ACT ON SPECIAL MEASURES FOR THE STRUCTURAL IMPROVEMENT OF SMALL AND MEDIUM ENTERPRISES AND VITALIZATION OF CUSTOMARY MARKETS

Article 1(Purpose) #

The purpose of this Act is to contribute to the balanced development of national economy through promoting the structural improvement, and striving for the managerial stabilization, of small and medium enterprises, and activating customary markets.

Article 2(Definitions) #

For the purpose of this Act, the definitions of terms shall be as follows:

1. The term “small and medium enterprise” means a small and medium enterprise set forth in Article 2 of the Framework Act on Small and Medium Enterprises;

2. The term “conversion of business category” means a conversion of business category set forth in subparagraph 5 of Article 2 of the Promotion of Small and Medium Enterprises and Encouragement of Purchase of Their Products Act;

3. The term “traditional market” (hereinafter referred to as the “market”) means a place where wholesalers, retailers or service providers gather ordinarily or periodically and trade commodities or provide services at a multitude of stores set up in the buildings or on underground passages within a specific district, and which is in need of modernization of management and informatization as its modern distribution functions are fragile, or in need of repair, mending, redevelopment or reconstruction as its building facilities are deteriorated;

4. The term “market redevelopment and reconstruction” means any activities as to the redevelopment project implemented by the owners of land or buildings (hereinafter referred to as the “lands, etc.”), or by a market redevelopment cooperative, within an implementation district of the market redevelopment project or of the market reconstruction project selected by the Administrator of the Small and Medium Business Administration for promoting the modernization of market distribution and recovering the market functions pursuant to Article 12 (1), or any activities as to the reconstruction project implemented by the owners of the lands, etc. or by a market reconstruction cooperative;

5. The term “market redevelopment cooperative” means a cooperative which has been established by the owners of the lands, etc. in an implementation district of the market redevelopment project, for the purpose of redeveloping the market;

6. The term “market reconstruction cooperative” means a cooperative which has been established by the owners of the lands, etc. in an implementation district of the market reconstruction project, for the purpose of reconstructing the market which is the building subject to the Act on the Ownership and Management of Aggregate Buildings (hereinafter referred to as the “market formed by aggregate buildings”);

7. The term “business center building” means a structure in which the sale and business facilities and the neighboring living facilities, etc. have been built; and

8. The term “mixed-use building” means a structure in which the sale and business facilities and apartment house, neighboring living facilities, and official duty facilities, etc. have been constructed.

Article 3(Plan for Support of Restructuring, etc.) #

(1) The Government may devise the policies necessary for supporting the restructuring of the small and medium enterprises, such as conversion of an individual enterprise into a corporation, merger of enterprises, joint projects, conversion of business category, relocation of business place, rationalization of management, in case where the improvement of business scale, management technology or production method is needed for eliminating the difficulties in the management of small and medium enterprises and for elevating the competitive power of small and medium enterprises following the fluctuations in economic conditions.

(2) The Special Metropolitan City Mayor, Metropolitan City Mayor, and Do governor (hereinafter referred to as the “Mayor/Do governor”) shall, in order to implement the policies for supporting under paragraph (1), devise and publicly notify every year the plan for supporting the restructuring of small and medium enterprises within the competent districts (hereinafter referred to as the “restructuring support plan”). In this case, the Mayor/Do governor may request the head of the agencies supporting the small and medium enterprises, such as the Small and Medium Enterprises Promotion Corporation, to submit the data necessary to devise the restructuring support plan, and the head of the supporting agencies in receipt of such request shall cooperate with it.

(3) Matters falling under any of the following subparagraphs shall be included in the restructuring support plan, so as to fit in the actual situations in the local governments:

1. Matters related to the budgetary support by project;

2. Matters related to counseling, diagnosis, guidance, provision of information, etc. on the management and technology; and

3. Other matters required for the restructuring support.

(4) The Mayor/Do governor may, in order to smoothly promote the restructuring support plan, request the heads of the central administrative agencies to render the necessary assistance.

