Case Studies
[202102] Monthly Veat 2nd Issue_Everything for Safe SW Development Contracts
Law firm Veat https://stib.ee/EV43
[Legal Review] Regarding Agreement for Joint Research and Development
Law firm Veat conducted legal review of the English joint research and development agreement documents. A사는, a medical and pharmaceutical research and development specialized biotech venture company, requested Law firm Veat to conduct a legal review of the necessary English joint research and development agreements during the process of establishing a partnership agreement with a partner company. Accordingly, Law firm Veat thoroughly identified key issues in the joint research and development agreement and modified ▲development product profit distribution ratio between joint research and development agreement parties, ▲cost burden ratio between joint research and development agreement parties, ▲joint patent filing regulations, ▲unilateral termination rights clause that were disadvantageous to A사. In this joint research and development agreement, there were many clauses that were disadvantageous to A사, and because ▲legal English expertise is needed when drafting and reviewing English contracts, expert legal advice was required. Law firm Veat provides professional legal advice based on its extensive experience in reviewing and drafting joint research and development agreements and English contracts. Please contact Law firm Veat if you need assistance with this matter. Thank you.
[Consultation] Response plan for fraudulent web services impersonating virtual currency exchanges.
Law firm Veat provided countermeasures against fraudulent websites claiming to be virtual currency exchanges. Recently, with increased interest in virtual assets (cryptocurrencies), fraudulent websites impersonating virtual currency exchanges are appearing one after another, so caution is required. A, which operates a virtual currency exchange, contacted Law firm Veat to inquire about legal countermeasures after discovering a website impersonating A’s virtual currency exchange using similar domain names. In response, Law firm Veat provided countermeasures, including ▲ filing a request with the Broadcasting Communications Committee to restrict access to the fraudulent website and ▲ criminal prosecution based on violations of the “Act on Prohibition of Unfair Competition and Protection of Trade Secrets” (Unfair Competition Act) and the “Criminal Code.” The act of registering, holding, transferring, or using similar domain names is subject to “Act on Prohibition of Unfair Competition and Protection of Trade Secrets” (Unfair Competition Act) Article 2(1) – an unfair competition act, resulting in a sentence of **imprisonment for up to 3 years or a fine of up to 300 million won.** Law firm Veat provides numerous consultations and dispute resolutions based on its experience related to **“Act on Prohibition of Unfair Competition and Protection of Trade Secrets” (Unfair Competition Act), including website and service impersonation,** and offers **swift and accurate solutions.** If you need legal advice in this regard, please contact Law firm Veat at any time. Thank you.
Songdo Young Partner Lawyer, Korea Privacy Protection Agency_Data Privacy: Trends & Insights 2021 Webinar Organizer
Veat Law Firm’s Songdo-yeong Partner Attorney participated in the Data Privacy: Trends & Insights 2021 webinar hosted by the Korea Data Protection Practitioners Association on February 5th and served as the Secretary General of the KDPPA. This webinar provided an opportunity for many people to check 2021’s personal data-related laws, policies, technologies, and market trends and insights through personal data experts. Veat Law Firm’s Songdo-yeong Partner Attorney promises to provide assistance in various ways through personal data expert activities, including activities related to the Korea Data Protection Practitioners Association. Thank you. Veat Law Firm
[Veat's Startup Legal Walk] Is AI Learning Data Collection Legitimate?
