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Subcontracting Act
Subcontracting Act
Description
Book Introduction
The Subcontracting Act (3rd Edition) is a book written as a commentary on the Act on Fair Subcontracting Transactions and as a practical guide for public officials enforcing the Subcontracting Act, legal professionals, and corporate practitioners.
It has been revised to fully reflect relevant laws, regulations, and guidelines revised by the end of April 2025, and many important decisions and precedents have been added.
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index
Chapter 1 General Provisions

1.
Background
2.
Revision background
3.
Subcontracting Act and Competition Policy
4.
Relationship between the Subcontracting Act and other laws
go.
Fair Trade Act
me.
Other laws

Chapter 2 Subjects of the Subcontracting Act

1.
outline
2.
Supplier
go.
Opening
me.
small and medium-sized business owners
(1) An independent enterprise of a certain size or less that conducts business for profit
(2) Social enterprise
(3) Cooperatives and federations under the Cooperatives Basic Act
(4) Cooperatives and federations under the Consumer Cooperatives Act
(5) Cooperatives and federations under the Small and Medium Enterprise Cooperatives Act
(6) Companies within a 5-year grace period after graduating from a small and medium-sized enterprise
all.
mid-sized companies below a certain size
3.
Original contractor
go.
Businesses other than small and medium-sized enterprises (Article 2, Paragraph 2, Subparagraph 1 of the Act)
me.
Small and medium-sized enterprises with higher annual sales than recipient businesses (Article 2, Paragraph 2, Subparagraph 2 of the Act)
all.
In case of circumvention of subcontracting regulations through an affiliate, the affiliate (Article 2, Paragraph 4 of the Act)
la.
A company belonging to a group of companies subject to mutual investment restrictions (Article 2, Paragraph 5 of the Act)
mind.
Businesses with annual sales exceeding 2 trillion won
bar.
When a member of a joint procurement body enters into a subcontract
4.
Extraterritorial application
5.
Decisions and precedents

Chapter 3 Transactions Subject to Subcontracting Act

1.
General
go.
Transaction stages subject to law
me.
Transaction areas subject to law
all.
Common establishment requirements
(1) Entrustment
(2) By karma
la.
Decisions and precedents
2.
manufacturing consignment
go.
A business operator engaged in the business of “manufacturing goods,” “selling goods,” “repairing goods,” or “construction”
(1) A business operator engaged in the “manufacturing of goods” business
(2) Business operator whose business is “selling goods”
(3) Business operator engaged in “goods repair” business
(4) Business operators engaged in construction
me.
"Goods according to the job"
all.
Entrusted with "manufacturing"
la.
Decisions and precedents
3.
Repair consignment
go.
If you are engaged in the business of repairing products ordered by customers
me.
If you are engaged in the repair of personal items as a business
4.
Construction consignment
go.
construction workers
me.
Construction work according to that industry
5.
Service consignment
go.
Entrustment of the creation of knowledge and information products
(1) “Knowledge and information products”
(2) Consignment of writing
(3) Business operators whose job is writing
me.
Consignment of service supply
all.
Decisions and precedents

Chapter 4 Obligations of the original business operator

Section 1 Obligation to issue written documents and preserve documents
1.
Legislative intent
2.
Obligation to issue "3-article document"
go.
General
me.
Statutory records
(1) Description
(2) Signature or stamp
all.
3. Deadline for issuance of written documents
la.
Exceptions to the obligation to issue a written certificate in Article 3
mind.
Criteria for determining violation of the obligation to issue a written certificate in Article 3
bar.
Decisions and precedents
3.
Presumption system for subcontracting
go.
Presumptive requirements
(1) The original business operator did not issue Article 3 of the written contract.
(2) The recipient shall notify the original contractor in writing of a request for confirmation of the details of the consignment.
(3) The original business operator shall not send a written response within 15 days from the date of receipt of the notification.
me.
Effects of Estimation and Recovery
4.
Document preservation obligation
go.
Meaning
me.
Documents subject to preservation obligation
all.
Retention period
5.
Sanctions for violation of the law
6.
Recommendation of standard subcontract agreement

