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BackYou can't ask the supplier for advertising expenses that aren't in the contract... Standard contract revision
You can't ask the supplier for advertising expenses that aren't in the contract... Standard contract revision
NEWS
연합뉴스19 minutes agoBusiness2 min readSouth KoreaView original

You can't ask the supplier for advertising expenses that aren't in the contract... Standard contract revision

Clarify the date of receipt of the product and prohibit the charge of fees if the contract is not specified.

Quick Look

  • The Fair Trade Commission revised seven types of standard transaction contracts in the distribution field, including online shopping malls, department stores, hypermarkets, and convenience stores.
  • The product receipt date was clearly defined as the product delivery date, and costs not specified in the contract could not be unilaterally charged to the supplier.

AI-generated summary

Why It Matters

Since the implementation of the Large-Scale Distribution Business Act in January 2012, the Fair Trade Commission has prepared and distributed a total of 10 types of standard contracts for each transaction type and business type, and has revised them according to industry needs and demands for system improvement.

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The Fair Trade Commission announced on the 13th that it had revised seven types of standard transaction contracts in the distribution field, including two types of online shopping malls (direct purchase, consignment transaction), two types of department stores and large marts (direct purchase, special contract purchase), duty-free stores, convenience stores, and TV home shopping.

In this revision, the Fair Trade Commission specified in the standard contract that the product receipt date, which is the date payment is calculated under the Large-Scale Distribution Business Act, is the date the product is delivered.

In the case of direct purchase transactions, the Large-Scale Distribution Business Act stipulates that payment must be made within 60 days from the date of receipt of the product.

The Fair Trade Commission interprets the product receipt date as the product delivery date regardless of whether or not it is inspected, but the current standard contract stipulates receipt of the product after inspection, and was revised to take into account the fact that the product receipt date after inspection could be misunderstood as the payment date.

In addition, the Fair Trade Commission reordered the inspection-related provisions after the payment-related provisions, making it clear that the product receipt date is the delivery date before product inspection.

The Fair Trade Commission will also expand the provision for prior notification of other costs to improve the unfair practice of large-scale distributors unilaterally bearing costs that are not specified in their contracts with suppliers.

The Fair Trade Commission expects that this will improve the practice of unilaterally and excessively charging suppliers for costs not specified in the contract without prior consultation.

The Fair Trade Commission plans to promote and recommend the revised standard contract to major business organizations to encourage their use.

The plan is to continuously supplement existing distribution standard contracts by reflecting changes in the distribution market, industry demands, and related system improvements.

What to Watch

AI outlook — possibilities, not facts

  • The use of revised standard contracts will spread through major business organizations.

    Likely · Within weeks

Open Questions

  • When is the specific implementation date of the revised standard contract?
  • What are the sanctions levels for non-use of the standard contract?

Related Topics

This article was originally published by 연합뉴스.

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