Law Viewer

Back Home

MULTI-FAMILY HOUSING MANAGEMENT ACT

Act No. 0, ,

Act No. 13474, Aug. 11, 2015

Act No. 13499, Aug. 28, 2015

Act No. 13508, Sep. 1, 2015

Act No. 13676, Dec. 29, 2015

Act No. 13687, Dec. 29, 2015

Act No. 13786, Jan. 19, 2016

Act No. 13805, Jan. 19, 2016

Act No. 14093, Mar. 22, 2016

Act No. 14545, Jan. 17, 2017

Act No. 14709, Mar. 21, 2017

Act No. 14793, Apr. 18, 2017

Act No. 14853, Aug. 9, 2017

Act No. 15022, Oct. 31, 2017

Act No. 15454, Mar. 13, 2018

Act No. 16381, Apr. 23, 2019

Act No. 17091, Mar. 24, 2020

Act No. 17453, jun. 9, 2020

Act No. 17447, jun. 9, 2020

Act No. 17544, Oct. 20, 2020

CHAPTER I GENERAL PROVISIONS
 Article 1 (Purpose)
The purpose of this Act is to contribute to improving residential standards for the people by helping them manage multi-family housing transparently, safely, and efficiently by prescribing matters concerning the management of multi-family housing.
 Article 2 (Definitions)
(1) The terms used in this Act are defined as follows: <Amended on Aug. 28, 2015; Dec. 29, 2015; Jan. 19, 2016; Apr. 18, 2017; Apr. 23, 2019>
1. The term "multi-family housing" means the following housing and facilities. In such cases, welfare facilities sold to the general public shall be excluded:
(a) Multi-family housing under subparagraph 3 of Article 2 of the Housing Act;
(b) A building which consists of facilities other than housing and housing built compositely in the same building after obtaining a building permit under Article 11 of the Building Act;
(c) Auxiliary facilities under subparagraph 13 of Article 2 of the Housing Act and welfare facilities under subparagraph 14 of the aforesaid Article;
2. The term "multi-family housing subject to compulsory management" means multi-family housing upon which specific obligations are imposed, such as having a person who professionally manages the relevant multi-family housing and organizing an autonomous decision-making body compulsorily, which falls under any of the following subparagraphs:
(a) Multi-family housing with 300 or more households;
(b) Multi-family housing with 150 or more households, equipped with elevators;
(c) Multi-family housing with 150 or more households, equipped with a central heating system (including the district heating system);
(d) A building which consists of housing units for at least 150 households and non-housing facilities built in the same building with a building permit granted under Article 11 of the Building Act;
(e) Multi-family housing that does not fall under items (a) through (d), which is determined by the occupants, etc. by mutual consent in accordance with the standards prescribed by Presidential Decree;
3. The term "multi-family housing complex" means a housing complex under subparagraph 12 of Article 2 of the Housing Act;
4. The term "mixed housing complex" means a multi-family housing complex in which multi-family housing for the purpose of sale and rental housing are built compositely;
5. The term "occupant" means an owner of multi-family housing, his/her spouse representing such owner and lineal ascendants and descendants;
6. The term "user" means a person, etc. who leases and uses multi-family housing (excluding a lessee of rental housing);
7. The term "occupant, etc." means an occupant and a user;
8. The term "council of occupants' representatives" means an autonomous decision-making body organized pursuant to Article 14 to decide important matters concerning management on behalf of occupants, etc. of multi-family housing;
9. The term "management rules" means rules of autonomy prescribed by occupants, etc. pursuant to Article 18 (2) to protect occupants, etc. of multi-family housing and to maintain orderly residential life;
10. The term "management entity" means the following persons managing multi-family housing:
(a) The head of the management office of multi-family housing, who represents an autonomous management body under Article 6 (1);
(b) A business entity before it transfers managerial affairs pursuant to Article 13 (1);
(c) A housing management service provider;
(d) A rental business operator;
(e) A housing rental management business operator (limited to where he/she conducts affairs concerning the maintenance, repair and improvement of facilities, and housing management) under subparagraph 11 of Article 2 of the Special Act on Private Rental Housing;
11. The term "probationary housing manager" means a person issued a certificate upon passing an examination for probationary housing managers pursuant to Article 67 (1);
12. The term "housing manager" means a person issued a certificate of qualification as housing manager pursuant to Article 67 (2);
13. The term "housing manager, etc." means a probationary housing manager and housing manager;
14. The term "housing management services" means a service that manages multi-family housing subject to compulsory management after being entrusted with the management thereof by occupants, etc. to manage multi-family housing in a safe and efficient manner;
15. The term "housing management service provider" means a person who provides housing management services, registered pursuant to Article 52 (1);
16. Deleted; <Jan. 19, 2016>
17. Deleted; <Jan. 19, 2016>
18. The term "long-term repair plan" means a long-term plan formulated pursuant to Article 29 (1) concerning the replacement, repair, etc. of major facilities necessary to use multi-family housing safely and efficiently long-term;
19. The term "rental housing" means private rental housing under the Special Act on Private Rental Housing and public rental housing under the Special Act on Public Housing;
20. The term "rental business operator" means a rental business operator under subparagraph 7 of Article 2 of the Special Act on Private Rental Housing and a public housing business operator under Article 4 (1) of the Special Act on Public Housing;
21. The term "council of lessees' representatives" means a council of representatives of lessees under Article 52 of the Special Act on Private Rental Housing and a council of lessees' representatives applied mutatis mutandis pursuant to Article 50 of the Special Act on Public Housing.
(2) The Housing Act shall apply to the definitions of terms not otherwise expressly prescribed by this Act.
 Article 3 (Obligations of State)
(1) Where the State and local governments formulate and implement policy concerning the management of multi-family housing, they shall endeavor for the following:
1. They shall endeavor so that occupants, etc. who reside in multi-family housing may live a comfortable and liveable residential life;
2. They shall endeavor so that multi-family housing may be managed in a transparent, systematic and peaceful manner;
3. They shall endeavor so that industries related to the management of multi-family housing may seek sound development.
(2) The management entity shall manage multi-family housing in an efficient and safe manner.
(3) Occupants, etc. shall show consideration for neighbors and provide cooperation in affairs of the management entity so that order of community life may be maintained.
 Article 4 (Relationship to Other Acts)
(1) The Housing Act shall apply to matters not otherwise expressly prescribed by this Act concerning the management of multi-family housing.
(2) This Act shall apply matters not otherwise expressly prescribed by the Special Act on Private Rental Housing or the Special Act on Public Housing concerning the management of rental housing. <Amended on Aug. 28, 2015>
CHAPTER II METHODS OF MANAGEMENT OF MULTI-FAMILY HOUSING
 Article 5 (Methods of Management of Multi-Family Housing)
(1) Occupants, etc. shall conduct autonomous management of multi-family housing subject to compulsory management pursuant to Article 6 (1) or entrust the management of such multi-family housing to a housing management service provider pursuant to Article 7 (1).
(2) Where occupants, etc. prescribe or alter the method of management of multi-family housing, they shall do so as prescribed by Presidential Decree.
 Article 6 (Autonomous Management)
(1) Where occupants, etc. of multi-family housing subject to compulsory management decide to autonomously manage the multi-family housing, the council of occupants' representatives shall appoint the head of the management office of the multi-family housing as the representative of an autonomous management body within six months from the date of request under Article 11 (1) (where it is converted to multi-family housing subject to compulsory management under Article 2 (1) 2 (e), referring to the date of receipt of report on the organization of the council of occupants' representatives under subparagraph 2 of Article 19) and shall organize the autonomous management body which has technical human resources and equipment prescribed by Presidential Decree. <Amended on Apr. 23, 2019>
(2) Where occupants, etc. of multi-family housing subject to compulsory management alters the method of management of such multi-family housing to autonomous management from the management thereof entrusted to a housing management service provider, the council of occupants' representatives shall organize an autonomous management body under paragraph (1) by no later than the expiration date of such entrusted management.
 Article 7 (Management Entrusted)
(1) Where occupants, etc. of multi-family housing subject to compulsory management decide to entrust the management of multi-family housing to a housing management service provider, the council of occupants' representatives shall select the housing management service provider in accordance with the following guidelines:
1. The council of occupants' representatives shall select the housing management service provider through an information processing system (hereinafter referred to as "method of electronic bidding") under subparagraph 2 of Article 2 of the Framework Act on Electronic Documents and Transactions: Provided, That where a method of selection, etc. is prescribed and announced by the Minister of Land, Infrastructure and Transport, in which case it is difficult to use electronic bidding, the council of occupants' representatives may opt not to select the housing management service provider through electronic bidding;
2. It shall follow methods prescribed by Presidential Decree, such as other bidding methods.
(2) Where occupants, etc. are not satisfied with management services provided by the existing housing management service provider, they may request the council of occupants' representatives to restrict the participation of the existing housing management service provider in the bidding for the selection of a new housing management service provider, as prescribed by Presidential Decree. In such cases, the council of occupants' representatives shall comply with such request.
 Article 8 (Joint Management and Separate Management)
(1) Where the council of occupants' representatives deems it necessary for the management of the relevant multi-family housing, it may require a housing management service provider to jointly manage adjacent multi-family housing (including a rental housing complex) or to separately manage multi-family housing by dividing the relevant multi-family housing into a unit of at least 500 households, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(2) Joint management under paragraph (1) shall be applicable only to cases meeting the standards prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport, in which case written consent of a majority of occupants, etc. is obtained for each complex (in cases of a rental housing complex, referring to where written consent of the rental business operator and the council of lessees' representatives is obtained).
 Article 9 (Management Body of Multi-Family Housing)
(1) The council of occupants' representatives or the management entity shall organize a management body of multi-family housing (including an autonomous management body under Article 6 (1)) for the maintenance, repair, management, etc., of the common areas of multi-family housing.
(2) Necessary matters concerning the composition, function, operation, etc. of a management body of multi-family housing shall be prescribed by Presidential Decree.
 Article 10 (Management of Mixed Housing Complex)
(1) The council of occupants' representatives and the rental business operator shall jointly determine matters concerning the management of a mixed housing complex. In such cases, in the mixed housing complex where the council of lessees' representatives has been organized, the rental business operator shall consult with the council of lessees' representatives on matters under the subparagraphs of Article 52 (3) of the Special Act on Private Rental Housing. <Amended on Aug. 28, 2015>
(2) Matters concerning management to be jointly determined under paragraph (1) and necessary matters concerning methods, procedures, etc. for making joint determinations shall be prescribed by Presidential Decree.
 Article 10-2 (Conversion into Multi-Family Housing subject to Compulsory Management)
(1) The custodian (referring to a custodian under the Act on Ownership and Management of Condominium Buildings; if the custodian team is yet to commence managing the building, referring to a person managing the multi-family housing under Article 9-3 (1) of the same Act) of multi-family housing converted into multi-family housing subject to compulsory management pursuant to Article 2 (1) 2 (e) (hereinafter referred to as "multi-family housing converted into subject to compulsory management") shall file a report to the competent Special Self-Governing City Mayor, Special Self-Governing Province Governor, or the head of a Si/Gun/Gu (referring to an autonomous Gu; hereinafter the same shall apply; hereafter the Special Self-Governing City Mayor, Special Self-Governing Province Governor, or the head of a Si/Gun/Gu shall be referred to as "the head of a Si/Gun/Gu") on the conversion into multi-family housing subject to compulsory management, as prescribed by Presidential Decree: Provided, That if the custodian fails to report, occupants, etc. may make a report under the joint signature of at least 1/10 of them.
(2) Occupants, etc. of multi-family housing converted into subject to compulsory management shall organize a council of occupants' representatives within three months from the date of receipt of report on the enactment of the management rules under subparagraph 1 of Article 19, and determine how to manage multi-family housing under Article 5 within three months from the date of receipt of report on the formation of the council of occupants' representatives under subparagraph 2 of Article 19.
(3) Where occupants, etc. of multi-family housing converted into subject to compulsory management decide to outsource the management of multi-family housing, the council of occupants' representatives shall select a housing management service provider in accordance with the standards prescribed in subparagraphs of Article 7 (1) within six months from the date of receipt of report on the formation of the council of occupants' representatives.
(4) Occupants, etc. of multi-family housing converted into subject to compulsory management may determine to exclude the relevant multi-family housing from those subject to compulsory management pursuant to the standards prescribed in Article 2 (1) 2 (e), and in such cases, the chairperson of the council of occupants' representatives (where the chairperson's duties are performed vicariously, a person who performs his/her duties on behalf shall be included; hereinafter the same shall apply) shall report to the head of a Si/Gun/Gu on the exclusion from multi-family housing subject to compulsory management, as prescribed by Presidential Decree.
[This Article Newly Inserted on Apr. 23, 2019]
 Article 11 (Transfer of Management)
(1) The business entity who has built multi-family housing subject to compulsory management shall manage such multi-family housing until a majority of prospective occupants moves into multi-family housing, and where a majority of prospective occupants has moved into multi-family housing, the business entity shall notify occupants, etc. of the fact and request them to manage the relevant multi-family housing, as prescribed by Presidential Decree.
(2) Upon receipt of a request under paragraph (1), occupants shall organize the council of occupants' representatives whose members are occupants within three months from the date they receive such request.
(3) Where occupants, etc. determine how to manage the relevant multi-family housing (including the selection of a housing management service provider where they chose to outsource the management), the chairperson of the council of occupants' representatives shall notify the business entity or the custodian of the multi-family housing subject to compulsory management thereof, and file a report to the head of a Si/Gun/Gu as prescribed by Presidential Decree. The foregoing shall also apply to modification of any reported matters. <Amended on Apr. 23, 2019>
 Article 12 (Selection of Housing Management Service Provider by Business Entity)
Where the council of occupants' representatives fails to give notification under Article 11 (3) or to organize an autonomous management body under Article 6 (1), the business entity shall select a housing management service provider. In such cases, the business entity shall notify the council of occupants' representatives and the head of the competent Si/Gun/Gu of such fact.
 Article 13 (Transfer of Managerial Affairs)
(1) The business entity or the custodian of a multi-family housing subject to compulsory management shall transfer managerial affairs of multi-family housing to the relevant management entity as prescribed by Presidential Decree, in any of the following cases: <Amended on Apr. 23, 2019>
1. Where the business entity receives notification of the selection of a housing management service provider from the chairperson of the council of occupants' representatives pursuant to Article 11 (3);
2. Where an autonomous management body is organized pursuant to Article 6 (1);
3. Where a housing management service provider is selected pursuant to Article 12.
(2) Where the management entity of multi-family housing is replaced, the existing management entity shall transfer managerial affairs of the relevant multi-family housing to a new management entity by applying paragraph (1) mutatis mutandis.
CHAPTER III COUNCIL OF OCCUPANTS' REPRESENTATIVES AND MANAGEMENT RULES
SECTION 1 Council of Occupants' Representatives
 Article 14 (Composition of Council of Occupants' Representatives)
(1) The council of occupants' representatives shall be comprised of at least four persons, who are representatives elected according to electoral districts prescribed by the management rules in proportion to the number of households in each building (hereinafter referred to as "representative of each building"). In such cases, an electoral district may be established by combining two or more buildings or dividing a building by corridor or floor.
(2) Where one multi-family housing complex is divided into several sections and built sequentially (in cases of rental housing, referring to where it is converted to housing for sale), occupants, etc. of a section of multi-family housing who move into such multi-family housing first may organize the council of occupants' representatives pursuant to paragraph (1): Provided, That where a majority of prospective occupants of the next section moves into multi-family housing, a new council of occupants' representatives shall be reorganized.
(3) The representative of each building shall be elected through universal suffrage, equal suffrage, by direct election and secret ballot of occupants, etc. of an electoral district as prescribed by Presidential Decree, among occupants (where an occupant is a corporation, referring to the representative thereof) meeting the following requirements by the deadline for submitting various documents (hereafter in this Article, referred to as "deadline for submitting documents") prescribed in the public notice of the election of the representative of each building: Provided That, in an electoral district without a candidate for the representative of each building who is an occupant, an employer satisfying the requirements in the following subparagraphs and as prescribed by Presidential Decree may be elected as the representative of each building: <Amended on Apr. 23, 2019>
1. Occupants shall have continuously resided for a period exceeding that prescribed by Presidential Decree after having obtained resident registration in the relevant multi-family housing complex (excluding where the representative of each building is elected to organize the first council of occupants' representatives or the council of occupants' representatives under the proviso to paragraph (2));
2. Occupants shall have resided in the relevant electoral district after having obtained resident registration.
(4) No person who falls under any of the following as at the deadline for submitting documents shall become the representative of each building, and he/she shall become disqualified accordingly: <Amended on Aug. 28, 2015>
1. A minor, a person under adult guardianship or a person under limited guardianship;
2. A person declared bankrupt who is not yet reinstated;
3. A person in whose case two years have not passed since his/her imprisonment without labor or heavier punishment was completely executed (including where the execution thereof is deemed completed) or discharged as declared by a court for a crime violating this Act, the Housing Act, the Special Act on Private Rental Housing, the Special Act on Public Housing, the Building Act or the Act on Ownership and Management of Condominium Buildings;
4. A person who is under suspension of the execution of the imprisonment without labor or heavier punishment declared by a court;
5. Other persons prescribed by Presidential Decree.
(5) Where a representative of each building ceases to meet the requirements specified in paragraph (3) during his/her term of office or satisfies grounds for disqualification under the subparagraphs of paragraph (4), the representative shall retire ex officio from his/her office. <Newly Inserted on Mar. 13, 2018>