Section 2 Obligation to pay advance payments
1.
Legislative intent
2.
Obligation to pay advance payment
go.
Calculation of the amount of advance payment obligation
(1) When the orderer specifies the purpose of the advance payment
(2) If the orderer does not specify the purpose of the advance payment.
(3) If the advance payment received from the orderer includes cash or a promissory note.
(4) When the original contractor receives an advance payment from the orderer after paying the completion fee to the subcontractor.
(5) In the case of a long-term continuous construction contract to which the state is a party
me.
Statutory payment deadline
all.
In case of payment made after the statutory payment deadline, there is an obligation to pay additional fees such as late payment interest and bill discount fee.
(1) Obligation to pay additional interest, bill discount fee, etc. according to payment method
(2) If the recipient does not submit a payment guarantee for the return of the advance payment.
(3) When the original contractor pays the progress payment without paying the advance payment.
la.
In case an agreement is made not to pay an advance payment
mind.
Scope of deduction of advance payment when paying the down payment
3.
Decisions and precedents

Section 3 Obligation to Open Domestic Letters of Credit
1.
Legislative intent
2.
Obligation Contents
go.
Obligation to open a domestic letter of credit
(1) Overview
(2) Opening period
(3) Reasons for justification of non-disclosure
me.
Obligation to issue purchase confirmation
(1) Overview
(2) Requirements for issuing a purchase confirmation
3.
Sanctions for violation of the law

Section 4 Obligations related to inspection
1.
Legislative intent
2.
Obligation Contents
go.
Applicable target
me.
Duty to consult on inspection standards and duty to be fair
all.
Obligation to notify inspection results
(1) Contents of notification obligation
(2) Reasons for exclusion and exception
(3) Effect of breach of notification obligation
la.
Burden of inspection costs
3.
Sanctions for violation of the law
4.
Decisions and precedents

Section 5 Subcontractor Payment Obligation
1.
Legislative intent
2.
Obligation to pay subcontractor fees within the statutory payment deadline
go.
Meaning
me.
Statutory payment date
(1) Criteria for determining the statutory payment date
(2) Starting point and expiration point of period calculation
(3) Date of receipt of object, etc.
3.
Obligation to maintain cash payment ratio
go.
Meaning
me.
Scope, standards, and calculation methods of the cash ratio
4.
Obligation to maintain the maturity date of bills of exchange
5.
Obligation to pay bill discount fee
go.
Meaning
me.
Contents of the obligation
6.
Obligation to pay fees for alternative payment methods
go.
Meaning
me.
Contents of the obligation
all.
charge
la.
Types of alternative payment methods
(1) Corporate purchasing card (Article 2, Paragraph 14, Subparagraph 1 of the Act)
(2) Secured loan on trade receivables (Article 2, Paragraph 14, Subparagraph 2 of the Act)
(3) Purchase theory (Article 2, Paragraph 14, Subparagraph 3 of the Act)
(4) What the Fair Trade Commission determines and announces (Article 2, Paragraph 14, Subparagraph 4 of the Act)
7.
Obligation to pay delayed interest
8.
Obligation to pay subcontractors under the Construction Industry Basic Act
9.
Obligation to disclose information regarding payment terms for subcontracting fees, etc.
10.
Sanctions for violation of the law
go.
outline
me.
Payment order
all.
Imposition of injunction and fine to prevent future recurrence
11.
Decisions and precedents

Section 6 Obligations Related to Construction Subcontracting
1.
Legislative intent
2.
The obligation of the primary contractor to guarantee payment of construction costs for subcontracted work
go.
outline
me.
Amount of payment guarantee obligation
all.
Payment guarantee period
la.
Payment guarantee method
mind.
Reasons for payment and retention of deposit
bar.
Reasons for exemption from payment guarantee obligation
buy.
Sanctions for violation of the law
3.
Contract performance guarantee obligation of the supplier
go.
outline
me.
Exercise of the right to claim performance bond of the original business operator
all.
Return of contract performance deposit
la.
Sanctions for violation of the law
4.
Obligation to disclose construction subcontracting bidding results
5.
Decisions and precedents

