• 한국중재학회지:중재연구
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• 제28권2호
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• pp.91-110
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• 2018

Consumers repeatedly make small sum purchases through business-to-consumer contracts, usually without incident. Consumer areas have been increasing; therefore, consumer disputes have been occurring frequently as well. In international consumer transactions, it is not easy to solve consumer disputes by applying the laws of different countries. Resolving disputes by using the consumer arbitration system can be a measure to protect consumers. In the U.S., a class arbitration is being operated as a mixed dispute resolution system of class action and arbitration. Consumer Arbitration has long been a controversial issue in the U.S. It is therefore a lesson for us to examine related cases. A recent U.S. Supreme Court decision, DIRECTV v. Imburgia, was looked into and after a summary of the facts, issues, and opinions and opposing opinions that had a tight controversy, a close analysis was done. The analysis through this judgment is as follows: first, the contraction of consumer protection; second, the expansion of the Federal Arbitration Act scope; third, the class arbitration's restriction; and fourth, the submission of the arbitration fairness act.

• 한국중재학회지:중재연구
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• 제19권2호
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• pp.73-94
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• 2009

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.

• 한국중재학회지:중재연구
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• 제12권1호
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• pp.207-239
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• 2002

The redemption system for consumer's claim is intended to deal with the conflicts between consumers and firms in their transaction of goods and service ensuring consumer's basic right. In general, the redemption system for consumer's claim requires promptness of redemption, free charge of claim procedure for consumers and constructive response of firms. However, the current redemption system in Korea has some limitations in its authority in the sense that it has only the right for mediation of consultation and agreement and thus the involved consumer should forfeit his/her claim or should go to legal suit which requires high cost and time when the mediation work is failed between two parties. As it is shown in result of survey on empirical cases produced by the Consumer Dispute Mediation Committee in Consumer Protection Board of Korea in 2001, the 20.3％ of total claims have failed to reach final mediation, while the BBB case in the U. S. has recorded 19％ of arbitration success after its failure in mediation. Therefore, it is strongly recommended for Korea to augment current. arbitration system toward assuring firm's cost liability, the principle of quick procedure through agreement on arbitration upon consumer's request. It is thus prerequisite for firms to be armed with the concrete entrepreneurship of responsibility on cost liability. In conclusion, we suggest restructuring of currently existing institution, rather than establishing new one through substantial augmenting the role of Consumer Dispute Mediation Committee In Consumer Protection Board of Korea and enlarging its business criteria of The Korean Commercial Arbitration Board by progressive development of the consumer protection program through amendment of current law for consumer protection.

• 한국중재학회지:중재연구
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• 제21권1호
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• pp.73-86
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• 2011

Today's arbitrations see themselves as the most effective scheme for dispute resolution in a variety of transactional context. While some kind of ADR system was already introduced in Korea as of 2007 with revision of the Consumer Basic Law, consumers' needs in dispute resolution remain unmet. Recently one consumer arbitration case divides the U.S. Supreme Court. Of course, the result of the case is expected to affect tens of millions of arbitration agreements in the States which has the most developed scheme in consumer arbitrations. While Arbitration clauses in adhesion contracts are not automatically held to be substantively unconscionable, Class action waivers are one of the most controversial issues in consumer arbitration. In this study, with the theoretical background of consumer arbitrations general, and contractual defenses against adhesive contracts, reviewed are U.S. federal courts' attitudes toward certain consumer arbitration agreements including the class arbitration waiver. Moreover, several issues in AT&T case are examined for practical implications for consumer dispute resolution. All of these are expected to initiate further research to find some guidelines for the proper status and operation of consumer arbitration here in Korea.

• 한국중재학회지:중재연구
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• 제28권2호
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• pp.67-89
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• 2018

An arbitration has great strength in the sense that it is a more rapid dispute resolution than a trial, and is means of dispute settlement for an achievement of the purpose which is the improvement of the rights and interests of consumers. Because the remedy of consumers' damage currently has not worked well, discussions about consumer arbitration as a universal Alternative Dispute Resolution (ADR) is needed. The core of the ADR is not only the professionality and neutrality of an arbitrator and a mediator, but also the non-impairment of the arbitration proceeding's fairness. In addition, it also has both economic feasibility and efficiency. Furthermore, providing an institutional strategy is necessary to ensure fairness in an arbitration award.

• 한국중재학회지:중재연구
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• 제30권2호
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• pp.145-164
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• 2020

With the development of the Internet, e-commerce is rapidly developing, and e-commerce through the Internet has become a major distribution channel for selling products and services to consumers and buyers. However, as Internet shopping develops, consumer dissatisfaction and conflict are increasing. In this regard, this study examined how consumer dissatisfaction caused by using an Internet shopping mall, which is currently taking the core position in commerce activities, leads to consumer complaints, and how these complaints affect the necessity and intention to use the arbitration system. As a result of the study, the following implications were obtained. First, it will be necessary to remove the root cause of consumer complaints by continuously monitoring consumer complaints, rather than staying at passive consumer complaints such as defective product exchange and damage compensation for dissatisfaction with Internet shopping malls. Second, it can be said that the function of the arbitration system is required to protect the rights and interests of consumers using the Internet shopping mall and to actively improve the problems in the event of a damage situation or a problem situation. Lastly, academia's continuous research will be needed, and governments and related organizations will need to continuously provide and promote information to users of Internet shopping malls.

