[Alpha Biz= Reporter Kim Sangjin] The Fair Trade Commission (FTC) has launched an investigation into Kakao Mobility for allegedly engaging in unfair contractual practices regarding commission fees.

According to reports from the taxi industry on July 21, the FTC dispatched investigators to KM Solutions, a Kakao Mobility subsidiary responsible for managing affiliated taxis nationwide (excluding Daegu and Gyeongbuk regions).

The FTC's probe focuses on the practice where KM Solutions charges a 3.3% commission fee (reduced to 2.8% for new affiliated vehicles from June 2024) on all revenues generated by affiliated taxis, regardless of whether the rides are booked through the Kakao T app or other taxi-hailing platforms like Uber. This includes fares collected from passengers picked up directly from the street.

The FTC is investigating these practices under allegations of unfair contracts and potential violations of franchise business laws, as the terms are seen as disadvantageous to taxi drivers.

 

 

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