(123rf)

Proposed Bill: Special Act on Strengthening Competitiveness and Promoting Innovative Growth in the Semiconductor Industry

Proposed by Rep. Lee Chul-gyu (People Power Party)

● Amid the intensifying global competition for semiconductor dominance, this bill introduces measures to bolster Korea’s semiconductor industry. It establishes legal grounds for providing subsidies for infrastructure development and forming administrative bodies to support semiconductor policy formulation and execution. The bill also aims to simplify permitting processes for semiconductor clusters and allows for flexible working hours by exempting semiconductor R&D workers from the 52-hour workweek regulation.

Proposed Bill: Partial Amendment to the Act on External Audit of Stock Companies

Proposed by Rep. Kim Sang-hoon (People Power Party)

● This amendment requires limited liability companies that meet specific criteria to undergo external audits. This change seeks to prevent companies from evading audit requirements by converting to an LLC structure.

Pending Bill: Partial Amendment to the Commercial Act

Proposed by Rep. Jeong Jun-ho (Democratic Party of Korea)

● Under the current Act, directors are not liable for actions or decisions that may harm shareholder interests if the company itself is not affected. This bill proposes extending directors' fiduciary duty to cover shareholders' proportional interests, thereby enhancing protection for general shareholders.

Promulgated Bill: Enforcement Decree of the Financial Investment Services and Capital Markets Act

Competent Authority: Financial Services Commission

● This bill establishes legal grounds for insurance claim trusts and sets out regulations for asset management businesses. It includes the National Forestry Cooperative Federation and performance compensation funds within the scope of collective investment business entities. Additionally, it permits these entities to transact with affiliates when necessary to achieve their operational objectives.

Administrative Announcement: Partial Amendment to the Enforcement Decree of the Motor Vehicle Management Act

Competent Authority: Ministry of Land, Infrastructure and Transport

● This bill outlines the criteria and procedures necessary to implement certification systems for the modification, safety and conformity inspections of key motor vehicle components. Importantly, it mandates safety testing in 12 areas for batteries used in electric vehicles, covering aspects such as vibration, shock and overcharging.

---

The Korea Herald republishes a weekly legislative report by local law firm DR & AJU 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