Article 4(Emergency Managerial Stabilization Support Plan) #

In case where a considerable number of small and medium enterprises located in a specific region encounter with the serious difficulties in management due to the rapid fluctuations in economic conditions, the Government may devise and implement an emergency support plan for managerial stabilization of such enterprises under the conditions as prescribed by the Presidential Decree.

Article 5(Special Cases concerning Conversion of Business Category) #

(1) The Government and local governments may render a preferential support for matters falling under each of the following subparagraphs in order to promote the restructuring of small and medium enterprises through conversion of their business category:

1. Financial support from the local small and medium enterprise fostering funds under Article 45 (2) of the Promotion of Small and Medium Enterprises and Encouragement of Purchase of Their Products Act;

2. Relocation into an agricultural and industrial complex under subparagraph 5 (c) of Article 2 of the Industrial Sites and Development Act;

3. Relocation into a factory building site or an apartment type factory furnished by the Government and a local government;

4. Relocation into a start-up business support center under subparagraph 7 of Article 2 of the Support for Small and Medium Enterprise Establishment Act built by the Government and a local government;

5. Relocation into a comprehensive support center for small and medium enterprises, a display sales place, and its supporting facilities built by a local government; and

6. Support for other businesses deemed necessary by the Administrator of the Small and Medium Business Administration.

(2) The Administrator of the Small and Medium Business Administration may require the Small Business Corporation to organize and operate a professional educational course in order to have the business category of the small and medium enterprises converted smoothly.

(3) Matters necessary for the business categories subject to conversion which are eligible for supports for the conversion of business category under paragraph (1), shall be determined by the Presidential Decree.

Article 6 #

Deleted.<by Act No. 6684, Mar. 30, 2002>

Article 7 #

Deleted.<by Act No. 6684, Mar. 30, 2002>

Article 8(Improvement on Settlement Conditions for Commodity Price Payment between Enterprises) #

(1) The Administrator of the Small and Medium Business Administration may periodically investigate and publicly notify the settlement conditions for commodity price payment practiced between the enterprises not corresponding to the small and medium enterprises and the small and medium enterprises. In this case, with respect to the matters in need of improvement, the said Administrator may request the relevant enterprise to make such improvement.

(2) The Administrator of the Small and Medium Business Administration shall, if deemed necessary, apply mutatis mutandis the provisions of paragraph (1) even to the small and medium enterprises in excess of the size as prescribed by the Presidential Decree from among the small and medium enterprises which have commissioned production, etc. to other small and medium enterprises.

(3) The Administrator of the Small and Medium Business Administration may request the Fair Trade Commission to take necessary measures, when it is deemed necessary that the measures pursuant to the Fair Transactions in Subcontracting Act are to be taken, as a result of investigation under paragraphs (1) and (2).

(4) The Administrator of the Small and Medium Business Administration may render rewards or give other necessary support to the enterprises which have displayed an excellent settlement condition, such as an expansion of settlement by cash, etc. as a result of investigation under paragraphs (1) and (2).

Article 9(Formulation of Comprehensive Plan for Market Activation) #

(1) The Administrator of the Small and Medium Business Administration shall devise and implement the comprehensive plan for market activation containing the matters falling each of the following subparagraphs (hereinafter referred to as the “comprehensive plan”) for the activation of markets:

1. Matters concerning the objectives of market activation and the basic policy;

2. Matters concerning the promotion of principal projects for market activation;

3. Matters concerning the division of duties of the central administrative agencies or local governments for the market activation and their adjustments;

4. Matters concerning the creation of financial resources for the market activation and its operation; and

5. Other matters deemed specially necessary for the market activation.

(2) The Administrator of the Small and Medium Business Administration may, for the market activation, request the heads of related central administrative agencies and the Mayor/Do governor to provide the data necessary for the formulation of comprehensive plan.

(3) The Administrator of the Small and Medium Business Administration shall, where he intends to devise the comprehensive plan, confirm it by going through a consultation with the heads of related central administrative agencies. In this case, the Administrator of the Small and Medium Business Administration shall notify the Mayor/Do governor of the comprehensive plan.

