South Korea’s FTC Orders Coupang and Other E-Commerce Platforms to Strengthen Data Protections in Service Terms

South Korea’s Fair Trade Commission has moved to overhaul the service terms of major e-commerce platforms including Coupang and Naver after a Coupang data breach affected more than 33 million accounts. The incident raised questions about whether platforms can use standard-form contracts to limit their liability. It also has implications for users’ property rights over funds stored in Coupay Money and for the security of digital transactions.

The FTC has most recently ordered seven e-commerce platforms to revise unfair terms, explicitly strengthening their responsibility for personal-data breaches and improving safeguards for stored funds such as Coupay Money. Available information does not specify the date of the FTC announcement or any amounts involved or paid in compensation. More than 33 million accounts are known to have been affected, while no timetable for the revisions has been announced.