INDUSTRIAL DESIGN PROMOTION ACT
Wholly Amended by Act No. 5214, Dec. 30, 1996
Amended by Act No. 5773, Feb. 5, 1999
Act No. 6415, Feb. 3, 2001
Act No. 7506, May 26, 2005
Act No. 7949, Apr. 28, 2006
Act No. 8852, Feb. 29, 2008
Act No. 9688, May 21, 2009
Act No. 11690, Mar. 23, 2013
Act No. 12238, Jan. 14, 2014
Act No. 12608, May 20, 2014
Act No. 12928, Dec. 30, 2014
Act No. 13595, Dec. 22, 2015
The purpose of this Act is to contribute to the strengthening of international competitiveness of domestic industries by facilitating research and development of industrial design, and supporting the business to promote activities for industrial design.
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
The term "industrial design" used in this Act means any act of creation and improvement (including any act of technical development for creation and improvement) to satisfy physical and psychological needs of producers and consumers by optimizing the aesthetic, functional, and economic values of products, services, etc. and the output thereof, and includes product design, packaging design, environmental design, visual design, service design, etc. <Amended by Act No. 12928, Dec. 30, 2014>
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 3 (Establishment, etc. of Comprehensive Plans for Industrial Design Promotion) |
| (1) | The Minister of Trade, Industry and Energy shall establish a comprehensive plan to facilitate the development and promotion of industrial design (hereinafter referred to as "comprehensive plan for industrial design promotion") and publicly announce it. The same shall apply where he/she intends to amend the comprehensive plan for industrial design promotion. <Amended by Act No. 11690, Mar. 23, 2013> |
| (2) | The comprehensive plan for industrial design promotion shall include the following related to industrial design: |
| 1. | Direction-setting for the basic policy; |
| 2. | Matters related to the objectives of, and targets for facilitating development and the promotion of industrial design, and methods for implementation thereof; |
| 3. | Matters pertaining to financial support necessary for facilitating development and the promotion of industrial design; |
| 4. | Other matters necessary for facilitating development and the promotion of industrial design. |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 4 (Performance, etc. of Research and Promotion Projects) |
| (1) | The Minister of Trade, Industry and Energy may perform research and promotion projects related to industrial design in order to efficiently implement the comprehensive plan for industrial design promotion. <Amended by Act No. 11690, Mar. 23, 2013> |
| (2) | The following organizations, etc. may participate in research and promotion projects referred to in paragraph (1), as prescribed by Presidential Decree: <Amended by Act No. 11690, Mar. 23, 2013> |
| 1. | Specialized industrial design firms referred to in Article 9; |
| 2. | The Korea Institute of Design Promotion established under Article 11; |
| 3. | Institutes affiliated to private firms in the field of industrial design which are designated by the Minister of Trade, Industry and Energy; |
| 4. | Universities, colleges, industrial colleges, junior colleges, and technical colleges established under the Higher Education Act; |
| 5. | National or public research institutes; |
| 6. | Other institutions or entities prescribed by Presidential Decree. |
| (3) | Pursuant to Articles 11 (2) and 19 (2) of the Industrial Technology Innovation Promotion Act, the Minister of Trade, Industry and Energy may fully or partially contribute, within budget limit, the fund required for implementing research and promotion projects prescribed in paragraph (2) to the organizations which participate in said projects. <Amended by Act No. 11690, Mar. 23, 2013> |
| (4) | Matters necessary for the payment, use, and management of contributions under paragraph (3) shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 5 (Projects for Promotion and Development of Industrial Design) |
| (1) | The Government may perform the following projects in order to enhance national competitiveness relating to industrial design: |
| 1. | Granting award and providing support to enterprises or individuals that contribute to the enhancement of industrial competitiveness by developing, etc. industrial design; |
| 2. | Promoting and supporting exemplary brands by developing industrial design; |
| 3. | Providing other support for the enhancement of industrial competitiveness by developing, etc. industrial design. |
| (2) | The Minister of Trade, Industry and Energy may perform the following projects in order to develop good industrial design: <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12928, Dec. 30, 2014> |
| 1. | Hosting and supporting industrial design exhibitions; |
| 2. | Selecting and supporting venture enterprises in the field of industrial design or other enterprises with excellent technology; |
| 3. | Establishing and supporting the industrial design information system; |
| 4. | Projects to support and facilitate the trade of industrial design; |
| 5. | Projects to commercialize developed industrial design and support business incubation; |
| 6. | Other projects prescribed by Presidential Decree as necessary to promote and develop industrial design. |
| (3) | The details of projects, scope of, and procedures for supporting such projects under paragraphs (1) and (2), and other necessary matters, shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 5-2 (Formulation and Dissemination of Standard Form of Contract) |
