For recent years, several disputes between Korean consumers and multinational companies have arisen. Since the disputes were big and material that children's safety was at issue, a question started if Korean law properly has protected consumers' rights against multinational companies. While the Korean legal society tried to legislate punitive compensation with this concern, the U.S. Supreme Court reached an interesting case law regarding consumer contracts. A recent trend on consumer contracts in the United States shows that general terms have arbitration clause with class action waiver. As much as international arbitration has worked as the most effective resolution in international commercial disputes, the concept is still foreign and the experts are not approachable to lay individual consumers. However, class action in arbitration can hugely help for lay individual consumers to bring a case before arbitration tribunal. California courts consistently showed the analysis that the practical impact of prohibiting class action in arbitration clause is to ban lay individual consumers from fighting for their rights. However, the Supreme Court held that the arbitration clause shall be enforced as parties agree even if consumers practically cannot fight for their rights in the end. Even though consumer contracts are a typical example of lack of parity and of adhesive contract, the Supreme Court still applies liberalism that parties are equal in power and free to agree. This case law has a crucial implication since Korean consumers buy goods and services from the U.S. and other countries in everyday life. Accordingly, they are deemed to agree on the dispute resolution clauses, which might violate their constitutional right to bring their cases before the adjudication tribunal. This issue could be more important than adopting punitive compensation because consumers' rights are not necessarily governed by Korean law but by the governing law of the general terms and conditions chosen and written by the multinational companies. Thus this paper studies and analyzes the practical reality of international arbitration and influence of arbitration clause with class action waiver with the U.S. Supreme Court and California case laws.
The old sources of competitive edge and value added were land, labor, and capital. In today's knowledge-based economy in the 21st century, technology is attracting attention as a new engine of growth. That paradigm shift of world economy has resulted in the global spread of technology transfer and the gradual increase of trade of intangible goods including patents and know-how as well as tangible goods in international trade. An international license agreement is a representative form of technology transfer. In license agreements, the providers of technology keep their ownership of technology, allow the implementation of technology to the users of technology only for a certain period of time, and receive loyalty as a reward. Economic profit through such technology trade can be realized with the smooth implementation and termination of agreement. International license agreements are different from sales contracts, which represent international business transaction based on mutual obligation, in many aspects in that they target intangible goods of technology and aim for rent for a certain period of time. This study thus set out to examine issues that could be controversial in the main and individual obligation of the parties in international license agreements and provide implications helpful for the prevention of disputes in advance.
The parties in the trade can have full autonomy and can resolve disputes independently, impartially and without delay by selecting arbitration by agreement. Korea and Japan had revised their Arbitration Laws to incorporate as many provisions of the 1985 UNCITRAL Model Law as possible. Japan had amended its century-old arbitration law, becoming the 45th country to adopt the UNCITRAL Model Law on International commercial arbitration. New Arbitration Law was enacted as Law No.138 of 2003 and effective on March 1, 2004, is applicable to both national and international arbitration. Korea had amended its arbitration law on December 31, 1999 and its New Arbitration Law incorporates the most of the 1985 UNCITRAL Model Law as Japan. Arbitration must be popular in resolving international commercial disputes in Northeast Asian bloc in order to increase the volume of intra-trade in the Northeast Asian bloc. But in order for the parties to make use of arbitration in the bloc, the arbitration laws of nations in the bloc must have similarity and unification. As Korea and Japan playes important roles in the bloc, both nations's arbitration laws must be studied in view of similarity and difference to unify both nations' arbitration laws by way of showing an example. Therefore, this paper deals with both nations' arbitration laws in view of comparative law to unify their arbitration laws and Northeast Asian Nations' arbitration laws.
Digital goods are defined as intangible and non-physical goods, composed of a combination of digital signals, electronically represented as 0 and 1. They are also called as digital products, electronic transmissions, information goods, digital contents, computer information, etc. Digital goods are now traded both domestically and internationally as well as on-line and off-line. Korean government revised the Basic Law on Foreign Trade to include digital goods and services as the scope of foreign trade in 2001. Trade volume of digital goods are increasing in Korea. The supply chains of digital goods from producing the components to selling globally to consumers are different from conventional physical goods. Mostly, digital goods are traded on the license basis rather than ownership contract. End User License Agreements(EULAs), such as shrink-wrap, click- wrap, or browser-wrap licenses are very popular in online transactions. Unlike conventional physical goods. the breach of license contract is closely linked with the infringement of intellectual property rights. Digitalized intellectual property is easy to copy and transmit in the cyber space. In cases of legal disputes from the breach of license contract, commercial arbitration or on-line alternative dispute resolutions(ADRs) are regarded as better approach to solve them rather than court sues. For promoting more secure and reliable international trade of digital goods. arbitration clauses should be included in most of license contracts.
