Proposed Bill: Partial Amendment to the Act on Special Measures for Strengthening the Competitiveness of and Protecting National High-Tech Strategic Industries

Proposed by Rep. Kim Won-i (Democratic Party of Korea)

  • This bill would allow a holding company’s second-tier subsidiary to hold a 50 percent ownership share in a third-tier subsidiary established in a noncapital region, provided that the subsidiary is certified as a high-tech company approved by the Minister of Trade, Industry and Resources.

Proposed Bill: Partial Amendment to the Commercial Act

Proposed by Rep. Kim Seung-won (Democratic Party of Korea)

  • This bill would abolish the special breach of trust offense under the Commercial Act, clarifying that violations of directors’ duties are governed by civil liability and internal control mechanisms, while criminal liability is governed under the principles of the general criminal law.

Pending Bill: Special Act on Promoting Succession of Small and Medium-sized Enterprises through Mergers and Acquisitions

Proposed by Rep. Kim Won-i (Democratic Party of Korea)

  • This bill would establish a comprehensive legal framework to facilitate the succession of small and medium-sized enterprises by introducing financial support, tax incentives and streamlined procedures, with the aim of promoting business continuity and employment stability.

Promulgated Bill: Rule on the Performance and Standards for Motor Vehicles and Vehicle Parts

Competent Authority: Ministry of Land, Infrastructure and Transport

  • This promulgated bill mandates the installation of pedal misapplication prevention devices in passenger vehicles, as well as passenger vans, trucks and special-purpose vehicles with a gross vehicle weight of 3.5 metric tons or less. It also requires certain electric vehicles to be equipped with devices that display the battery’s remaining life.

Administrative Announcement: Partial Amendment to the Enforcement Decree of the Act on Promotion of Information and Communications Network Utilization and Information Protection

Competent Authority: Ministry of Science and ICT

  • The draft amendment would require information and communications service providers to notify users of the occurrence of security incidents that result in service disruptions or suspensions lasting two hours or longer. It would also require major information and communications service providers to be subject to enhanced Information Security Management System reviews.

--

The Korea Herald republishes a weekly legislative report by local law firm D&A LLC to provide the latest information on bills approved, proposed, pending and set to be promulgated. — Ed.

For queries about the bills, contact cr@draju.com.