Section 7 Obligation to pay customs duty refunds, etc.
1.
Legislative intent
2.
Refund payment deadline
3.
Delayed interest

Section 8 Obligation to adjust subcontractor fees due to design changes, etc.
1.
Legislative intent
2.
Duty of adjustment
go.
Contents of the obligation to adjust
(1) Obligation to increase
(2) In case of reduction
me.
Adjustment criteria
all.
Notification obligation
la.
Deadline for increase/decrease
mind.
Delayed interest, bill discount fee, commission
3.
Decisions and precedents

Section 9. Obligation to negotiate adjustments to subcontracting fees due to changes in supply costs
1.
Legislative intent
2.
Subcontractor Payment Adjustment Agreement System
go.
outline
me.
Requirements and procedures for requesting mediation agreements
(1) In case the recipient negotiates directly with the original contractor (Article 16-2, Paragraph 1 of the Act)
(2) In cases where a small and medium-sized enterprise cooperative or the Korea Federation of SMEs acts as an agent for consultation (Article 16-2, Paragraphs 2 and 3 of the Act)
3.
Coordination consultation
go.
Initiation of mediation consultations
me.
Progress of coordination negotiations
all.
End of mediation negotiations
(1) Obligation to preserve written documents
(2) If an agreement is reached on adjustment
(3) If the mediation fails
(4) Restriction on reapplication for mediation after mediation agreement is concluded
4.
Obligations of the original business operator, union, and central association
go.
Obligations of the original business operator
(1) Contents of obligation
(2) Sanctions for breach of duty
me.
Duties of unions and central associations
5.
Supplementary measures to enhance the effectiveness of the mediation and consultation system
go.
3. Described in the document
me.
Prohibition of retaliatory measures
all.
Distribution of standard subcontract agreements

Chapter 5 Prohibited Acts of the Original Business Operator

Section 1 Prohibition on Determination of Unfair Subcontracting Fees
1.
Legislative intent
2.
Establishment requirements
go.
It will correspond to the 'decision' on subcontracting fees.
me.
It will be lower than the price usually paid.
all.
There will be unfairness
la.
Force subcontracting
mind.
Decisions and precedents
3.
Any act deemed to constitute an unfair subcontracting fee decision
go.
An act of reducing the unit price at a uniform rate without justifiable reason (No. 1)
me.
An act of unilaterally allocating a certain amount and then determining the subcontracting fee by deducting that amount (No. 2)
all.
Act of determining subcontracting fees by discriminating between suppliers (No. 3)
la.
Act of determining subcontracting fees by deceiving the contractor through deceptive means (No. 4)
mind.
An act of unilaterally determining subcontracting fees based on a low unit price (No. 5)
bar.
An act of determining the subcontracting fee lower than the total amount of direct construction costs without justifiable reason in a subcontracting agreement (No. 6)
buy.
An act of determining a subcontracting fee at a lower amount than the lowest bid amount without justifiable reason in a competitive bidding process (No. 7)
ah.
An act of determining subcontracting fees unfavorably to the subcontractor for reasons that cannot be attributed to the subcontractor in a continuous transaction contract (No. 8)

Section 2 Prohibition on reduction of subcontracting fees
1.
Legislative intent
2.
Establishment requirements
go.
Subcontracting fee determined at the time of consignment
me.
reduction act
3.
Requirements for the deduction of tax
4.
Any act deemed to be a reduction without justifiable cause
5.
Obligation to provide written notice of reduction in advance
6.
Decisions and precedents