International commercial arbitration is an inseparable part of today's international commerce. International transactions are becoming increasingly complex. Problems brought by multi-party and multi-contract arbitration pose problems for traditional arbitration systems. The Korean Commercial Arbitration Board(KCAB) has released updated International Arbitration Rules(2016 Rules) and has adopted innovations similar to those introduced in the rules of major international arbitration institutions in recent years. The changes in the 2016 Rules are intended to increase the efficiency of the arbitral process, and introduce the process for consolidation of claims. For international commerce contracts, it would be appropriate, and necessary, to adopt a multi-party arbitration clause, as consolidated arbitration provides effective resolutions for multi-party disputes.
The purpose of this paper is to examine the applicability of the UNIDROIT Principle in international commercial arbitration. For this purpose, I have studies the basic two characters of this Principles: One is of general rule(principle); Another is of international and commercial character. According to CISG, questions concerning matters governed by the CISG which are not expressly settled in it are to be settled in conformity with the general principles, so this Principles will cover many questions which are not expressly settled in the applicable law, by gap-filing, analogy or usage. In the preamble of this Principles, there are five cases in which the Principles shall be applied or may be applied. If the disputes are submitted to the any national court, the application of this Principles would be restricted because of the mandatory rules of national, international or supranational origin. But the disputes are submitted to arbitration, the arbitrator would have more discretional powers to apply the Principles than the judge. The reason is that in the arbitration, the arbitrators do not bear obligation to act in conformity with the law applicable by virtue of the rules of rules of private international law. I also examined the applicability of the Principles in cases which there are no mentions in preamble: When the international arbitrators choose the Principles; When the arbitrators decide ex aequo et bono; When the both parties have not chosen the governing law; When there are gaps in domestic law chosen by the parties; When the applicable domestic law is insufficient. In all these cases, the Principles may be applied more easily and conveniently in arbitration than in litigation. Thus to envisage the application of this Principle in international arbitration, first both parties in international commercial contracts should incorporate this Principle as a governing law in their contracts, and second, the arbitrators should try to apply this Principles in their arbitrations by choice, analogy, general principles or usage.
Vietnam is an important country with many trade transactions with the Republic of Korea. Arbitration is a method of resolving disputes that can arise with the increase in trade transactions. It is essential to study the legal system and precedents of Vietnam on the approval and enforcement of foreign arbitral awards. Such is the case because the law in Vietnam and the court's position on the approval and enforcement of foreign arbitration awards issued by the courts depend on the possibility of realizing the parties' rights concerning their disputes. Therefore, it is of great value both theoretically and practically to analyze the exact differences between approval and the denial of approval. Vietnam has enacted the Commercial Arbitration Act, which replaces the previous Commercial Arbitration Decree and creates an arbitration-friendly environment that meets international arbitration standards. Regarding the approval and execution of foreign arbitration awards, the Commercial Arbitration Act, the Civil Procedure Act, the Civil Execution Act, and the Vietnam Foreign Arbitration Awards Approval and Enforcement Ordinance are regulated. Following these laws and regulations, the reasons for the approval, enforcement, and rejection of the arbitral award are specified. In accordance with these laws and inappropriate arbitration agreements, an arbitral award beyond the scope of its right of disposition, an arbitral tribunal, or the concerned parties could not be involved in a proceeding or an arbitral award if the involved party does not have an opportunity to exercise its rights lawfully. If the state agency in the forum does not recognize the arbitral award, the dispute is not subject to arbitration under Vietnamese law, or the arbitral award does not conform to the basic principles of Vietnamese law, the parties are not bound, and the foreign arbitration award is rejected for approval and execution.
