[Consultation] Legal review of Terms of Use related to Refund Regulations

Article posted in 2022-11-24 18:18:01 | VEAT

Law firm Veat conducted a legal review based on a commission from A, a supplier of system software development and supply.

Law firm Veat reviewed A’s compliance with Article 3 Paragraph 1 of the “Act on Protection of Consumers in Electronic Transactions and Others” to determine if the company was subject to the law.

While the “Act on Protection of Consumers in Electronic Transactions and Others” does not apply to ‘items purchased with the purpose of carrying out a business,’ it applies when a business actually trades in a position similar to a consumer under similar conditions with other consumers. We confirmed this and reviewed the customer’s applicability of the electronic commerce law.

Next, we examined whether the company’s service was subject to Article 17 Paragraph 2 of the “Act on Protection of Consumers in Electronic Transactions and Others,” which defines ‘goods and services for which cancellation of offer is impossible.’ We then considered possible methods for allowing cancellation of offer.

When the cancellation period is limited, it conflicts with existing terms and conditions, so amendments to the terms and conditions are necessary to allow for a cancellation period. We confirmed the need for terms and conditions amendment and discussed the details accordingly.

Because electronic commerce laws differ from general civil and criminal law and have different interpretation standards, even vague wording in documents can lead to legal issues. Therefore, it is necessary to select a law firm that is well-versed in and has experience with these laws.

Law firm Veat prepares customized terms and conditions for each customer based on applicable laws, after carefully understanding the services of various clients. If you need legal advice on terms and conditions, including the “Act on Protection of Consumers in Electronic Transactions and Others” and the “Act on Regulation of Contracts,” please contact Law firm Veat at any time.

Thank you.
Law firm Veat