Section 3 Prohibition of Unfair Special Provisions
1.
Legislative intent
2.
Establishment requirements
go.
It must be a special agreement between the original business operator and the subcontractor.
me.
Infringe upon or restrict the interests of the supplier
all.
There will be unfairness
3.
Agreements deemed to be unfair special provisions
go.
Costs incurred due to requests for matters not listed in the ‘Article 3 Document’ (No. 1)
me.
Costs related to civil complaints, industrial accidents, etc. to be borne by the original business operator (No. 2)
all.
Costs incurred due to requests for items not included in the bid (No. 3)
la.
Any other agreements that restrict the benefits of the recipient business operator or transfer the obligations imposed on the original business operator, as prescribed by Presidential Decree (No. 4)
(1) An agreement that requires the recipient to bear the costs or responsibilities corresponding to any of the items below (Article 6-4, Paragraph 1 of the Enforcement Decree of the Act)
(2) An agreement that unreasonably imposes responsibility on the subcontractor for matters that could not have been predicted by the original contractor or subcontractor at the time of contracting, such as an extension of the work period due to natural disasters, discovery of buried heritage, hacking, or the occurrence of computer viruses (Article 6-4, Paragraph 2 of the Enforcement Decree of the Act).
(3) An agreement that uniformly limits the scope of recognition of indirect costs (meaning amounts excluding material costs, direct labor costs, and expenses) without considering the characteristics of the subcontracting transaction in question.
However, agreements that are identical to the scope of recognition of indirect costs stipulated in the contract between the orderer and the original contractor are excluded (Article 6-4, Paragraph 3 of the Enforcement Decree of the Act).
(4) An agreement that restricts the right of the contractor to request an adjustment of subcontracting fees pursuant to Article 16-2 of the Act during the contract period (Article 6-4, Paragraph 4 of the Enforcement Decree of the Act)
(5) Any other agreement that is in accordance with the provisions of subparagraphs 1 through 4 and that is determined and announced by the Fair Trade Commission to unfairly restrict or deprive the rights and interests of a recipient business operator recognized or protected by law (Article 6-4, Paragraph 5 of the Enforcement Decree of the Act)
4.
Civil effect of unfair special contract
5.
Decisions and precedents

Section 4 Prohibition of forced purchase of goods, etc.
1.
Legislative intent
2.
Establishment requirements
go.
Object of forced purchase
me.
Supplier of the object of forced purchase
all.
Purchase or use
la.
Act of coercion
mind.
If there is a legitimate reason
3.
Examples of forced purchases

Section 5 Prohibition of Unfair Cancellation of Consignment and Refusal of Receipt
1.
Prohibition of Unfair Cancellation of Consignment
go.
Meaning
me.
Establishment requirements
(1) A subcontracting agreement must have been established.
(2) Cancel or change the consignment at will.
(3) There must be no reason to attribute the responsibility to the supplier.
all.
Examples of unfair cancellation of consignment
la.
Examples of acts that do not constitute unfair cancellation of consignment
2.
Prohibition of Unfair Refusal to Accept
go.
Meaning
me.
Establishment requirements
(1) A subcontracting agreement must have been established.
(2) The original business operator refuses or delays receipt or acceptance of the object.
(3) There must be no reason to attribute the responsibility to the supplier.
all.
Examples of unfair refusal to accept
la.
Obligation to issue a receipt

Section 6 Prohibition of Unfair Returns
1.
Legislative intent
2.
Establishment requirements
go.
Returned after receiving the item
me.
There will be no reason to hold the supplier responsible.
3.
Actions considered as unfair returns
go.
Returning goods due to cancellation of order by the counterparty or changes in economic conditions (No. 1)
me.
An act of unfairly determining an object as unfit and returning it by unclearly establishing inspection standards and methods (No. 2)
all.
An act of returning an object, etc. that has been judged to be unsatisfactory due to poor quality of raw materials supplied by the original supplier (No. 3)
la.
An act of returning an object, etc. due to a delay in delivery caused by a delay in the supply of raw materials by the original supplier (No. 4)
4.
Examples of unfair returns