(6) The council of occupants' representatives shall have the chairperson, the auditor and directors as its executive officers, as prescribed by Presidential Decree. <Amended on Mar. 13, 2018>
(7) Notwithstanding paragraph (6), the representative of each building who is an employer shall not be the chairperson: Provided, That the same shall not apply where there is no candidate for the chairperson among the representatives of each building who are occupants and written consent of a majority of the entire occupants is obtained prior to the election. <Newly Inserted on Apr. 23, 2019>
(8) Where the council of occupants' representatives holds its meeting, it shall prepare minutes and require the management entity to keep the minutes; where occupants, etc. request the management entity to inspect the minutes or to copy the minutes at his/her own expenses, the management entity shall comply with such request, as prescribed by the management rules. <Amended on Mar. 13, 2018; Apr. 23, 2019>
(9) Matters necessary for composing and operating the council of occupants' representatives, such as matters concerning the term of office of representatives of each building or restrictions thereof, methods of election and dismissal of representatives of each building or executive officers of the council of occupants' representatives, and methods of decision-making of the council of occupants' representatives shall be prescribed by Presidential Decree. <Amended on Mar. 13, 2018; Apr. 23, 2019>
(10) Matters subject to resolution by the council of occupants' representatives include the management rules, management expenses, matters concerning the operation of facilities, and the specific details thereof shall be prescribed by Presidential Decree. <Amended on Mar. 13, 2018; Apr. 23, 2019>
(11) Notwithstanding paragraphs (9) and (10), if the representatives of each building who are the employers is a majority of the council of occupants' representatives, the decision-making methods and matters for resolution may be determined otherwise by Presidential Decree. <Newly Inserted on Apr. 23, 2019>
 Article 15 (Election Management of Representatives of Each Building)
(1) Occupants, etc. shall organize an election committee (hereinafter referred to as "election committee") to elect or dismiss representatives of each building or executive officers of the council of occupants' representatives.
(2) No person who falls under any of the following shall become members of an election committee, and such person shall become disqualified accordingly:
1. Representatives of each building or candidates for such representatives;
2. The spouse or lineal ascendants or descendants of a person who falls under subparagraph 1;
3. Other persons prescribed by Presidential Decree.
(3) Matters necessary for composing and operating an election committee, such as the number of members of the election committee, methods of electing the chairperson thereof, and methods of decision-making, shall be prescribed by Presidential Decree.
(4) An election committee may request a Gu/Si/Gun election committee having jurisdiction over the relevant location to provide electoral support, such as vote and ballot-counting management, pursuant to Article 2 (1) 3 of the Election Commission Act for the election management under paragraph (1).
 Article 16 (Inquiry about Criminal Records of Candidates for Representatives of Each Building)
(1) The chairperson of the election committee (where the election committee has not been organized or the office of the chairperson thereof has become vacant upon his/her resignation, dismissal, etc., referring to the chairperson of the council of occupants' representatives, and where the office of the chairperson of the council of occupants' representatives has also become vacant, referring to the head of the management office; hereinafter the same shall apply) shall verify whether candidates for representatives of each building meet the requirements for representatives of a building under Article 14 (3) and whether they satisfy grounds for disqualification as representatives of a building under the subparagraphs of Article 14 (4); and shall conduct criminal background checks on candidates for representatives of each building with the head of a related agency with their consent when the chairperson verifies whether the candidates satisfy the grounds for disqualification. <Amended on Mar. 13, 2018>
(2) The chairperson of the election committee may verify whether representatives of each building meet the requirements under Article 14 (3) and whether they satisfy grounds for disqualification under the subparagraphs of Article 14 (4); and shall conduct criminal background checks on representatives of each building with the head of a related agency with their consent when the chairperson verifies whether the representatives satisfy the grounds for disqualification. <Newly Inserted on Mar. 13, 2018>
(3) Necessary matters concerning procedures, methods, etc. for conducting criminal background checks under paragraphs (1) and (2) shall be prescribed by Presidential Decree. <Amended on Mar. 13, 2018>
[Title Amended on Mar. 13, 2018]
 Article 17 (Education of Members of Council of Occupants' Representatives)
(1) The head of a Si/Gun/Gu shall provide necessary education related to the operation of the council of occupants' representatives and ethics education for members of the council of occupants' representatives. In such cases, members of the council of occupants' representatives shall complete such education conscientiously.
(2) Education content under paragraph (1) shall include the following:
1. Matters concerning standing rules for the related statutes and the management rules concerning the management of multi-family housing;
2. Matters concerning duties, knowledge, and ethics of members of the council of occupants' representatives;
3. Matters concerning the revitalization of the community of a multi-family housing complex;
4. Matters concerning management expenses, user fees and reserves for long-term repairs;
5. Matters concerning the mediation of disputes between occupants;
6. Matters concerning repairs of defects;
7. Other matters necessary for the operation of the council of occupants' representatives.
(3) The head of a Si/Gun/Gu may provide education referred to in paragraph (1) to occupants, etc. if they so desire. <Newly Inserted on Mar. 13, 2018>
(4) Necessary matters concerning the timing and methods of education under paragraphs (1) and (3), and apportioning expenses therefor, etc. shall be prescribed by Presidential Decree. <Amended on Mar. 13, 2018>
[Title Amended on Mar. 13, 2018]
SECTION 2 Management Rules
 Article 18 (Management Rules)
(1) The Special Metropolitan City Mayor, a Metropolitan City Mayor, a Special Self-Governing City Mayor, a Do Governor, or a Special Self-Governing Province Governor (hereinafter referred to as the "Mayor/Do Governor") shall establish the standing rules for the management rules which serve as criteria for the management or use of multi-family housing to protect occupants, etc. of multi-family housing and to maintain orderly residential life, as prescribed by Presidential Decree.
(2) Occupants, etc. shall establish the management rules by referring to the standing rules for the management rules under paragraph (1). In such cases, matters concerning a rent, etc. of a day care center established in multi-family housing pursuant to Article 21 of the Housing Act shall be determined in consideration of the standing rules for the management rules, the stable operation of a day care center, the improvement of standards for child care services, etc. under paragraph (1). <Amended on Jan. 19, 2016>
(3) Necessary matters concerning methods, etc. by which occupants, etc. enact or amend the management rules shall be prescribed by Presidential Decree. <Newly Inserted on Jan. 19, 2016>
(4) Management rules shall also have an effect on those who succeed to the position of occupants, etc. <Amended on Jan. 19, 2016>
 Article 19 (Reporting of Management Rules)
The chairperson of the council of occupants' representatives (in cases of the enactment of the management rules, referring to the business entity or the custodian of multi-family housing converted into subject to compulsory management) shall report the following matters to the head of a Si/Gun/Gu as prescribed by Presidential Decree; the foregoing shall also apply where reported matters are modified: Provided That, if the custodian of a multi-family housing converted into subject to compulsory management fails to report the enactment of the management rules, occupants, etc. may file a report under joint signatures of at least 1/10 of occupants, etc: <Amended on Apr. 23, 2019>
1. Enactment or amendment of the management rules;
2. Organization or alteration of the council of occupants' representatives;
3. Other necessary matters prescribed by Presidential Decree.
 Article 20 (Prevention of Inter-Floor Noise)
(1) Occupants, etc. of multi-family housing shall endeavor not to cause harm to other occupants, etc. due to inter-floor noise (including noise between neighboring households (including noise between households in any diagonal direction), such as noise between walls; hereinafter referred to as "inter-floor noise"), such as noise which occurs from running or walking or from using audio equipment in multi-family housing. <Amended on Aug. 9, 2017>
(2) Occupants, etc. who suffer from inter-floor noise under paragraph (1) may notify the management entity of the occurrence of inter-floor noise, and may request the management entity to advise the relevant occupants, etc. who caused inter-floor noise to cease causing such noise or to take measures for noise abatement. In such cases, the management entity may conduct a necessary investigation to verify the facts, such as inspecting the inside of the relevant household. <Amended on Jun. 9, 2020>
(3) Occupants, etc. who cause inter-floor noise shall cooperate on measures taken and recommendations made by the management entity under paragraph (2). <Amended on Aug. 9, 2017>
(4) Notwithstanding measures taken by the management entity under paragraph (2), where inter-floor noise continuously occurs, occupants, etc. who get disturbed by such noise may file an application for mediation with the multi-family housing management dispute mediation committee under Article 71 or the environmental dispute mediation committee under Article 4 of the Environmental Dispute Mediation Act.
(5) The range and standards of inter-floor noise shall be prescribed by Joint Ordinance of the Ministry of Land, Infrastructure and Transport and the Ministry of Environment.
(6) Where necessary, the management entity may provide education for the prevention of inter-floor noise, mediation of disputes, etc. intended for occupants, etc.
(7) Where necessary, occupants, etc. may organize and operate an autonomous organization for the prevention, mediation, education, etc. of disputes due to inter-floor noise.
 Article 20-2 (Prevention of Secondhand Smoke)
(1) Occupants, etc. of multi-family housing shall endeavor not to cause harm to other occupants, etc. due to smoking inside the household, including the balcony and toilets.
(2) Occupants, etc. harmed by secondhand smoke shall notify the management entity of the occurrence of secondhand smoke, and may request the management entity to recommend the relevant occupant, etc. who have caused such harm to stop smoking at a specified place. In such cases, the management entity may conduct necessary investigations, such as inspecting the inside of the relevant household, to ascertain the facts.
(3) Occupants, etc. who have caused harm by secondhand smoke shall cooperate on recommendations made by the management entity under paragraph (2).
(4) If necessary, the management entity may provide education to occupants, etc. to prevent secondhand smoke, mediate disputes, etc.
(5) If necessary, occupants, etc. may compose and operate an autonomous organization to prevent and mediate disputes caused by secondhand smoke and to provide education.
[This Article Newly Inserted on Aug. 9, 2017]
 Article 21 (Revitalization of Community Life)
(1) Occupants, etc. of multi-family housing may autonomously conduct activities necessary for promoting understanding and harmony between occupants, etc., and may organize and operate an organization necessary for the promotion thereof.
(2) The council of occupants' representatives or the management entity may partially subsidize expenses incurred in revitalizing community life from income generated incidentally from the management of multi-family housing, such as proceeds from the sale of recyclables.
(3) Subsidization of expenses under paragraph (2) shall be prescribed by the management rules or determined through a resolution of the council of occupants' representatives to the extent not violating the management rules.
 Article 22 (Decision-Making through Electronic Methods)
Where occupants, etc. make decisions regarding the management of multi-family housing, such as the representatives of each building or executives of the council of occupants' representatives (including where a decision is made by written consent), they may make decisions through an electronic method (referring to the method using an information processing system defined in subparagraph 2 of Article 2 of the Framework Act on Electronic Documents and Transactions or using other information and communications technology), as prescribed by Presidential Decree. <Amended on Aug. 9, 2017>
CHAPTER IV MANAGEMENT EXPENSES AND ACCOUNTING
 Article 23 (Payment and Disclosure of Management Expenses)
(1) Occupants, etc. of multi-family housing subject to compulsory management shall pay management expenses necessary for the maintenance and management of such multi-family housing to the management entity.
(2) Necessary matters concerning the details, etc. of management expenses under paragraph (1) shall be prescribed Presidential Decree.
(3) The management entity under paragraph (1) may pay user fees, etc. prescribed by Presidential Decree, which are supposed to be paid by occupants, etc., to a person who is to receive such user fees, etc. on behalf of occupants, etc.
(4) The management entity under paragraph (1) shall disclose the details under following subparagraphs (referring to the calculation details by item, but excluding the details of expenses imposed on each household) on the website of the relevant multi-family housing (where it has no website, referring to a website of similar function operated and controlled by the management entity through the Internet portal or the bulletin board of the management office; hereinafter the same shall apply), bulletin board of each building (including the bulletin boards in each hallway, if installed; hereinafter the same shall apply), and the multi-family housing management information system established and operated by the Minister of Land, Infrastructure and Transport pursuant to Article 88 (1) (hereinafter referred to as "multi-family housing management information system"), as prescribed by Presidential Decree: Provided, That where it is difficult to disclose the details thereof in the multi-family housing management information system, in cases prescribed by Presidential Decree, the management entity may disclose such cases only on the website or the bulletin board of each building of the relevant multi-family housing: <Amended on Apr. 23, 2019>
1. Management expenses under paragraph (2);
2. User fees, etc. under paragraph (3);
3. Reserves for long-term repairs under Article 30 (1) and the amount accumulated;
4. Other matters prescribed by Presidential Decree.
(5) The custodian of multi-family housing which is not subject to compulsory management and the number of households of which is not less than the number prescribed by Presidential Decree shall disclose the details of management expenses, etc. in the disclosing manner prescribed in paragraph (4). In such cases, the disclosure through the multi-family housing management information system may be omitted, and specific details, deadline, etc. for disclosure shall be prescribed by Presidential Decree. <Newly Inserted on Apr. 23, 2019>
 Article 24 (Deposit for Management Expense)
(1) The management entity may collect expenses incurred in managing and operating the common areas of the relevant multi-family housing (hereinafter referred to as "deposit for management expense") from the owners of multi-family housing.
(2) Where an owner of multi-family housing relinquished his/her ownership, the management entity shall return management expenses on deposit it has collected pursuant to paragraph (1) to such owner: Provided, That where the owner has failed to pay management expenses, user fees, reserves for long-term repairs, etc., the management entity may return the remainder after it settles the amount in arrears from the deposit for management expenses.
(3) Necessary matters concerning collecting, managing, operating, etc. deposit for management expenses shall be prescribed by Presidential Decree.
 Article 25 (Selection of Business Operator for Disbursement of Management Expenses)
Where the management entity of multi-family housing subject to compulsory management or the council of occupants' representatives thereof intends to select a business operator for the disbursement of money falling under any of Article 23 (4) 1 through 3, a security deposit for repairing defects under Article 38 (1) and money from all the proceeds generated from the relevant multi-family housing (hereinafter referred to as "management expenses, etc."), it shall comply with the following guidelines:
1. It shall select the business operator by electronic bidding: Provided, That where electronic bidding is not suitable to select the business operator, which is prescribed and publicly notified by the Minister of Land, Infrastructure and Transport, it may opt not to select the business operator by electronic bidding;
2. It shall follow methods prescribed by Presidential Decree, such as other bidding methods.
 Article 26 (Audit)
(1) A management entity of multi-family housing with 300 or more households shall undergo an audit by an auditor (hereafter in this Article, referred to as "auditor") defined in subparagraph 7 of Article 2 of the Act on External Audit of Stock Companies at least once a year: Provided, That the foregoing shall not apply to the year in which the management entity obtains written consent from at least two-thirds of occupants, etc. of the relevant multi-family housing not to undergo the audit. <Amended on Oct. 31, 2017>
(2) In any of the following cases, the management entity of multi-family housing subject to compulsory management with less than 300 households shall undergo an audit by an auditor:
1. Where at least 1/10 of occupants, etc. requests an audit under the joint signature;
2. Where the council of occupants' representatives passes a resolution requesting an audit.
(3) Where the management entity undergoes an audit pursuant to paragraph (1) or (2), it shall submit the audit results including an auditor's report to the council of occupants' representatives within one month from the date of receiving the audit results, and shall disclose the audit results on the website and the bulletin boards of each building of the relevant multi-family housing. <Amended on Apr. 23, 2019>
(4) The council of occupants' representatives shall select an auditor to conduct an audit under paragraph (1) or (2). In such cases, the council of occupants' representatives may request the head of a Si/Gun/Gu or the Korean Institute of Certified Public Accountants under Article 41 of the Certified Public Accountant Act to recommend the auditor, and if the occupants, etc. request under their joint signatures of at least one tenth of them for the recommendation of an auditor, the council of occupants' representatives shall request the recommendation of an auditor and select an auditor from among those recommended. <Amended on Apr. 23, 2019>
(5) No management entity which is undergoing an audit pursuant to paragraph (1) or (2) shall engage in any of the following:
1. Refusing, interfering with or evading the auditor's request for perusal, copy or submission of data or his/her examination without good cause;
2. Interfering with the audit by improper means, such as submitting false data to the auditor.
(6) An auditor who conducts an audit under paragraph (1) or (2) shall submit the results of the audit to the head of a Si/Gun/Gu having jurisdiction over the relevant multi-family housing and disclose the audit results in the the multi-family housing management information system within one month from the date he/she completes the audit. <Amended on Mar. 21, 2017; Apr. 23, 2019>
 Article 27 (Preparation, Custody and Disclosure of Accounting Documents)
(1) The management entity of multi-family housing subject to compulsory management shall prepare books concerning all transactional activities, such as the collection, custody, deposit and disbursement of management expenses, on a monthly basis and keep such books along with evidential documents for five years from the end of the relevant fiscal year. In such cases, the management entity may prepare or keep books and evidential documents through the information processing system under subparagraph 2 of Article 2 of the Framework Act on Electronic Documents and Transactions.
(2) Where occupants, etc. request the perusal of books, evidential documents under paragraph (1) or other information prescribed by Presidential Decree, or the copy thereof at their own expenses, the management entity under paragraph (1) shall comply with such request, as prescribed by the management rules: Provided, That it shall comply with such request other than the following information:
1. Information likely to infringe on the privacy or rights of individuals, such as unique identifying information under Article 24 of the Personal Information Protection Act;
2. Information likely to cause substantial disruption to the fair performance of duties where such information, which is related to matters in the course of decision-making or internal review, is disclosed.
 Article 28 (Disclosure of Written Contract)