| (1) | The Minister of Trade, Industry and Energy shall prepare a standard form of contract applicable to industrial design services, in consultation with the Fair Trade Commission, and recommend the business operators and organizations of business operators to use such standard form of contract. |
| (2) | The Minister of Trade, Industry and Energy shall hear opinions from interested parties, such as the relevant organizations of business operators, and experts where he/she intends to formulate or amend the standard form of contract under paragraph (1). |
[This Article Newly Inserted by Act No. 13595, Dec. 22, 2015]
| Article 6 (Selection, etc. of Good Design Products) |
| (1) | The Minister of Trade, Industry and Energy may take necessary measures, such as selecting good design products (hereinafter referred to as "good industrial design product") to facilitate the development of good industrial design. <Amended by Act No. 9688. May 21, 2009; Act No. 11690, Mar. 23, 2013> |
| (2) | The Minister of Trade, Industry and Energy may award a prize to a good industrial design product selected under paragraph (1), if deemed necessary. <Amended by Act No. 9688. May 21, 2009; Act No. 11690, Mar. 23, 2013> |
| (3) | Deleted. <by Act No. 5773, Feb. 5, 1999> |
| (4) | The Minister of Trade, Industry and Energy may allow a good industrial design product selected under paragraph (1) to bear a mark indicating that it is a good industrial design product (hereinafter referred to as "good industrial design mark") for sale. <Amended by Act No. 9688. May 21, 2009; Act No. 11690, Mar. 23, 2013> |
| (5) | Deleted. <by Act No. 12928, Dec. 30, 2014> |
| (6) | The criteria and methods for selecting good industrial design products, and methods for awarding the prize award and providing support under paragraphs (1) and (2), and the criteria for the use of the good industrial design mark under paragraph (4), and other necessary matters, shall be prescribed by Presidential Decree. <Amended by Act No. 9688. May 21, 2009; Act No. 12928, Dec. 30, 2014> |
| Article 7 Deleted. <by Act No. 12928, Dec. 30, 2014> |
| Article 8 (Training, etc. of Specialized Human Resources) |
| (1) | The State, a Special Metropolitan City, a Metropolitan City, a Special Self-Governing City, a Do, or a Special Self-Governing Province (hereinafter referred to as "City/Do") shall endeavor to train human resources specializing in industrial design. <Amended by Act No. 12608, May 20, 2014> |
| (2) | The Government shall encourage collaboration between universities and industries in relation to industrial design, and retraining of the human resources to enhance their capacity. |
| (3) | The Minister of Trade, Industry and Energy, a Special Metropolitan City Mayor, a Metropolitan City Mayor, the Mayor of a Self-Governing City, a Do Governor, or the Governor of a Special Self-Governing Province (hereinafter referred to as "Mayor/Do Governor") may conduct a survey on the actual status of human resources specializing in design, and develop improvement measures concerning the supply of and demand for specialized human resources, if deemed necessary. <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12608, May 20, 2014> |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 9 (Support for Specialized Industrial Design Firms) |
| (1) | The Government may provide a firm specialized in development, surveys, analyses, consultation, etc. concerning industrial design (hereinafter referred to as "specialized industrial design firm") which meets the standards set forth by Ordinance of the Ministry of Trade, Industry and Energy with any of the following support: <Amended by Act No. 11690, Mar. 23, 2013> |
| 1. | Providing the outcome of research, and guiding the up-to-date development methods; |
| 2. | Establishing and operating business incubation facilities to support the establishment of specialized industrial design firms; |
| 3. | Sharing expensive equipment; |
| 4. | Other matters prescribed by Presidential Decree and necessary to promote industrial design. |
| (2) | A specialized industrial design firm which intends to obtain any of the support under paragraph (1) shall submit a report to the Minister of Trade, Industry and Energy, as prescribed by the Ministry of Trade, Industry and Energy. <Amended by Act No. 11690, Mar. 23, 2013> |
| (3) | The Minister of Trade, Industry and Energy may delegate the duty of processing reports submitted under paragraph (2) to a Mayor/Do Governor, or entrust such duty to the Korea Institute of Design Promotion established under Article 11, as prescribed by Presidential Decree. <Amended by Act No. 11690, Mar. 23, 2013> |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 9-2 (Price Standard for Development of Industrial Design) |
| (1) | In entering into a contract for development of industrial design, the State, a local government, and a public institution referred to in Article 4 of the Act on the Management of Public Institutions (hereafter referred to as "State agency, etc." in this Article) shall endeavor to pay an appropriate price to ensure the quality of the industrial design to be developed. |
| (2) | In order to help the heads of State agencies, etc. to pay an appropriate price under paragraph (1), the Minister of Trade, Industry and Energy shall provide the State agencies, etc. with matters necessary for computing the price standard, such as the conditions for performing the development of industrial design, and unit wages. |
