Fair Trade Commission to Investigate Collusion Among Business Groups Including 'Byeonhyeop' Obstructing 'Lotok'

[Asia Economy Reporter Eunju Lee] The Fair Trade Commission (FTC) has decided to conduct a focused investigation on business associations that obstruct platforms attempting to newly enter the platform market this year. It is expected that monitoring will be strengthened on obstructive acts by existing businesses that hinder the growth of new platform markets, such as the Bar Association (Korean Bar Association) restricting advertisements for 'LawTalk,' a legal service platform operated by affiliated lawyers.

An FTC official stated on the 9th, "We will focus on obstructive acts that hinder platform market innovation, such as the lawyer associations in conflict with LawTalk and the Medical Association, which has clashed with Gangnam Unnie." The FTC also revealed this during a business report on the 26th of last month.

Recently, the FTC has been actively recognizing groups like the 'Cargo Solidarity' and the 'Korean Confederation of Trade Unions Construction Union' as business associations and is intensifying its monitoring of 'business obstruction acts' by these associations. The FTC believes it is necessary to check actions that suppress other businesses' market entry based on entrenched vested interests accumulated over a long time in the market. It is also interpreted that collusive acts within the platform market by expert groups such as the Bar Association and the Medical Association cannot be ruled out.

Accordingly, there is growing weight to the possibility of strong sanctions against the Bar Association, which is awaiting FTC deliberation. In November last year, the FTC sent a review report (equivalent to a prosecutor's indictment) containing sanctions opinions on violations of the Fair Trade Act and the Act on Labeling and Advertising to the Bar Association. The review report reportedly includes the FTC's view that the Bar Association's policy to discipline lawyers registered with LawTalk constitutes a prohibited act by a business association under the Fair Trade Act and restricts free labeling and advertising activities. Last year, the FTC was criticized for showing a somewhat lukewarm attitude toward the Bar Association due to delays in the deliberation schedule.