A construction company that is the prime contractor is required to provide corporate information such as individual company status, financial data, construction performance, and credit information to a large number of expected subcontractors (or partners) at a cost under the name of the registration review with a credit bureau, etc.

Article 5 (Prohibition of Compelling Purchase of Goods, etc.) of the Act prohibits the prime contractor from compelling subcontractors to purchase goods, etc., but it does not restrict the compelled purchase for the group of expected subcontractors whose scope is much larger than that of subcontractors. Therefore, where a subcontractor does not fall within the scope of the group of expected subcontractors, due to the vulnerability that the said contractor is unable to win future orders, it remains in a weak position since it cannot refuse even if the prime contractor or a third party related to the prime contractor abuses this vulnerability.

Accordingly, it is reasonable for the prime contractor to obtain information at its own expense as a direct consumer who requires information based on ordinary market practices and the principle of beneficiary pays principle, and if it wishes to purchase or to be provided with information at the cost of a subcontractor, the Act aims to grant the subcontractor the option to make a selection at its own discretion so as to realize transparent economic justice and protect subcontractors who are financially disadvantaged. 

Details

A. Prohibit a prime contractor from compelling a subcontractor or an expected subcontractor to use a certain business or the service of a certain business (Article 5 (2) newly established).

B. Establish penalty provisions for any compelled use of the service of a certain business (Article 30 (2) 2).

Prohibit a prime contractor from compelling a subcontractor or an expected subcontractor to use a certain business or the service of a certain business (Article 5 (2) newly established).