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Photo = Fair Trade Commission |
[Alpha Biz= Reporter Kim Sangjin] On September 8, South Korea's Fair Trade Commission (FTC) announced that it had directed eight capital companies—Meritz, BNK, Woori Finance, JB Woori, KB, Hana, Hyundai Capital, and Hyundai Commercial—to revise their loan broker agreements due to seven unfair clauses, including liability transfer provisions.
These brokers act as intermediaries between the capital companies and used car buyers under outsourcing contracts for used car loan services.
The FTC reported that these capital companies had included clauses in their contracts that shifted the liability for loan-related issues onto the brokers.
The commission stated, “Clauses that impose all responsibility for losses due to failure to fulfill registration duties on brokers, without substantial justification, unfairly transfer the risks that should be borne by the business operators to the customers.” The FTC has ordered the companies to amend these clauses to appropriately reflect the broker’s level of fault or negligence.
AlphaBIZ Kim SangJin(letyou@alphabiz.co.kr)
