• 01.Terms of Agreement
  • 02.Referral Program
  • 03.Member Information
  • 04.Join complete
Standard Agreement for Electronic Commerce

Standard Agreement for Electronic Commerce

Article 1 (Purpose)

The purpose of this Standard Agreement is to specify the rights, duties and liabilities of cyber mall and users in using the Internet-related services (hereinafter referred to as the "Service") offered by RUAN KOREA INC Cyber Mall (hereinafter referred to as "RUAN Shopping") operated and managed by RUAN KOREA INC (hereinafter referred to as the "E-Commerce Provider").

※ For E-Commerce that uses PC and wireless networks, it will conform to this Standard Agreement, unless it contradicts with the characteristics of such commerce.

Article 2 (Definition of Terms)

  • "RUAN Shopping" refers to a virtual store in which the goods or services (hereinafter referred to as the "Goods/Services") of the E-Commerce Provider are offered to users for transactions using info-communication equipment like computers.
  • 'Users' refer to members or non-members receiving the Service offered by "RUAN Shopping" in accordance with the agreement as they access the "RUAN Shopping" homepage.
  • 'Members' refer to people who are membership registered providing the personal information to "RUAN Shopping", continuously receive the information of "RUAN Shopping" and use the Service offered by "RUAN Shopping".
  • 'Non-Member' refers to people who use the Service offered by "RUAN Shopping" without membership registration.

Article 3 (Clear Statement and Explanation of Agreement & Amendment)

  • "RUAN Shopping" shall clearly indicate the content of Agreement, trade(company) and CEO names, company address (including the address in which customers' complaints can be handled), contact number, fax number, e-mail address, business registration number, online marketing business registration number and personal information managers at the main service screen of the E-Commerce Provider's "RUAN Shopping" for the Users to easily identify them. However, the Users can view the content of Agreement on a linked screen.
  • "RUAN Shopping" shall have a linked screen or pop-up screen to inform the Users of important matters including subscription withdrawal, delivery responsibility and refund conditions, which are specified in the Agreement, before the Users consent to the Agreement, asking for confirmation of such information.
  • "RUAN Shopping" shall have the right to amend the Agreement within the range of not violating the applicable laws including the Law related to Electronic Commerce to Protect Customer's Rights, the Regulation of Standardized Contracts Act, the Basic Law on Electronic Transaction, the Law on Digital Signatures, the Law on Promoting Use of Information Communication Networks, the Act on Door-to-door Sales and the Consumer Protection Act.
  • "RUAN Shopping" shall notify the date of application and amendment reason(s) upon revision of the Agreement along with the present Agreement at the main screen of "RUAN Shopping", from 7 days before the date of application to the date right before such application. However, when the Agreement is changed in a way that may be unfavorable to the Users, it shall be notified with the stay period of at least 30 days. In such a case, "RUAN Shopping" shall clearly specify the information that is changed by comparing the present Agreement with the amended Agreement, so the Users can easily identify it.
  • When "RUAN Shopping" revises the Agreement, the amended Agreement shall be applied only to the Contracts that are concluded after the date of application, and the previous version of the Agreement shall be applied to the Contracts that are concluded before such date. However, when the Users who have already concluded a contract wishes to accept the amended terms of the Agreement within the notification period of amended Agreement in accordance with Clause 3, sending his/her opinion to "RUAN Shopping" and having accepted by "RUAN Shopping", the amended terms of the Agreement shall be applied.

Article 4 (Provision & Modification of the Service)

  • "RUAN Shopping" shall perform the following service activities.

① Providing information related to the Goods/Services and concluding purchase agreements;
② Delivering the Goods/Services ordered through the purchase agreements; and
③ Other activities defined by "RUAN Shopping".

  • "RUAN Shopping" shall change the information of the Goods/Services to be offered according to the agreements that will be concluded, when such Goods/Services are out of stock/not available or technical specification are altered. In such a case, the information of the Goods/Services changed and the date of delivery shall be detailed and then notified at the place where the information of current Goods/Services is posted.
  • When the Service contract concluded between the User and "RUAN Shopping" is to be changed since the Goods/Services are out of stock/not available or technical specification are altered, such reason(s) shall be immediately notified to the Users using the available address. In such a case, "RUAN Shopping" shall compensate for the damages arising from such condition. However, if "RUAN Shopping" proves that it is not caused by its intention or negligence, "RUAN Shopping" shall be exempted from such liability.