(4) Matters necessary for the formulation and implementation of comprehensive plan shall be prescribed by the Presidential Decree.

Article 10(Support Center for Market Management) #

The Administrator of the Small and Medium Business Administration may, where deemed necessary for systematically supporting the market activation project, designate a specialized agency as the “support center for market management” (hereinafter referred to as the “center”) and operate it.

Article 11(Duties, etc. of Center) #

(1) The center shall promote the duties falling under each of the following subparagraphs: <Amended by Act No. 6887, May 27, 2003>

1. Counsels and services related to the redevelopment and reconstruction of markets;

2. Education of officers of the market redevelopment cooperative and the market reconstruction cooperative;

3. Education for the merchants located in the market and the small and medium distribution merchants on the modernization of management, informatization and advanced distribution techniques;

4. Counsels, consultants and management guidance offered for improving the management of markets; and

5. Other projects entrusted by the Administrator of the Small and Medium Business Administration or the head of local government.

(2) The Administrator of the Small and Medium Business Administration may, in case where the center promotes the business falling under each subparagraph of paragraph (1), support the whole or part of expenses required for the business promotion within the limit of its budgets.

Article 12(Selection of and Support for Project Implementation District for Market Redevelopment and Reconstruction) #

(1) The Administrator of the Small and Medium Business Administration may select as the implementation district for market redevelopment project and that for market reconstruction project (hereinafter referred to as the “project implementation district”) the markets recommended, in order to promote the redevelopment and reconstruction of markets, by the head of Si/Gun/Gu (referring to the head of autonomous Gu; hereinafter the same shall apply) from among the markets.

(2) The Administrator of the Small and Medium Business Administration may support, within the limit of its budgets, a part of project expenses of the owner of the lands, etc. within a project implementation district selected under paragraph (1), a market redevelopment cooperative or a market reconstruction cooperative (hereinafter referred to as the “project undertaker”).

(3) The head of Si/Gun/Gu shall, where deemed that an alteration of a project implementation district is required due to a change of situations subsequent to a selection of the project implementation district, request the Administrator of the Small and Medium Business Administration to alter the project implementation district, by attaching the reasons for such alteration and the related data.

(4) The Administrator of the Small and Medium Business Administration shall, where deemed that a request for an alteration of project implementation district under paragraph (3) is pertinent, approve such alteration.

(5) When the Administrator of the Small and Medium Business Administration has selected the project implementation district under paragraph (1) or approved an alteration of the project implementation district under paragraph (4), he shall publicly notify the contents thereof in the Official Gazette.

(6) Matters necessary for the selection, alteration, public notification and procedure for support of the project implementation district shall be prescribed by the Presidential Decree.

Article 13(Deliberation Committee for Selection of Implementation District of Market Redevelopment or Reconstruction Project) #

(1) In order to deliberate on the matters for selection of the project implementation district, the deliberation committee for selection of implementation district of market redevelopment or reconstruction project (hereinafter referred to the “deliberation committee”) shall be established in the Small and Medium Business Administration.

(2) Matters necessary for the composition and operation of the deliberation committee shall be prescribed by the Presidential Decree.

Article 14(Revocation, etc. of Selection of Project Implementation District) #

(1) In case where a project undertaker requests a revocation of the selection of the project implementation district through the head of Si/Gun/ Gu due to the reasons, such as the change of situations, the Administrator of the Small and Medium Business Administration may revoke such selection.

(2) In case where there exists no request for an authorization for implementing the project for market redevelopment, an approval for or construction permit for a project plan for market reconstruction, within 3 years from the date of public notification of a selection of project implementation district, the selection of project implementation district shall become invalid from the date next to that on which 3 years elapses: Provided, That the same shall not apply to the case where the head of Si/Gun/Gu requests the deferment of nullification on account of justifiable reasons, such as a natural disaster, and a change of the plan for project implementation.

(3) If the selection of a project implementation district has been revoked under paragraph (1) or such selection has become null and void under paragraph (2), the contents thereof shall be publicly notified in the Official Gazette.

