Crawling business success for Legal review importance.

Data crawling is the technology that means exploring web pages using a program and automatically collecting information from a website to collect necessary data. This technology supports data-driven business models and plays an essential role in artificial intelligence (AI) and big data analysis, but it can be accompanied by legal issues that require attention.

While data crawling may appear technically simple, it has a high possibility of causing legal issues. Collecting data without permission from websites where crawling is not allowed, or violating terms of service, can lead to legal liability.

In particular, violations of the 「Copyright Act」, 「Personal Information Protection Act」, and 「Act on Prevention of Unfair Competition and Protection of Trade Secrets」(hereinafter “Unfair Competition Prevention Act”) are representative issues. Therefore, legal review is essential when companies utilize crawling technology to conduct business.

​1. Possibility of Violating Terms of Service and Personal Information Protection Act

Most websites specify limitations on data collection and utilization in their terms of service. Crawling that violates these terms of service can be considered a breach of contract. Therefore, it is very important to carefully review the terms of the website you intend to crawl before attempting it, and to determine whether crawling is legally permitted.

Furthermore, according to the Personal Information Protection Act, collecting data containing personal information without obtaining consent from the information subject can be considered an illegal act. Not all data on a website can be freely used, and personal information, in particular, is strictly protected, so unauthorized collection of such data can lead to legal liability.

​2. Possibility of Violating the Copyright Act and Database Copyright

The Copyright Act protects creative content, and this protection can apply to databases as well as text, images, and videos. If the materials posted on a website are protected by the Copyright Act, crawling them and using or reproducing them without permission can be considered copyright infringement. Therefore, if you plan to commercially utilize materials collected through data crawling, you must conduct a legal review of this.

​3. Whether it Violates the Unfair Competition Prevention Act

The Unfair Competition Prevention Act prohibits obtaining or using a competitor’s data unfairly. Therefore, collecting information from a competitor through crawling or imitating a competitor's business model based on that information can be considered unfair competition. In particular, unauthorized collection and use of information that could be classified as a trade secret can lead to legal disputes, so companies must always review legal risks before crawling.

Data crawling can be a powerful tool that creates significant value in business, but various legal issues can arise during the process. Therefore, companies that intend to utilize crawling must carefully review legal risks and collect and use data according to proper procedures.

Law firm Veat is a law firm specializing in IT and startups and provides optimized legal advice to minimize legal risks in data crawling businesses and ensure that clients can operate their businesses with peace of mind.

Furthermore, Law firm Veat provides legal advice in various business environments utilizing the latest technologies such as artificial intelligence (AI), big data, cloud computing, and metaverse and is positioned as a leading firm in IT-related law.

If you need legal advice on data crawling and other IT legal matters, please contact a Law firm Veat IT attorney.

​Thank you.

Law firm Veat