| (3) | In order to comprehensively manage information on the computation of price standard under paragraph (2), the Minister of Trade, Industry and Energy may request the head of State agencies, etc. to submit necessary data. In such cases, the heads of State agencies, etc. in receipt of such request shall cooperate therein except in exceptional circumstances. |
| (4) | In entering into a contract for a project requiring development of industrial design, such as manufacturing and installation of a facility, the head of a State agency, etc. may separately compute and appropriate a price for the development of industrial design. |
| (5) | In order to efficiently perform the affairs prescribed in paragraph (2), the Minister of Trade, Industry and Energy may designate a specialized agency and entrust it with such affairs. |
[This Article Newly Inserted by Act No. 12928, Dec. 30, 2014]
| Article 10 (Protection of Industrial Design) |
| (1) | The State or a City/Do shall endeavor to protect industrial design in order to facilitate the development thereof and prevent it from being imitated. |
| (2) | Where it is deemed necessary to protect industrial design, the Minister of Trade, Industry and Energy or a Mayor/Do Governor may request the heads of the relevant administrative agencies to cooperate in the improvement of relevant institutions, and operation streamline, etc. <Amended by Act No. 11690, Mar. 23, 2013> |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 10-2 (Surveys to Compile Statistics on Industrial Design) |
| (1) | The Minister of Trade, Industry and Energy or a Mayor/Do Governor may conduct surveys to compile statistics on domestic and overseas industrial design in order to effectively establish and implement a comprehensive plan for industrial design promotion. <Amended by Act No. 11690, Mar. 23, 2013> |
| (2) | Matters necessary for compiling and managing the statistics on industrial design shall be prescribed by Presidential Decree. |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 10-3 (Establishment of Dispute Mediation Committee) |
| (1) | A Design Dispute Mediation Committee (hereinafter referred to as the "Mediation Committee") shall be established to mediate disputes arising in connection with industrial design: Provided, That Article 41 of the Invention Promotion Act shall apply to disputes arising in connection with industrial property rights. |
| (2) | The Mediation Committee shall be comprised of up to 20 members, including one chairperson, and members shall be commissioned by the Minister of Trade, Industry and Energy, from among the following persons: |
| 1. | At least an associate professor in the Department of Law or any Department related to design at a university established under the Higher Education Act; |
| 2. | A person qualified as a judge, public prosecutor, or attorney-at-law; |
| 3. | A person qualified as a patent attorney or certified public accountant; |
| 4. | A person with substantial knowledge and experience in the field of design. |
| (3) | The mediation of a dispute shall commence at the request of one party or both parties to the dispute, and the Mediation Committee shall prepare a proposal for mediation within three months from the date on which a request for mediation is made. |
| (4) | The Mediation Committee may refuse or suspend mediation in any of the following circumstances. In such cases, it shall notify the claimant of grounds for the refusal or suspension of mediation: |
| 1. | Where one party to a dispute refuses mediation; |
| 2. | Where one party to a dispute files a lawsuit in court; |
| 3. | Where the Mediation Committee deems it inappropriate to mediate a dispute by reason of the nature of the dispute, or that a request for the mediation of a dispute has been made for unlawful purpose. |
| (5) | The Mediation Committee shall present a proposal for mediation prepared pursuant to paragraph (3) to each party to a dispute without delay, and agreement is reached through mediation where each party to the dispute agrees to such proposal for mediation within 15 days. Agreement reached through mediation shall have the same effect as a judicial compromise. |
| (6) | The Mediation Committee may require the claimant to bear expenses incurred in mediation, as prescribed by Presidential Decree: Provided, That where agreement is reached through mediation, the Mediate Committee may require the parties to the dispute to apportion expenses incurred in mediation between them based on such agreement. |
| (7) | The Minister of Trade, Industry and Energy shall establish a secretariat under the jurisdiction of the Korea Institute of Design Promotion established under Article 11 to assist the affairs of the Mediation Committee, and may subsidize the Mediation Committee to cover expenses incurred in the operation thereof, within budgetary limits. |
| (8) | Except as prescribed in paragraphs (2) through (7), the organization and operation of the Mediation Committee, methods and procedures for the mediation of disputes, the apportionment of expenses, and other necessary matters, shall be prescribed by Presidential Decree. |
[This Article Newly Inserted by Act No. 13595, Dec. 22, 2015]
| Article 11 (Establishment, etc. of Korea Institute of Design Promotion) |