Where the management entity of multi-family housing subject to compulsory management or the council of occupants' representatives enters into a contract with a housing management service provider selected pursuant to Article 7 (1) or a business operator who performs construction works, services etc. selected pursuant to Article 25, it shall disclose the written contract on the website and the bulletin boards of each building of the relevant multi-family housing within one month from the date of conclusion of the contract. In such cases, it shall disclose the written contract excluding the information under Article 27 (2) 1. <Amended on Apr. 23, 2019>
CHAPTER V FACILITY MANAGEMENT AND PERMISSION TO ENGAGE IN ACTIVITIES
 Article 29 (Long-Term Repair Plan)
(1) A business entity who builds and supplies multi-family housing (including an owner of a building who builds facilities other than housing and housing in the same building after obtaining a building permit under Article 11 of the Building Act; hereafter in this Article, the same shall apply) falling under any of the following or a person who performs remodeling pursuant to Article 66 (1) and (2) of the Housing Act shall formulate a long-term repair plan for the common areas of such multi-family housing and submit such long-term repair plan to a person who has authority to inspect the common areas for the use thereof when it requests such person to inspect the common areas for the use thereof (in the case of subparagraph 4, referring to approval for use under Article 22 of the Building Act; hereafter in this Article, the same shall apply) under Article 49 of the Housing Act, and the person who has authority to inspect the common areas for the use thereof shall transfer the long-term repair plan to the management entity of the multi-family housing. In such cases, the person who has authority to inspect the common areas for the use thereof, may request the business entity or the person who performs remodeling to supplement the long-term repair plan: <Amended on Jan. 19, 2016>
1. Multi-family housing with 300 or more households;
2. Multi-family housing where elevators are installed;
3. Multi-family housing with the central heating system or the district heating system;
4. A building in which facilities other than housing and housing are built in the same building after obtaining a building permit under Article 11 of the Building Act.
(2) The council of occupants' representatives and the management entity shall examine a long-term repair plan every three years, and where necessary, adjust such long-term repair plan, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport, and replace, maintain or repair important facilities in accordance with the long-term repair plan formulated or adjusted. In such cases, the council of occupants' representatives and the management entity shall record and keep matters examined concerning the long-term repair plan.
(3) Where the council of occupants' representatives and the management entity obtain written consent of a majority of all occupants because it is necessary in light of management conditions, such as the construction of important facilities, they may adjust a long-term repair plan before three years elapse. <Amended on Jun. 9, 2020>
(4) The management entity may require the head of the management office of the relevant multi-family housing to undergo education on the calculation of expenses in a long-term repair plan, methods of construction, etc. provided by the Mayor/Do Governor, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 30 (Accumulation of Reserves for Long-term Repairs)
(1) The management entity shall collect reserves for long-term repairs, necessary for the replacement, maintenance and repair of important facilities of multi-family housing and accumulate such reserves in accordance with a long-term repair plan.
(2) Reserves for long-term repairs shall be used in accordance with the relevant long-term repair plan: Provided, That where a majority of occupants of the relevant multi-family housing gives written consent, such reserves may be used for the following purposes:
1. Expenses for mediation, etc. under Article 45;
2. Expenses incurred in inspecting and appraising defects under Article 48;
3. Expenses incurred in claiming expenses under subparagraph 1 or 2.
(3) Necessary matters concerning the scope of important facilities, timing, methods, etc. of the replacement, maintenance and repair thereof under paragraph (1) shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(4) Necessary matters concerning the rate, methods of calculation, methods of accumulation, procedures for the use, post management, etc. of reserves for long-term repairs shall be prescribed by Presidential Decree.
 Article 31 (Custody of Design Documents)
The management entity of multi-family housing subject to compulsory management shall have custody of design documents, etc. of multi-family housing, and record, keep and maintain the details of the replacement, maintenance, repair, etc. of facilities of multi-family housing for the systematic maintenance and management of multi-family housing, as prescribed by Presidential Decree.
 Article 32 (Safety Management Plan and Education)
(1) The management entity of multi-family housing subject to compulsory management shall formulate a safety management plan and implement such safety management plan, designating a safety supervisor for each facility and a person responsible for safety management in accordance with the safety management plan to prevent safety-related accidents occurring from facilities of the relevant multi-family housing, as prescribed by Presidential Decree.
(2) The following persons shall undergo crime prevention education and safety education provided by the head of a Si/Gun/Gu for the prevention of various safety-related accidents and crime prevention in multi-family housing, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport:
1. Persons who engage in security guard service;
2. Persons selected as a safety supervisor of facilities and a person responsible for safety management in accordance with a safety management plan under paragraph (1).
(3) The head of a Si/Gun/Gu may provide crime prevention education and safety education under paragraph (2) by delegating or entrusting such education to an agency or corporation classified as follows, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport:
1. Crime prevention education: The chief of the competent police station or a corporation recognized pursuant to Article 89 (2);
2. Safety education concerning firefighting: The chief of the competent fire station or a corporation recognized pursuant to Article 89 (2);
3. Safety education concerning facilities: A corporation recognized pursuant to Article 89 (2).
 Article 33 (Safety Inspection)
(1) The management entity of multi-family housing subject to compulsory management shall conduct safety inspections of multi-family housing in accordance with methods, procedures, etc. for conducting safety inspections prescribed by guidelines under Article 21 of the Special Act on the Safety Control and Maintenance of Establishments to protect occupants, etc. from accidents, disasters, etc. by maintaining functions and securing safety of such multi-family housing: Provided, That the management entity of multi-family housing subject to compulsory management shall require a person prescribed by Presidential Decree to conduct safety inspections of multi-family housing with 16 or more stories and multi-family housing with 15 or less stories prescribed by Presidential Decree in consideration of the number of years of use, the number of households, safety rating, the number of floors, etc. <Amended on Jan. 19, 2016; Jan. 17, 2017>
(2) Where an accident or a disaster is likely to take place because the safety rating of the structure of buildings or facilities is very low as a result of safety inspections, the management entity under paragraph (1) shall notify, without delay, the council of occupants' representatives (in cases of rental housing, referring to a rental business operator; hereafter in this Article, the same shall apply) of the fact, report the fact to the head of a Si/Gun/Gu, as prescribed by Presidential Decree, and take necessary measures, such as restrictions on the use of the relevant building or the maintenance and repair thereof.
(3) The council of occupants' representatives and the management entity of multi-family housing subject to compulsory management shall secure a budget necessary for safety inspections of buildings and disaster prevention every year to ensure the safety of the buildings and the public.
(4) Methods of safety inspections of multi-family housing, the timing of conducting safety inspections, equipment held for safety inspections and other matters necessary for safety inspections shall be prescribed by Presidential Decree.
 Article 34 (Safety Management of Small-Scale Multi-Family Housing)
The head of a local government may conduct the following affairs for the management of multi-family housing which does not constitute multi-family housing subject to compulsory management and the prevention of safety-related accidents occurring from such multi-family housing:
1. Formulating and implementing a safety management plan for facilities under Article 32;
2. Safety inspections of multi-family housing under Article 33;
3. Other matters prescribed by Municipal Ordinance of a local government.
 Article 35 (Criteria for Permission to Engage in Activities)
(1) Where an occupant, etc. or the management entity of multi-family housing (including welfare facilities sold to the general public; hereafter in this Article, the same shall apply) intends to engage in any activities falling under any of the following, he/she or it shall obtain permission from or make a report to the head of a Si/Gun/Gu in accordance with standards, procedures, etc. prescribed by Presidential Decree concerning the area, the number of households, the percentage of consent of occupants or occupants, etc. related to permission or a report: <Amended on Apr. 23, 2019>
1. Using multi-family housing other than for purposes under a project plan;
2. Extending, rebuilding or renovating multi-family housing (excluding remodeling under the housing Act);
3. Destroying or damaging multi-family housing or dismantling all or part of the relevant facilities (excluding insignificant activities prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport);
3-2; Establishing multi-family housing with separate living quarters for each household defined in subparagraph 19 of Article 2 of the Housing Act;
4. Other activities prescribed by Presidential Decree, which interfere with the efficient management of multi-family housing.
(2) With respect to matters regarding activities under paragraph (1), permitted by or reported to the head of a Si/Gun/Gu in consultation with the heads of related administrative agencies; Article 19 of the Housing Act shall apply mutatis mutandis and a report under Article 19 of the Building Act shall be deemed to have been filed. <Amended on Jan. 19, 2016>
(3) Where an occupant, etc. or the management entity of multi-family housing intends to engage in any activities falling under any of the subparagraphs of paragraph (1) without permission or reporting, no person who performs construction works or consulting engineering services of multi-family housing shall perform construction works of or consulting engineering services for multi-family housing in cooperation with him/her or it in his/her or its activities. In such cases, a person who performs construction works of or consulting engineering services for multi-family housing shall pre-verify whether an occupant, etc. or the management entity has obtained permission or reported.
(4) Where the construction works is completed after an occupant, etc. or the management entity has obtained permission from or made a report to the head of a Si/Gun/Gu concerning activities under paragraph (1), he/she or it shall undergo an inspection for the use of multi-family housing, and Article 49 of the Housing Act shall apply mutatis mutandis to the inspection for the use thereof. <Amended on Jan. 19, 2016>
(5) Where a person who falls under paragraph (1) has obtained permission or made a report pursuant to paragraphs (1) and (2) by deception or other fraudulent means, the head of a Si/Gun/Gu may revoke his/her permission or acceptance of such report.
CHAPTER VI WARRANTY LIABILITY FOR DEFECTS AND MEDIATION OF DISPUTES ABOUT DEFECTS
SECTION 1 Warranty Liability for Defects and Repair of Defects
 Article 36 (Warranty Liability for Defects)
(1) The following business entities (hereafter in this Chapter, referred to as "business entity") shall assume warranty liability (in cases of a contractor under subparagraphs 3 and 4, referring to the contractor's warranty liability) for defects following the sale of multi-family housing: <Amended on Apr. 18, 2017>
1. Persons under the items of subparagraph 10 of Article 2 of the Housing Act;
2. An owner who has built multi-family housing for the purpose of sale after having obtained a building permit under Article 11 of the Building Act;
3. A contractor who has performed an act under Article 35 (1) 2;
4. A contractor who has performed remodeling under Article 66 of the Housing Act.
(2) Notwithstanding paragraph (1), a business entity under paragraph (1) 1, who supplies multi-family housing supplied for the purpose of conversion to the sale thereof after leasing multi-family housing (hereinafter referred to as "public rental housing") pursuant to subparagraph 1 (a) of Article 2 of the Special Act on Public Housing, shall assume warranty liability (excluding liability for damages under Article 37 (2)) for defects for lessees. <Newly Inserted on Apr. 18, 2017; Jun. 9, 2020>
(3) The period for warranty liability under paragraphs (1) and (2) (hereinafter referred to as "period for warranty liability") shall be prescribed by Presidential Decree within ten years for each load-bearing structure and each facility construction of multi-family housing in consideration of the significance of a defect, the number of years of durability and possibility of replacement of facilities, etc. In such cases, the period for warranty liability shall be counted from the following dates: <Amended on Jan. 19, 2016; Apr. 18, 2017; Jun. 9, 2020>
1. An area for exclusive use: Date on which possession is delivered to an occupant (in cases of warranty liability under paragraph (2), a lessee);
2. Common areas: Date of inspection for use under Article 49 of the Housing Act (where approval of the temporary use of the whole multi-family housing is obtained pursuant to the proviso to Article 49 (4) of the aforesaid Act, referring to the date of approval of the temporary use thereof, and where multi-family housing undergoes an inspection for the partial use thereof or inspection for the use of each building pursuant to the proviso to Article 49 (1) of the aforesaid Act, referring to the date of inspection for the partial use thereof or the date of inspection for the use of each building) or the date of approval to use of multi-family housing under Article 22 of the Building Act.
(4) Any defects under paragraph (1) (hereinafter referred to as "defects") means defects that may disrupt the safety, functions or light and outlook of buildings or structures because any crack, subsidence, damage, getting loose, leakage of water, etc. occurs due to construction defects, and the specific scope of defects shall be prescribed by Presidential Decree. <Amended on Apr. 18, 2017>
 Article 37 (Repair of Defects)
(1) Where any defects are discovered during a period for warranty liability, the management entity (where a person who was awarded a lump sum contract for construction works by the management entity under Article 36 (1) and has performed construction works exists separately, who assumes warranty liability for defects pursuant to Article 28 of the Framework Act on the Construction Industry, referring to such person; hereafter in this Chapter, the same shall apply) shall repair such defects at the request of a person who falls under subparagraphs 1 through 4 of the relevant multi-family housing (hereafter in this Chapter, referred to as "council of occupants' representatives, etc.") or person who falls under subparagraph 5. In such cases, necessary matters concerning procedures for and completion of repairs of defects shall be prescribed by Presidential Decree: <Amended on Apr. 18, 2017>
1. Occupants;
2. The council of occupants' representatives;
3. The management entity (referring to the management entity that acts for occupants or the council of occupants' representatives concerning a request, etc. for repairing defects);
5. A lessee or the council of lessees' representatives (hereinafter referred to as "lessee, etc.") of public rental housing.
(2) Where any defect is discovered in multi-family housing during a period for warranty liability, a business entity shall be liable to compensate for damage caused by such defect. In such cases, Article 667 of the Civil Act shall apply mutatis mutandis to liability for damages. <Amended on Apr. 18, 2017>
(3) Where the head of a Si/Gun/Gu recognizes that important defects effect the safety of the structure of multi-family housing during a period for warranty liability, he/she may request a safety inspection agency to conduct safety inspections. In such cases, matters concerning structures subject to safety inspection, procedures for conducting safety inspections and the apportioning of expenses, and necessary matters concerning the range, etc. of safety inspection agencies shall be prescribed by Presidential Decree.
(4) Where a business entity fails to comply with a request for repair of defects made by the council of occupants' representatives, etc. and a lessee, etc. pursuant to paragraph (1) without any justifiable reason, the head of a Si/Gun/Gu may order the business entity to take corrective action. <Newly Inserted on Apr. 18, 2017; Jun. 9, 2020>
 Article 38 (Putting up and Use of Security Deposit for Repairing Defects)
(1) The business entity shall put down a security deposit for repairing defects for the period for warranty liability (the warranty period shall be counted based on the common area) to guarantee the repair of defects, as prescribed by Presidential Decree: Provided, That the foregoing shall not apply to the State, local governments, the Korea Land and Housing Corporation and business entities which are local public corporations. <Amended on Apr. 18, 2017>
(2) The council of occupants' representatives, etc. shall use a security deposit for repairing defects under paragraph (1) only for purposes prescribed by Presidential Decree, such as expenses for repairing defects following a determination on defects by the Defect Examination and Dispute Mediation Committee under Article 39, and in cases of multi-family housing subject to compulsory management, the council of occupants' representatives, etc. shall report the details of the use of a security deposit for repairing defects to the head of a Si/Gun/Gu within 30 days from using it, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(3) A person who receives a security deposit for repairing defects (hereinafter referred to as "institution that issues a letter of guarantee of a security deposit for repairing defects") under paragraph (1) shall notify the head of the relevant Si/Gun/Gu of the details of the payment of a security deposit for repairing defects within 30 days from the date he/she pays the security deposit for repairing defects to the council of occupants' representatives of multi-family housing subject to compulsory management, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. <Newly Inserted on Apr. 18, 2017>
(4) The head of a Si/Gun/Gu shall provide the details of security deposit for repairing defects under paragraph (2) and details of payment of security deposit for repairing defects under paragraph (3) to the Minister of Land, Infrastructure and Transport every year, as prescribed by the Ordinance of the Ministry of Land, Infrastructure and Transport. <Newly Inserted on Oct. 20, 2020>
(5) Except as otherwise provided for in paragraphs (1) through (3), matters necessary for the amount of security deposit for repairing defects and keeping the warranty, requirements for claim, timing and standards for payment, and return thereof shall be prescribed by Presidential Decree. <Newly Inserted on Apr. 18, 2017; Oct. 20, 2020>
SECTION 2 Examination of Defects and Mediation of Disputes
 Article 39 (Establishment of Defect Examination and Dispute Mediation Committee)
(1) The Defect Examination and Dispute Mediation Committee (hereinafter referred to as the "Defect Dispute Mediation Committee") shall be established in the Ministry of Land, Infrastructure and Transport to examine, mediate and take charge of affairs under paragraph (2) related to warranty liability and repair of defects under Articles 36 through 38.
(2) Affairs of the Defect Dispute Mediation Committee shall be as follows: <Amended on Apr. 18, 2017>
1. Determining whether a defect exists;
2. Mediating disputes about warranty liability for defects, repair of defects, etc. among the business entity, an institution which has issued a letter of guarantee of a security deposit for repairing defects (hereinafter referred to as "business entity, etc.") and the council of occupants' representatives, etc., a lessee, etc.;
3. Mediating disputes about the scope, etc. of liability for defects among the business entity, etc., architects and consulting engineers;
4. Other matters prescribed by other statutes as affairs of the Defect Dispute Mediation Committee.
(3) A person who intends to file an application for examination of defects or mediation of a dispute (hereinafter referred to as "mediation, etc.") with the Defect Dispute Mediation Committee shall submit an application, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(4) Matters concerning methods of and standards for examination of defects necessary for mediation, etc. for which an application is filed pursuant to paragraph (3), methods of calculating expenses incurred in repairing defects, etc. shall be prescribed by Presidential Decree.
 Article 40 (Composition of Defect Dispute Mediation Committee)
(1) The Defect Dispute Mediation Committee shall be comprised of not more than 50 members including one chairperson who is a regular full-time member. <Amended on Apr. 18, 2017>
