Platform service web scraping, how far is legal?

Law firm Veat received a request from a startup (hereinafter referred to as "the client") whose main business is shopping and logistics management, and performed a service legality review using a web scraping method.

In the modern business environment, platform-based services are playing an increasingly important role. Especially, data-based service provision has become a key element that determines a company's competitiveness, and managing legal risks in the data utilization process must also accompany it.

The case of Law firm Veat introduced today is about reviewing the legality of services that collect and utilize data through a Web Scraping method and effectively managing risks.

What is Web Scraping?

Web scraping is a type of data scraping used to extract data from websites. In other words, it refers to a program designed to analyze the HTML document of an internet web page and extract only the data with specific patterns from the data on that web page.

This web scraping is utilized in areas that require automatically collected specific information. For example, in the financial market, scraping technology is used to collect news information and investment information, and in the platform market, it helps to quickly grasp various market information.

Things to be aware of when Web Scraping

The client intended to utilize the aforementioned web scraping method to provide a service that allows users to view various information, such as order history, on a single platform, providing the platform it provides.

However, web scraping is not just a technical issue but a field where legal regulations are complexly intertwined. In particular, when adopting a web scraping method, the following points need to be noted.

1) Copyright Infringement

The “Copyright Act” protects the copyright of the author by stating that the author has copyright personality and copyright property rights (Article 10, Paragraph 1).

Therefore, if the content of the website being scraped is protected by copyright, unauthorized collection and utilization of it through web crawling or web scraping may cause problems such as infringing the copyright of a third party, so caution is required.

2) Violation of the Information and Communications Network Act

According to the “Act on Promotion of Information and Communications Network Utilization and Information Protection” (hereinafter “the Information and Communications Network Act”), no one shall access or invade an information and communications network without proper access rights or exceeding authorized access rights (Article 48, Paragraph 1).

Therefore, depending on the specific case, web crawling or web scraping of a website may cause problems with violation of the Information and Communications Network Act if it bypasses the website’s security system or is carried out without proper access rights.

3) Violation of the Unfair Competition Prevention Act

The “Act on Prevention of Unfair Competition and Protection of Trade Secrets” (hereinafter “the Unfair Competition Prevention Act”) regulates acts that unfairly use another party’s achievements resulting from substantial investment or effort in a manner contrary to fair trade practices or competition order to one’s own business and infringe on the economic interests of the other party (Article 1, Sub-paragraph (F), Paragraph 1).

Therefore, utilizing a competitor's data or business model obtained through web scraping may be deemed an act of unfair competition.

4) Crime of Obstructing Business by Damaging Computer, etc.

The “Criminal Act” stipulates that anyone who damages a computer or other information processing device or electronic record or enters false information or irregular commands into an information processing device or causes disruption to information processing by other means and thereby obstructs the business of another shall be subject to criminal punishment (Article 154, Paragraph 2).

Therefore, if web scraping generates excessive traffic or disrupts the normal operation of the target server, criminal responsibility may be an issue.

5) Violation of the Personal Information Protection Act

Except for special circumstances, consent from the information subject must be obtained before collecting and using personal information (Article 15, Paragraph 1, Sub-paragraph 1, Paragraph 1 of the Personal Information Protection Act).

Therefore, if personal information is included in the data being scraped, the act of unauthorized collection and utilization of it may be in violation of the “Personal Information Protection Act”.

Law firm Veat’s Systematic Legal Advisory Services

As web scraping may violate various laws, a thorough review by a legal expert is necessary for stable business operation.

Law firm Veat, based on its expertise in web scraping-related legal matters, not only pointed out problems in the client's business model but also provided specific guidelines to reduce legal risks.

Through this legal support optimized for the client's business model, the client was able to maintain the competitiveness of services based on legal data utilization. In addition, the client was able to identify vulnerabilities in the business model and establish specific measures and operating plans to prevent potential problems that may arise during subsequent service operation.

Law firm Veat with IT Expertise

IT-specialized Law firm Veat provides solutions to effectively resolve complex legal problems based on its years of experience and expertise in the IT and startup legal advisory field. It provides services specializing in legal advisory related to data utilization, personal information protection, and platform business, and supports successful operation and growth by providing customized legal advisory services necessary for the client's current situation.

Need Legal Advice?

To ensure the success of a business that utilizes data, it is important to secure not only the technology but also legal stability. Law firm Veat is helping clients achieve their business goals by resolving various legal problems that may arise in the data utilization process, as in this case.

If you want to reduce legal risks and operate a safe business by utilizing data through web scraping and web crawling, please contact Law firm Veat now. IT and startup legal experts will be your reliable partners for your success.

The following is a case study of this service which can also be found on the Law firm Veat blog.

- Is Web Scraping Legal?

​

Thank you.

Law firm Veat