| (1) | The Korea Institute of Design Promotion (hereinafter referred to as the "Institute") shall be established to efficiently and systematically perform the activities aimed at facilitating development and promotion of industrial design. |
| (2) | The Institute shall take the form of a juristic person. |
| (3) | The Institute may establish a branch office or other offices in necessary places in Korea and abroad, as prescribed by its articles of association. |
| (4) | The Institute shall perform the following projects: |
| 1. | Projects to support development; |
| 3. | Publication and public relations projects; |
| 4. | Informatization projects; |
| 5. | Education and training projects; |
| 6. | Projects to promote industrial design in local areas; |
| 7. | International exchange and cooperation projects; |
| 8. | Projects commissioned by the Government; |
| 9. | Other projects prescribed by Presidential Decree. |
| (5) | The Institute may be engaged in profit-making business, as prescribed by Presidential Decree, in order to raise a fund required to achieve the objectives under paragraph (1). |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 11-2 (Establishment, etc. of Regional Design Centers) |
| (1) | In order to conduct regional design specialization projects, promotion projects, projects to build infrastructure for regional design, etc. (referred to as "regional design projects" hereafter in this Article), a Mayor/Do Governor may establish a regional design center either jointly or separately with the neighboring Mayor/Do Governor, through consultation with the Minister of Trade, Industry and Energy. |
| (2) | Each regional design center shall be a corporation, and shall be duly formed upon completing the registration for its incorporation at the registry office having jurisdiction over its principal place of business. |
| (3) | The State, the head of each local government, and the head of each public institution referred to in Article 4 of the Act on the Management of Public Institutions may, either jointly or separately, outsource regional design projects to any regional design center or require any regional design center to conduct such regional design project on behalf thereof, where necessary. |
| (4) | The establishment and management of regional design centers and other relevant matters, shall be prescribed by Ordinance of the Ministry of Trade, Industry and Energy. |
[This Article Newly Inserted by Act No. 13595, Dec. 22, 2015]
| Article 12 (Subsidization of Expenditures of Institute) |
The Government may, within budget limit, contribute to or subsidize all or part of the fund required to operate the Institute.
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 13 (Request for Provision, etc. of Data or Materials) |
| (1) | The Institute may request the State, local governments, public organizations, public institutions under the Act on the Management of Public Institutions, research institutes, or educational institutes to collect and provide the data or materials necessary to perform its projects. |
| (2) | The Institute may request local governments to cooperate in carrying out projects to promote industrial design in the local areas. |
| (3) | A person who receives the request to collect and provide data or materials pursuant to paragraphs (1) and (2) shall cooperate with such request, unless there exists any special ground to the contrary. |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 14 (Submission of Business Plans, etc.) |
| (1) | The Institute shall submit a business plan and a budget plan to the Minister of Trade, Industry and Energy by no later than the commencement date of each fiscal year, as prescribed by Presidential Decree. <Amended by Act No. 11690, Mar. 23, 2013> |
| (2) | The Institute shall prepare an annual final settlement statement and submit it to the Minister of Trade, Industry and Energy by no later than the end of February in the following business year, and confirm the settlement of account upon obtaining his/her approval by the end of March. <Amended by Act No. 11690, Mar. 23, 2013; Act No. 12608, May 20, 2014> |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 15 (Reporting and Inspections) |
| (1) | If deemed necessary for implementing this Act, the Minister of Trade, Industry and Energy may order the Institute to submit a report on its business operation, or require subordinate public officials to visit the Institute to inspect the account books, documents, and other materials. <Amended by Act No. 11690, Mar. 23, 2013> |
| (2) | A public official who conducts an inspection under paragraph (1) shall carry a certificate indicating his/her authority and produce it to interested persons. |
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 16 (Duty of Confidentiality) |
No current or former executive or employee of the Institute shall disclose or misappropriate any confidential information he/she has learned in the course of performing his/her duties. <Amended by Act No. 13595, Dec. 22, 2015>
[This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Articles 17 and 18 Deleted. <by Act No. 5773, Feb. 5, 1999> |
| Article 19 (Penalty Provisions) |
Any person who violates Article 16 shall be punished by imprisonment for not more than one year, or by a fine not more than ten million won. <Amended by Act No. 12238, Jan. 14, 2014; Act No. 12928, Dec. 30, 2014> [This Article Wholly Amended by Act No. 9688. May 21, 2009]
| Article 20 Deleted. <by Act No. 5773, Feb. 5, 1999> |
ADDENDA
Article 1 (Enforcement Date)
This Act shall enter into force on January 1, 1997.
