Specify information to be provided for online sales of vehicles and prescribe the grounds for issuing an order of business improvement, thereby promoting the reliability of trading and preventing damage to users since traders may not see actual vehicles due to the nature of online transactions

(1) Reasons for Proposal

The current Act requires all motor vehicle dealers, both online and offline, to be equipped with exhibition facilities, undermining the growth of ICT-related new industries such as online sales of used cars. In response, the Motor Vehicle Management Act was amended (Act No. 14950, promulgated on October 24, 2017, and to be enacted on October 25, 2018) to provide the grounds for which to streamline regulations by removing facility regulations on online dealers. Accordingly, this Amendment aims to prescribe matters legally delegated by the Act such as the registration procedure for providing information on online sales of vehicles and matters necessary for the enforcement thereof; and to improve upon the standards for inspecting electric vehicles since the safety issue concerning high-power electric devices is now on the table with increasing numbers of electric vehicles distributed.

(2) Major Provisions

A. Prescribe registration procedure, etc., for providing information on online vehicle sales (Article 111)

Require the registration authority to register matters related to the server and business entity, which are essential for the operation and management of information provision on online vehicle sales, and obligate the registration applicant to attach the document to prove his/her compliance with registration criteria

B. Provide the grounds for issuing an order of improvement on an information provider of online vehicle sales (Article 115).

Specify additional reasons for the head of a Si/Gun/Gu to order an improvement of business to an information provider of online vehicle sales to prevent damage to users by law

C. Require the provision of essential information of the information provision for online vehicle sales (Article 144-2 newly inserted)

Require online dealers to provide information on front and rear images, dashboard photographs of a vehicle and 13 types of vehicle registration information to enhance the reliability of transactions and prevent damage to users

D. Keep records of the information provider of online vehicle sales (Article 144-3 newly inserted)

Require an information provider of online vehicle sales to keep the transaction records in electronic documents for three years to resolve disputes that may arise after a transaction

E. Improve the inspection standards of electric vehicles (Attached Table 15, Attached Table 16 and Attached Table 18)

Introduce performance tests which confirm the insulation resistance of high-power electric devices, strengthen the existing visual inspections, and require inspectors to receive training and wear safety gear and apparel