KFTC Sanctions Meta For E-Commerce Act Violations

On May 2, 2025, the Korea Fair Trade Commission (the "KFTC") announced its decision to issue a corrective order and impose a fine of KRW 6 million (about USD 4,200) against Meta Platforms, Inc. ("Meta") for its failure to fulfill statutory obligations as an electronic bulletin board service provider under Article 9-2 of the Act on Consumer Protection in Electronic Commerce, etc. (the "E-Commerce Act").

The KFTC determined that, although large numbers of users are selling goods or facilitating sales through posts on Instagram and Facebook, Meta failed to: (i) provide guidance to businesses engaged in mail-order sales regarding statutory compliance; (ii) establish a mechanism to assist consumers in seeking relief when disputes arose between such businesses and consumers; (iii) set out its legal responsibilities in its terms and conditions; and (iv) verify sellers' essential identifying information, such as business name, representative's name, address, and