(2) Subcommittees professionally dealing with determinations as to whether a defect exists or mediation of disputes shall be established in the Defect Dispute Mediation Committee, and each subcommittee shall be comprised of not less than 9 nor more than 15 members appointed by the Chairperson of the Defect Dispute Mediation Committee (hereinafter referred to as the "Chairperson").
(3) The Chairperson and chairpersons of subcommittees (hereinafter referred to as "chairperson of a subcommittee") shall be appointed by the Minister of Land, Infrastructure and Transport.
(4) The Chairperson may organize smaller committees, each of which is comprised of not less three nor more than five members, in consideration of specialized fields, etc. for examination, etc. of cases for each subcommittee. In such cases, the Chairperson shall appoint the chairpersons of smaller committees (hereinafter referred to as "chairperson of a smaller committee") from among members of the relevant subcommittee.
(5) Members of the Defect Dispute Mediation Committee shall be appointed or commissioned by the Minister of Land, Infrastructure and Transport from among those falling under any of the following, who have extensive knowledge and experience in defects of multi-family housing. In such cases, at least seven persons falling under subparagraph 3 shall be included in members of the Defect Dispute Mediation Committee: <Amended on Apr. 18, 2017>
1. Public officials equivalent to Grade I through IV or public officials belonging to the Senior Executive Service or persons who hold the same position as the Senior Executive Service;
2. Persons who hold the office of associate professor or higher office at an officially recognized college or hold office equivalent thereto at a research institute;
3. Persons who have held the office of judge, public prosecutor or attorney-at-law for at least six years;
4. Persons who have expert knowledge of construction works, electric works, telecommunications works, firefighting system installation, thorough safety inspection of structures or appraisal, and have engaged in such business for at least 10 years;
5. Persons who are housing managers, who have worked as the head of the management office of multi-family housing for at least 10 years;
6. Certified architects who have reported pursuant to Article 23 (1) of the Certified Architects Act or professional engineers who registered pursuant to Article 6 (1) of the Professional Engineers Act, who have engaged in such business for at least 10 years;
7. Deleted. <Apr. 18, 2017>
(6) The term of office of the Chairperson and members who are not public officials shall be two years and they may serve a second consecutive term, and the term of office of a member who fills a vacancy shall be the remainder of the unexpired term of his/her predecessor.
(7) No member who is a not public official among members of the Defect Dispute Mediation Committee shall be dismissed against his/her will except in any of the following cases:
1. Where he/she is unable to perform his/her duties due to physical or mental disability;
2. Where he/she falls under any of the subparagraphs of Article 33 of the State Public Officials Act;
3. Where his/her behavior constitutes grounds for dismissal prescribed by Presidential Decree, such as a violation of his/her duty.
(8) The Chairperson shall represent the Defect Dispute Mediation Committee and preside over its affairs: Provided, That where the Chairperson is unable to perform his/her duties in extenuating circumstances, the chairpersons of subcommittees shall perform his/her duties in order of the Chairperson's appointment in advance.
 Article 41 (Exclusion of Members)
(1) Where a member of the Defect Dispute Mediation Committee falls under any of the following, he/she shall be excluded from mediation, etc. of such case:
1. Where the member or his/her current or former spouse becomes the party to the relevant case or jointly holds the right or liability in the relevant case;
2. Where the member is or was a relative of the party to the relevant case;
3. Where the member testified in the relevant case, or has conducted an examination of defects or made an appraisal of defects under Article 48;
4. Where the member is or was involved in the relevant case as an agent of the party to the relevant case;
5. Where the member has been involved in measures or omission giving rise to the relevant case.
(2) Where the grounds for exclusion exists, the Defect Dispute Mediation Committee shall determine on exclusion on its own authority or at the request of the party.
(3) Where it is difficult for the parties to expect a member to perform a fair mediation, etc., he/she may file an application for challenge with the Defect Dispute Mediation Committee. Where the Defect Dispute Mediation Committee deems an application for challenge appropriate, it shall determine on challenge.
(4) Where a member's behavior constitutes grounds under paragraph (1) or (3), he/she shall avoid mediation, etc. of such case of his/her own accord.
(5) The provisions of paragraphs (1) through (4) shall apply mutatis mutandis to employees of the organization for the operation of and conducting affairs of the Defect Dispute Mediation Committee under Article 49 (1) involved in procedures for mediation, etc.
 Article 42 (Meetings of Defect Dispute Mediation Committee)
(1) The Chair person shall convene meetings of the committee of the whole, subcommittees and smaller committees, and the chairpersons of the relevant meetings shall be classified as follows:
1. The committee of the whole: The Chairperson;
2. Subcommittees: The chairperson of a subcommittee: Provided, That where the subcommittee considers matters prescribed by Presidential Decree, such as reconsideration under Article 43 (5), the Chairperson shall preside over meetings of the subcommittee;
3. Smaller committees: The chairperson of a smaller committee.
(2) The committee of the whole shall deliberate and determine on matters falling under the following. In such cases, the committee of the whole shall hold meetings when a majority of the incumbent members attends meetings, and pass resolutions with the consent of a majority of the members present:
1. Matters concerning the enactment, amendment and repeal of the rules concerning the proceedings of the Defect Dispute Mediation Committee;
2. Matters required by subcommittees to be deliberated and determined at meetings of the committee of the whole;
3. Other matters the Chairperson deems necessary.
(3) The subcommittees shall determine whether a defect exists or deliberate and determine on cases of the mediation of disputes, and hold meetings when a majority of its members attends meetings and pass resolutions with the consent of a majority of the members present. In such cases, matters determined by the subcommittee shall be deemed determined by the Defect Dispute Mediation Committee.
(4) The smaller committees shall deliberate and determine on matters falling under the following, conduct examinations, etc. of cases of the competent subcommittee, and hold a meeting when a majority of its members attend thereat and pass resolutions with the consent of all members present. In such cases, matters determined by the smaller committee shall be deemed determined by the Defect Dispute Mediation Committee:
1. Small claims cases;
2. Cases to be determined by the smaller committee determined by the subcommittee in consideration of specialized fields, etc.;
3. Rejection of an application for mediation, etc. under the latter part of Article 45 (2);
4. Cases on which both parties agree to accept a mediation plan of the smaller committee;
5. Other simple cases prescribed by Presidential Decree.
(5) Where the Defect Dispute Mediation Committee receives an application for mediation of a dispute, it may recommend the parties to reach agreement on the repair of defects, compensation for damage, etc. even while the mediation process is ongoing. In such cases, no recommendation shall have an influence on the ongoing mediation process.
(6) Necessary matters concerning the proceedings and operation, and rejection of mediation, etc. of the Defect Dispute Mediation Committee shall be prescribed by Presidential Decree. <Amended on Apr. 18, 2017>
 Article 42-2 (Agents)
(1) A person who applies for mediation, etc. pursuant to Article 39 (3) and the other party thereto may appoint a person falling under any of the following as his/her agent:
1. An attorney-at-law;
2. The manager of the management body under Article 37 (1) 4;
3. The head of the management office under Article 64 (1);
4. A spouse of the relevant person or his/her relative within the fourth degree of consanguinity;
5. A user of a housing unit (limited to the exclusively possessed area);
6. Where the relevant person is the State or a local government, public officials belonging thereto;
7. Where the relevant person is a corporation, executive officers or employees of the corporation.
(2) An agent may act for the principal in the performance of the following acts only where the principal clearly expresses the fact that he/she specially authorize the agent to perform the following acts:
1. Withdrawal of an application;
2. Acceptance of a mediation agreement;
3. Appointment of a subagent.
(3) The authority of an agent shall be explained in writing.
[This Article Newly Inserted on Apr. 18, 2017]
 Article 43 (Examination of Defects)
(1) The subcommittee that determines as to whether a defect exists pursuant to Article 42 (3) deems that it is appropriate to refer a case to the mediation of a dispute under Article 44 because expenses are excessively incurred in repairing the defect compared to the seriousness of the defect, it may send the case to the subcommittee that mediates a dispute and require the relevant subcommittee to mediate the relevant case after hearing the applicant's opinion, as prescribed by Presidential Decree. In such cases, the period taken for examination of the defect shall be excluded from the calculation of the period under Article 45 (1). <Amended on Jun. 9, 2020>
(2) Where the Defect Dispute Mediation Committee determines whether a defect exists, it shall mention matters prescribed by Presidential Decree in a written determination as to whether a defect exists and serve the original of such written determination as to whether a defect exists signed and sealed by the Chairperson on each person or his/her agent.
(3) Where the original of a written determination as to whether a defect exists is served on the business entity, etc. pursuant to paragraph (2), in which case it is determined that a defect exists (excluding where the result of a determination as to whether a defect exists has been altered pursuant to paragraph (7)), the business entity, etc. shall repair the defect, as prescribed by Presidential Decree.
(4) A person who has an objection to the result of a determination as to whether a defect exists under paragraph (2) may raise an objection accompanied by a written opinion prepared by a specialized safety inspection agency under Article 48 (1) or a relevant expert prescribed by Presidential Decree within 30 days from the date a written determination as to whether a defect exists is served on him/her, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. <Amended on Apr. 18, 2017>
(5) Where an objection under paragraph (4) is raised, the Defect Dispute Mediation Committee shall require a subcommittee other than the subcommittee which has made a determination as to whether a defect exists under paragraph (2) to review the relevant case. In such cases, Article 45 (1) and (3) shall apply mutatis mutandis to the processing period.
(6) Where it is necessary to examine a case to which an objection is raised, the Defect Dispute Mediation Committee may request the parties and a safety inspection agency or a relevant expert that has prepared a written opinion under paragraph (4) to attend its meetings to make statements or to submit evidential material, etc. within a fixed period. In such cases, such safety inspection agency or relevant expert shall comply with such request. <Amended on Jun. 9, 2020>
(7) In order for the subcommittee that conducts reviews under paragraph (5) to alter the first determination as to whether a defect exists, it shall hold a meeting when a majority of its incumbent members attends the meeting and pass the resolution with the consent of at least 2/3 of the members present. In such cases, where at least 2/3 of the members present do not give consent, the first determination shall be deemed the final determination of the Defect Dispute Mediation Committee.
(8) Where the review is finalized pursuant to paragraph (7), the Defect Dispute Mediation Committee shall serve, without delay, the original of a written determination as to the review on each person or his/her agent.
 Article 44 (Mediation of Disputes)
(1) Where the Defect Dispute Mediation Committee has completed procedures for mediation of a dispute under Article 39 (2) 2 and 3, it shall determine, without delay, a mediation plan stating matters prescribed by Presidential Decree, and present such mediation plan to each person or his/her agent.
(2) Each person to whom a mediation plan under paragraph (1) is presented shall notify the Defect Dispute Mediation Committee of his/her determination as to whether to accept such mediation plan within 30 days from the date the mediation plan is presented to him/her. In such cases, where he/she fails to make a reply to whether he/she accepts the mediation plan, he/she shall be deemed to have accepted the mediation plan.
(3) Where each person or his/her agent accepts a mediation plan (referring to where he/she accepts in writing or by electronic means, as prescribed by Presidential Decree) pursuant to paragraph (2) or fails to make a reply by the deadline, the Defect Dispute Mediation Committee shall serve, without delay, the original of a deed of mediation settlement signed and sealed by the Chairperson on each person or his/her agent. <Amended on Jun. 9, 2020>
(4) Content of a deed of mediation settlement under paragraph (3) has the same effect of a judicial conciliation: Provided, That the foregoing shall not apply to matters prescribed by Presidential Decree, which the relevant person cannot dispose of at his/her discretion.
 Article 45 (Period for Handling of Disputes for Mediation)
(1) Upon receipt of an application for mediation, etc., the Defect Dispute Mediation Committee shall begin procedures for mediation, etc. without delay, In such cases, it shall complete procedures for mediation within 60 days from the date it receives such application (referring to 90 days for a defect in the common areas, and the period for defect rectification under paragraph (2) and the period for defect appraisal under Article 48 shall be excluded). <Amended on Jun. 9, 2020>
(2) Where a defect is discovered in the details of a case for which an application has been filed, the Defect Dispute Mediation Committee shall require an applicant to rectify such defect within a fixed period. In such cases, where the applicant fails to rectify the defect, it shall rule to reject the application for mediation, etc.
(3) Where the Defect Dispute Mediation Committee is unable to complete mediation, etc. within the period under paragraph (1), it may extend the period only once through a resolution of the subcommittee or the smaller committee in charge of the relevant case; such extension of period shall be up to 30 days. In such cases, it shall notify each person or his/her agent of the extension of the period in writing, specifying grounds therefor and the deadline. <Amended on Jun. 9, 2020>
(4) The Defect Dispute Mediation Committee may hear opinions of interested persons or a safety inspection agency, etc. that has examined defects pursuant to Article 48 (1) before it begins procedures for mediation, etc. under paragraph (1).
(5) Where additional expenses are incurred in conducting examinations, inspections, analysis of data, etc. in the process of mediation, etc., necessary matters concerning an entity who should subsidize expenses, methods of apportioning expenses, etc. shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. <Amended on Apr. 18, 2017>
(6) A person who files an application for mediation, etc. with the Defect Dispute Mediation Committee shall pay a fee, as determined and publicly notified by the Minister of Land, Infrastructure and Transport. <Amended on Apr. 18, 2017>
 Article 46 (Notification of Request for Mediation)
(1) Upon receipt of an application for mediation, etc. from one of the parties, the Defect Dispute Mediation Committee shall notify the other party of the details of such application.
(2) The other party who receives notification pursuant to paragraph (1) shall submit a written reply to the details of an application to the Defect Dispute Mediation Committee within 10 days except in extenuating circumstances.
(3) The business entity, etc., architects, consulting engineers, the council of occupants' representatives, etc., and lessees, etc. that have received notification concerning an application for mediation, etc. from the Defect Dispute Mediation Committee pursuant to paragraph (1) shall respond to mediation of a dispute: Provided, That where occupants (in cases of public rental housing, referring to lessees) who have received notification concerning an application for mediation, etc. fail to attend mediation on the date set therefor, the Defect Dispute Mediation Committee may determine a mediation plan by inherent authority pursuant to Article 44 (1), and present such mediation plan to each person or his/her agent. <Amended on Dec. 29, 2015; Apr. 18, 2017>
(4) Necessary matters concerning notification of the date of mediation and the date of examination of the Defect Dispute Mediation Committee, attendance of relevant persons and interested persons, the representatives selected, registration of the results of the implementation of mediation, etc. shall be prescribed by Presidential Decree. <Newly Inserted on Apr. 18, 2017>
 Article 47 (Application Mutatis Mutandis of the Judicial Conciliation of Civil Disputes Act)
(1) The Defect Dispute Mediation Committee shall apply the Judicial Conciliation of Civil Disputes Act mutatis mutandis to matters not otherwise expressly prescribed by this Act concerning procedures for mediation, etc. of disputes and the suspension of extinctive prescription.
(2) The provisions of Articles 174 through 197 of the Civil Procedure Act shall apply mutatis mutandis to service of documents following mediation, etc.
 Article 48 (Examinations and Assessments of Defects)
(1) Where the business entity, etc. has an objection to a request for repairing defects made by the council of occupants' representatives, etc. or a lessee, etc. under Article 37 (1), it may entrust an examination of defects, such as whether any defects fall within the scope of defects which it is responsible for repairing, to a safety inspection agency prescribed by Presidential Decree in consultation with the council of occupants' representatives, etc. or a lessee, etc. In such cases, the safety inspection agency entrusted with the examination of defects shall examine, without delay, defects and notify the business entity, etc. and the council of occupants' representatives, etc. or a lessee, etc. of the result of the examination thereof. <Amended on Apr. 18, 2017>
(2) In any of the following cases, the Defect Dispute Mediation Committee may request a safety inspection agency prescribed by Presidential Decree to conduct assessments of the cases:
1. Cases on which the parties dispute about the result of the examination of defects under paragraph (1);
2. Cases on which both parties or one party request(s) the assessment of defects;
3. Cases on which the cause of a defect is unclear;
4. Other cases on which the Defect Dispute Mediation Committee determines that assessment of defects are necessary.
(3) Expenses incurred in examining defects under paragraph (1) and expenses incurred in conducting assessments under paragraph (2) shall be borne by the parties, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 49 (Entrustment of Operation of and Management of Affairs of Defect Dispute Mediation Committee)
(1) The Minister of Land, Infrastructure and Transport may entrust the operation and handling of administrative affairs of the Defect Dispute Mediation Committee to the Korea Authority of Land and Infrastructure Safety established under the Act on the Korea Authority of Land and Infrastructure Safety (hereafter referred to as the "Korea Authority of Land and Infrastructure Safety"). In such cases, necessary matters concerning the organization for the operation and handling of administrative affairs of the Defect Dispute Mediation Committee (hereinafter referred to as the "Secretariat of the Defect Dispute Mediation Committee") and human resources therefor, etc. shall be prescribed by Presidential Decree. <Amended on Jan. 17, 2017; Jun. 9, 2020>
(2) The Minister of Land, Infrastructure and Transport may fund or subsidize expenses for the operation and handling of administrative affairs of the Defect Dispute Mediation Committee to the Korea Authority of Land and Infrastructure Safety within the budget. <Amended on Jun. 9, 2020>
 Article 50 (Non-Disclosure of Procedures)
(1) Procedures for mediation, etc. and decision-making process which the Defect Dispute Mediation Committee performs shall not be disclosed: Provided, That the foregoing shall not apply where the subcommittee and the smaller committee determines to make disclosure.
(2) No member of the Defect Dispute Mediation Committee and no person who performs or performed affairs of the Secretariat of the Defect Dispute Mediation Committee as its employee shall divulge confidential information they became aware of in the course of performing mediation, etc.
 Article 51 (Examination and Inspection of Facts)
(1) Upon receipt of an application for mediation, etc., the Chairperson of the Defect Dispute Mediation Committee may require employees of the Secretariat of the Defect Dispute Mediation Committee to examine or inspect and peruse matters subject to examination or mediation and relevant data, or to hear statements of unsworn witnesses. In such cases, the business entity, etc., the council of occupants' representatives, etc. and a lessee, etc. shall provide cooperation in the aforesaid activities. <Amended on Apr. 18, 2017>