(4) If the selection of a project implementation district has been revoked under paragraph (1) or such selection has become null and void under paragraph (2), it shall be deemed that a change of volume ratio under Article 17 or a decision on the urban management planning under Article 18 has not been made. <Amended by Act No. 6887, May 27, 2003>

(5) With regard to any market, for which the selection of the project implementation district is canceled under paragraph (1) or the selection of the project implementation district becomes invalid under paragraph (2), the head of Si/Gun/Gu shall be prohibited from recommending the selection of such project implementation district within 3 years from the date on which the cancellation of the selection of the relevant project implementation district or the invalidation of the selection of the relevant project implementation district is published in the Official Gazette. <Newly Inserted by Act No. 6887, May 27, 2003>

Article 15(Measures for Located Merchants) #

(1) A project undertaker shall devise and implement the measures for located merchants to contain the matters falling under each of the following subparagraphs in the project implementation plan for market redevelopment or in the project plan for market reconstruction:

1. Matters for creating a temporary market so as to enable the located merchants, including the renting merchants, to continue their business activities during the period for market redevelopment or market reconstruction project;

2. Matters for a compensation for monetary losses, etc. due to a suspension of business activities, in case where a creation of temporary market is difficult; and

3. Matters for granting a preferential right for location after a completion of market redevelopment or reconstruction, or a discount of rentals, etc., to the located merchants, such as the renting merchants, at the time of selection or public notification of a project implementation district under Article 12 (5).

(2) The Government and local governments may devise the support programs for the project undertakers who devise or implement the measures for the located merchants under paragraph (1).

(3) The Government and local governments may, if deemed necessary for a smooth promotion of market redevelopment or reconstruction project, recommend the project undertakers to implement the measures for the located merchants, such as matters falling under paragraph (1).

(4) The Government and local governments may, where the project executors fail to implement the recommended matters under paragraph (3) without any justifiable reasons, make administrative dispositions such as suspension and recovery of the support for project expenses.

Article 16(Special Cases as to Consents, etc. to Market Redevelopment or Reconstruction) #

(1) The head of Si/Gun/Gu shall, when making a recommendation for a selection of the project implementation district, do so only in any case where there exists the consent of the landowner having not less than three-fifths of the land area of relevant district, and the consent of not less than three-fifths respectively of the total number of landowners (where several persons jointly own one parcel, these several persons shall be deemed to be one person; hereinafter the same shall apply) and of the total number of structure owners (in the case of a market which is an aggregate building, each one of partitioned owners shall be deemed to be one owner; hereinafter the same shall apply), notwithstanding the provisions of other Acts.

(2) Owners of the lands, etc. within the project implementation district may, where there exists the consent under paragraph (1), establish a market redevelopment cooperative or a market reconstruction cooperative, subject to an authorization of the head of Si/Gun/Gu.

(3) In case where a project undertaker submits a written removal plan for the existing market and a written disposition plan for the structure to be built (it shall include a plan for land substitution disposition for the site on which the relevant structure is to be built) in order to redevelop or reconstruct the market selected as the project implementation district by the Administrator of the Small and Medium Business Administration, the site or the construction facility acquired by a sale in lot shall be deemed to be a replotted land under the provisions of the Urban Development Act.

(4) In redeveloping or reconstructing the market selected as the project implementation district by the Administrator of the Small and Medium Business Administration, in the case of a construction as the mixed-use building of residence and commerce, if it satisfies the requirements as prescribed by the Presidential Decree, such market shall be excluded from the matters subject to an approval for project plans, notwithstanding the provisions of Article 16 (1) and (2) of the Housing Act. <Amended by Act No. 6916, May 29, 2003>

(5) With regard to the matters which have not been stipulated in this Act in connection with the market redevelopment or reconstruction project, the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions for the Residents and the Act on the Ownership and Management of Aggregate Buildings shall apply mutatis mutandis, respectively. <Amended by Act No. 6852, Dec. 30, 2002>

Article 17(Special Cases as to Volume Ratio of Market Redevelopment or Reconstruction Project) #

The volume ratio of any market located in a residental area prescribed by the Presidential Decree from among the residental areas of project implementation districts provided for in the National Land Planning and Utilization Act within the project implementation district shall be prescribed otherwise within the scope of not more than 700 percent by the Presidential Decree, notwithstanding Article 78 (1) and (2) of the same Act.

