Legal Advisory Case on an Electronic Payment Service Agreement

Company A intended to enter into an integrated service agreement in order to adopt an online payment service, but was concerned about the legal risks of contract terms such as the fee structure, settlement method, and service-restriction clauses. In particular, a clear review was needed of whether fees would be refunded upon termination of the contract and of the legality of the personal information protection clauses.

Your Legal Team thoroughly reviewed the entire contract to help the client recognize unfavorable clauses and negotiate over them. We analyzed the possible interpretations of the fee clauses and, by anticipating risks that could arise from the suspension of settlement payments and from contract termination, prepared corresponding response measures. In addition, we reviewed the obligations to protect customer data under the Personal Information Protection Act and the Electronic Financial Transactions Act, and proposed amendments so that the contract clauses would comply with the relevant laws.

As a result, based on our advice, Company A was able, through negotiation, to clearly adjust the criteria for imposing fees and to add a clause guaranteeing payment of the settlement amount upon contract termination. Furthermore, by reflecting clauses that strengthened personal information protection obligations, the company was able to reduce legal risk and conclude a more trustworthy contract.