(2) A person who conducts examinations, inspections, etc. pursuant to paragraph (1) shall carry a certificate of identification indicating his/her authority and produce it to the relevant persons.
CHAPTER VII SPECIALIZED MANAGEMENT OF MULTI-FAMILY HOUSING
SECTION 1 Housing Management Services
 Article 52 (Registration of Housing Management Services)
(1) A person who intends to provide housing management services shall register housing management services with the head of a Si/Gun/Gu, as prescribed by Presidential Decree, and where any registered matters are altered, he/she shall report alterations, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(2) No housing management service provider who registered pursuant to paragraph (1) shall be registered within two years after his/her registration is cancelled pursuant to Article 53.
(3) A housing manager (including a corporation at least 1/3 of the executives or employees of which are housing managers) may apply for registration under paragraph (1). In such cases, a person who intends to register housing management services shall meet the following requirements:
1. Capital (where the person is not a corporation, referring to the appraised value of assets) shall be more than the amount prescribed by Presidential Decree, which shall be at least 200 million won;
2. The person shall have human resources, facilities and equipment prescribed by Presidential Decree.
(4) Other necessary matters, such as procedures for registering a housing management service provider, types of business, methods of the management of multi-family housing, and the details of its affairs, shall be prescribed by Presidential Decree.
(5) No person other than a housing management service provider shall use “housing management services" or similar in a business name.
(6) Except as provided in this Act, the provisions concerning delegation of the Civil Act shall apply mutatis mutandis to the status of a housing management services provider.
 Article 53 (Cancellation of Registration of Housing Management Services)
(1) Where a housing management service provider falls under any of the following, the head of a Si/Gun/Gu shall cancel his/her registration or order him/her to suspend all or some of his/her services for a fixed period of up to one year: Provided, That where he/she falls under subparagraph 1, 2 or 9, the head of a Si/Gun/Gu shall cancel his/her registration, and where he/she falls under subparagraph 7 or 8, the head of a Si/Gun/Gu shall order him/her to suspend all or some of his/her services for a fixed period up to one year:
1. Where he/she has registered by fraud or other improper means;
2. Where he/she provides housing management services during a period for suspension of business or he/she has been subjected to the suspension of business at least two times for the last three years and the total period for suspension of business exceeds 12 months;
3. Where he/she has caused property damage to owners and/or users because he/she has mismanaged multi-family housing by intention or gross negligence;
4. Where the results of the management of multi-family housing do not meet criteria prescribed by Presidential Decree;
5. Where he/she fails to meet any requirements for registration under Article 52 (3);
6. Where he/she manages multi-family housing, in violation of methods of management, the details of affairs, etc. under Article 52 (4);
7. Where he/she unlawfully acquires or provides a fortune or profit from property, in violation of Article 90 (2);
8. Where he/she uses management expenses, user fees and reserves for long-term repairs other than purposes under this Act, in violation of Article 90 (3);
9. Where he/she permits another person to provide service or conduct affairs prescribed by this Act using his/her name or trade name, or lends his/her registration certificate, in violation of Article 90 (4);
10. Where he/she refuses, interferes with or evades a report, submission of data, examination or inspection under Article 93 (1), or makes a false report;
11. Where he/she refuses, interferes with or evades an audit under Article 93 (3) and (4).
(2) Where a housing management service provider falls under any of paragraph (1) 3 through 6, 10 and 11, the head of a Si/Gun/Gu may impose an administrative fine of not more than 10 million won in lieu of the suspension of business, as prescribed by Presidential Decree.
(3) Where a housing management service provider fails to pay an administrative fine by the deadline under paragraph (2), the head of a Si/Gun/Gu shall collect the administrative fine pursuant to the Act on the Collection of Local Administrative Penalty Charges. <Amended on Mar. 24, 2020>
(4) Necessary matters concerning guidelines for the cancellation of registration and the suspension of business under paragraph (1) and the amounts, etc. of administrative fines based on types of violations on which administrative fines under paragraph (2) are imposed and the level of violation shall be prescribed by Presidential Decree.
SECTION 2 Deleted.
 Article 54 Deleted. <Jan. 19, 2016>
 Article 55 Deleted. <Jan. 19, 2016>
 Article 56 Deleted. <Jan. 19, 2016>
 Article 57 Deleted. <Jan. 19, 2016>
 Article 58 Deleted. <Jan. 19, 2016>
 Article 59 Deleted. <Jan. 19, 2016>
 Article 60 Deleted. <Jan. 19, 2016>
 Article 61 Deleted. <Jan. 19, 2016>
 Article 62 Deleted. <Jan. 19, 2016>
SECTION 3 Duties of Management Entity and Housing Managers
 Article 63 (Duties of Management Entity)
(1) The management entity shall perform the following duties. In such cases, the management entity may use the common areas of multi-family housing to the necessary extent:
1. Maintenance, repair and safety management of the common areas of multi-family housing;
2. Security guard service, cleaning, disinfection and garbage collection within a multi-family housing complex;
3. Collection of management expenses and user fees and payment of public utility charges, etc. on behalf of occupants, etc.;
4. Collection, accumulation and management of reserves for long-term repairs;
5. Conducting matters prescribed by the management rules;
6. Conducting matters determined by the council of occupants' representatives;
7. Other matters prescribed by Ordinance of the Minister of Land, Infrastructure and Transport.
(2) The management entity shall manage multi-family housing pursuant to this Act or an order under this Act.
 Article 64 (Duties of Head of Management Office)
(1) A person who manages multi-family housing subject to compulsory management, who falls under any of the following, shall assign a housing manager to the head of the management office of the relevant multi-family housing (hereinafter referred to as the "head of the management office"): Provided, That in cases of multi-family housing with the number of households less than that prescribed by Presidential Decree, the person may assign a probationary housing manager as the head of the management office of the relevant multi-family housing, in lieu of a housing manager:
1. Council of occupants' representatives (limited to cases of autonomous management);
2. The business entity before it transfers its management duties pursuant to Article 13 (1);
3. The housing management service provider;
4. The rental business operator.
(2) In order to protect the rights and interests of occupants, etc. of multi-family housing by managing the multi-family housing safely and efficiently, the head of the management office shall perform the following duties: <Amended on Jun. 9, 2020>
1. The following duties determined by the council of occupants' representatives:
(a) Operation, management, maintenance, repair, replacement and improvement of multi-family housing;
(b) Duties to charge, receive and disburse management expenses, reserves for long-term repairs or other expenses, and manage the funds to conduct duties under item (a);
2. Duties concerning the discovery of defects, requests for repairing defects, adjustment of a long-term repair plan, the formulation of a facility safety management plan and safety inspection of buildings: Provided, That matters accompanied by the disbursement of expenses shall be subject to determination by the council of occupants' representatives;
3. Superintendence and comprehensive management of duties of the management office;
4. Other duties prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport concerning the management of multi-family housing.
(3) The head of the management office may perform judicial or extrajudicial actions on behalf of the council of occupants' representatives in relation to paragraph (2) 1 (a) and (b).
(4) The head of the management office shall perform his/her duties by paying attention of his/her fiduciary duty.
(5) The head of the management office shall report his/her assignment and an official seal to be used in the performance of his/her duties to the head of a Si/Gun/Gu, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. The foregoing shall also apply where any alterations are made to his/her assignment and the official seal reported.
 Article 65 (Preclusion of Unreasonable Interference with Duties of Head of Management Office)
(1) No council of occupants' representatives (including its members; hereinafter the same shall apply) shall unjustly interfere with duties of the head of the management office prescribed in Article 64 (2), such as giving instructions or orders on his/her duties in violation of this Act or related statues and regulations. <Amended on Oct. 20, 2020>
(2) Where the council of occupants' representatives causes or is likely to cause losses to occupants, etc. through its unreasonable interference in the head of the management office performing duties, the head of the management office may report the fact to the head of a Si/Gun/Gu and request him/her to make an examination of the fact.
(3) Where the head of a Si/Gun/Gu is requested to make an examination of the fact pursuant to paragraph (2), he/she shall immediately make the examination thereof, and where he/she deems the council of occupants' representatives has unreasonably interfered in the head of the management office performing duties, he/she shall take measures, such as the issuance of a necessary order to the council of occupants' representatives, pursuant to Article 93.
(4) The head of a Si/Gun/Gu shall notify the head of the management office of the result of the examination of the fact or the result of taking measures, such as an order to make corrections.
(5) No council of occupants' representatives shall dismiss the head of the management office or request a housing management service provider to dismiss him/her on the pretext of a report or a request for examining the fact under paragraph (2) or an order, etc. under paragraph (3).
(6) Deleted. <Oct. 20, 2020>
(7) Deleted. <Oct. 20, 2020>
 Article 65-2 (Duties of Workers including Security Guards)
(1) Any security business entity (referring to a security business entity that has obtained a license under Article 4 (1) of the Security Services Industry Act) that has placed security guards in multi-family housing may have the security guards engage in affairs necessary for managing multi-family housing prescribed by Presidential Decree, notwithstanding Article 7 (5) of the Security Services Industry Act.
(2) Occupants, etc., the council of occupants' representatives, the management entity, etc. shall pay an adequate remuneration to workers, including security guards, and endeavor to improve their labor conditions and respect human rights.
(3) No occupant, etc., council of occupants' representatives, management entity, etc. shall engage in any of the following acts against any workers, including security guards:
1. Giving instructions or issuing orders in violation of this Act or related statutes or regulations;
2. Giving unjust instructions or issuing orders in addition to their duties.
(4) Workers, such as security guards, shall provide a high quality work service to occupants, etc.
[This Article Newly Inserted on Oct. 20, 2020]
[Enforcement Date:Oct. 21, 2021] Article 65-2 (1)
 Article 66 (Liability to Pay Compensation for Damage by Head of Management Office)
(1) Where a housing manager, etc. causes property damage to occupants, etc. intentionally or by negligence while performing the duties of the head of the management office, he/she shall be liable to compensate for such damage.
(2) In order to indemnify the liability to pay compensation for damage under paragraph (1), a housing manager, etc. shall take out guarantee insurance, join a mutual aid program or make a deposit under Article 82, as prescribed by Presidential Decree.
(3) After a housing manager, etc. has taken out guarantee insurance, joined a mutual aid program or made a deposit to indemnify the liability to pay compensation for damage under paragraph (2), he/she shall submit a document proving that he/she has taken out guarantee insurance, etc. to a person falling under any of the following on the date he/she is assigned to the head of the management office of the relevant multi-family housing:
1. Chairperson of the council of occupants' representatives;
2. In cases of rental housing, a rental business operator;
3. Where no council of occupants' representatives exists, the head of a Si/Gun/Gu.
(4) No money deposited pursuant to paragraph (2) shall be withdrawn within three years from the date a housing manager, etc. resigns from office as the head of the management office of the relevant multi-family housing, is dismissed from the office or dies.
 Article 67 (Qualification of Housing Managers)
(1) A person who intends to become a probationary housing manager shall be issued a certificate upon passing a qualifying examination from the Mayor/Do Governor [in cases of a large city with a population of at least 500,000 (hereinafter referred to as "large city") excluding the Seoul Metropolitan City, Metropolitan Cities and Special Self-Governing Cities under Article 175 of the Local Autonomy Act, referring to its Mayor; hereinafter the same shall apply through Article 70] after he/she passes the qualifying examination conducted by the Minister of Land, Infrastructure and Transport.
(2) A housing manager shall be a person who meets the following requirements and has been issued a qualification certificate of housing manager from the Mayor/Do Governor:
1. He/she shall hold a certificate upon passing the qualifying examination for probationary housing managers pursuant to paragraph (1);
2. He/she shall have work experience related to housing prescribed by Presidential Decree.
(3) Necessary matters concerning procedures for the issuance of a qualification certificate of housing manager under paragraph (2) shall be prescribed by Presidential Decree.
(4) No person who falls under any of the following shall become a housing manager, etc. and he/she shall become disqualified accordingly:
1. A person under adult guardianship or a person under limited guardianship;
2. A person declared bankrupt who is yet not reinstated;
3. A person in whose case two years have not passed since his/her imprisonment without labor or heavier punishment was completely executed (including where the execution thereof is deemed completed) or exempted as declared by a court;
4. A person who is subject to a suspended sentence of the imprisonment without labor or heavier punishment as declared by a court;
5. A person in whose case three years have not passed since his/her qualification as a housing manager, etc. was revoked (excluding where his/her qualification as a housing manager, etc. was revoked because he/she fell under subparagraphs 1 and 2).
(5) The Minister of Land, Infrastructure and Transport shall determine the number of persons to be selected through a qualifying examination for probationary housing managers of the relevant year in consideration of the number of multi-family housing complexes regarding approval of a project plan was granted for the immediately preceding three years, the number of persons who applied for qualifying examinations for probationary housing managers for the immediately preceding three years, the current status of employment of housing managers, etc., opinion of the committee on examinations for probationary housing managers on its deliberation under Article 68, etc. In such cases, the Minister of Land, Infrastructure and Transport shall determine persons who have passed the qualifying examination for probationary housing manager in order of top scorers in total marks of all subjects, who have earned marks higher than passing marks prescribed by Presidential Decree within the number of persons to be selected. <Newly Inserted on Mar. 22, 2016>
(6) Qualification to apply for qualifying examinations for probationary housing managers under paragraph (1), examination subjects, partial exemption from examination, an examination fee, and other matters necessary for examination shall be prescribed by Presidential Decree. <Amended on Mar. 22, 2016>
 Article 68 (Committee on Examinations for Probationary Housing Managers)
(1) The committee on examinations for probationary housing managers may be established in the institution implementing qualifying examinations for probationary housing managers under Article 89 (2) 6 to deliberate on the following related to qualifying examinations for probationary housing managers under Article 67 (1): <Amended on Aug. 9, 2017>
1. Matters concerning examinations, such as the adjustment of subjects for qualifying examinations for probationary housing managers;
2. Matters concerning the number of persons to be selected through examinations and determination of standards for passing qualifying examinations;
3. Other important matters related to qualifying examinations for probationary housing managers.
(2) Matters necessary for the composition and operation of the committee on examinations for probationary housing managers, election of members of the committee, and other necessary matters shall be prescribed by Presidential Decree. <Amended on Aug. 9, 2017>
 Article 69 (Revocation of Qualification of Housing Managers)
(1) Where a housing manager, etc. falls under any of the following, the Mayor/Do Governor may revoke his/her qualification or suspend his/her qualification for a fixed period not exceeding one year: Provided, That where he/she falls under any of subparagraphs 1 through 4 and 7, the Mayor/Do Governor shall revoke his/her qualification: <Amended on Jan. 19, 2016; Jun. 9, 2020>
1. Where he/she obtains a qualification by fraud or other improper means;
2. Where he/she has been sentenced to imprisonment without labor or heavier punishment in relation to managerial affairs of multi-family housing;
3. Where a housing manager, etc. who was employed for multi-family housing subject to compulsory management is employed for other multi-family housing, and facilities other than housing, such as a shopping mall or an officetel;
4. Where a housing manager, etc. conducts managerial affairs of multi-family housing during a period for suspension of qualification;
5. Where a housing manager, etc. causes property damage to owners and users by mismanaging multi-family housing intentionally or by gross negligence;
6. Where a housing manager, etc. obtains unjust enrichment, such as bribery, in relation to his/her duties;
7. Where a housing manager, etc. requires another person to perform duties prescribed by this Act using his/her name or lends his/her qualification certificate in violation of Article 90 (4);
8. Where a housing manager, etc. refuses, interferes with or evades a report, submission of data, an examination or inspection under Article 93 (1), or makes a false report;
9. Where a housing manager, etc. refuses, interferes with or evades an audit under Article 93 (3) and (4).
(2) Criteria for the revocation and suspension of qualification under paragraph (1) shall be prescribed by Presidential Decree.
 Article 70 (Education of Housing Management Service Providers)
(1) A housing management service provider (in cases of a corporation, referring to the representative thereof) and a housing manager, etc. assigned to the head of the management office shall undergo education concerning the management of multi-family housing and ethics education from the Mayor/Do Governor. In such cases, a housing manager, etc. who intends to be assigned to the head of the management office may undergo education concerning the management of multi-family housing and ethics education, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport, and where he/she has received such education, he/she shall be deemed to have performed his/her obligation to undergo education as the head of the management office.
(2) Where a housing manager, etc. who intends to be assigned to the head of the management office has no career experience as a head of the management office, an employee of a management body of multi-family housing or an executive officer or employee of a housing management service provider within the immediately preceding five years from the scheduled date of assignment, he/she may be assigned to the head of the management office after he/she completes education concerning the management of multi-family housing and ethics education conducted by the Mayor/Do Governor, as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport. In such cases, the housing manager, etc. who is assigned to the head of the management office after he/she completes education concerning the management of multi-family housing and ethics education shall be deemed to have performed obligation to undergo education as the head of the management office under paragraph (1).
(3) A housing manager, etc. who is working as the head of the management office of multi-family housing after assigned to the office shall undergo education concerning the management of multi-family housing and ethics education every three years after he/she receives education under paragraph (1) or (2), as prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
(4) The Minister of Land, Infrastructure and Transport may prepare and implement guidelines necessary for education standards, methods of education, etc. to maintain the nationwide balance of education conducted by Mayors/Do Governors pursuant to paragraphs (1) through (3).