[This Article Wholly Amended by Act No. 6887, May 27, 2003]

Article 18(Special Cases as to Decision on Urban Management Planning) #

(1) The Mayor/Do governor may, in case where his competent area has been selected and publicly notified as a project implementation district, take such measures as a decision on the urban management planning for the purpose of deciding on urban planning facilities for a construction of business center building or mixed-use building pursuant to the implementation plan for market redevelopment project or the plan for market reconstruction project, or for the purpose of altering the specific use of any residental area prescribed by the Presidential Decree from among residential areas provided for in the National Land Planning and Utilization Act. <Amended by Act No. 6887, May 27, 2003>

(2) When the Mayor/Do governor intends to take the measures under paragraph (1), the matters for other procedures than a deliberation by the urban planning committee established in the Special Metropolitan City, Metropolitan City or Do pursuant to Article 113 of the National Land Planning and Utilization Act, shall not be applied. <Amended by Act No. 6887, May 27, 2003>

Article 19(Special Cases as to District Unit Planning, etc.) #

(1) In the case that a project implementation district is selected and published or an urban management planning thereon is determined under Article 18, the relevant project undertaker may implement his market redevelopment project or his reconstruction project after obtaining authorization for such market redevelopment project or permission for such reconstruction project from the head of Si/Gun/ Gu, notwithstanding the urban management planning governing the designation of district-unit planning area provided for in Article 51 of the National Land Planning and Utilization Act and the provisions of Article 12 (2) of the Building Act that restrict construction permission by the head of Si/Gun/Gu. <Amended by Act No. 6887, May 27, 2003>

(2) The amount equivalent to 50/100 of the over-concentration charge shall be reduced for the structures in the redeveloped or reconstructed market within the project implementation district, notwithstanding the provisions of Article 12 of the Seoul Metropolitan Area Readjustment Planning Act.

Article 20(Implementation, etc. by Local Governments, etc.) #

(1) The Administrator of the Small and Medium Business Administration may, if there exist any reasons falling under one of the following subparagraphs, make the head of Si/Gun/Gu to directly implement the market redevelopment or reconstruction project, or to implement the

said project by designating an undertaker from among the local governmentinvested public corporations established with a business item of implementing redevelopment projects under Article 49 of the Local Public Enterprises Act, or the Korea National Housing Corporation established under the Korea National Housing Corporation Act (hereinafter referred to as the “Corporation”):

1. When deemed necessary to urgently implement the market redevelopment or reconstruction project due to a natural disaster and other reasons;

2. When deemed necessary to implement in parallel with the urban planning or the projects concerning the public facilities which are implemented by the head of local government;

3. When deemed that there exist grave defects as prescribed by the Presidential Decree in the facilities, such as a loss of bearing in the pillars, beams or bearing walls of the structures, as a result of safety checks under Article 6 of the Special Act on the Safety Control of Public Structures;

4. When the area of State-owned or public-owned lands within the relevant project implementation district is in excess of one half of the total land areas; and

5. When a landowner having more than one half of the land area within the relevant project implementation district, and persons exceeding one half of the total number of landowners or of the owners of structures, request the head of Si/Gun/Gu or the Corporation to implement the market redevelopment or reconstruction project.

(2) In case where deemed that it is difficult for the owners of the lands, etc. or their cooperatives who are project undertakers to continuously implement the project due to the current status of project and other situations, the head of Si/Gun/Gu may either directly execute by proxy the market redevelopment or reconstruction project, or make the Corporation to execute by proxy the said project.

(3) If the head of Si/Gun/Gu directly executes by proxy the market redevelopment or reconstruction project, or makes the Corporation to execute by proxy the said project by designating it as the proxy under paragraph (2), he shall notify such fact to the Administrator of the Small and Medium Business Administration through the Mayor/Do governor.

