Lawmaker Proposes Amendment to Prevent Arbitrary Reservation Cancellations by Businesses

A member of the National Power Party has introduced a revision to the Electronic Commerce Act aimed at protecting consumers from arbitrary reservation cancellations by businesses. Representative Choi Eun-seok proposed the amendment on the 20th, which would require businesses to inform consumers of compensation standards in advance when a contract is canceled or not fulfilled due to the business's own reasons.

Currently, online shopping malls and reservation platforms clearly outline penalty and refund policies for consumer-initiated cancellations or changes. However, the proposed law addresses situations where the business is at fault. This includes cases where a business might cancel a reservation without a valid reason, leaving the consumer without recourse.

The amendment seeks to establish a clearer framework for consumer protection in the digital marketplace, ensuring transparency and accountability from businesses operating online.