Would it be okay to use data found on the internet? If you collect data from the internet for AI learning, you may have questions. Even if it looks like it took a lot of time and money to create this data, should we be able to download and use it? Or does it mean that anyone can use it because it’s already uploaded to the internet? When analyzing legally, there may be multiple aspects regarding collecting internet data for AI model learning. However, here we will focus only on the aspect of copyright law. Originally, a person’s creative works (such as writing, photos, paintings, songs, movies, plays, books, and computer software) created with their own ideas or feelings are considered “works” and are protected by copyright. The person who creates a work has the exclusive right to use it and the right to allow others to use their work. Using a work without the permission of the copyright holder is a violation of copyright law. This is why the question of whether obtaining high-quality data from the internet for creating high-level AI models is a recent subject of debate. Weather statistics from Seoul and legal documents are not considered works, so they can be easily used for AI model learning, but newspaper articles, discussions posted on forums, comments, and photos posted on online shopping malls – all of which are publicly available – are all considered works, so there was a dispute about whether they could be used for AI models without the permission of the copyright holder. -Techm, “Anil Moon’s Startup Legal Walkthrough” Column, Excerpt- For more detailed information, please check Techm’s column at
Shopping mall (e-commerce) companies should check personal information checklists at least once.
Generally, shopping malls collect and utilize customers’ personal information by registering membership and placing orders for goods and items, managing a large number of personal information. However, as the number of shopping mall users increases, doubts and concerns may arise about whether our company is properly managing personal information. The Law Firm Veat provides a ‘Personal Information Checklist’ to be checked periodically based on a standard shopping mall to address these concerns. Do you have consent to collect and utilize personal information? In order for a shopping mall company to collect personal information from information service providers, as stipulated in Article 39(3) and Article 15 of the Personal Information Protection Act, it must, as a rule, notify the items collected, the purpose of collection and utilization, and the retention period, and obtain consent. If it violates this, it may be sentenced to imprisonment for up to 5 years or a fine of up to 500 million won. In particular, if the shopping mall uses personal information exceeding the scope of consent obtained from users or information subjects, it may be treated as ‘unintended use’ according to Article 71(2) and Article 18 of the Personal Information Protection Act, and may be sentenced to imprisonment for up to 5 years or a fine of up to 500 million won. Do you have consent for third-party provision and delegation? When providing personal information to a third party, it is necessary to notify the recipient, the purpose of utilizing the provided information, the retention period, the items provided, and the right to refuse consent, and obtain consent. In the case of a typical shopping mall, the third-party providers or delegators include courier companies for delivery, logistics centers for product management, companies handling customer service and complaint processing, and payment processing companies. Recently, due to strengthened investigations by investigative agencies and sanctions by administrative agencies regarding the legitimacy of third-party provision, it is advisable to verify whether personal information is properly processed by third parties. If personal information is provided to a third party without obtaining valid consent, it may be sentenced to imprisonment for up to 5 years or a fine of up to 500 million won according to Article 71(1) and Article 17 of the Personal Information Protection Act. Do you have consent for personal information deletion or inactive account management? Under Article 39(6) of the Personal Information Protection Act, a shopping mall company must delete or retain personal information of users who have not used information services for 1 year (unless otherwise specified in other laws or the user’s request), and if it violates this, it may be subject to a fine of up to 300 million won according to Article 75(2) Item 4 of the Personal Information Protection Act. Therefore, in the case of a shopping mall, it is necessary to operate a ‘Inactive Member System’ to delete or retain the personal information of users who have not used services for more than 1 year. The Law Firm Veat’s Personal Information Protection Team conducts personal information protection-related advisory services and personal information protection system establishment consulting services to ensure compliance with personal information protection laws. In particular, partners Jo Eun-byol and Baek Seung-cheol are appointed as advisors to the Personal Information Protection Committee since February 2020, thereby enhancing their expertise in personal information protection. Specifically, Law Firm Veat provides comprehensive advisory services, including the preparation of personal information consent forms, personal information handling policies, responses to on-site inspections by the responsible agency, and crisis response for leakage and disclosure incidents, for businesses providing services overseas, such as Europe and the United States, which are related to personal information and information protection. If you have a personal information legal consultation need, please contact Law Firm Veat. Key Case of Personal Information Legal Consultation ▶ Providing legal advice on consent forms for collecting personal information from minors to a company operating educational applications. ▶ Providing legal advice on consent related to collecting personal information during the hiring process for a startup company. ▶ Providing legal advice on ‘Agreement on Flexible Working Hours, Employment Contract, Employee Regulations and Personal Information Consent’ for a big data-based advertising agency. ▶ Providing legal advice on ‘Personal Information Handling Policy and Personal Information Consent’ for a bio/healthcare venture company. ▶ Providing legal advice on consent forms, online shopping mall terms of use, personal information handling policies, and personal information consent forms for a women’s clothing shopping mall. ▶ Providing legal advice on ‘Obtaining Personal Location Information’ related to an ICT-based startup providing location-based services. ▶ Providing various legal consultation services, including ‘Personal Information System Establishment Consulting’ for a consumer goods sales company operating both online and offline. 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Law firm Veat Regulatory Sandbox Team Head Songdo-yeong Attorney Interview, “The regulatory sandbox is a system that contributes to society rather than companies.”