Article 5 (Suspension of the Service)

  • "RUAN Shopping" shall temporarily suspend the Service, when info-communication equipment and devices like computers need to be repaired, inspected, replaced or are out of order, or communication network is disconnected or interrupted.
  • "RUAN Shopping" shall compensate for the damages to the Users or third parties as the Service is temporarily interrupted caused by the reason(s) specified above. However, if "RUAN Shopping" proves that it is not caused by its intention or negligence, "RUAN Shopping" shall be exempted from such liability.
  • When the Service cannot be provided owing to the change of business type, abandonment of the present business or merger with other companies, "RUAN Shopping" shall notify the Users using the method set forth in Article 8, and compensate the damages to consumers in accordance with the conditions specified previously. However, if "RUAN Shopping" has not notified the compensation standard beforehand, the mileage or membership points will be converted into the Goods that corresponds to the currency value commonly used at "RUAN Shopping" or cash, in order to be paid.

Article 6 (Membership Registration)

  • The Users fill in the personal information using the membership registration form specified by "RUAN Shopping", and agrees to this Agreement for membership registration.
  • "RUAN Shopping" shall accept membership registration of the Users who filled in the form as described above, unless such Users fall under any of the following:

① When the membership applicant lost the membership rights in accordance with Clause 3 of Article 7 in this Agreement; yet when 3 years have passed after such lost in accordance with Clause 3 of Article 7 in this Agreement and membership registration is approved by "RUAN Shopping" again, such member shall be exempted;
② When false, missing or error information is included in the form; or
③ When such membership registration is likely to have a negative technical impact on "RUAN Shopping".

  • Membership registration shall be in effect when the approval of "RUAN Shopping" is received by the Member.
  • When registered information is to be changed in accordance with Clause 1 of Article 15, the Member shall immediately notify such change to "RUAN Shopping" by e-mail and other methods.

Article 7 (Withdrawal from Membership & Loss of Membership Rights)

  • The Member can always request for withdrawal from membership and "RUAN Shopping" shall immediately perform withdrawal from membership.
  • When the Member falls under any of the following, "RUAN Shopping" shall have the right to restrict and suspend the membership rights.

① When a false information is filled in upon membership registration;
② When the price of the Goods/Services purchased using "RUAN Shopping" and/or other fees to be paid by the Member in relation to use of "RUAN Shopping" are not paid within the deadline;
③ When the Member threatens the order of E-Commerce by hindering the use of "RUAN Shopping" by others or illegally using the information; or
④ When acting against the laws or this Agreement, or the public policy in using "RUAN Shopping".

  • When the same act is repeated twice or more, or when such act is not corrected within 30 days after "RUAN Shopping" restricts/suspends the membership rights, "RUAN Shopping" has the right to terminate the membership rights.
  • When "RUAN Shopping" terminates the membership rights, the membership registration shall be cancelled. In such a case, it will be notified to the Member, and before it is terminated, at least 30 days of period will be given to the Member to explain the ground(s) for such act.

Article 8 (Notification to the Member)

When "RUAN Shopping" notified the Member, "RUAN Shopping" can use the e-mail address agreed and specified by the Member.
When "RUAN Shopping" notifies the information to unspecified Members, it shall be posted in the notice, which will substitute an individual notification.
However, when such information may greatly impact transactions with the Member, it will be individually notified.

Article 9 (Purchase Order)

"RUAN Shopping" Users shall place a purchase order using the following or similar method, and "RUAN Shopping" shall provide the following for the Users to easily understand them. Yet, in case of the Member, Clause 2 or 4 can be excluded for application.

① Searching and choosing the Goods/Services;
② Inserting the name, address, e-mail address (or mobile phone number) and etc;
③ Checking the Agreement terms, Services restricted from subscription withdrawal and delivery/installation fees;
④ Consenting to the Agreement, and agreeing/denying the information in ③ (for instance, mouse clicks);
⑤ Placing a purchase order for the Goods/Services, checking the order or agreeing with the confirmation of "RUAN Shopping"; and
⑥ Selecting the payment method.

