- Corrective order and fine of KRW 56 million for violation of obligation to provide written documents when requesting technical data -
The Fair Trade Commission (Chairman Han Ki-jung) decided to issue a corrective order and a fine (56 million won) for violating the law on fair subcontracting transactions of Forresia Korea, a parts manufacturer related to automobile exhaust systems.
* Korean subsidiary of French company Faurecia, the world's seven largest auto parts maker
From April 2018 to December 2020, Forecia Korea demanded 101 technical data containing the know-how of four small and medium-sized domestic subcontractors, and did not issue a document requesting technical data containing the purpose of the request.
The obligation to provide technical data is a safety device under the Subcontracting Act that allows the original business operator to refrain from excessively demanding technical data of the contractor beyond the scope necessary to achieve the purpose of the subcontracting transaction, and allows the contractor to clearly recognize the scope of the required technical data and the purpose of use.
In order to establish a fair subcontracting transaction order, the FTC will focus not only on technology usage but also on violations of procedures related to requesting technical data.