Government and Ruling Party Push for 10% Revenue Fine for Repeated or Intentional Personal Information Leaks

Park Beomgye of the Democratic Party to Sponsor the Bill
Damage Claims to Be Allowed in Class Action Lawsuits

The government and the ruling party are pushing for a legal amendment to increase the maximum fine for large-scale personal information leaks from the current 3% to 10% of a company's total revenue.

According to political sources on December 9, Park Beomgye, a lawmaker from the Democratic Party of Korea, is expected to sponsor an amendment to the Personal Information Protection Act that includes these provisions. The proposed amendment would allow fines of up to 10% of a company's total revenue for cases involving repeated or intentional gross negligence.

The bill also includes provisions that would allow damage claims to be filed through class action lawsuits. Under the current Personal Information Protection Act, class action lawsuits are permitted, but only to seek injunctions to prohibit or stop violations. The new amendment aims to expand the scope of class actions to include damage claims, thereby strengthening remedies for victims. However, it is unlikely that the new law will be applied retroactively to past personal information leaks, such as those involving Coupang or SK Telecom.

Kim Sanghoon, a lawmaker from the People Power Party, is also preparing to propose an amendment to the Personal Information Protection Act that would raise the maximum fine to 10%. With both the ruling and opposition parties in agreement on the need for legal reform, the bill is expected to move quickly through the National Assembly's Political Affairs Committee.