Article 10 (Acceptance of the Purchase Order)

  • "RUAN Shopping" shall not accept the purchase order placed in accordance with Article 9, when it falls under the following conditions. However, "RUAN Shopping" shall inform that an order can be canceled by a minor or a legal agent, when the purchase order concluded between a minor is not agreed by a legal agent.

① When there is a false, missing or error information contained in the order;
② When a minor purchases the goods and services prohibited by the Youth Protection Act, including cigarettes and alcohol; or
③ When acceptance of the purchase order is likely to have a negative technical impact on "RUAN Shopping".

  • The purchase order shall be valid and in effect when the acceptance of "RUAN Shopping" is received by the Users in the form of notifying the confirmation of receipt in accordance with Clause 1 of Article 12.
  • The acceptance of "RUAN Shopping" shall include the information on whether checking the User's purchase order and selling the Goods/Services are available, correcting and canceling the purchase order and so forth.

Article 11 (Payment Method)

The price of the Goods/Services purchased from "RUAN Shopping" can be paid using any of the available methods stated below. However, "RUAN Shopping" shall have no right to charge additional fee for whatever reason in relation to the payment method for the Goods/Services.

  • Account transfer using phone banking, Internet banking or e-mail banking;
  • Using various cards including a prepaid card, debit card and credit card;
  • Online deposit without a bankbook;
  • Payment using electronic cash (e-money);
  • Payment upon receiving the Goods/Services;
  • Payment using points given by "RUAN Shopping", including mileage points;
  • Using gift certificates contracted or accepted by "RUAN Shopping"; or
  • Any other payment methods using electronic means.

Article 12 (Notification on Confirmation of Receipt & Change/Cancellation of the Purchase Order)

  • When a purchase order is placed by the User, "RUAN Shopping" shall notify confirmation of receipt.
  • The User receiving such notification can request for changes or cancellation of the purchase order, if any differences are found, "RUAN Shopping" shall do so without delay when such is requested before delivery.
  • However, when payment is already made, the terms related to subscription withdrawal specified in Article 15 shall be conformed to.

Article 13 (Supply of the Goods/Services)

  • "RUAN Shopping" shall take necessary measures including order production and packaging so that the Goods/Services can be delivered within 7 days from the date the User placed an order, unless there is a specified agreement on delivery of the Goods/Services. However, when "RUAN Shopping" already received all or part of the price for the Goods/Services, such necessary measures shall be taken within 2 business days from the date when all or part of the payment is received. Here, "RUAN Shopping" shall take appropriate measures for the User to check the procedure of supplying Goods/Services and the progress of such procedure.
  • "RUAN Shopping" shall clearly explain the delivery means for the Goods/Service purchased by the User, the person paying the delivery fee per means and delivery period per means. If "RUAN Shopping" fails to meet the agreed delivery period, the User shall compensate for the damage to the User. However, if "RUAN Shopping" proves that it is not caused by its intention or negligence, "RUAN Shopping" shall be exempted from such liability.

Article 14 (Refund)

When "RUAN Shopping" cannot deliver or provide the Goods/Services purchased by the User owing to the reason(s) such as out-of-stock, it shall be immediately notified to the User. When the price of the Goods/Services is already paid, it shall be refunded, or appropriate measures for refund shall be taken within 2 business days from the date of such payment.

Article 15 (Subscription Withdrawal)

  • The User who concluded a purchase agreement with "RUAN Shopping" to buy the Goods/Services can withdraw the subscription within 7 days from the date of notification on confirmation of receipt.
  • The User cannot return or exchange the Goods/Services when delivered in any of the following cases.

① When the Goods/Service is destructed or damaged owing to the reason attributable to the User (however, the subscription can be withdrawn when the cover is damaged to check the Goods/Services);
② When the value of Goods/Services is significantly dropped as the User used or consumed part of the Goods/Services;
③ When the value of Goods/Services is significantly dropped as the time passed, making it difficult to resell such Goods/Services; or
④ When the cover of the original Goods/Services is damaged, where such Goods/Services can be copied to have the same performance.

  • In case of Item 2 or 4 of Clause 2, when "RUAN Shopping" fails to clearly indicate that subscription withdrawal can be restricted for the Users to acknowledge it or provide approved products, subscription withdrawal of the Users cannot be restricted.
  • Despite the terms of Clause 1 and 2, the User can withdraw from subscription within 3 months from the date when the Goods/Services are supplied when the Goods/Services are not the same as those described and advertised, or within 30 days when such is known or potentially possible.