CHAPTER VIII MEDIATION OF DISPUTES ABOUT MANAGEMENT OF MULTI-FAMILY HOUSING
 Article 71 (Establishment of Multi-Family Housing Management Dispute Mediation Committee)
(1) The Central Multi-Family Housing Management Dispute Mediation Committee (hereinafter referred to as the "Central Dispute Mediation Committee") shall be established within the Ministry of Land, Infrastructure and Transport to mediate disputes over the management of multi-family housing (excluding disputes related to warranty liability for repairs, repairs of defects, etc. of multi-family housing under Articles 36 and 37; hereafter in this Chapter, the same shall apply), and a regional multi-family housing management dispute meditation committee (hereinafter referred to as "regional multi-family housing management dispute meditation committee") shall be established within each Si/Gun/Gu (referring to an autonomous Gu; hereinafter the same shall apply): Provided, That in cases of a Si/Gun/Gu recognized by the Minister of Land, Infrastructure and Transport, with a low percentage of multi-family housing, a regional multi-family housing management dispute meditation committee may not be established within such Si/Gun/Gu. <Amended on Jun. 9, 2020>
(2) A multi-family housing management dispute meditation committee shall deliberate on and mediate the following:
1. Matters concerning composing and operating the council of occupants' representatives, and qualification, appointment, dismissal, and the term of office of representatives of each building;
2. Matters concerning composing and operating a management body of multi-family housing;
3. Matters concerning collecting, using, etc. management expenses, user fees and reserves for long-term repairs;
4. Matters concerning maintaining, repairing, improving, etc. multi-family housing (applicable only to the common areas);
5. Matters concerning remodeling multi-family housing;
6. Matters concerning inter-floor noise of multi-family housing;
7. Matters concerning disputes in a mixed housing complex;
8. Matters which the multi-family housing management dispute meditation committee may deliberate on and mediate disputes over, as prescribed by other statutes;
9. Other matters prescribed by Presidential Decree or Ordinance of a Si/Gun/Gu (limited to a regional dispute mediation committee) for which deliberation or mediation of disputes is necessary in relation to the management of multi-family housing.
 Article 72 (Jurisdiction over Affairs of Central Dispute Mediation Committee and Regional Dispute Mediation Committees)
(1) The Central Dispute Mediation Committee shall deliberate on and mediate the following among matters under the subparagraphs of Article 71 (2):
1. Disputes spread over areas under the jurisdiction of at least two Sis/Guns/Gus;
2. Where no regional dispute mediation committee is established within a Si/Gun/Gu, disputes under the jurisdiction of the relevant Si/Gun/Gu;
3. Disputes for the mediation of which the parties to a dispute file an application with the Central Dispute Mediation Committee under the mutual agreement;
4. Other disputes prescribed by Presidential Decree over which it is necessary for the Central Dispute Mediation Committee to exercise jurisdiction.
(2) A regional dispute mediation committee shall deliberate on and mediate disputes other than disputes subject to deliberation and mediation by the Central Dispute Mediation Committee under paragraph (1), among disputes which have arisen within the jurisdiction of the relevant Si/Gun/Gu.
 Article 73 (Composition of Central Dispute Mediation Committee)
(1) The Central Dispute Mediation Committee shall be comprised of not more than 15 members including one Chairperson.
(2) The Minister of Land, Infrastructure and Transport shall appoint or commission members of the Central Dispute Mediation Committee from among those who fall under any of the following, who have extensive knowledge and experience in the management of multi-family housing. In such cases, at least three persons falling under subparagraph 3 shall be included in the members thereof:
1. Public officials whose positions are equivalent to Grade I through IV or public officials belonging to the Senior Executive Service;
2. Persons who hold the office of associate professor or higher office at an officially recognized college or hold office equivalent thereto at a research institute;
3. Persons who have held the office of judge, public prosecutor or attorney-at-law for at least six years;
4. Persons who are qualified as certified public accountants, certified tax accountants, certified architects, certified public appraisers or certified public labor attorneys, who have worked in the relevant jobs for at least 10 years;
5. Persons who are housing managers, who have worked as the head of the management office of multi-family housing for at least 10 years;
6. Other persons prescribed by Presidential Decree, who have expert knowledge in the management of multi-family housing.
(3) Article 40 (3), (6) and (7) shall apply mutatis mutandis to the appointment of the Chairperson of the Central Dispute Mediation Committee, matters concerning the term of office and consecutive service of members who are not public officials, the term of office of members who have filled vacancies, the right of members who are not public officials not to be subject to dismissal against their will, respectively.
(4) Article 40 (8) shall apply mutatis mutandis to duties of the Chairperson of the Central Dispute Mediation Committee or the performance of his/her duties on his/her behalf where he/she is unable to perform his/her duties in extenuating circumstances. In such cases, the "chairperson of the subcommittee" in Article 40 (8) shall be construed as a "member".
(5) Article 41 shall apply mutatis mutandis to exclusion, challenge or voluntary refrainment of a member of the Central Dispute Mediation Committee.
(6) The Central Dispute Mediation Committee shall hold meetings when a majority of the incumbent members attends meetings, and pass resolutions with the consent of a majority of the members present.
(7) The Central Dispute Mediation Committee may prescribe procedures for handling affairs under its jurisdiction, and rules concerning the operation thereof.
(8) Necessary matters concerning composing, operating etc. the Central Dispute Mediation Committee shall be prescribed by Presidential Decree.
 Article 74 (Request for Mediation of Disputes and Mediation)
(1) Where a dispute about matters under the subparagraphs of Article 71 (2) arises, an application for mediation may be filed with the Central Dispute Mediation Committee.
(2) Upon receipt of an application for mediation pursuant to paragraph (1), the Central Dispute Mediation Committee shall begin procedures for mediation without delay. In such cases, where the Central Dispute Mediation Committee deems it necessary, it may require the parties or interested persons to attend its meetings to hear their opinions.
(3) The Central Dispute Mediation Committee shall prepare a mediation plan and present, without delay, it to each party after it completes procedures for mediation under paragraph (2) within 30 days from the date it begins such procedures: Provided, That where it is unable to complete procedures for mediation within 30 days in extenuating circumstances, it may extend such period. In such cases, it shall notify the parties of the extension of the period in writing, specifying the reason therefor and the extended period.
(4) The parties who receive a mediation plan shall notify the Central Dispute Mediation Committee as to whether they accept such mediation plan in writing within 30 days from the date they receive the mediation plan. In such cases, where they fail to express their intention within 30 days, they shall be deemed to have accepted the mediation plan.
(5) Where the parties accept or are deemed to have accepted a mediation plan, the Central Dispute Mediation Committee shall prepare a deed of mediation settlement and serve, without delay, the original of the deed of mediation settlement on each party or his/her agent after the Chairperson and each party sign and seal the deed of mediation settlement: Provided, That where the parties are deemed to have accepted the deed of mediation settlement, the signature and seal of each party may be omitted.
(6) Where the parties accept or are deemed to have accepted a mediation plan pursuant to paragraph (5), the content of such deed of mediation settlement shall have the same effect as a judicial conciliation: Provided, That the foregoing shall not apply to matters for which the parties are unable to take measures at their discretion.
(7) Necessary matters concerning procedures and methods for applying for mediation, the apportioning of expenses, etc. shall be prescribed by Ordinance of the Ministry of Land, Infrastructure and Transport.
 Article 75 (Notification of Request for Mediation of Disputes)
(1) Article 46 (1) and (2) shall apply mutatis mutandis to the duty of the Central Dispute Mediation Committee to notify the other party of an application for mediation of a dispute, and the duty of the other party that receives notification of such application to submit a written reply, respectively.
(2) The council of occupants' representatives (including its members) and the management entity that receive notification of an application for mediation of a dispute from the Central Dispute Mediation Committee shall participate in mediation of the dispute.
 Article 76 (Fact-Finding Examination and Inspection)
(1) The Central Dispute Mediation Committee may require its members or employees of an organization for the operation of and conducting affairs of the Central Dispute Mediation Committee (hereinafter referred to as the "Secretariat of the Central Dispute Mediation Committee") under Article 79 (2) to have access to the relevant multi-family housing, etc., to conduct examinations, inspections and have perusal, or to hear statements of unsworn witnesses. In such cases, the parties and interested persons shall provide cooperation in their activities.
(2) A person who conducts examinations, inspections, etc. pursuant to paragraph (1) shall carry a certificate of identification indicating his/her authority and produce it to the relevant persons.
 Article 77 (Refusal and Suspension of Mediation)
(1) Where the Central Dispute Mediation Committee deems that it is inappropriate for the Central Dispute Mediation Committee to mediate a dispute in light of the nature of such dispute or deems that an application for mediation has been filed for vexatious purposes, it may refuse to mediate the same. In such cases, it shall notify an applicant of the reason for refusal of mediation.
(2) Where one party files a lawsuit while procedures for handling a case of which an application for mediation has been filed are being followed, the Central Dispute Mediation Committee shall suspend the process of mediation and notify the parties of the suspension thereof.
(3) Article 42 (5) shall apply mutatis mutandis to recommendations made by the Central Dispute Mediation Committee to reach an agreement during procedures for its mediation for the parties of a dispute.
 Article 78 (Application Mutatis Mutandis of the Judicial Conciliation of Civil Disputes Act)
Articles 47 and 50 shall apply mutatis mutandis to the application of the Judicial Conciliation of Civil Dispute Act mutatis mutandis to the suspension of extinctive prescription of the Central Dispute Mediation Committee, service of documents, procedures, non-disclosure of decision-making process and the prohibition of divulgence of confidential information it has obtained officially.
 Article 79 (Operation of Central Dispute Mediation Committee and Entrustment of Conducting Affairs)
(1) The Minister of Land, Infrastructure and Transport may entrust the operation of and the conducting of affairs of the Central Dispute Mediation Committee to an institution or organization designated through an announcement.
(2) Necessary matters concerning the organization, human resources, etc. for operation of and conducting of affairs of the Central Dispute Mediation Committee under paragraph (1) shall be prescribed by Presidential Decree.
(3) The Minister of Land, Infrastructure and Transport may fund or subsidize expenses incurred in operating the Central Dispute Mediation Committee and conducting its affairs to an entrusted institution or organization under paragraph (1) within the budget.
 Article 80 (Regional Dispute Mediation Committees)
(1) The provisions concerning the Central Dispute Mediation Committee shall apply mutatis mutandis to the right of members who are not public officials, the members of a regional dispute mediation committee not to be subject to dismissal against their will, and the details concerning exclusion, challenge and voluntary refrainment of members.
(2) Where the parties to a dispute accept the result of mediation of a regional dispute mediation committee, an agreement of the same content as the protocol of mediation between the parties shall be deemed reached.
(3) Necessary matters concerning composing a regional dispute mediation committee shall be prescribed by Presidential Decree, and necessary matters concerning meetings, the operation, etc. of a regional dispute mediation committee shall be prescribed by Ordinance of the relevant Si/Gun/Gu.
CHAPTER IX ASSOCIATION
 Article 81 (Establishment of Association)
(1) Housing managers, etc. may establish an association of housing managers to efficiently conduct research on technical, administrative and legal matters concerning managing multi-family housing and its affairs.
(2) Deleted. <Jan. 19, 2016>
(3) An association (hereinafter referred to as the "Association") under paragraph (1) shall be a corporation. <Amended on Jan. 19, 2016>
(4) The Association shall be formed by registering the establishment thereof at the location of its principal office.
(5) The rights and duties of a member of the Association subjected to suspension of business and qualification by the Minister of Land, Infrastructure and Transport, the Mayor/Do Governor or the Mayor of a large city pursuant to this Act shall be suspended during a period for the suspension of his/her business and qualification, and where his/her qualification as a housing manager is revoked, he/she shall become disqualified as a member of the Association. <Amended on Jan. 19, 2016>
(6) Where housing managers intend to establish the Association, they shall prepare the articles of incorporation with the number of promoters under the following classification and pass a resolution in favor of the articles of incorporation at the inaugural general meeting, and obtain approval from the Minister of Land, Infrastructure and Transport. The foregoing shall also apply where it makes any alterations to the approved articles of incorporation:
1. Organization of housing managers: At least 1/5 of housing managers assigned to the head of the management office of multi-family housing;
2. Deleted. <Jan. 19, 2016>
(7) Where the Minister of Land, Infrastructure and Transport grants approval under paragraph (6), he/she shall publicly announce the approval of the articles of incorporation without delay.
 Article 82 (Mutual Aid Program)
(1) The organization of housing managers (hereafter in this Article, referred to as "organization of housing managers") under Article 81 (1) may operate a mutual aid program to indemnify the head of the management office from liability for damages under Article 66, to cover losses due to human and physical accidents that occur in multi-family housing, and to indemnify workers and business operators related to affairs concerning multi-family housing management from liability for damages. <Amended on Mar. 21, 2017>
(2) Where the organization of housing managers intends to operate a mutual aid program under paragraph (1), it shall enact the regulations governing a mutual aid program and obtain approval from the Minister of Land, Infrastructure and Transport. The foregoing shall also apply where it intends to amend the regulations governing a mutual aid program.
(3) The regulations governing a mutual aid program under paragraph (2) shall include matters necessary to operate the mutual aid program, such as the scope of the mutual aid program, the details of a mutual aid agreement, a mutual aid fund, mutual aid fees, accounting standards and the rate of accumulation of liability reserves, as prescribed by Presidential Decree.
(4) The organization of housing managers shall manage the accounting of a mutual aid program as a separate account by dividing it from other accounts, and where it intends to use liability reserves for other purposes, it shall obtain approval from the Minister of Land, Infrastructure and Transport.
(5) The organization of housing managers shall publicly notify the result of the yearly operation of a mutual aid program to members of the mutual aid program through a daily newspaper or its public relations magazine, as prescribed by Presidential Decree.
(6) Where the Minister of Land, Infrastructure and Transport deems that the organization of housing managers is likely to compromise the soundness of a mutual aid program because it fails to comply with this Act and/or the regulations governing a mutual aid program, he/she shall order it to take corrective action.
(7) Where the Minister of Land, Infrastructure and Transport makes a request, the Governor of the Financial Supervisory Service under the Act on the Establishment, etc. of Financial Services Commission may examine the mutual aid program of the organization of housing managers.
 Article 83 (Guidance and Oversight of Association)
The Minister of Land, Infrastructure and Transport shall guide and oversee the Association.
 Article 84 (Application Mutatis Mutandis of the Civil Act)
Except as otherwise expressly provided for in this Act, the provisions concerning an incorporated association of the Civil Act shall apply mutatis mutandis to the Association.
CHAPTER X SUPPLEMENTARY PROVISIONS
 Article 85 (Provision of Subsidies of Management Expenses)
(1) The head of a local government may subsidize some of the expenses incurred in managing multi-family housing, as prescribed by Ordinance of such local government. <Amended on Dec. 29, 2015>
(2) The State may finance some of the expenses incurred in maintaining, repairing and improving multi-family housing from the Housing and Urban Fund. <Newly Inserted on Dec. 29, 2015>
 Article 86 (Organization Supporting Management of Multi-Family Housing)
(1) The Minister of Land, Infrastructure and Transport may designate and announce an institution or organization to conduct the following affairs as an organization supporting the management of multi-family housing (hereafter in this Article, referred to as "organization supporting the management of multi-family housing"):
1. Consultation about civil affairs and education related to the management of multi-family housing;
2. Support for the enactment and amendment of the management rules;
3. Support related to the composition and operation of the council of occupants' representatives;
4. Support for the formulation and adjustment of a long-term repair plan or technical support, such as advice and suggestions on the feasibility of construction works or services;
5. Examination of and support for the management conditions of multi-family housing;
6. Support for the revitalization of the community of occupants, etc. of multi-family housing;
7. Support for examination, inspection and mediation of disputes of multi-family housing;
8. Research and study into the status of the management of multi-family housing;
9. Affairs requested or entrusted by the Minister of Land, Infrastructure and Transport or the head of a local government;
10. Other affairs prescribed by Presidential Decree for the protection of the rights and interests of occupants, etc. of multi-family housing and the transparency and efficiency of the management of multi-family housing.
(2) The Minister of Land, Infrastructure and Transport may fund or subsidize expenses incurred in operating an organization supporting the management of multi-family housing and conducting its affairs within the budget.
(3) An organization supporting the management of multi-family housing may recover all or some of the expenses incurred in conducting affairs under the subparagraphs of paragraph (1) from the management entity or the council of occupants' representatives.
 Article 87 (Selection of Outstanding Management Complex of Multi-Family Housing)
(1) The Mayor/Do Governor may select exemplary management complexes of multi-family housing every year to encourage exemplary management of multi-family housing.
(2) The Minister of Land, Infrastructure and Transport may select, officially commend or pay prize money to outstanding management complexes of multi-family housing among exemplary management complexes of multi-family housing selected by Mayors/Do Governors pursuant to paragraph (1), and provide other necessary support.
(3) Necessary matters concerning selecting exemplary management complexes of multi-family housing and outstanding management complexes of multi-family housing, official commendation, the payment of prize money, etc. shall be prescribed and announced by the Minister of Land, Infrastructure and Transport.
 Article 88 (Establishment and Operation of Multi-Family Housing Management Information System)
(1) The Minister of Land, Infrastructure and Transport may establish and operate a multi-family housing management information system through which information on the management of multi-family housing may be comprehensively managed to improve transparency and efficiency in the management of multi-family housing, and provide related institutions, organizations, etc. with information thereon.
(2) The Minister of Land, Infrastructure and Transport may request related institutions, organizations, etc. to provide data necessary for establishing and operating a multi-family housing management information system under paragraph (1). In such cases, related institutions, organizations, etc. shall comply with such request except in extenuating circumstances.