• 한국중재학회지:중재연구
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• 제13권2호
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• pp.69-102
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• 2004

This paper discusses about the e-commerce and the various types of e-commerce disputes. Through empirical examination on the dispute consideration system and by comparative analysis it is derived out of the weakness of current system and finally some suggestions for improvement. First, it is recommended that the more sophisticated knowledge concerning e-commerce should be proliferated through the existing institutions. For example, disputes for B2C could be managed by the consideration system of consumer dispute consideration in Consumer Protection Board of Korea, while B2B by the arbitration system of the Korean Commercial Arbitration Board. Second, the role of Korea Institute for Electronic Commerce established for the purpose of consideration of e-commerce disputes is much emphasized. For successful achievement, it is necessarily required to reinforce the related laws, systems, institutions and human resources. Finally, it is also suggested that the Korean Commercial Arbitration Board and Consumer Protection Board of Korea fully cover consideration and arbitration, while Korea Institute for Electronic Commerce activates its proper role of consulting and ad hoc arbitration by using electronic information. This study results are how to minimize the disputes and the method of dispute settlement. Therefore, a role of arbitration proposed and emphasized. To protect the dispute in advance, it's suggested to revise rules timely following on technical changes, and emphasized that the dispute has to lead to arbitration settlement not for consuming unnecessary time and finance for enterprises and consumers.

• 무역상무연구
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• 제77권
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• pp.43-67
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• 2018

Arbitration is one of alternative dispute resolution systems which settle a dispute by arbitrators(private persons) based on a contract between contracting parties without a judicial litigation system involved. As a valid arbitration agreement is an essential requirement for commencement of arbitration, the first thing to be determined is whether there is a valid arbitration agreement or not when a dispute is submitted. A consumer arbitration agreement usually exists as an arbitration clause in an adhesive contract between consumers and a seller. When consumers buy a product from a seller, they are requested to agree on a general terms and conditions which are unilaterally drafted by a seller in advance. These terms and conditions are not negotiable because it is an adhesive contract and consumers are placed in "take-it-or-leave-it" position. Therefore, even though there is an arbitration agreement between consumers and a seller, it has to be carefully considered whether it has a legal effect or not. In this respect, a court will examine if an arbitration agreement has procedural unconscionability and substantive unconscionability. Therefore, as U.S is a well-advanced and arbitration-friendly country, this paper analyzes four U.S cases to find out (i) what a court considers, (ii) how a court examines and interprets procedural and substantive unconscionability and (iii) if there has been a change in regard to a court's decision. By doing so, it will provide some suggestions and guidelines for a consumer arbitration in Korea.

• 한국중재학회지:중재연구
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• 제24권2호
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• pp.53-80
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• 2014

This article focuses on the Active Plan for Alternative Dispute Resolution(ADR) in financial Dispute. The financial consumers of Korea had suffered greatly from the IMF in 1997 and the global financial crisis in 2008, which also increased financial conflicts significantly. In particular, active financial transaction, due to the development of computer and financial techniques causes frequent consumer financial conflicts. It is beneficial to settle them for judicial economy through an alternative conflict arbitration system instead of lawsuit at the court. Many advanced countries settle financial conflicts through various ADR in their numerous financial conflicts. In the settlement of financial conflict, the ADR system, covering mediation and arbitration, is useful and appropriate. Each governmental institution has various conflict settlement organizations, and it is necessary to operate them effectively. In order to settle financial conflicts properly, it is necessary to study law on financial consumer protection, and it is also necessary to understand practical custom and practical knowledge and to systematize them. Further, it is important to manage financial conflict-related data, to accumulate professional experiences, and to prepare a financial conflict settlement system in order to introduce financial education earlier to the whole nation.

• 한국중재학회지:중재연구
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• 제20권3호
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• pp.47-69
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• 2010

From the review of Korean arbitration systems with the comparison of those of other countries, we can summarize some issues to be tackled as follows: First, Korean arbitration system started with the purpose of export promotion. This may be the main reason that various domestic disputes have not been resolved by arbitration. Second, the Korean Arbitration Law applies to private disputes. The Law's arbitration scope is wider than that of China and France, but narrower than that of the U.S.A. that encompasses a variety of disputes in the filed of consumer, labor, medical services, patents, etc. Third, active judges or public officials in Korea can not be arbitrator and there is no arbitration court. However, if chief judge allows the necessity, court's judges in the UK can be arbitrator with the mutual agreement of the parties and also arbitration system is operated in the court. Fourth, the Korean Commercial Arbitration Board(KCAB), the only representative institution for arbitration in Korea, is under the Ministry of Knowledge Economy(MKE). This makes it difficult for the KCAB to handle other disputes related to the Ministry of Health and Welfare, the Ministry of Strategy and Finance, the Ministry for Food, Agriculture, Forestry and Fisheries, the Ministry of Employment and Labor, etc. Fifth, as mentioned, the KCAB is the unique institution for arbitration by the Law in Korea, while other countries allow have a diversity of arbitration agencies such as maritime arbitration organization, consumer arbitration institution, arbitration court, etc. Therefore, we suggest some ideas to expand the arbitration's area of coverage in Korea as follows: First, there should be more active policies that promote various domestic disputes to be settled by the arbitration system. Second, it is quite needed to expand the scope of arbitration to cover many disputes in the fields of consumer, labor, medical service, advertising, fair trade, etc. Third, there should be discussions to allow court judges as arbitrator and to introduce the arbitration court. Fourth, the KCAB should strengthen its status and roles as general arbitration organization to overcome the limited scope of commercial disputes. For this, there should be the strong support and coordination among the MKE and other government agencies. Fifth, to reduce the burden of the court's complicated and expensive procedures, more efficient disputes resolution systems should be established on the basis of the parties' free will. Each central government agency should streamline the legal barriers to allow industrial organizations under its control to establish their own or joint arbitration system with the KCAB.