Article 16 (Effects of Subscription Withdrawal)

  • "RUAN Shopping" shall refund the price of the Goods/Services already paid within 3 business days after such Goods/Services are returned by the User. In such a case, when "RUAN Shopping" postpones the refund of such price to the User, a delay charge calculated by multiplying the delay charge rate set forth and announced by the Fair Trade Commission shall be applied for the delay days, and paid to the User.
  • When the User used a credit card or e-money to pay the price of Goods/Services, "RUAN Shopping" shall request for suspension or cancellation of the payment of such Goods/Services to the payment providers with no delay.
  • The User shall pay for the cost for returning the Goods/Services supplied upon subscription withdrawal. "RUAN Shopping" shall not claim for cancellation charges or compensation to the User for subscription withdrawal. However, when the Goods/Services are not the same as described and advertised, or when the agreement is unfulfilled, resulting in subscription withdrawal, "RUAN Shopping" shall be liable for the cost arising from return of such Goods/Services.
  • When the User paid the shipping cost upon receiving the Goods/Services, "RUAN Shopping" shall clearly indicate who will pay such cost upon subscription withdrawal.

Article 17 (Personal Information Protection)

  • "RUAN Shopping" shall collect minimum information required for implementing the purchase order upon collection of the User's information. The following is the essential information, and others shall be optional.

① 성Name
② Resident registration number (in case of the Member) or alien registration number
③ Address
④ Phone Number
⑤ Desired ID (in case of the Member)
⑥ Password (in case of the Member)
⑦ E-mail address (or mobile phone number)

  • When "RUAN Shopping" collects the personal information that allows individual identification of the User, an agreement by the User is mandatory.
  • The personal information provided cannot be used for any other purposes other than the purpose specified or provided to the third party without the User's consent, and "RUAN Shopping" shall be fully responsible. However, the following is the exceptional case..

① When informing the minimum information of the User (name, address and phone number) to the delivery company for the purpose of delivery;
② When providing the information for statistics, academic researches or market surveys, where individuals cannot be identified;
③ When required for calculating payments caused by transactions of the Goods/Services;
④ When it is required for ID confirmation to prevent illegal uses; or
⑤ When there is an inevitable ground in accordance with the terms of the Law or the Law.

  • When "RUAN Shopping" needs to obtain an agreement from the User in accordance with Clause 2 and 3, the terms set forth in Clause 2 of Article 22, the Law on Promoting Use of Information Communication Networks, including the information of personal information mangers (department, name, phone number and other contact information), the purpose of collecting and using the information and the matters related to providing the information to the third parties (information receivers, the purpose of provision and details of the information to be provided), shall be clearly indicated or notified in advance, so that the User can withdraw from such agreement at any time.
  • The User can request to read and correct the errors of his/her personal information obtained by "RUAN Shopping" at any time, and "RUAN Shopping" shall be obliged to take proper actions with no delay. When the User requests for correction of an error, "RUAN Shopping" shall not use such personal information until the error is corrected.
  • "RUAN Shopping" shall assign the people in charge of protecting the personal information and restrict the number, and shall be fully responsible for the damages to the User caused by loss, theft, disclosure and transformation of the User's personal information, including the credit card and bank account.
  • "RUAN Shopping" or the third party receiving the personal information from "RUAN Shopping" shall discard the personal information when the purpose of collecting or using such information is accomplished.

Article 18 (Duties of "RUAN Shopping")

  • "RUAN Shopping" shall not act against the Laws, this Agreement or the public policy, and shall do its best to continuously, stably provide the Goods/Services.
  • "RUAN Shopping" shall have a security system to protect the personal information (credit card information included) of the User, so that the Users can safely use the Internet Service.
  • "RUAN Shopping" shall compensate for the damages to the User as it conducts illegal expression or advertisement set forth in Article 3 of the「Act related to Fair Expression and Advertisement」 for its Goods/Services.
  • "RUAN Shopping" shall not send promotional e-mails for profits that are unwanted by the User.