Section 7 Prohibition of Unfair Payment Claims
1.
Legislative intent
2.
Establishment requirements
go.
The original business operator shall have the subcontractor purchase from the original business operator the necessary items for the entrusted work or use the original business operator's equipment.
me.
To make a payment
(1) All or part of the purchase price or usage fee shall be paid prior to the due date for payment of the subcontracting fee for the relevant object, etc.
(2) To make the purchase price or usage fee paid under significantly less favorable conditions than the conditions under which the person purchases or uses the product or supplies it to a third party.
all.
There will be no justifiable reason

Section 8 Prohibition of Unfair Demands for Economic Benefits
1.
Legislative intent
2.
Establishment requirements
go.
For yourself or a third party
me.
economic benefits
all.
The act of providing
la.
There will be no justifiable reason
3.
Decisions and precedents

Section 9 Prohibition on Requests for Provision of Technical Data
1.
outline
2.
Technical data requirements
go.
Opening
me.
Confidentiality
all.
economic usefulness
3.
Types of technical data
(1) Information and data on manufacturing, repair, construction, or service performance methods
(2) Information and data related to intellectual property rights such as patents, utility models, design rights, and copyrights.
(3) Other information and materials, such as research data and research and development reports for construction or product development, etc.
4.
Obligations of the original business operator
go.
Opening
me.
Prohibition on requesting provision of technical data
all.
Obligation to consult in advance when requesting provision of technical data
la.
Obligation to provide written information
mind.
Obligation to enter into a confidentiality agreement
bar.
Prohibition on misuse of technical data
(1) Prohibited acts
(2) Criteria for determining illegality
(3) Examples of unfair use or provision of technical data
(4) Use and provision of jointly owned technical data
5.
Sanctions for violation of the law
go.
Administrative sanctions
me.
criminal sanctions
all.
civil damages
6.
Decisions and precedents

Section 10 Prohibition of Unfair Payment in Kind
1.
Legislative intent
2.
Prohibition of payment in kind
3.
Exceptional allowances
4.
Procedure for payment in kind
5.
etc
6.
Decisions and precedents

Section 11 Prohibition of Unfair Management Interference
1.
Legislative intent
2.
Establishment requirements
3.
Any act deemed to constitute unfair management interference
4.
Examples of unfair management interference
5.
Encouraging partner companies to expand mutually beneficial cooperation
6.
Decisions and precedents

Article 12 Prohibition of retaliatory measures
1.
Legislative intent
2.
Establishment requirements
go.
Act causing retaliatory action
me.
retaliatory measures
all.
causality
3.
Sanctions for violation of the law
4.
Decisions and precedents

Section 13 Prohibition of illegal activities
1.
Legislative intent
2.
Establishment requirements
3.
Examples of illegal activities
4.
Sanctions for violation of the law
5.
Decisions and precedents

Chapter 6 Direct Payment System for Subcontractors by the Orderer

1.
Legislative intent
2.
Reasons for the occurrence of the orderer's obligation to directly pay subcontracting fees
go.
When the original contractor is unable to pay the subcontractor fee due to payment suspension, bankruptcy, or other similar reasons, or when the business permit, license, permit, or registration is cancelled, and the subcontractor requests direct payment of the subcontractor fee (No. 1)
me.
When the ordering party, the primary contractor, and the subcontractor agree that the ordering party will pay the subcontracting fee directly to the subcontractor (No. 2)
all.
When the primary contractor fails to pay the subcontractor two or more installments of the subcontracting fee that must be paid pursuant to Article 13, Paragraph 1 or 3 of the Act, and the subcontractor requests direct payment of the subcontracting fee (No. 3)
la.
When the primary contractor fails to fulfill the obligation to guarantee payment of the subcontracting fee pursuant to Article 13-2, Paragraph 1 or 2 of the Subcontracting Act and the subcontractor requests direct payment of the subcontracting fee (No. 4)
3.
Legal principles related to the occurrence of the direct payment obligation of the orderer
go.
Occurrence of the orderer's obligation to directly pay subcontracting fees
me.
Extinction of the orderer's obligation to pay the contract price and the general contractor's obligation to pay the subcontract price
all.
Reasons for the orderer to object to the direct payment request of the supplier
la.
The time when the orderer's obligation to directly pay the subcontractor's fee arises
(1) In cases 1, 3, and 4
(2) In case of No. 2
4.
The orderer's obligation to suspend direct payment of subcontracting fees
5.
The amount of the orderer's obligation to pay the subcontractor directly
go.
Limit on the amount of direct payment obligation for subcontracting
me.
Calculation of direct payment obligation amount
all.
In case of attachment, seizure, etc.
la.
If there is an advance payment
mind.
When multiple suppliers request direct payment of subcontracting fees
6.
Methods and procedures for direct payment
go.
Duty of cooperation of the original business operator
me.
Direct payment obligation of the orderer
(1) Payment obligation upon confirmation of subcontracting fee
(2) Deposit
7.
Decisions and precedents

