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ENFORCEMENT DECREE OF THE ACT ON LABELING AND ADVERTISING OF FOODS

Presidential Decree No. 29622, Mar. 14, 2019

 Article 1 (Purpose)
The purpose of this Decree is to prescribe matters mandated by the Act on Labeling and Advertising of Foods and matters necessary for the enforcement thereof.
 Article 2 (Matters Subject to Prohibition of False Labeling or Advertising)
"Matters prescribed by Presidential Decree, such as the name, manufacturing methods or ingredients of the food, etc." in Article 8 (1), with the exception of its subparagraphs, of the Act on Labeling and Advertising of Foods (hereinafter referred to as the "Act") means the following matters:
1. Matters regarding the names, names of of business, types, ingredients, components (including nutritional components), net contents, manufacturing methods (including methods of raising the relevant livestock for the production of livestock products), grades, quality and usage information of foods, food additives, apparatuses, containers, packaging, health functional foods and livestock products (hereinafter referred to as "food, etc.");
2. Matters regarding the manufacturing dates, sell-by dates, best-before dates, and egg-laying dates of foods, etc.;
3. Matters regarding the labeling of genetically modified foods, etc. under Article 12-2 of the Food Sanitation Act, or the labeling of genetically modified health functional foods under Article 17-2 of the Health Functional Foods Act;
4. The following matters regarding traceability:
(a) Food traceability under subparagraph 13 of Article 2 of the Food Sanitation Act;
(b) Health functional food traceability under subparagraph 6 of Article 3 of the Health Functional Foods Act;
(c) Processed livestock products traceability under subparagraph 13 of Article 2 of the Livestock Products Sanitary Control Act;
5 The following matters regarding the accreditation of livestock products:
(a) Individual HACCP under the main clause of Article 9 (2) of the Livestock Products Sanitary Control Act;
(b) Accreditation of HACCP-accredited places of work, HACCP-accredited business establishments or HACCP-accredited farms under Article 9 (3) of the Livestock Products Sanitary Control Act;
(c) Accreditation of integrated HACCP-accredited business entities under the former part of Article 9 (4) of the Livestock Products Sanitary Control Act.
 Article 3 (False Labeling or Advertising)
(1) Details of false labeling or advertising under Article 8 (1) of the Act shall be as specified in attached Table 1.
(2) Except as provided in paragraph (1), details regarding false labeling or advertising shall be determined and publicly notified by the Minister of Food and Drug Safety.
 Article 4 (Standards for Review of Labeling or Advertising)
(1) Where, due to the non-existence of a voluntary review board under the main clause of Article 10 (1) of the Act (hereinafter referred to as "voluntary review board"), the Minister of Food and Drug Safety reviews the labeling or advertising of food, etc. pursuant to the proviso of that paragraph, the review standards shall be as follows:
1. The standards shall be consistent with Articles 4 through 8 of the Act;
2. The standards shall be consistent with the following standards:
3. The standards shall be expressed based on objective and scientific data.
(2) Upon receipt of an application for review pursuant to the proviso of Article 10 (1) of the Act, the Minister of Food and Drug Safety shall notify the applicant of the results of review within 20 days from the date of receipt of such application: Provided, That where the Minister is unable to process the application within the period due to any unavoidable cause, the Minister shall notify the applicant of the cause for the delay of such review and the expected date of processing.
(3) Except as provided in paragraphs (1) and (2), details regarding standards, procedures for review, etc. shall be determined and publicly notified by the Minister of Food and Drug Safety.
 Article 5 (Requirements for Registration of Voluntary Review Boards)
(1) "Requirements prescribed by Presidential Decree, such as a review committee" in Article 10 (2), with the exception of its subparagraphs, of the Act means the following requirements:
1. A review committee under Article 11 of the Act shall be organized;
2. A division dedicated to reviewing labels and advertisements with at least two full-time employees (including persons with professional knowledge and experiences in foods, etc.) shall be established;
3. Computer equipment and offices for reviewing labels and advertisements shall be prepared.
(2) "Standards prescribed by Presidential Decree" in Article 10 (2) 4 of the Act means the standards under the subparagraphs of Article 23 (1) of the Enforcement Decree of the Framework Act on Consumers.
 Article 6 (Filing Objections to Results of Review of Labeling or Advertising)
(1) Pursuant to the proviso of Article 10 (4) of the Act, any person who has an objection to the results of the review of the labeling or advertising of food, etc. may file an objection with the Minister of Food and Drug Safety within 30 days from the date on which such person is notified of such results, along with the necessary data.