(4) The provisions of Articles 12, 14 through 19 of this Act and those of Articles 9 (2) and (3), 28 (1) and (3), 30, 31, and 40 of the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions for the Residents shall apply mutatis mutandis to the implementation, etc. by the local governments, etc. <Amended by Act No. 6852, Dec. 30, 2002>

Article 20-2(Registration of Opening of Large-Scale Stores) #

In case where any market redevelopment or reconstruction project, which is designated as a project implementation district, is completed (referring to authorization for the work completion of any maintenance and improvement project provided for in Article 52 of the Act on the Act on the Maintenance and Improvement of Urban Areas and Dwelling Conditions for the Residents or approval for using any building under Article 18 of the Building Act) and the store area of the market falls under the area of a large-scale store provided for in subparagraph 3 of Article 2 of the Distribution Industry Development Act, the relevant project undertaker shall have the market registered as a large-scale store after opening it in accordance with Article 8 of the same Act within one year from the date on which such market redevelopment or reconstruction project is completed.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21(Special Cases as to Modernization of Market Facilities) #

(1) The Government and local governments may support a part of required expenses within the limit of budgets in order to promote the modernization of market facilities, such as the expansion of access roads or the installation of fire-fighting installations, parking lots and toilets, in the relevant markets or neighboring districts.

(2) The Government and local governments may directly install market facilities under paragraph (1), allow to make use of the sites owned by the Government and local governments by offering them for the usage as the site of relevant facilities, or permit the occupation of roads. <Amended by Act No. 6887, May 27, 2003>

(3) The Government may, where deemed necessary to promote the activation of markets, render the subsidy within the limit of its budgets.

Article 21-2(Market Dispute Mediation Committee) #

The market dispute mediation committee (hereinafter referred to as the “mediation committee”) shall be established each in the Special Metropolitan City, the Metropolitan City and the Do (hereinafter referred to as the “City/ Do”) with the mandate to mediate the dispute falling under each of the following subparagraphs between interested persons over the market activation, including the market redevelopment or reconstruction:

1. Dispute over the consent, etc. to the market redevelopment or reconstruction project;

2. Dispute between store owners and store tenants over measures needed to deal with located merchants following the market redevelopment or reconstruction project; and

3. Dispute between interested persons over market activation, including the market redevelopment or reconstruction.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21-3(Composition, etc. of Mediation Committee) #

(1) The mediation committee shall be composed of not less than 11 members to not more than 15 members, including one chairman.

(2) The chairman of the mediation committee shall be nominated by the Mayor/Do governor from among public officials with Grade Ⅱ or Ⅲ in their ranks who belong to the City/Do.

(3) The members of the mediation committee shall be nominated by the Mayor/Do governor from among public officials with Grade Ⅲ or Ⅳ in their ranks who belong to the City/Do and commissioned by the Mayor/ Do governor from among persons falling under any of the following subparagraphs:

1. Person who is qualified as judge, prosecutor or attorney-at-law;

2. Person who teaches or has taught the distribution subject as an associate professor or higher in the ranks of faculty at college established under the Higher Education Act;

3. Person who is qualified as certified public appraiser provided for in the Public Notice of Values and Appraisal of Lands, etc. Act;

4. Architect who has registered his architect office under the Certified Architects Act;

5. Person of profound learning and experience in land expropriation provided for in the Act on the Acquisition of Land, etc. for Public Works and the Compensation Therefor;

6. Person who is recommended by civic groups (referring to nonprofit non-governmental organizations provided for in Article 2 of the Assistance for Nonprofit Non-Governmental Organizations Act); and

7. Person of profound learning and experience in market activation.

(4) The terms of office for members who are not public officials shall be two years, but may be recommissioned.

(5) The term of office for any supplementary member shall be the remainder of the term of office for his predecessor.