규제에 가로막혀 사라질 뻔한 기업들이 살아남아 시장에 활력을 줍니다. 이 과정을 모니터링한 결과는 다시 법이나 규제를 개정하는데 반영되죠. 단순히 개별 기업의 비즈니스를 풀어주는 걸 넘어 사회적으로 매우 긍정적인 선순환을 만드는 셈이죠. 출처 : 더퍼스트미디어, ‘법무법인 비트’ 규제샌드박스팀장 송도영 변호사 인터뷰 중 일부 법무법인 비트의 송도영 파트너 변호사는 본 법무법인의 규제샌드박스 팀장으로서 2021년 2월 2일(화) 더퍼스트미디어와 한국형 규제샌드박스 시행 2주년을 맞아 지난 2년간의 성과와 향후 개선점을 짚어보는 인터뷰를 진행하였습니다. 아래 내용은 본 인터뷰를 일부 발췌한 내용으로, 더 자세한 내용이 궁금하신 분들은 링크를 참고해주시기 바랍니다. 법무법인에 규제샌드박스팀이 구성돼 있다는 게 이색적이다. “우리 회사는 ICT 관련 자문·송무를 다수 수행한 경험을 가진 변호사들로 구성돼 있어서 해당 분야에 강점이 있다. 실제로 공대 출신도 많다. 이에 2018년 규제샌드박스팀을 신설해 ▲정보통신진흥 및 융합 활성화 등에 관한 특별법 ▲산업융합 촉진법 ▲금융혁신지원 특별법 ▲지역 특화 발전 특구에 대한 규제 특례법 ▲스마트도시 조성 및 산업진흥 등에 관한 법률 등과 관련된 법률자문 및 임시허가‧실종특례 지정을 위한 종합 컨설팅 서비스를 제공하고 있다.” 실제 개별기업들과 상담을 많이 진행할 텐데, 주로 어떤 내용들인가? "일단 자신이 하려는 사업이 규제의 칼날을 피해갈 수 있을까 하는 우려가 크다.이 때문에 사업자들은 자기가 일구려는 사업 모델을 명확하게 타진하는 게 가장 중요하다. 우리나라 법이 생각보다 복잡하기 때문에 사업 구상에 대한 정리가 잘 돼 있어야 어느 법, 어느 규제에 걸리는지 파악할 수 있다.” 신청부터 승인까지의 절차가 궁금하다. 어쨌든 버젓이 존재하는 법에 대해 예외를 인정해달라는 것이다. 필요한 자료와 절차가 많을 수밖에 없고, 그만큼 시간도 든다. 정부 입장에선 심사 실무를 위한 전담 인력을 확충할 필요가 있고, 신청자들도 미리 준비를 충실하게 해 둬야 시간 소모를 줄일 수 있다. 전담 주무부처가 보다 열린 마음을 가져야 할 필요도 있다. 열심히 진행했는데, 정작 담당 부처에서 발목을 잡으면 시간은 차일피일 늘어진다. 오래 걸리더라도 되면 그나마 다행인데, 결국 막혀버리는 경우는 그야말로 최악이다. 스타트업의 1년은 대기업의 1년과 전혀 다르지 않나. 통상 여러 이해관계가 첨예하게 얽히는 경우 끝이 좋지 않다. 이런 부분은 결국 정부가 보다 전향적으로 움직여주는 수밖에 없다. 많은 창업자들의 바람처럼, 뭐가 됐든 시장에서 검증받을 수 있도록 열어줘야 한다. 법무법인 비트의 송도영 파트너 변호사는 지난 2018년부터 한국산업기술진흥원, 정보통신산업진흥원, 국토교통과학기술진흥원,한국스마트그리드사업단 등을 대상으로 규제샌드박스와 관련된 법률 컨설팅, 운영지원, 정책제언 등의 활동을 활발히 하고 있으며, 이러한 공로를 인정받아 지난해 ‘과학‧정보통신의 날’에는 정보통신발전 부문 국무총리 표창을 수상한 바 있습니다. 법무법인 비트는 송도영 변호사를 필두로 규제샌드박스팀을 두어 세상에 없던, 새로운 사업을 준비하는 기업들에게 전문적이고도 신속, 정확한 도움을 드리고자 최선을 다할 것을 약속드립니다. 감사합니다.
[Consultation] Review of Software Development Collaboration Agreement for Service Integration