(2) The Minister of Food and Drug Safety shall notify the result to a person who raises an objection within 30 days from the date of receipt of such objection: Provided, That where the Minister is unable to process such objection within the period due to any unavoidable cause, the Minister shall notify such person of the cause of delay for determination and the expected date of processing.
(3) Except as provided in paragraphs (1) and (2), details regarding procedures for raising objections, etc. shall be determined and publicly notified by the Minister of Food and Drug Safety.
 Article 7 (Entrustment of Education and Public Relations)
The Minister of Food and Drug Safety shall entrust education and public relations on the labeling or advertising of foods, etc. to the following institutions or organizations pursuant to Article 13 (2) of the Act:
1. An institution or organization that falls under any of the subparagraphs of Article 10 (2) of the Act;
2. An institution or organization specialized in foods, etc. and recognized by the Minister of Food and Drug Safety.
 Article 8 (Standards for Calculating Penalty Surcharges Imposed in Lieu of Suspension of Business)
The standards for calculating penalty surcharges imposed pursuant to the main clause of Article 19 (1) of the Act shall be as specified in attached Table 2.
 Article 9 (Imposition and Payment of Penalty Surcharges)
(1) Where the Minister of Food and Drug Safety, the Special Metropolitan City Mayor, a Metropolitan City Mayor, a Special Self-Governing City Mayor, a Do Governor, a Special Self-Governing Province Governor (hereinafter referred to as "Mayor/Do Governor") or the head of a Si/Gun/Gu (referring to the head of an autonomous Gu; hereinafter the same shall apply) intends to impose a penalty surcharge pursuant to the main clause of Article 19 (1) of the Act, a written notice for payment, specifying the type of the violation, the amount of the penalty surcharge, etc. shall be given.
(2) A person who receives a notice pursuant to paragraph (1) shall pay a penalty surcharge to the receiving agency determined by the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Sun/Gu, within 20 days from the date of receipt of such notice: Provided, That where such person is unable to pay a penalty surcharge within the period due to a natural disaster or any other unavoidable cause, the penalty surcharge shall be paid within seven days from the date the cause ceases to exist.
(3) Upon receipt of the penalty surcharge under paragraph (2), the receiving agency shall issue a receipt to the payer, and notify the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu of the fact of payment without delay.
 Article 10 (Postponement of Payment Deadline and Installment Payment of Penalty Surcharges)
(1) Where the amount of a penalty surcharge to be paid by a person imposed with a penalty surcharge pursuant to the main clause of Article 19 (1) of the Act (hereinafter referred to as "person liable to pay a penalty surcharge") is not less than one million won but it is deemed impracticable for such person to pay the full amount of the penalty surcharge in a lump sum on the following grounds, the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu may postpone the payment deadline or permit the person to pay the penalty surcharge in installments. In such cases, security may be provided if necessary:
1. Where such person sustains a substantial property loss caused by a disaster, etc.;
2. Where the business of such person is dire due to worsened business conditions;
3. Where such person is expected to experience considerable financial difficulties if a penalty surcharge is paid in whole;
4. Where such person has causes equivalent to those under subparagraphs 1 through 3.
(2) Where a person liable to pay a penalty surcharge intends to request the postponement of payment deadline or payment in installments pursuant to paragraph (1), such person shall file an application with the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu along with documents evidencing the grounds for postponing the payment deadline or paying in installments 10 days prior to the payment deadline.
(3) Where the deadline for paying a penalty surcharge is postponed or paying a penalty surcharge in installments is permitted pursuant to paragraph (1), the payment deadline shall be postponed within the scope of one year from the month following the month to which the payment deadline belongs, and the interval of payment installments shall be fixed within the scope of four months and the number of payment installments shall be limited to three times.
(4) Where a person liable to pay a penalty surcharge for whom it is determined to postpone the payment deadline or to permit payment in installments pursuant to paragraph (1) falls into any of the following cases, the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu may revoke the determination of postponement of payment deadline or payment in installments and collect the penalty surcharge in a lump sum:
1. Where such person fails to pay a penalty surcharge determined to be paid in installments by the payment deadline;
2. Where such person fails to comply with an order for the provision of a security issued by the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu;
3. Where it is deemed impossible to collect the whole amount or remaining portion of a penalty surcharge due to compulsory execution, commencement of an auction, declaration of bankruptcy, dissolution of a corporation, and the disposition of national or local taxes in arrears.