Article 19 (Duties regarding Member ID & Password)

  • Excluding the cases specified in Article 17, the Member shall be responsible for the ID and password.
  • The Member shall not allow the third party to use his/her ID and password.
  • When the Member recognizes that his/her ID and password are stolen or any third party is using them, it shall be immediately notified to "RUAN Shopping" and the Member shall conform to the instruction given by "RUAN Shopping".

Article 20 (Duties of the Users)

The Users shall not do the following activities.

  • Registering a false information upon registration or change(s);
  • Illegal use of other's information;
  • Changing the information posted at "RUAN Shopping";
  • Sending or posting information other than the one specified by "RUAN Shopping" (like a computer program);
  • Infringing intellectual property rights of "RUAN Shopping" and other third parties;
  • Damaging the reputation of "RUAN Shopping" or other third parties, or hindering the activities;
  • Disclosing or posting obscene or violent messages, images, voice messages and other information that is against the public policy at "RUAN Shopping".

Article 21 (Relationship between the Connecting "RUAN Shopping" and the Connected "RUAN Shopping")

  • When the high-rank "RUAN Shopping" is connected to the low-rank "RUAN Shopping" by Hyperlink (for instance, letters, pictures and moving pictures are included in Hyperlink), the former is called the Connecting "RUAN Shopping" (website) and the latter is called the Connected "RUAN Shopping" (website).
  • When the Connecting "RUAN Shopping" posts a notice in the main screen of the Connecting "RUAN Shopping" or the pop-up screen at the point of connection, explaining that the Connecting "RUAN Shopping" is not responsible for guaranteeing the transactions of the Connected "RUAN Shopping" executing the transactions with the Users in independently providing the Goods/Services, the Connecting "RUAN Shopping" shall not be responsible for any problem caused by such transactions.

Article 22 (Ownership of Copyright & Restriction of Use)

  • The copyright and any other intellectual property right of publications written by "RUAN Shopping" shall be owned by "RUAN Shopping".
  • The User shall not use the information obtained from "RUAN Shopping" for the purpose of profit by means of copy, transmission, distribution, broadcasting or other ways, or permit the third party to use such information without consent from "RUAN Shopping".
  • When "RUAN Shopping" uses the information of the User, it shall be notified by the relevant User.

Article 23 (Settlement of Dispute)

  • "RUAN Shopping" shall establish and operate an organization for handling compensation for the loss so as to reflect reasonable opinions or complaints made by the User and to compensate for the loss.
  • It is the priority of "RUAN Shopping" to handle reasonable opinions or complaints made by the User. However, if it cannot be promptly handled, "RUAN Shopping" shall immediately notify the reason for delay and schedule for handling.
  • When there is a claim for damage relief by the User in relation to the E-Commerce dispute between "RUAN Shopping" and the User, it can be settled by the mediation of the Dispute Mediation Committee requested by the Fair Trade Commission or the governor.

Article 24 (Jurisdiction & Applicable Law)

  • The lawsuit against the electronic commerce dispute arising between "RUAN Shopping" and the User shall be filed based on the User's address and if there is no such address, it shall be filed to the competent court at the District Court in its jurisdiction. However, if the User's address or residency is not clear, or the User is living abroad, it shall be filed to the competent court by the Civil Proceeding Act.
  • Any electronic commerce lawsuit between "RUAN Shopping" and the User shall be applied with the Laws of South Korea.
Service Terms

Service Terms

I . RUAN KOREA INC. Membership Management Rules

  • This management rules are the basic terms and conditions to be conformed to as the members approved by RUAN KOREA INC. (hereinafter referred to as "the Company") conduct business activities.
  • The management rules shall be part of the agreed membership qualification conditions along with other rules.
  • When the Company's members violate the terms specified herein, the Company has the right to restrict or terminate all rights authorized to th members, including but not limited to, warning the member violating the rules and suspending or canceling the license.
  • The Member shall acknowledge and comply with the terms specified in the management rules.
  • The Company has the right to change the business policy and work procedure, and the Member shall always keep in mind of such changes which will be informed or announced through official publications, the Company's official homepage and documents.

Section 1 General Provisions

Article 1 Purpose

The management rules are intended for RUAN KOREA INC. (hereinafter referred to as "the Company") and the Members (hereinafter referred to as "the Member(s)") to comply with the mutual agreement in selling the Products sold by the Company (hereinafter referred to as "the Products"), so as to settle a sound, reasonable distribution culture and to promote common prosperity of both the Company and the Members.

