mediation Committee (Article 40 of the Personal Information Protection Act)

6. Korea Electricity Commission (Article 53 of the Electric Utility Act)

7. The Postal Insurance Dispute Resolution Committee (Article 48-2 of the Postal Savings and Insurance Act)

8. Other dispute mediation organizations that were established in accordance with other laws and designated by the Fair Trade Commission out of necessity.

※ For areas that require professional expertise, dispute mediation organizations have been set up and are being operated on the basis of each of the relevant laws. Among these organizations are the Financial Disputes Mediation Committee, Korea Medical Dispute Mediation and Arbitration Agency, E-Commerce Mediation Committee, Central Environmental Dispute Adjustment Committee, Korea Copyright Commission, and Personal Information Dispute Mediation Committee. Detailed information on the dispute mediation commissions can be found under <Resolution Using an Agency - Using an Agency - Dispute Mediation Commission for Each Area> of this document.

Applicant for autonomous dispute mediation

- If there is an outstanding issue or reason for which a dispute cannot be settled by a consumer organization, then the parties concerned (consumer and business operator) can apply for autonomous dispute mediation or the consumer organization can apply for it on their behalf (Article 24(1) and (2) of the 「Enforcement Decree of the Framework Act on Consumers」).

Fact-finding investigation

- The office of the Autonomous Mediation Commission may ask for the submittal of evidential documentation from the consumer organization, Fair Trade Commission or local government, whichever applied on behalf of the parties to the dispute (Article 24(5) of the 「Enforcement Decree of the Framework Act on Consumers」 ).

Mediation plan proposal

- Generally speaking, when a case is received, an Autonomous Mediation Committee meeting is held, a mediation plan is proposed, and the parties are advised to accept the mediation plan.

- The Autonomous Mediation Commission must complete the dispute mediation within 30 days of receiving a dispute mediation request. However, if due to some extenuating circumstances the dispute cannot be mediated within that deadline, the parties and their representatives must be notified of the reasons for such and the new deadline (Article 24(6) of the 「Enforcement Decree of the Framework Act on Consumers」).

- If a settlement cannot be reached in accordance with the consumer organization’s settlement recommendation, then the involved parties can apply to the Consumer Dispute Settlement Commission for dispute mediation.