(6) Necessary matters concerning meetings and operation, etc. of the mediation committee other than matters prescribed in paragraphs (1) through (5) shall be prescribed by the Municipal Ordinances of the City/ Do.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21-4(Mediation of Disputes) #

(1) Any person who wants the mediation of a dispute over the market activation, including the market redevelopment or reconstruction project, may file a written application with the mediation committee of the City/Do for the mediation of such dispute.

(2) The mediation committee shall, upon receiving the written application filed under paragraph (1), examine and then prepare a draft mediation within 45 days from the date of the receipt thereof: Provided, That the mediation committee may resolve to extend the term of 45 days on the grounds of inevitability.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21-5(Request for Materials, etc.) #

(1) The mediation committee may ask parties to a dispute or reference persons to furnish necessary materials to settle such dispute. In this case, the parties to the dispute or reference persons shall comply with the request unless the justifiable grounds exist that make it impossible for them to do so.

(2) The mediation committee may, when it is deemed necessary, ask parties to a dispute or reference persons to appear at the mediation committee to hear their opinions.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21-6(Effect of Mediation) #

(1) The mediation committee shall, when it prepares a draft mediation provided for in Article 21-4, present without delay each of the parties to a dispute with such draft mediation.

(2) The parties to the dispute who are presented with the draft mediation under paragraph (1) shall notify the mediation committee of whether they accept or not the draft mediation within 15 days from the date on which they are presented with the draft mediation.

(3) In the case that the parties to the dispute accept the draft mediation, the mediation committee shall promptly prepares a written mediation and the chairman of the mediation committee and the parties to the dispute shall subscribe their names and affix their seals on such written mediation.

(4) When the parties to the dispute accept a draft mediation and subscribe their names and affix their seals on a written mediation, they shall be deemed to reach an agreement that is the same as the contents of such written mediation.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21-7(Rejection and Suspension of Mediation) #

(1) In case where the mediation committee deems it inappropriate to mediate any dispute in light of the nature of such dispute or any application for mediation is deemed to be filed for illegal purposes, the mediation committee may reject the mediation of the case. In this case, the mediation committee shall notify the applicant of the grounds of its rejection, etc.

(2) When any of the parties to a dispute files a lawsuit, for which an application has been filed for mediation and the mediation of the case has been in the process, the mediation committee shall suspend the mediation of the case and notify the parties to the dispute of the fact.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 21-8(Mediation Procedures, etc.) #

(1) Necessary matters concerning ways and procedures for mediating any dispute and the performance of mediation affairs other than matters provided for in Articles 21-5 through 21-7 shall be prescribed by the Presidential Decree.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]

Article 22(Delegation and Commission of Authority) #

The authority of the Administrator of Small and Medium Business Administration under this Act may be partially delegated to the head of local government, or commission it to the head of other administrative agency, the President of the Small Business Corporation, the Chairman of the Korea Federation of Small and Medium Business, or the Chairman of the Korea Chamber of Commerce and Industry under the conditions as prescribed by the Presidential Decree.

Article 23(Fine for Negligence) #

(1) Any project undertaker who has failed to have the opening of his large-scale store registered under the provisions of Article 20-2 shall be punished by a fine for negligence not exceeding 10 million won.

(2) The fine for negligence referred to in paragraph (1) shall be imposed and collected by the Mayor/Do governor under the conditions as prescribed by the Presidential Decree.

(3) Any person who is dissatisfied with a disposition taken to impose a fine for negligence on him under paragraph (1) may raise an objection to the Mayor/Do governor within 30 days from the date on which he is notified of such disposition.

(4) When any person who is subject to a disposition taken to impose a fine for negligence on him under paragraph (2) raises an objection under paragraph (3), the Mayor/Do governor shall promptly notify the competent court of the fact and the competent court shall, upon receiving the notification, put the case on trial in accordance with the Non-Contentious Case Litigation Procedure Act.

(5) When any person does not raise any objection within the term of 30 days referred to in paragraph (3) and fails to pay the fine for negligence imposed on him, such fine for negligence shall be collected according to the example of a disposition taken to collect local taxes in arrears.

[This Article Newly Inserted by Act No. 6887, May 27, 2003]