Controversy Over Duplicate Regulations 'Onpleob'... "Duplicate Regulations Must Be Prevented Through Inter-Ministerial Coordination"

[Asia Economy Reporter Kang Nahum] Regarding the 'Online Platform User Protection Act (Onple Law),' which is escalating into a conflict between the Korea Communications Commission (KCC) and the Fair Trade Commission (FTC), there are claims that the law needs to be revised to establish an organic linkage system between the agencies and prevent overlapping regulations.

At the Online Platform User Protection Act forum held on the 5th at the Federation of Korean Industries building in Yeongdeungpo-gu, Seoul, Professor Choi Kyung-jin of Gachon University’s Department of Law stated, "Platforms inevitably have to be linked with multiple ministries," adding, "The division of roles among various ministries should be clearly defined to prevent unnecessary overlapping regulations on businesses."

Kim Yoo-hyang, Planning and Legal Affairs Officer at the National Assembly Legislative Research Office, also pointed out, "Considering the characteristics of the platform industry and services comprehensively, it is difficult to regulate with a single law, so multiple agencies inevitably have to be involved," and added, "Due to jurisdictional areas, each ministry tries not to interfere with other agencies, but the reality is different, so inter-ministerial consultations are needed to establish an organic linkage system when making laws."

The conflict between the FTC and KCC over the Onple Law began last month when the FTC pushed the Onple Law as a government bill. The FTC included provisions in the bill that require platform operators to draft contracts with tenant companies and provide grounds to sanction acts such as coercing economic benefits, shifting losses, interfering with management activities, and retaliatory measures after the fact.

The KCC raised objections, citing concerns about overlapping regulations with the Telecommunications Business Act. The Online Platform User Protection Act promoted by the KCC is similar in broad terms to the FTC’s bill but differs in that it imposes regulations on large-scale platform operators and includes user protection provisions.

Meanwhile, voices have emerged that the KCC, as a specialized regulatory agency in the broadcasting and telecommunications sector, should be in charge. Professor Lee Sung-yeop of Korea University’s Graduate School of Technology Management said, "While the legitimacy of platform regulation is recognized, pursuing multiple laws targeting the same business operator causes the problem of 'overlapping legislation,'" adding, "If regulation is necessary, it is desirable for the government to designate the KCC as the specialized agency for the online sector, and integration is needed to prevent competition among regulatory agencies from hindering corporate innovation."

Kim Hyun-soo, Director of the Telecommunications and Radio Research Division at the Korea Information Society Development Institute, explained the rationale for KCC’s jurisdiction by saying, "In the EU, the Directorate-General for Communications Networks, Content and Technology under the European Commission, which is equivalent to our executive branch, handles platform-related laws, and in Japan, the Ministry of Internal Affairs and Communications, the telecommunications regulatory agency, is responsible. I want to emphasize that Korea also has a specialized regulatory agency (KCC)."

Given the various opinions on the responsible agencies, the National Assembly’s Science, Technology, Information and Broadcasting and Communications Committee and the Political Affairs Committee are expected to soon conclude the issue of overlapping legislation.

On the day of the forum, Lee Won-wook, Chair of the National Assembly’s Science, Technology, Information and Broadcasting and Communications Committee, said, "I am discussing with Representative Yoo Dong-soo, the floor leader of the Political Affairs Committee, on how to handle this issue," adding, "In the near future, I will meet with the chair of the Political Affairs Committee, myself, Cho Seung-rae, the floor leader of the Science and Technology Committee, and Yoo Dong-soo to finalize the direction."