Law firm Veat undertook legal review work for the collaboration agreement for software development to achieve service integration for A Co. (hereinafter ‘Client’), which received a mandate to develop mobility applications. The Client, a leading automotive manufacturer B Co., intended to execute a business of integrating its application with the platform it possesses, and therefore sought to conclude a collaboration agreement for software development. Law firm Veat primarily reviewed the details to ensure that the contents of the agreement did not include the disclosure of technology or source code to the opposing party or the granting of usage rights. Law firm Veat has accumulated extensive experience in resolving legal disputes related to software development contracts. Specifically, Law firm Veat utilizes its knowledge and experience as an IT specialist who professionally developed software to provide comprehensive legal advice regarding software development. If you are a party requiring legal review of a software development collaboration agreement, please contact Law firm Veat. Key Cases for Law firm Veat’s Software and IT Legal Advisory Legal review of the service agreement for the development project taken on behalf of software company A Co. which received a mandate to develop solutions. Legal review of the investment agreement conducted during the process of a startup A Co., an AI company, raising a 40 million investment from an accelerator. Legal review of the software development agreement taken on behalf of a promising AI startup B Co. regarding the development costs stipulated in the agreement. Providing legal review on ‘the possibility of separate sale of the software’ asked by A Co. operating a Business Integration Project (SI project) which develops software for its customer base. Thank you. Law firm Veat Dream.
“When raising investment, you must definitely confirm the relevant articles of incorporation. Please check with Law firm Veat!”