Chapter 7 Enforcement of the Subcontracting Act

Section 1 Case Handling Procedures
1.
Recognition of the incident
go.
declaration
(1) Reporter
(2) Method of reporting
(3) Confirmation of the reporter's consent
(4) Notification to the original business operator
(5) Legal nature of the report
(6) Notification of report processing results
(7) Re-reporting
(8) Reporting Reward System
me.
ex officio recognition
2.
Preliminary screening
go.
outline
me.
Statute of limitations
3.
audit
go.
inspection
me.
Sanctions for obstruction of investigation
all.
Processing procedures for review results
4.
Deliberation procedures
go.
outline
me.
Opinion Hearing Procedure
all.
Deliberation process
5.
Resolution
go.
outline
me.
Action Type
(1) In cases where it is difficult to determine whether there has been a violation of the law, etc.
(2) When a violation of the law is recognized
all.
statute of limitations

Section 2 Subcontracting Dispute Mediation
1.
Meaning
2.
Establishment and composition of the subcontract dispute mediation council
3.
Mediation of subcontract disputes
go.
Adjustment procedure
(1) Initiation of arbitration proceedings
(2) Reservation of corrective measures by the Fair Trade Commission, etc.
(3) Fact-finding investigation by the council
(4) Processing of adjustment results
me.
Preparation and effect of the adjustment report
(1) Preparation of a reconciliation report
(2) Effect of the adjustment report
(3) Implementation of the adjustment agreement

Section 3 Administrative Measures
1.
outline
2.
surcharge
go.
outline
me.
Surcharge imposition criteria and calculation procedures
(1) Basic calculation amount [Step 1]
(2) 1st adjustment [Stage 2]
(3) Secondary adjustment [Stage 3]
(4) Determination of surcharge [Step 4]
all.
Extension of deadline for payment of surcharges and installment payment, and payer in case of company division
3.
Corrective action
go.
Corrective order
me.
Corrective action recommendation
all.
Order to publicize the fact that a corrective order has been received
la.
warning
mind.
Whether the reasons for sanctions are inherited when the company is divided
4.
Publication of a list of habitual law violators
go.
outline
me.
List announcement procedure
all.
Method of publishing the list
la.
The disposition of the publication of a list of habitual law violators
5.
surcharge
go.
outline
me.
Subject to levy
all.
Levying criteria
la.
Imposition procedure
mind.
Preclusion period
bar.
Disobedience
6.
accusation
go.
outline
me.
Exclusive right to file a complaint
7.
etc
go.
Imposing penalty points on businesses that violate the law
(1) Overview
(2) Method of imposing penalty points
me.
Request for restrictions on public bidding participation and suspension of business operations
all.
Succession of penalty points when a company is divided
8.
Appeal against the Fair Trade Commission's decision
go.
Objection
(1) Overview
(2) Procedure
(3) Decision
(4) Suspension of execution
me.
administrative litigation

