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| Talking Point | Interviews | Success Stories | China Today | Import & Export | Legally Speaking | Regional Development |
e-Commerce Disputes in Korea Show More Than 80% Rise
(Seoul, Korea) - The number of e-commerce disputes received by the e-Commerce Mediation Committee (ECMC) in 2002 reached 854 cases, representing a rapid increase of 89.6% over the 457 cases in 2001, mainly due to the expansion of Internet shopping malls.

The dispute amount was 5.444 trillion won for January-November 2002 (annual total estimated by National Statistical Office: 6 trillion won), compared with 3.347 trillion won in 2001.

By type, cancellation of contracts, return of goods and refunds constituted one-third (313 cases, 36.7%) of the total disputes, followed by delayed delivery/ non-delivery (183 cases, 14.1%) and contract changes/ non-performance of contracts (116 cases, 13.6%). Disputes related to the management of individual Internet shopping malls and duplication of "hangeul" (Korean language) homepage addresses increased, while those involving delayed delivery and the closure of Internet malls declined.

The Ministry of Commerce, Industry and Energy (MOCIE) said that of the total 854 cases, the ECMC found 579 mediation-possible cases and reached agreement or mediation successful in 542 cases, while failing in 37 cases. In addition, 69 cases were impossible to mediate due to lack of communication with relevant parties; 82 cases were judged not in the e-commerce area; and 63 cases were withdrawn. The remaining 61 cases were received in December last year and are presently being coordinated.

To prevent the growth of e-commerce disputes in advance and to achieve rapid resolution, the ministry and ECMC plan to expand the "cyber dispute coordination system," increase the manpower in the committee's secretariat and publicize e-commerce dispute practices and countermeasures by type.

 
Seoul, Feb 2003

This article is courtesy of Korea Trade Network (KTNET), a member of the Pan-Asian E-Commerce Alliance. KTNET was founded in Dec. 1991 to help trading companies increase their international competitiveness by the business automation system to reduce cost and time trading businesses in Korea. To reach KTNET, please go to www.ktnet.co.kr/
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