 Article 11 (Dispositions against Penalty Surcharge Defaulters)
(1) Where the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu intends to revoke the imposition of a penalty surcharge pursuant to Article 19 (3) of the Act, a demand notice shall be issued to the person liable to pay a penalty surcharge within 15 days from the date on which the payment deadline expires (where the payment of a penalty surcharge in installments is permitted pursuant to Article 10 (1) but the determination of payment in installments is revoked pursuant to paragraph (4) of that Article, referring to the deadline for lump-sum payment). In such cases, the payment deadline shall be within 10 days from the date on which a demand is issued.
(2) Where the Minister of Food and Drug Safety, the Mayor/Do Governor or the head of a Si/Gun/Gu imposes a disposition of suspension of business, suspension of manufacturing an item, or suspension of manufacturing a type of items, revoking the disposition of imposing a penalty surcharge pursuant to Article 19 (3) of the Act, a written notice shall be given to the person subject to the disposition, specifying matters necessary for the disposition of suspension of business, suspension of manufacturing an item, or suspension of manufacturing a type of items, such as causes of modifying the disposition and duration of disposition.
 Article 12 (Proportion of Penalty Surcharges Allocated to Funds)
Penalty surcharges imposed and collected by the head of a Si/Gun/Gu pursuant to Article 19 (5) of the Act shall be allocated to the Food Promotion Funds of the Special Metropolitan City, a Metropolitan City, a Special Self-Governing City, a Do and a Special Self-Governing Province (hereinafter referred to as "City/Do") and Si/Gun/Gu (referring to an autonomous Gu; hereinafter the same shall apply) in the following proportion:
1. City/Do: 40 percents;
2. Si/Gun/Gu: 60 percents.
 Article 13 (Standards and Procedures for Imposing Penalty Surcharges against False Labeling or Advertising)
(1) The amount of a penalty surcharge imposed pursuant to Article 20 (1) of the Act shall be obtained by multiplying the sales volume of foods, etc. falsely labeled or advertised by the sales prices.
(2) The sales volume under paragraph (1) shall be the volume sold during the period from the time of sales of falsely labeled or advertised foods, etc. for the first time to the time of detection of such foods, etc. (referring to the amounts after subtracting recall amounts and de facto amounts unsold due to returning, testing, etc. from the amounts of shipments), and where sales prices are changed during the period of sales, the sales prices shall be calculated by sales season.
(3) Articles 9 and 10 shall apply mutatis mutandis to procedures for imposing and collecting penalty surcharges, except as provided in paragraphs (1) and (2).
 Article 14 (Announcement of Violations)
The Minister of Food and Drug Safety, the Mayor/Do Governor and the head of a Si/Gun/Gu shall, without delay, announce the following matters concerning business operators for whom an administrative disposition is determined pursuant to Article 21 of the Act on the website of the relevant agency or general daily newspapers registered pursuant to the main clause of Article 9 (1), with the exception of its subparagraphs, of the Act on the Promotion of Newspapers and distributed nationwide:
1. A title on the announcement of violations under the Act on Labeling and Advertising of Foods;
2. Type of business;
3. Name and location of the business and name of the representative;
4. Names of foods, etc. (in cases of meat, referring to the types and parts of such meat);
5. Violation details (including the specific details of violations, and the statutes and regulations serving as the legal basis);
6. Details, date and period of administrative dispositions;
7. Controlling agency and date of detection.
 Article 15 (Delegation of Authority)
(1) The Minister of Food and Drug Safety shall delegate the authority over the review of substantiating information of claims in the labeling or advertising of foods, etc. under Article 9 (2) of the Act to the Director General of the National Institute of Food and Drug Safety Evaluation pursuant to Article 24 (1) of the Act.
(2) The Minister of Food and Drug Safety shall delegate the authority over the inspection of violation of prohibition of false labeling or advertising of foods, etc. under Article 8 (1) of the Act (limited to the authority over the inspection of health functional foods) to the Mayor/Do Governor pursuant to Article 24 (1) of the Act.
 Article 16 (Standards for Imposing Administrative Fines)
The standards for imposing administrative fines under Article 31 (1) and (2) of the Act shall be as specified in attached Table 3.
ADDENDA
Article 1 (Enforcement Date)
This Decree shall enter into force on March 14, 2019.
Article 2 Omitted.