| (1) | When a user suffers any loss due to any of the following incidents, the relevant financial company or electronic financial business entity shall be liable for indemnifying him or her for the loss: <Amended on May 22, 2013> |
| 1. | An incident caused by the forgery or alteration of the means of access; |
| 2. | An incident caused in the course of electronically transmitting or processing the conclusion of a contract or a transaction request; |
| (2) | Notwithstanding paragraph (1), a financial company or an electronic financial business entity may require a user to fully or partially bear the liability for any loss in any of the following cases: <Amended on May 22, 2013> |
| 1. | Where, with respect to any incident caused by the intention or gross negligence of the user, a prior agreement is made with the user to the effect that all or part of the loss may be borne by the user; |
| 2. | Where a corporate user (excluding any small enterprise defined in Article 2 (2) of the Framework Act on Small and Medium Enterprises) suffers any loss although the financial company or electronic financial business entity fulfills the duty of due care reasonably required to prevent incidents, such as the establishment and strict observance of security procedures. |
| (3) | The intention or gross negligence of the user referred to in paragraph (2) 1 shall be limited to that stipulated in the terms and conditions of electronic financial transactions (hereinafter referred to as "terms and conditions") within the limits prescribed by Presidential Decree. |
| (4) | Every financial company or electronic financial business entity shall take measures necessary to discharge the liability provided for in paragraph (1), such as purchasing insurance, joining a mutual aid society or accumulating reserves, pursuant to the standards determined by the Financial Services Commission. <Amended on Feb. 29, 2008; May 22, 2013> |
[Title Amended on May 22, 2013]