Investing in startups can lead to the preparation of investment agreements with investors and related performance matters, as well as the preparation of share issuance (capital increase) procedures due to investor capital deposits. Since resolutions are made that do not comply with the company’s articles of association, problems may arise, so it is necessary to verify the articles of association and confirm whether share issuance to investors is possible according to the investment agreement. What are the provisions in the articles of association that must be confirmed when investing? Law Firm Veat provides three checklists to guide you through the process. For more detailed guidance, please contact Law Firm Veat. Startup Articles of Association Checklist 1. Total number of shares the company will issue. The ‘total number of issued shares’ or ‘authorized capital’ refers to the number of shares the company will issue, within the limits of the number of shares. Share issuance is possible within this limit, and if the number of shares exceeds the limit during share issuance, it is necessary to revise the articles of association through a share issuance increase. And when the total number of shares to be issued is changed, a resolution must be made through a shareholders’ meeting special resolution, and the total number of shares must be carried out through the registration of the company’s articles of association. 2. Types of shares the company will issue. As for the types of shares the company will issue, it is necessary to verify whether common stock is based and whether priority stock is also issued. During investment, priority stock is often issued, and there are various types of priority stock, so it is good to define various types of priority stock in the articles of association. In short, it is necessary to verify whether there are provisions for issuing priority stock (equity stock), and whether these provisions are consistent with the provisions in the investment agreement. 3. Subscription Rights. Shareholders have the right to receive shares allocated to them in proportion to the number of shares they own (Article 418(1) of the Companies Act). Despite Article 1 of the aforementioned provision, it is possible to issue shares to non-shareholders in accordance with the provisions of the articles of association (Article 418(2) of the Companies Act). When a major investor invests further, it is necessary to verify whether there are provisions in the articles of association for allocating shares to third parties (non-shareholders). Is there a basis in the articles of association for allocating shares to third parties? If there is a basis, it is necessary to confirm that there is a clear basis for the investor to allocate shares to the investor. Thus, we have explored the most frequently occurring changes to the articles of association when investing in startups. As the provisions in the articles of association may vary and there is a need to verify the registration matters, if you need a more precise confirmation, please contact Law Firm Veat. Law Firm Veat’s Strengths Law Firm Veat is a law firm that best understands startups, with extensive experience and advisory experience from the establishment, operation, investment, and exit (capital recovery) of numerous startups. Specifically, Law Firm Veat provides definitive solutions at all stages, from the drafting and establishment of the company’s articles of association to the startup’s specific characteristics. Law Firm Veat’s Startup, Corporate Legal Matters Key Case Provided legal advice on stock purchase option agreements and non-disclosure agreements for S Co, which provides AI-based services. Provided legal advice on the period of shareholder meeting reduction related to the exercise of shareholder purchase rights for C Co. Reviewed civil and criminal remedies related to the retirement of a domestic company’s employee M Co. Provided legal advice to P Co, which provides VR services, on the feasibility of conducting shareholder meetings remotely (virtual), drafting corporate regulations, reporting obligations, and methods for informing employees about corporate regulations. Provided legal advice on the number of business sites for venture company W Co, stock options, and etc. Provided multiple legal advice including W Co, a venture company, providing legal advice on multiple areas such as multiple business sites and stock options.
[Consulting] Medical Device Distribution Agreement Legal Review
R사는 유럽계 회사인 P사로부터 의료기기를 유통하는 회사의, 의료기기를 납품 받아 판매를 진행하고자 하였습니다. 이에 R사로부터 전달받은 의료기기 유통 영문 계약서를 법률 검토 받고자 법무법인 비트로 문의하였습니다. 법무법인 비트는 P사로부터 전달받은 의료기기 유통 계약서가 유럽 의료기기법을 근거로 작성된 점을 확인하여 R사가 해당 의료기기법에 적용하는 지 여부를 종합적으로 검토하였습니다. 추가로 본 건 계약 체결을 위해 영문 개인정보 처리업의 위수탁 계약서를 검토하였습니다. GDPR 기반으로 작성된 개인정보 위수탁 계약서를 국내 개인정보 보호법에 비추어 필수 기재사항이 기재되어 있는지, 국내 개인정보보호법에 반하는 내용이 있는지 검토하였습니다. 법무법인 비트는 IT를 전공한 변호사들이 함께 설립한 법무법인으로서, 바이오 산업에 대한 심도 깊은 이해와 다양한 업무 사례를 바탕으로 차별화된 법률 서비스를 제공해드리고 있습니다. 법무법인 비트는 고객이 성장하는 단계에서 필연적으로 겪게 되는 문제와 분쟁 등을 예방하고 해결하는 과정에서 실질적인 도움을 드리고 있으며, 나아가 고객과 함께 성장하는 동반자가 되기 위하여 최선을 다하고 있습니다. 의료기기 유통 계약서 관련 법률 검토가 필요한 분들이라면 법무법인 비트로 문의하여 주시기 바랍니다. 감사합니다. Law firm Veat 드림