On August 11, the FTC imposed corrective orders and a fine of 10.5 million KRW (approximately 8,000 USD) on the online idol merchandise sellers under these companies: Weverse Company, YG Plus, SM Brand Marketing, and JYP360
These companies were found to have violated e-commerce laws by setting arbitrary withdrawal periods shorter than the legally mandated ones, refusing refunds without an unboxing video even if some components were missing, and failing to provide specific information about when products could be received.
According to the current e-commerce law, consumers have the right to withdraw from a purchase within seven days of receiving the goods, or within three months if the product is defective. Additionally, consumers can still withdraw even if the packaging is damaged for the purpose of checking the contents.
An FTC official stated, “These practices by idol merchandise sellers are considered actions that obstruct consumer withdrawal rights through false or exaggerated claims, which are prohibited by e-commerce laws. The violations were particularly targeted at teenagers, who may have low awareness of their rights under these laws. The FTC has identified and corrected these illegal practices in the entertainment industry.”
Source: SafeTimes
