The Korea Fair Trade Commission said on the 14th that it ordered corrective measures and imposed a 52 million won penalty surcharge on Kyungdong Navien for violating the Fair Transactions in Subcontracting Act.
According to the Korea Fair Trade Commission (FTC) that day, Kyungdong Navien, while commissioning 98 subcontractors to manufacture parts for household heating devices from June 17, 2021, to June 14, 2024, omitted signatures or seals on 436 unit price agreements.
The Korea Fair Trade Commission (FTC) found that Kyungdong Navien violated Article 3 of the Fair Transactions in Subcontracting Act regarding the obligation to issue written documents. Article 3 of the Fair Transactions in Subcontracting Act requires that when entrusting manufacturing, etc., to a subcontractor, a written document (contract) containing the terms must be issued in advance and related documents preserved for three years.