Research Report
Ⅰ. Background and Purpose
□ Background of this study
○ It is necessary to make a fair subcontract transaction rule for fair transactions in subcontracting between LE(Large Enterprise) and SME(Small and Medium Enterprise) and win-win cooperation of LE and SME.
□ Purpose of this study
○ The purpose of this study is to review application scope of 「Enforcement Decree of the Fair Transactions in Subcontracting Act」, to analyze the existing laws about “service” and to finally suggest legislative policy approaches to improve the Act and its affiliated administrative rule
Ⅱ. Main Contents
□ Application scope of the Act and its affiliated administrative rule
○ Aiming at application scope, I review the revision history of the Act and 「Notification about Scope of Service」 of FTC in chapter 2.
○ Secondly, I analyze the application scope of current revision of the Act and the Notification.
○ Thirdly, this study suggest an undertone for improvement of application scope of the act.
□ Current legislation status about “service”
○ In chapter 3, I check existing all acts and analysis 64 acts regulating “用役(yong-yeok)”, “役務(yeok-moo)” or “service”
○ Upon investigation, there is no need to distinguish between “用役(yong-yeok)”, “役務(yeok-moo)” and “service”
□ Suggestion for improving application scope of “service” in the Act and its affiliated administrative rule
○ By cross correlation analysis between the ACT, the Notification, quoted laws and KSIC(Korean Standard Industrial Classification), I find discordances between them in chapter 4.
○ Considering a coordination between the ACT, the Notification, related laws and KSIC, I suggest the way to improving the Notification’s application scope.
Ⅲ. Expected Effect
○ This study suggests the way to improving 「Enforcement Decree of the Fair Transactions in Subcontracting Act」 and its affiliated administrative rule for protection of subcontractor in service contract.
○ This research is intended to provide the legal framework for fair transactions in subcontracting, and is expected to contribute to better environment for subcontract transaction.