Article 2 (Transitional Measures concerning Changes in Name and Other Matters of Korea Institute of Industrial Design and Packaging)
| (1) | The Korea Institute of Industrial Design and Packaging existing at the time this Act enters into force shall be considered as the Korea Institute of Industrial Design Promotion under this Act. |
| (2) | Any act and other legal relationships performed or made by the Korean Institute of Industrial Design and Packaging at the time of the enforcement of this Act shall be presumed to have been done by the Korea Institute of Industrial Design Promotion. |
Article 3 (Amendment, etc. to Articles of Association)
The Korea Institute of Industrial Design and Packaging shall amend its articles of association with the approval of the Minister of Trade, Industry and Energy and request the registration of amendment to the name and other amended matters without delay.
Article 4 Omitted.
Article 5 (Relationships with Other Acts and Subordinate Statutes)
| (1) | Any citation by other Acts and subordinate statutes of the previous Industrial Design and Packing Promotion Act or its provisions at the time this Act enters into force shall be presumed the citation of this Act or its corresponding provisions. |
| (2) | Any citation by other Acts and subordinate statutes of the Korea Institute of Industrial Design and Packaging under the previous Industrial Design and Packing Promotion Act at the time this Act enters into force shall be presumed the citation of the Korea Institute of Industrial Design Promotion under this Act. |
ADDENDUM <Act No. 5773, Feb. 5, 1999>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 6415, Feb. 3, 2001>
Article 1 (Enforcement Date)
This Act shall enter into force on April 1, 2001.
Article 2 (Transitional Measures on Change of Title of Korea Institute of Industrial Design Promotion)
| (1) | The Korea Institute of Industrial Design Promotion at the time this Act enters into force shall be regarded as the Korea Institute of Design Promotion. |
| (2) | The whole properties, rights and liabilities of the Korea Institute of Industrial Design Promotion at the time this Act enters into force shall be succeeded by a universal title by the Korea Institute of Design Promotion. In such cases, the title of the Korea Institute of Industrial Design Promotion on the registry or other public records pertaining to the previous properties, rights and liabilities shall be regarded as the title of the Korea Institute of Design Promotion. |
Article 3 Omitted.
ADDENDUM <Act No. 7506, May 26, 2005>
This Act shall enter into force three months after the date of its promulgation.
ADDENDA <Act No. 7949, Apr. 28, 2006>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 7 Omitted.
ADDENDA <Act No. 8852, Feb. 29, 2008>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 7 Omitted.
ADDENDUM <Act No. 9688, May 21, 2009>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 11690, Mar. 23, 2013>
Article 1 (Enforcement Date)
| (1) | This Act shall enter into force on the date of its promulgation. |
Articles 2 through 7 Omitted.
ADDENDUM <Act No. 12238, Jan. 14, 2014>
This Act shall enter into force on the date of its promulgation.
ADDENDUM <Act No. 12608, May 20, 2014>
This Act shall enter into force on the date of its promulgation.
ADDENDA <Act No. 12928, Dec. 30, 2014>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Article 2 (Transitional Measures concerning Penalty Provisions)
The imposition of penalty provisions for violations committed before this Act enters into force shall be governed by the former provisions.
ADDENDA <Act No. 13595, Dec. 22, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation.
Article 2 (Transitional Measures concerning Establishment of Regional Design Centers)
Regional design centers (in Gwangju, Busan, Daegu, and Gyungbuk) being established and operated as at the time this Act enters into force, shall be deemed established pursuant to this Act.