(3) Mayors/Do Governors may comprehensively manage information on the management of multi-family housing, and provide related institutions, organizations, etc. with information thereon or request them to provide information thereon. In such cases, related institutions, organizations, etc. shall comply with such request except in extenuating circumstances.
 Article 89 (Delegation and Entrustment of Authority)
(1) The Minister of Land, Infrastructure and Transport may delegate part of his/her authority under this Act to Mayors/Do Governors or the head of an agency under the jurisdiction of the Ministry of Land, Infrastructure and Transport, as prescribed by Presidential Decree.
(2) The Minister of Land, Infrastructure and Transport or the head of a local government may entrust the following authority among the authority under this Act to persons recognized by him/her among corporations established for the purpose of the specialization of the management of multi-family housing, the safety management of structures, the certification of qualification, etc., as prescribed by Presidential Decree: <Amended on Mar. 13, 2018>
1. Education of members, etc. of the council of occupants' representatives under Article 17;
2. Education on the adjustment of a long-term repair plan under Article 29;
3. Crime prevention education, safety education on firefighting, safety education on structures under Article 32;
4. Safety management of small-scale multi-family housing under Article 34;
5. Receipt of the details of assignment to the head of the management office and a report of an official seal under Article 64 (5);
6. Implementation of qualifying examinations for probationary housing managers under Article 67 (1);
7. Education of housing management service providers and the heads of the management offices under Article 70;
8. Establishment and operation of a multi-family housing management information system under Article 88 (1).
 Article 90 (Prohibition against Performing Unlawful Acts)
(1) The council of occupants' representatives (including its members; hereafter in this Article, the same shall apply) and the head of the management office shall not conspire together to unlawfully acquire or provide a fortune or property benefits in relation to the management of multi-family housing.
(2) Occupants, etc., the management entity, the council of occupants' representatives and the election committee (including its members) shall not unlawfully acquire or provide a monetary or other financial benefits in relation to the management of multi-family housing.
(3) The council of occupants' representatives and the management entity shall not use management expenses, user fees and reserves for long-term repairs other than the purposes under this Act.
(4) No housing management service provider, housing manager, etc. shall require other persons to conduct business or affairs under this Act using his/her name or trade name, or lend his/her registration certificate or qualification certificate to other persons. <Amended on Jan. 19, 2016>
 Article 91 (Compulsory Collection of Unpaid Reserves for Long-Term Repairs)
Where reserves for long-term repairs or management expenses managed by the management entity that is the State or a local government are unpaid, the State or a local government may compulsorily collect the relevant reserves for long-term repairs or management expenses, in the same manner as unpaid national taxes or local taxes are collected.
 Article 92 (Reports and Examinations)
(1) Where the Minister of Land, Infrastructure and Transport or the head of a local government deems it necessary, he/she may require a person who has obtained permission, made a report, or registered pursuant to this Act to make a necessary report, or a relevant public official to have access to a place of business and conduct necessary examinations.
(2) Where a public official conducts an examination under paragraph (1), he/she shall notify a person who is due to undergo an examination of an examination plan, such as the date and time of the examination, grounds for examination, and the details of the examination, seven days prior to the examination: Provided, That the foregoing shall not apply to urgent cases or where he/she deems that it is impossible to attain the purpose of the examination due to the destruction of evidence, etc. if he/she gives prior notice.
(3) A public official who conducts an examination pursuant to paragraph (1) shall carry a certificate of identification indicating his/her authority and produce such certificate to the relevant persons.
 Article 93 (Oversight of Management of Multi-Family Housing)
(1) In any of the following cases, the head of a local government may require occupants, etc., the council of occupants' representatives or its members, the management entity (in cases of multi-family housing which is not subject to compulsory management, referring to the custodian; hereinafter the same shall apply), the head of the management office, or the election committee or its members to report matters concerning affairs prescribed by Presidential Decree, such as the details, etc. of the use of management expenses, or to submit data, or issue other necessary orders thereto, and require public officials under his/her jurisdiction to have access to the place of business, the management office, etc. and examine or inspect facilities, books, documents, etc. of multi-family housing for the efficiency of the management of multi-family housing and the protection of occupants, etc. In such cases, public officials who have access and conduct examinations shall carry a certificate of identification indicating his/her authority and produce such certificate to the relevant persons: <Amended on Jan. 19, 2016; Mar. 21, 2017; Apr. 23, 2019>
1. Where it is necessary to conduct an audit under paragraph (3) or (4);
2. Where it is necessary to take measures because the aforesaid persons violate this Act or orders or dispositions under this Act;
3. Where it is necessary to mediate a dispute within a multi-family housing complex;
4. Where it is necessary for the safety management of structures of multi-family housing;
5. Where the council of occupants' representatives, etc. violates any of the management rules of multi-family housing;
6. Where it is necessary to oversee the management of multi-family housing.
(2) In cases falling under paragraph (1) 2, 3 or 5, occupants, etc. of multi-family housing may request the head of a local government to conduct an inspection of affairs of the council of occupants' representatives or its members, the management entity, the head of the management office, or the election committee or its members with the consent of at least 3/10 of all occupants, etc. In such cases, such occupants, etc. shall request inspection in writing, stating grounds therefor, and include information supporting such rounds.
(3) Where the head of a local government deems that a request for inspection under paragraph (2) is reasonable, he/she shall conduct an inspection and notify occupants, etc. who have requested for inspection of the result thereof.
(4) Where the head of a local government deems an inspection necessary for the efficiency of the management of multi-family housing and the protection of occupants, etc. even if no inspection is required under paragraph (2), he/she may conduct an inspection of affairs subject to inspection under paragraph (2).
(5) Where the head of a local government conducts an inspection pursuant to paragraph (3) or (4), he/she may seek advice from an expert, such as an attorney-at-law or a certified public accountant, or inspect the place of business, the management office, etc. together with the relevant expert.
(6) Matters necessary to request and conduct inspections under paragraphs (2) through (5) shall be prescribed by municipal ordinance of a local government.
(7) Where the head of a local government notifies the results of an order, inspection, or inspection, audit, etc. under paragraphs (1) through (4), he/she shall also notify the council of occupants' representatives and the management entity of the relevant multi-family housing of the details thereof. <Newly Inserted on Apr. 23, 2019>
(8) The management entity shall disclose the details notified under paragraph (7) on the website or the bulletin boards of each building of the relevant multi-family housing complex, and shall comply with requests by occupants, etc., for perusal or copy as prescribed by Presidential Decree. <Newly Inserted on Apr. 23, 2019>
 Article 93-2 (Establishment of Complaint Center of Irregularities in Management of Multi-Family Housing)
(1) The Minister of Land, Infrastructure and Transport may establish and operate the Complaint Center of Irregularities in the Management of Multi-family Housing (hereinafter referred to as the "Complaint Center") to efficiently conduct affairs concerning the receipt, handling, etc,. of reports on unlawful acts related to irregularities in the management of multi-family housing.
(2) The reporting center shall perform the following duties:
1. Consultation about and receipt of reports related to unlawful acts in the management of multi-family housing;
2. Requesting the head of the relevant local government to examine the relevant matters reported and to take measures;
3. Notifying a reporter of a summary of the results of the examination and measures taken.
(3) A person who recognizes an unlawful act in relation to the management of multi-family housing may report such unlawful act to the Complaint Center. In such cases, a person who intends to file a report shall submit the details of such unlawful act, evidence, etc. to the Complaint Center along with documents in which he/she mentions his/her personal details, the purport of, reasons for and details of the report and to which he/she affixes his/her signature.
(4) The head of a local government who receives a request under paragraph (2) 2 shall promptly complete an examination and take measures based on the relevant request, and notify the Minister of Land, Infrastructure and Transport of the results thereof within 10 days from the date he/she completes the examination and takes measures, and where the Minister of Land, Infrastructure and Transport receives the notification thereof, he/she shall immediately notify a reporter of a summary of the results thereof.
(5) Except as provided in paragraphs (1) through (4), necessary matters concerning the establishment, operation and affairs of the Complaint Center, reporting and handling of irregularities, etc. shall be prescribed by Presidential Decree.
[This Article Newly Inserted on Apr. 18, 2017]
 Article 94 (Suspension of Construction Works)
(1) Where the business entity, etc. or occupants, etc. the management entity, the council of occupants' representatives or its members of multi-family housing violate this Act or an order issued or dispositions taken under this Act, the Minister of Land, Infrastructure and Transport or the head of a local government may order them to suspend construction works, make restoration to its original state, perform repairs of defects or take other necessary measures. <Amended on Apr. 18, 2017; Apr. 23, 2019>
(2) Where the Minister of Land, Infrastructure and Transport or the head of a local government orders necessary measures, such as suspension of construction works, under paragraph (1), he/she shall notify the council of occupants' representatives and the management entity of the relevant multi-family housing of the details thereof. <Newly Inserted on Apr. 23, 2019>
(3) The management entity shall disclose the details notified under paragraph (2) on the website and the bulletin boards for each building of the relevant multi-family housing complex, and shall comply with requests by occupants, etc. for perusal or copy, as prescribed by Presidential Decree. <Newly Inserted on Apr. 23, 2019>
 Article 95 (Hearings)
Where the Minister of Land, Infrastructure and Transport or the head of a local government intends to take measures falling under any of the following, he/she shall hold hearings:
1. Revoking permission to engage in an activity under Article 35 (5);
2. Canceling the registration of housing management services under Article 53 (1);
3. Deleted; <Jan. 19, 2016>
4. Revoking qualification of a housing manager, etc. under Article 69 (1).
 Article 96 (Legal Fiction as Public Officials in Applying Penalty Provisions)
Where the provisions of Articles 129 through 132 of the Criminal Act apply, any of the following persons shall be deemed a public official:
1. A member of the Defect Dispute Mediation Committee under Article 40 (1) or an employee of the Secretariat of the Defect Dispute Mediation Committee, who is not a public official;
2. A person who inspects of defects pursuant to Article 48 (1);
3. A person who is a member of the Multi-family Housing Management Dispute Mediation Committee under Article 71 (1) or an employee of the Secretariat of the Central Dispute Mediation Committee, who is not a public official.
CHAPTER XI PENALTY PROVISIONS
 Article 97 (Penalty Provisions)
Any person who unlawfully acquires or provides a monetary or other financial benefits in conspiracy with other persons in violation of Article 90 (1) shall be punished by imprisonment with prison labor for not more than three years or by a fine of not exceeding 30 million won: Provided, That a person in whose case an amount equivalent to 50/100 of a profit he/she has made from such violation exceeds 30 million won shall be punished by imprisonment with prison labor for not more than three years or by a fine of not exceeding an amount equivalent to double the profit.
 Article 98 (Penalty Provisions)
Any of the following persons shall be punished by imprisonment with prison labor for not more than two years or by a fine of not exceeding 20 million won: Provided, That a person who falls under subparagraph 3, in whose case an amount equivalent to 50/100 of a profit he/she has made from such violation exceeds 20 million won shall be punished by imprisonment with labor for not more than two years or by a fine of not exceeding an amount equivalent to double the profit:
1. A person who provides housing management services without obtaining registration under Article 52 (1) or a person who obtains registration by fraud or other improper means;
2. Deleted; <Jan. 19, 2016>
3. A person who unlawfully acquires or provides a monetary or other financial benefits in violation of Article 90 (2).
 Article 99 (Penalty Provisions)
Any of the following persons shall be punished by imprisonment with labor for not more than one year or by a fine of not exceeding 10 million won: <Amended on Mar. 21, 2017>
1. A person who fails to undergo an audit or undergoes an audit by fraudulent means, in violation of Article 26 (1) and (2);
1-2. A person who performs acts falling under any of the subparagraphs of Article 26 (5), such as interfering with an audit, in violation of Article 26 (5);
1-3. A person who fails to prepare or keep books and documentary evidence, or prepares or keeps false books and documentary evidence, in violation of Article 27 (1);
1-4. A person who violates Article 35 (1) and (3) (excluding a person who engages in an activity without reporting the activities subject to reporting among activities under the subparagraphs of paragraph (1) of the aforesaid Article);
2. A person who divulges confidential information he/she has become aware of in the course of performing in violation of Articles 50 (2) and 78;
3. A person who conducts business during a period for suspension of business under Article 53 or conducts business after the registration of housing management services has been cancelled;
4. Deleted; <Jan. 19, 2016>
5. A person who performs duties of the head of the management office without obtaining qualification of housing manager, etc. pursuant to Article 67 or a person who allows a person not qualified to perform duties of the head of the management office;
6. A person who lends his/her registration certificate or qualification certificate in violation of Article 90 (4);
7. A person who refuses, interferes with or evades an examination or inspection under Article 92 (1) or 93 (1), (3) or (4);
8. A person who violates an order to suspend construction works under Article 94.
 Article 100 (Penalty Provisions)
Any of the following persons shall be punished by a fine not exceeding 10 million won:
1. A person who provides management services without having technical human resources or equipment under Article 6 (1);
2. A person who fails to assign a housing manager, etc. in violation of Article 64 (1).
 Article 101 (Joint Penalty Provisions)
Where the representative of a corporation, or an agent, or employee of or other persons employed by a corporation or an individual commits an offense falling under any of Articles 97 through 99 in relation to affairs of such corporation or individual, not only shall the person who commits such offense be punished but such corporation or individual also shall be punished by a fine under the relevant provisions: Provided, That the foregoing shall not apply where the corporation or the individual has not neglected to pay due attention to or exercise reasonable supervision over the relevant affairs to prevent such offense.
 Article 102 (Administrative Fines)
(1) Any person who uses a security deposit for repairing defects other than the purposes under this Act in violation of Article 38 (2) shall be subject to an administrative fine not exceeding 20 million won.
(2) Any of the following persons shall be subject to an administrative fine not exceeding 10 million won: <Amended on Jan. 19, 2016>
1. A person who fails to transfer affairs concerning the management of multi-family housing in violation of Article 13;
2. Deleted; <Mar. 21, 2017>
3. Deleted; <Mar. 21, 2017>
4. A person who fails to replace or repair important facilities in accordance with a formulated or adjusted long-term repair plan in violation of Article 29 (2);
5. A person who fails to repair any defects discovered pursuant to Article 43 (3);
6. A person who uses a similar name in violation of Article 52 (5);
7. A person who violates an order to make a report or submit data under Article 93 (1);
8. A person who dismisses the head of the management office, or who requests a housing management service provider to dismiss him/her in violation of Article 65 (5);
9. A person who uses management expenses, user fees and reserves for long-term repairs for purposes other than the purposes under this Act in violation of Article 90 (3).
(3) Any of the following persons shall be subject to an administrative fine not exceeding five million won: <Amended on Dec. 29, 2015; Jan. 19, 2016; Apr. 18, 2017; Mar. 13, 2018; Apr. 23, 2019; Jun. 9, 2020>
1. A person who fails to organize an autonomous management body under Article 6 (1);
2. A person who selects a housing management service provider in violation of Article 7 (1) or business operator in violation of Article 25;
3. A person who fails to report the conversion into a multi-family housing subject to compulsory management or exclusion therefrom under the main sentence of Article 10-2 (1) and (4), determination and modification of the management methods under Article 11 (3), enactment and amendment of the management rules, and composition and alteration of the council of occupants' representatives under Article 19;
4. A person who fails to prepare the minutes, require the management entity to keep the minutes, or comply with a request for perusal or copy of the minutes in violation of Article 14 (8);
5. A person who fails to disclose the details of management expenses, etc. in violation of Articles 23 (4) or (5), or who makes a false disclosure;
6. A person who fails to report or disclose the results of an audit in violation of Article 26 (3), or who makes a false report or disclosure;
6-2. A person who fails to submit or disclose the results of an audit in violation of Article 26 (6), or who makes a false report or disclosure;
7. Deleted; <Mar. 21, 2017>
8. A person who fails to comply with a request for perusal or copy of information, such as books or evidential documents, in violation of Article 27 (2), or who provides false information in response to such request;
9. A person who fails to disclose a written contract in violation of Article 28, or who discloses a false written contract;
10. A person who fails to formulate or examine a long-term repair plan or who fails to record or keep matters examined concerning a long-term repair plan in violation of Article 29;
11. A person who fails to accumulate reserves for long-term repairs under Article 30;
12. A person who fails to keep design documents, etc. or fails to record, keep and maintain the details of the replacement, repair, etc. of facilities pursuant to Article 31;
13. A person who fails to formulate or implement a safety management plan under Article 32 or who fails to undergo safety education;
14. A person who fails to conduct safety inspections pursuant to Article 33 (1) or who fails to give notification or make a report to the council of occupants' representatives or the head of a Si/Gun/Gu or who fails to take necessary measures pursuant to paragraph (2) of the aforesaid Article;
15. A person who engages in any activities under the subparagraphs of Article 35 (1) without reporting;
15-2. A person who fails to comply with an order to take corrective action on the repair of defects under Article 37 (4);
16. A person who fails to make a report under Article 38 (2), or who makes a false report;
16-2. A safety inspection agency or a relevant expert that fails to comply with a request for attendance at a meeting made by the Defect Dispute Mediation Committee, in violation of Article 43 (6);
17. A person who fails to submit a written reply to mediation, etc. under Article 46 (2) to the Defect Dispute Mediation Committee or a person who fails to submit a written reply to an application for mediation of a dispute under Article 75 (1) to the Central Dispute Mediation Committee;
18. A person who fails to respond in mediation, etc. under Article 46 (3) (excluding occupants and lessees) or a person who fails to respond to mediation of a dispute under Article 75 (2);
18-2. A person who refuses or interferes with an examination, inspection and perusal under Article 51 (1);
19. A person who fails to report any alterations to matters in the registration of housing management services under Article 52 (1) or who makes a false report;