Section 4 Civil Remedies
1.
outline
2.
Damage compensation system for violations of the Subcontracting Act
go.
Opening
me.
Relationship with the right to claim damages under Article 750 of the Civil Act
all.
Requirements for establishing a claim for damages under Article 35 of the Subcontracting Act
(1) Parties
(2) Violation of the Subcontracting Act
(3) Intention or negligence
(4) Occurrence of damage and amount of damage
(5) Significant causal relationship
(6) Statute of limitations
(7) Jurisdiction
la.
punitive damages system
mind.
Order to submit materials
bar.
confidentiality order
buy.
judicial precedent
3.
Legal effect of legal acts in violation of the Subcontracting Act
go.
Meaning
me.
Case law trends
all.
Legislative trends
4.
judicial precedent

Section 5 Criminal Sanctions

References
Format 1.
Subcontracting Act Violation Report (or) Dispute Mediation Application
Format 2.
Request for confirmation of subcontracting details (Article 3, Paragraph 8 of the Act)
Format 3.
Response to Request for Confirmation of Subcontracting Details (Article 3, Paragraph 9 of the Act)
Format 4.
Technical Data Request Form (Article 12-3, Paragraph 2 of the Act)
Format 5.
Standard Confidentiality Agreement (Article 12-3, Paragraph 3 of the Act)

subject heading

Publisher's Review
The “Act on Fair Subcontracting Transactions” was enacted in 1984.
12.
31.
It was enacted the following year on April 4.
1. This year marks the 35th anniversary of its implementation.
The background of the enactment of this law was to protect small and medium-sized enterprises that had been relatively neglected during the compressed growth of the Korean economy in the 1960s and 1970s through the government-led policy of prioritizing the development of large corporations, and especially subcontractors that suffered damages due to unfair trade practices by large corporations that took advantage of their superior trading position in subcontracting transactions.
However, even after 30 years since the enforcement of this law, unfair subcontracting practices have not been eradicated and are still rampant, so there is an urgent need to improve the regulatory system and operation of the Subcontracting Act.
In particular, in the midst of a prolonged economic downturn following the global financial crisis of the late 2000s, the productivity and competitiveness of small and medium-sized enterprises (SMEs), which account for an absolute proportion of employment in our economy, have weakened, deepening the polarization between large and SMEs, and this phenomenon is emerging as a serious political and social problem.
There is a growing awareness that polarization between large and small businesses not only hinders efficient resource allocation and balanced economic growth across the national economy, but also poses a threat to social integration. Establishing a fair subcontracting system is emerging as a key task of our time.

While the economic and social importance of legal regulation of unfair subcontracting practices is growing day by day, domestic textbooks and research materials on subcontracting laws are rare.
Someone needs to pioneer a path in this field, even if only a small one, and then, based on this, many people need to gradually expand the path and expand it into more detailed areas through research and debate.
Although the author lacks much talent and knowledge, he has gathered the courage to write this book in the hope of contributing even a little by laying a single brick in the development of the field of subcontracting law.

This book was written with the intention of being a commentary on the Subcontracting Act and a practical guide for public officials, corporate practitioners, and legal professionals working on the Subcontracting Act in mind, focusing on the following points:

First, we attempted to collect and introduce as much relevant information as possible about the Subcontracting Act.
As of the end of December 2018, we have introduced relevant laws and guidelines for Japanese subcontracting laws, which operate under similar laws and regulations to those in Korea, including subcontracting-related laws, notices, guidelines, case law, and Fair Trade Commission decisions.

Second, we attempted to explain the establishment requirements for each article of the Subcontracting Act.
However, as the relevant data has not yet been sufficiently accumulated and the author's abilities are limited, there may be some shortcomings. I ask for the generous understanding of the readers, and I hope to supplement them when the opportunity arises.

Third, I wanted to point out areas where issues are latent or areas in need of legislative improvement and present the author's opinion.
I hope that this will spark interest and debate among many people, and serve as an opportunity to resolve and improve the problem through collective foresight and effort.
GOODS SPECIFICS
- Date of issue: July 1, 2025
- Format: Hardcover book binding method guide
- Page count, weight, size: 536 pages | 172*245*35mm
- ISBN13: 9791139226614
- ISBN10: 1139226614

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