Article 2 Scope of Application

Unless otherwise specified in a separate agreement regarding the Company's member management, both parties shall conform to the management rules.

Article 3 Applicable Rule

The management rules shall be based on the "Act on the Door-to-door Sales and etc".

Article 4 Subject of Application

The subject under the management rules shall be all the Members registered in the Company.

Section 2 Registration of Members

Article 5 Qualification of Members

Any citizen of South Korea can sign up to be the Member, and will not be restricted from becoming the Member owing to the person's age, educational background, career, job, gender, religion and other physical disabilities. However, any individual set forth in each clause of Article 14, the Act on Door-to-door sales and etc, shall be restricted from registration.

Article 6 Restriction of Registration

Any individual specified in each clause shall be restricted from registration.

  • All Members must register with his/her real name, and the Company shall only accept the qualification of the Member registered. When registered with a borrowed name, the claim of other's rights shall be unaccepted.
  • A new member refers to an individual registered in recommendation and support of the registered Member. The following documents must be submitted to the Company along with the membership application form and contract.

① A copy of ID card (limited to only a copy of identification card or driver's license);
② Certificate of residence, certificate of alien registration and so forth (limited to the ID card accepted in accordance with the applicable laws) in accordance with Clause 8 of Article 6 and a copy of passport;
③ When a foreigner is to register, a copy of ID card per country; and
④ A copy of bankbook with the Member's name.

  • The membership application form must be filled in by the candidate Member, and when an agent fills in the form without consent, such agent shall be responsible for any problem arising from it.
  • Upon membership registration, a married couple can only have one ID.
Article 8 Approval of Qualification for Membership

Qualification for membership has its effect when the Company grants an unique ID to the applicant, and the Company has the sole right to determine whether to approve the qualification or not.

Article 9 Meaning of Qualification for Membership

The Member registered by the Company refers to an independent member performing sales activities at his/her own decision conforming to the sales policy, marketing plan and Product purchasing disclosed by the Company, and the Member is legally responsible for all such activities.

Article 10 Management of Member Information

Upon registration, the Member shall clearly reveal personal information and matters related to recommendation and support in accordance with the procedure of submitting documents set forth by the Company, and the individual submitting such documents shall be responsible for any fault or error. In addition, the Member shall immediately notify the Company when the personal information (address, contact number and etc) and other necessary information are changed. The Member shall be responsible for not notifying such change(s) (for instance, mail return).

Section 3 Obligation of the Member

Article 11 Clear Understanding of Information & Delivery

Upon membership registration, the Company shall provide the Company's rules and Product information, and the Member shall have fully knowledge of all rules and information upon registration. The Member must deliver only the information officially released by the Company, and shall not distort or exaggerate the information released.

Article 12 Sincere Sales Activities

All Members shall sincerely conduct sales activities when he/she is accurately informed and certain of the Products after he/she used such Products, and shall be responsible for all sales activities in relation to sub-members or customers. Furthermore, all Members must inform his/her contact number to the sub-members he/she recommended/supported or the customer (member) who purchased the Products.

Article 13 Training Support & Completion

Since all Members receive allowance by sincerely supporting training for sub-members, the duty of training and managing sub-members should be constantly fulfilled. The training for promotion shall be conducted and the sub-members shall complete such training. The Company may impose sanctions for those not completed the training.

Article 14 Tax Payment

For any income generated from selling the Company's Products, all Members shall sincerely pay taxes in accordance with the tax law of South Korea.

Article 15 Conforming to the Relevant Laws, Ordinances and Rules

Upon registration, all Members shall be deemed to have agreed with the Company's general rules, and in particular, agreed with and signed the 'Membership Management Rules'. Thus, the Members shall conform to all rules, training and management specified by the Company as well as the relevant laws in conducting sales activities.

Section 4 Qualification for Membership & Activities

Article 16 Expiration of Regular Member

Qualification for membership shall be in effect for 6 months from the month after the month of approval (the month of new registration or of purchase) to the end of the sixth month. If there is a Product purchase, it shall be in effect for 12 months from the month after the month of purchasing to the end of the twelfth month.