20. Deleted; <Jan. 19, 2016>
21. Deleted; <Jan. 19, 2016>
22. A person who manages multi-family housing in violation of Article 63 (2);
23. A person who fails to report the details of assignment, an official seal or any alterations under Article 64 (5);
24. A person who fails to submit a document proving the fact that he/she has subscribed to guarantee insurance, etc. under Article 66 (3);
25. A person who fails to undergo education under Article 70;
26. A person who violates an order to make a report or an inspection under Article 92 (1).
27. A person who fails to disclose the details of an order, investigation or inspection, audit results, etc. notified by the Minister of Land, Infrastructure and Transport or the head of a local government, or discloses the details thereof to the public by fraud, or fails to comply with a request for perusal or copy, or complies therewith by fraud, in violation of Article 93 (8) or 94 (3).
(4) The Minister of Land, Infrastructure and Transport or the head of a local government shall impose administrative fines under the provisions of paragraphs (1) through (3), as prescribed by Presidential Decree.
ADDENDA <Act No. 13474, Aug. 11, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Article 2 (Applicability to Base Date of Requirements for Qualification of Representatives of Each Building)
Article 14 (3) and (4) shall begin to apply to the first public announcement made to elect representatives of each building after this Act enters into force.
Article 3 (Applicability to Making Custody, etc. of Design Documents Compulsory)
(1) A duty to have custody of design documents, etc. of multi-family housing of Article 31 shall begin to apply where the management entity obtains approval for use under Article 22 of the Building Act or undergoes an inspection for use under Article 29 of the Housing Act after this Act enters into force.
(2) A duty to record, keep and maintain the details of the replacement and repair of facilities of multi-family housing of Article 31 shall begin to apply where the management entity makes the first replacement and repair of facilities of multi-family housing after this Act enters into force.
Article 4 (Applicability to Assignment of Head of Management Office, etc.)
The amended provisions of Article 55 of the Housing Act (Act No. 7757) shall begin to apply to the first assignment of the head of the management office after February 24, 2006 on which the aforesaid amended Act enters into force.
Article 5 (Applicability to Assignment of Head of Management Office, etc.)
Regulations governing assignment of housing managers, etc. to rental housing under Article 55 (1) of the Housing Act (Act No. 8968) shall apply to rental housing falling under the scope of multi-family housing subject to compulsory management prescribed by Presidential Decree pursuant to Article 43 of the aforesaid amended Act from the date two years elapse after June 22, 2008 on which the aforesaid amended Act enters into force.
Article 6 (Applicability to Liability of Head of Management Office to Pay Compensation for Damage)
The amended provisions of Article 55-2 (3) of the Housing Act (Act No. 10237) shall begin to apply to the first assignment of the head of the management office after July 6, 2010 on which the aforesaid amended provision enters into force.
Article 7 (Applicability to Registration to Provide Housing Management Services)
The amended provisions of Article 53 (3) of the Housing Act (Act No. 11061) shall begin to apply to the first application for registration to provide housing management services after March 17, 2012 on which the aforesaid amended Act enters into force.
Article 8 (Applicability to Business Entity's Assignment of Head of Management Office)
The amended provisions of Article 55 (1) 3 of the Housing Act (Act No. 11061) shall begin to apply to the first assignment of the head of the management office after March 17, 2012 on which the aforesaid amended Act enters into force.
Article 9 (Applicability to Term of Office of Members of Defect Examination and Dispute Mediation Committee)
The amended provisions of Article 46-3 (4) of the Housing Act (Act No. 11590) shall begin to apply to members who newly organize the Defect Examination and Dispute Mediation Committee after June 19, 2013 on which the aforesaid amended provision enters into force.
Article 10 (Applicability to Use of Reserves for Long-Term Repairs)
The amended provisions of Article 43-4 (2) of the Housing Act (Act No. 11871) shall begin to apply to the first use of reserves for long-term repairs after December 5, 2013 on which the aforesaid amended provision enters into force.
Article 11 (Applicability to Use of Security Deposit for Repairing Defects)
The amended provisions of Article 46 (7) of the Housing Act (Act No. 11871) shall begin to apply to the first use of a security deposit for repairing defects after December 5, 2013 on which the aforesaid amended provision enters into force.
Article 12 (Applicability to Selection of Housing Management Service Provider and Business Operator)
The amended provisions of Articles 43 (7) 1 and 45 (5) 1 of the Housing Act (Act No. 12115) shall begin to apply to the first official announcement made to select a housing management service provider or business operator after January 1, 2015 on which the aforesaid amended provisions enter into force, and the amended provisions of Articles 43 (7) 2 and 45 (5) 2 of the aforesaid amended Act shall begin to apply to the first official announcement made to select a housing management service provider or business operator after June 25, 2014 on which the aforesaid amended provisions enter into force.
Article 13 (Applicability to Examination of Long-Term Repair Plan)
Notwithstanding the amended provisions of Article 47 (2) of the Housing Act (Act No. 12115), the council of occupants' representatives and the management entity of multi-family housing in which case three years elapse after a long-term repair plan is examined as of June 25, 2014 on which the aforesaid amended Act enters into force shall examine a long-term repair plan within three months from June 25, 2014 on which the aforesaid amended Act enters into force, and record and keep matters examined concerning the long-term repair plan.
Article 14 (Special Cases on Education of Head of Management Office)
Notwithstanding the amended provisions of Article 58 (3) of the Housing Act (Act No. 12115), the head of the management office who received education under Article 58 (1) or (2) of the Housing Act before June 25, 2014 on which the aforesaid amended Act enters into force shall undergo education on the management of housing under the aforesaid amended provision within the period under the following classification:
1. Head of the management office in whose case at least three years have passed after he/she received education under Article 58 (1) or (2) of the Housing Act as at the time the aforesaid amended Act enters into force: Two years from June 25, 2014 on which the aforesaid amended Act enters into force;
2. Head of the management office in whose case less than three years have passed after he/she received education under Article 58 (1) or (2) of the Housing Act as at the time the aforesaid amended Act enters into force: Three years from June 25, 2014 on which the aforesaid amended Act enters into force.
Article 15 (General Transitional Measures)
Determinations, measures, procedures and other actions under the previous Housing Act (hereinafter referred to as the "previous Act") as at the time this Act enters into force shall be deemed made, taken, followed and performed respectively pursuant to this Act.
Article 16 (Transitional Measures concerning Multi-Family Housing Management Dispute Mediation Committee)
A multi-family housing management dispute mediation committee of a Si/Gun/Gu established and being operated as at the time this Act enters into force shall be deemed a regional multi-family housing management dispute mediation committee under this Act.
Article 17 (Transitional Measures concerning Warranty Liability and Repair of Defects)
Notwithstanding the amended provisions of Article 46 of the Housing Act (Act No. 7520), the previous provisions thereof shall apply to the warranty liability and the repair of defects of multi-family housing which underwent an inspection for use under Article 29 of the Housing Act or of which approval for use under Article 18 of the Building Act was obtained before May 26, 2005 on which the aforesaid amended Act enters into force.
Article 18 (Transitional Measures concerning Long-Term Repair Plan and Reserves for Long-Term Repairs Where Facilities Other than Housing and Housing Were Built in Building)
(1) Where a long-term repair plan is not formulated as at the time the Housing Act (Act No. 8383) enters into force, notwithstanding the amended provisions of Article 47 of the aforesaid amended Act, the management entity shall formulate a long-term repair plan within six months from April 20, 2007 on which the aforesaid amended Act enters into force.
(2) In accordance with a long-term repair plan formulated pursuant to paragraph (1), the management entity shall collect reserves for long-term repairs from owners and accumulate such reserves from the date one year elapses from April 20, 2007 on which the aforesaid amended Act enters into force.
Article 19 (Transitional Measures concerning Business Entity's Transfer of Affairs concerning Management of Multi-family Housing)
Where the management entity that is directly managing multi-family housing pursuant to Article 43 (1) of the Housing Act as at March 17, 2012 on which the Housing Act (Act No. 11061) enters into force falls under any of the subparagraphs of the amended provisions of Article 43 (6) of the aforesaid amended Act, it shall transfer affairs concerning the management of multi-family housing to the relevant management entity pursuant to the amended provisions of Article 43 (6) of the aforesaid amended Act after March 17, 2012 on which the aforesaid amended Act enters into force.
Article 20 (Transitional Measures concerning Mediation, etc.)
The previous provisions of the Housing Act shall apply to mediation, etc. of a case pending in the Defect Examination and Dispute Mediation Committee pursuant to the previous provisions as at the time of December 18, 2012 on which the Housing Act (Act No. 11590) enters into force.
Article 21 (Transitional Measures concerning Deposit Money for Management Expenses)
Deposit for management expenses collected as expenses incurred in managing and operating the common areas of the relevant multi-family housing pursuant to Article 49 (1) of the Enforcement Decree of the Housing Act shall be deemed collected pursuant to the amended provisions of Article 45-2 of the Housing Act (Act No. 11871).
Article 22 (Transitional Measures concerning Long-Term Repair Plan and Accumulation of Reserves for Long-Term Repairs of Multi-Family Housing with District Heating System)
(1) Where a long-term repair plan has not been formulated as of December 5, 2013 on which the amended provisions of Article 47 (1) 3 of the Housing Act (Act No. 11871) enters into force, notwithstanding the aforesaid amended provision, the management entity shall formulate a long-term repair plan within six months from December 5, 2013 on which the aforesaid amended provision enters into force.
(2) The management entity shall collect reserves for long-term repairs from owners and accumulate such reserves in accordance with a long-term repair plan under paragraph (1) from the month in which the date from which one year elapses after December 5, 2013 on which the amended provision of Article 47 (1) 3 of the Housing Act (Act No. 11871) enters into force falls.
Article 23 (Transitional Measures concerning Transfer of Authority to Mayor of Large City by Mayor/Do Governor)
Where a person is issued a certificate upon passing a qualifying examination for probationary housing managers or a certificate of qualification as housing manager, his/her qualification as housing manager, etc. is revoked or suspended by the Mayor/Do Governor, or he/she receives education on the management of housing, etc. from the Mayor/Do Governor pursuant to the previous provisions as of June 4, 2013 on which the Housing Act (Act No. 11871) enters into force, he/she shall be deemed to have been issued a certificate upon passing a qualifying examination for probationary housing managers or a certificate of qualification as housing manager, or his/her qualification of housing manager, etc. shall be deemed revoked or suspended by the Mayor of a large city, or he/she shall be deemed to have received education on the management of housing, etc. from the Mayor of a large city pursuant to the amended provision of Article 56 (1) of the aforesaid amended Act (including where the Mayor/Do Governor is cited in paragraph (2) of the aforesaid Article, the main sentence of Article 57 (1) and Article 58) where the relevant area is a large city.
Article 24 (Transitional Measures concerning Management Rules)
Management rules enacted or amended pursuant to the previous Act as at the time this Act enters into force shall be deemed enacted or amended pursuant to this Act.
Article 25 (Transitional Measures concerning Long-Term Repair Plan)
A long-term repair plan formulated or adjusted pursuant to the previous Act as at the time this Act enters into force shall be deemed formulated or adjusted pursuant to this Act.
Article 26 (Transitional Measures concerning Permission, etc. to Engage in Activities)
Permission to engage in any activities, a report of any activities, etc. under the previous Act as at the time this Act enters into force shall be deemed permission to engage in activities, a report of activities, etc. under this Act.
Article 27 (Transitional Measures concerning Members of Dispute Mediation Committee)
Members of the Defect Examination and Dispute Mediation Committee or members of a multi-family housing management dispute mediation committee of a Si/Gun/Gu appointed pursuant to the previous Act as at the time this Act enters into force shall be deemed appointed pursuant to this Act.
Article 28 (Transitional Measures concerning Housing Management Service Providers)
A housing management service provider who has registered pursuant to the previous Act as at the time this Act enters into force shall be deemed to have registered pursuant to this Act. <Amended by Act No. 13786, Jan. 19, 2016>
Article 29 (Transitional Measures concerning Housing Managers, etc.)
A housing manager, etc. issued a certificate upon passing a qualifying examination or a certificate of qualification pursuant to the previous Act as at the time this Act enters into force shall be deemed to have been issued a certificate upon passing a qualifying examination or a certificate of qualification pursuant to the this Act.
Article 30 (Transitional Measures concerning Association)
The Association established at the time this Act enters into force shall be deemed the Association established pursuant to this Act.
Article 31 (Transitional Measures concerning Administrative Dispositions, etc.)
(1) Administrative measures taken, such as the cancellation of registration and the suspension of business, and administrative fines and penalty surcharges imposed pursuant to the previous Act, as at the time this Act enters into force shall be deemed administrative dispositions taken and administrative fines and penalty surcharges imposed pursuant to this Act.
(2) Where administrative fines and penalty surcharges apply to offenses committed before this Act enters into force, the previous Act shall apply thereto.
Article 32 (Transitional Measures concerning Penalty Provisions)
Where penalty provisions apply to offenses committed before this Act enters into force, the previous Act shall apply thereto.
Article 33 (Transitional Measures concerning Incompetents, etc.)
An adult placed under the protection of a legal guardian and a quasi-incompetent placed under the protection of a legal guardian under Articles 14 (4) 1 and 67 (4) 1 shall be deemed to include a person in whose case the effect of declaration of incompetency or quasi-incompetency is maintained pursuant to Article 2 of the Addenda to the Civil Act (Act No. 10429).
Article 34 Omitted.
Article 35 (Relationship to Other Statutes)
Where the previous Act and any provisions thereof are cited by other statutes as at the time this Act enters into force, and this Act contains provisions corresponding thereto, this Act or the relevant provisions of this Act shall be deemed cited, in lieu of the previous provisions.
Article 36 (Applicability to Number of Persons Scheduled to Be Selected Through Qualifying Examination for Probationary Housing Managers)
The amended provisions of Article 67 (5) shall begin to apply to an examination implemented after January 1, 2020.
[This Article Newly Inserted by Act No. 14093, Mar. 22, 2016]
ADDENDA <Act No. 13499, Aug. 28, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force four months after the date of its promulgation.
Articles 2 through 16 Omitted.
ADDENDA <Act No. 13508, Sep. 1, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 7 Omitted.
ADDENDUM <Act No. 13676, Dec. 29, 2015>
This Act shall enter into force on August 12, 2016.
ADDENDA <Act No. 13687, Dec. 29, 2015>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That ··· <omitted> ··· Article 3 of the Addenda shall enter into force on August 12, 2016.
Articles 2 and 3 Omitted.
ADDENDUM <Act No. 13786, Jan. 19, 2016>
This Act shall enter into force on August 12, 2016.
ADDENDA <Act No. 13805, Jan. 19, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force on August 12, 2016.
Articles 2 through 22 Omitted.
ADDENDA <Act No. 14093, Mar. 22, 2016>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation: Provided, That Article 3 of the Addenda shall enter into force on August 12, 2016.
Articles 2 and 3 Omitted.
ADDENDA <Act No. 14545, Jan. 17, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Articles 2 through 15 Omitted.
ADDENDA <Act No. 14709, Mar. 21, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation: Provided, That the amended provision of Article 82 (1) shall enter into force on the date of its promulgation.
Article 2 (Applicability to Submission of Results of Audit)
The amended provision of Article 26 (6) shall begin to apply to an audit for the first fiscal year that begins after this Act enters into force.
ADDENDA <Act No. 14793, Apr. 18, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation: Provided, That the amended provision of Article 2 (1) 10 (e) shall enter into force on the date of its promulgation.
Article 2 (Applicability to Repair of Defects of Public Rental Housing)
The amended provision of Article 36 (2) shall begin to apply to rental housing that undergoes the first inspection for use under Article 49 of the Housing Act (where approval for the temporary use of all of rental housing is obtained pursuant to the proviso to Article 49 (4) of the aforesaid Act, referring to the date of approval for the temporary use thereof, where rental housing undergoes an inspection for partial use or inspection for the use of each building pursuant to Article 49 (1) of the aforesaid Act, referring to the date of inspection for partial use or the date of inspection for the use of each building) after this Act enters into force.
Article 3 (Transitional Measures concerning Administrative Fines)
Where administrative fines apply to offenses committed before this Act enters into force, the previous Act shall apply thereto.
Article 4 Omitted.
ADDENDA <Act No. 14853, Aug. 9, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Article 2 (Transitional Measures concerning Committee on Examinations for Probationary Housing Managers)
(1) The committee on examinations for probationary housing managers established under the previous provisions as at the time this Act enters into force shall be construed as the committee on examinations for probationary housing managers established under the amended provisions of Article 68.
(2) A member of the committee on examinations for probationary housing managers as at the time this Act enters into force shall be deemed appointed under this Act. In such cases, his/her term of office shall be the remaining period of the previous term of office.
ADDENDA <Act No. 15022, Oct. 31, 2017>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation.
Articles 2 through 15 Omitted.
ADDENDUM <Act No. 15454, Mar. 13, 2018>
This Act shall enter into force six months after the date of its promulgation.
ADDENDA <Act No. 16381, Apr. 23, 2019>
Article 1 (Enforcement Date)
This Act shall enter into force one year after the date of its promulgation: Provided, That the amended provisions of Articles 23 (4), 26 (3), (4), (6), Articles 28, 35 (1) 3-2, Articles 93 (7) and (8), 94, and 102 (3) 6-2 and 27 shall enter into force six months after the promulgation.
Article 2 (Applicability to Disclosure of Management Expenses and Preparation, Keeping of Accounting Documents of Multi-Family Housing Converted into Subject to Compulsory Management)
The provisions of Articles 23 and 27 shall apply to multi-family housing converted into subject to compulsory management, beginning with the first case where the multi-family housing management body under Article 9 (1) is established after the amended provisions of Article 2 (1) 2 enter into force.
Article 3 (Applicability to Disclosure of Results of Audit by Auditors)
The amended provision of Article 26 (6) shall begin to apply to an audit that commences after this Act enters into force.
ADDENDA <Act No. 17091, Mar. 24, 2020>
Article 1 (Enforcement Date)
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
Articles 2 through 5 Omitted.
ADDENDA <Act No. 17447, Jun. 9, 2020>
Article 1 (Enforcement Date)
This Act shall enter into force six months after the date of its promulgation.
Articles 2 through 7 Omitted.
ADDENDUM <Act No. 17453, Jun. 9, 2020>
This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)
ADDENDUM <Act No. 17544, Oct. 20, 2020>
This Act shall enter into force six months after the date of its promulgation: Provided, That the amended provisions of Article 65-2 (1) shall enter into force one year after the date of its promulgation.