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KASAN Newsletter - March 2026

2026.08.28

​I. K-Content Illegal Sites Face Immediate Blocking Following Copyright Law Amendments​ 

 

On January 29, 2026, the National Assembly passed amendments to the Copyright Act, the Performance Act, and the National Sports Promotion Act. The revisions focus on strengthening measures against illegal content distribution via overseas servers and against ticket scalping.

 

Under the amended Copyright Act, when illegal activity is clear and immediate action is required, the Minister of Culture, Sports and Tourism may directly order internet service providers to block access to the relevant websites. Previously, the Korea Communications Standards Commission was responsible for blocking overseas-based illegal sites, but the amendment expands the administrative authority, enabling faster enforcement.

 

The amendments also introduce punitive damages, allowing for compensation of up to five times the actual damages for intentional copyright infringement. Criminal penalties have been increased as well, with violators facing up to seven years of imprisonment or fines of up to KRW 100 million.

 

In addition, the amendments to the Performance Act and the National Sports Promotion Act broaden regulations against ticket scalping. Previously, only resale using automated programs (macros) was punishable; under the new rules, unauthorized purchases for resale or repeated resale above face value are prohibited regardless of macro use.

 

E-commerce intermediaries are now required to implement technical and managerial measures to prevent unfair transactions. Violations may result in fines of up to 50 times the sale amount or confiscation of illicit gains. The amendments also establish a reporting and reward system, allowing individuals to receive incentives for reporting prohibited activities.

 

​II. First Criminal Prosecution for Unregistered Design Copying in Korea – Corporate Representative Arrested​ 

 

The Korean Intellectual Property Enforcement Authority, in collaboration with the Daejeon District Prosecutors' Office, has filed charges against the CEO of eyewear company A and two associates for violating the Act on the Prevention of Unfair Competition and the Protection of Trade Secrets. This case marks the first instance in Korea where a corporate representative was arrested solely for copying the product form of another company without registered design rights.

 

Investigations revealed that the CEO, with no prior experience in design, founded the eyewear brand in 2019. Without employing a separate design team, the CEO allegedly photographed popular sunglasses from a well-known domestic brand (Company B) and sent the images to overseas manufacturers, producing 51 imitation products comprising more than 321,000 units, which were sold between February 2023 and June 2025. An additional 44 imitation products, totaling approximately 413,000 units, were imported during the same period.

 

A 3D scanning comparison of 29 of the 51 imitation products showed over 95% of lines matching the original within a 1 mm margin of error. Among these, 18 products demonstrated a 99% match, effectively classifying them as "dead copies."

 

Company B, the rights holder, reportedly invested at least one year of R&D per product and a team of around 50 specialized staff to develop these original designs, establishing the company's brand value. The circulation of imitation products has caused economic damage through lost sales and potential brand dilution. The CEO's actions were also deemed detrimental to the broader K-fashion industry, which relies on originality and innovation as key growth factors.

 

Although the copied designs were unregistered, Korea's unfair competition law allows for criminal prosecution if a competitor's product form is copied and sold within three years of its release. Authorities considered the CEO's conduct—replicating new products without any creative effort and achieving rapid sales growth—sufficient grounds for arrest.

 

Additionally, to prevent dissipation of illicit gains, the authorities requested forfeiture preservation measures of the company's assets before a final verdict, amounting to a total of KRW 7.8 billion (~USD 5.8 million). Approximately 150,000 units of imitation products in storage were also seized to prevent further distribution.

 

This case highlights that, even in industries where design registration is not common and product cycles are short, criminal liability can be enforced against product form imitation, providing an important precedent for protecting creators' efforts and maintaining fair market practices.

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