There are significant differences between disputes among enterprises and disputes between consumers and an enterprise. A majority of consumers may suffer from the same damages at the same time with small amount concerned and sometimes low chances for find the real cause. Among these distinctive features, the most significant characteristic in consumer-business disputes can be found in that consumers are in a disadvantageous position compared to businesses. When it comes to consumer policy, the biggest aim lies with turning back the damage a consumer is suffering into normalcy. In this regard, the Consumer Dispute Resolution System is the most essential among consumer policies. In Korea, the Collective Alternative Dispute Resolution (ADR) System was introduced to the Consumer Dispute Resolution System in 2007 in line with revision on the Consumer Basic Law. However, smooth damage redress for consumers is still not taking place. Against this backdrop, this report suggests that 'consumer arbitration' program should be introduced to the Consumer Dispute Resolution System as part of making good and smooth progress for consumer damage redress.
As arbitration becomes an increasingly popular mode of resolving disputes, neighboring industries begin to take notice. This interest is reflected in the increasing utilization of third party funding in international arbitration claims. In this regard, the third party funding industry appears particularly interested in investor-state arbitration claims because they typically involve considerable claim amounts and substantial legal fees. To examine this trend more closely, this paper, firstly, examines the investor-state arbitration more precisely in Chapter II. In Chapter III, this study continues to examine some legal issues which can arise as a result of a conflict of interest between the parties to the funding agreement including, inter alia, 1) a dispute in which the funder terminates the agreement during the arbitration proceedings, 2) a dispute in relation to a funder's intervention in arbitration proceedings, and 3) a dispute on the responsibility for adverse costs orders, if any. This paper further identifies major legal issues which can arise in relation to 1) disclosure of existence of the funding agreement, 2) attorney-client privilege. Lastly, in Chapter IV, this paper provides some lessons from an in-depth case study on third party funding agreements and solutions to avoid and to solve prospective disputes in the future.
These days utilization of copyright in daily life and economic activities is becoming more important than ever, and IT technology is developing day by day. Along with those fact, copyright infringement and dispute is naturally increasing. This thesis dealt with the 3 different issues of ADR on copyright. The First part, introduce ADR system that was performed by Korea Copyright Committee according to Copyright law. This paper evaluate the committee's efforts to provide resolution of copyright disputes via conciliation was effective. So it needs to be look over several countries' ADR, beside conventional judicial remedy. And Korea's copyright conciliation system which is successfully operating also introduced. Second, In many countries, including South Korea are take advantage of conciliation as the way to settle down the dispute over copyright. Furthermore, looked over if we can use arbitration as tool to settle dispute or not. Currently in Korea, patent dispute is handled by Industrial Property Dispute Conciliation Committee(The Invention Promotion Act Ch.5) and Layout-design Review and Mediation Committee(The Act on the Layout-designs of Semiconductor Integrated Circuits Art.29-34), but using performance of those two committee is still too low. In comparison, the copyright committee, a affiliation organization of the ministry of culture, sports and tourism has much more result in conciliation compare with patent dispute. Copyright disputes has arbitrability of it's subject-matter and many regulating organs are interested in it. (especially, binding of arbitral award and final resolution). Take advantage of both conciliation and arbitration could be good way to resolve copyright disputes. Third, the writer look at the proposal on the creation of Northeast Regional Center for Intellectual Property ADR. Because of the nature of copyright and rapid development of internet technology, international use of work become more frequent and accordingly infringement cases are increasing. The role of commercial arbitration regimes and institutions which has progressed significantly worldwide level, but which has only just begun in the intellectual property ADR area, leads also to a clash of often very different legal cultures and protection in a market economy. International cooperation in regional area with conflict interests becomes an important alternative. But it will depend on the building of regional institutions and mechanisms. The feasibility of this proposal and preconditions were examined. Establishment of new international organization requires a lot of time, cost and efforts. And risk of failure is much too high. Therefore factual, statistical review should be preceded. In addition, technical measures, such as on-line arbitration is necessary to review also. Furthermore in order to establish new organization, the relative law, legal environment, public sentiment and international compliance must be carefully considered with factual review about the needs and economic benefits of each country Yet on complex regulatory matters such as IP and ADR, a great deal of the potential benefits from international standards arises not from the international legal framework nor even the formal content of national legislation, but from the informed and effective use made of the possibilities within the system, including by policymakers and regulators.
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