(Photo = Yonhap news)

 

[Alpha Biz=(Chicago) Reporter Kim Jisun] The Fair Trade Commission on the 18th conducted an on-site investigation into allegations that online video service providers Netflix and Wavve did not provide consumers with the function of "cancellation."

The FTC sent investigators to these companies' offices to secure related data such as terms and conditions of termination. The FTC is said to suspect that Netflix and Wavve did not properly guarantee consumers' right to terminate services that can cancel contracts at any time.

The types of contract termination are divided into termination in the middle of the contract, which allows the contract to be terminated immediately upon application, and general termination, which is maintained and terminated until the payment date. When a consumer applies for termination, the service provider usually refunds the rest of the payment, except for the period used by the consumer.

The Fair Trade Commission is known to believe that Netflix violated consumers' legitimate rights by not providing any mid-term termination functions.

The investigation is the first of its kind by the Korea Fair Trade Commission's key investigation team, which was established with the aim of expedited handling of cases of great interest.

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