CONSUMER LAW FOR CORPORATION

CONSUMER LAW

Recently Consumer Contract Act was enacted in Japan. Also, Installment Sales Act, Act on Specified Commercial Transactions have been amended against business operators. Further, Securities Act and other related statutes was integrated into Financial Instruments and Exchange Act. Also, Act on the Protection of Personal Information was enacted. Accordingly, case laws have been changed in favor of consumers, and many administrative regulations protecting customers have been enacted, many of which are applied to specific industries.

Under these circumstances, business operators are required to make lawful written contracts with customers and explain specific matters to customers. When faling to satisfy these requirements, sometimes the contract is revoked. Sometimes multiple customer claims are jointly heard in court.

Earth& Law Firm has dealt with many consumer law related legal matters, including drafting contracts and instructing practical management, and has represented both businesses and customers in consumer law fields.

CONSUMER LAW

What are the major features of Consumer Contract Act?

Simply put, in the course of contract negotiation between a business operator and a consumer, if the former states flaudement facts or intentionally conceals facts on important matters, leading to reliance of the latter, the latter can revoke the contract. When there is a disclaimer provision or a consumer's liability provision which are especially in favor of the business operator in the contract between a business operator and a consumer, the provision is void.

Is there a statute of limitations preventing consumers' right to revoke contract.

Yes. The right to revoke the contract is subject to 6 months limitation.