Article 17 Cancellation of Allowance owing to Subscription Withdrawal

When subscription withdrawal of the contract on purchasing the Products of the withdrawer or the recommended (hereinafter referred to as "return") has occurred, the contract is retroactively terminated, having no reason to pay allowance to the Member. In principle, the allowance already paid shall be redeemed or deducted for it becomes unjust enrichment.

Article 18 Replacement & Return for Different Product

"Replacement" refers to exchanging the Product purchased by the Member from the Company with the same one when there is a defect or fault in such Product for the duration of 3 months. Such Product can be exchanged with the same one in accordance with the quality certification system of 3 months.

"Return for Different Product" refers to requesting for exchange of the Product purchased by the Member from the Company with the different one when there is a defect or fault in such Product for the duration of 3 months. Such Product can be returned to be exchanged with the different one in accordance with the quality certification system of 3 months.

Article 19 Changing Member's Name

In principle, it is impossible to change the Member's name, yet it is exempted under the following circumstance:

  • When inherited owing to death.

Section 5 Prohibited Matters & Termination of the Membership Rights

Article 20 Membership Registration without Consent

The Member shall not register (recommend/support) someone as his/her sub-member without the consent of such person or have such person insured using the copies of ID card and bankbook.

Article 21 Registration of the Person Restricted from Registration

Teachers (faculty included), public officials, minors, students and any other unqualified person shall not be registered as the Member, and when such person is as specified in Article 6 of the management rules, he/she shall immediately or without delay withdraw from membership.

Article 22 Forced Membership Registration or Sales Contract

The Member shall not force the other party to conclude a contract on Product sales, or hinder subscription withdrawal or termination of the contract.

Article 23 Circulation of False or Exaggerated Information

The Member shall not inform a false or exaggerated information, induce sales deals using a deceitful method, deliver a false information on the quality and price of Products, or take actions to mislead others to believe that the Products are far more better or advantageous than their actual conditions. Furthermore, the Member shall not address his/her interpretation or opinion related to the Products, other than the official announcement of the Company.

Article 24 Action to Burden Others & Imposition of Duty

The Member shall not burden the registered Member and the person who wishes to be the Member with whatever reasons, including requesting for a membership fee, supplementary sales item and training fee that exceed the 'Degree defined in the Presidential Decree', and not take actions for imposition of duty.

Article 25 Action related to Subscription Withdrawal

The Member shall not take any of the following actions.

  • An action to damage part of the Product or change the address/contact number (contact interruption) so as to hinder subscription withdrawal or termination of the contract, or to induce delay in using the Product in order to prevent return;
  • An action to return or replace the Product without the given person's consent;
  • An action to register in the other line with the given person's name/borrowed name by intentionally returning the Product or by returning the Product and withdrawing from the membership at the same time, or to induce membership as such; or
  • An action for collective return of Products by intentionally inducing return by other Members for other purposes, such as moving to another company.
Article 26 Unreasonable Purchase or High-Pressure Sales
  • he Member shall not perform high-pressure sales of the Products to others, such as providing the Products without the given person's subscription and charging payment. In particular, the Member shall not sell the Products to sub-members.
  • The Member shall not unreasonably purchase the Product, or induce or burden the sub-members to do so or encourage high-pressure sales for the purpose of promotion or receiving allowance for himself/herself or the person at a higher position.
  • The Member shall not force customers to purchase the Product by phone, fax or computer, even when the customers revealed that he/she has no intention of purchasing the Product.
Article 27 Product Sales using Social Status

The Member shall not force registration of others as sub-members using his/her social status, or encourage membership registration or Product sales by circulating a false information that celebrities or the famous have been registered.

Article 28 Other Abnormal Business Activities including Staying in a Training Camp or Leaving Home

The Member shall not force a person who wishes to be the Member or the Member to leave home for a long period of time or stay in a training camp against such person's will, or sit by and watch or abet similar activities.

Article 29 Misrepresentation as the Company's Executives and Staffs & as if having Exclusive Rights
  • All Members are not employed or in partnership with the Company, and shall not represent the Company or executives/staffs of the Company in any case.
  • The Members shall not represent the Company's Product as the product of other companies, or act as if the Members have an exclusive sales right and/or a local exclusive right.
  • The Members shall not allow a person not registered as the Member to perform sales activities.
Article 30 Exaggerative Advertisement & Negligence of Delivering Information

The Member shall not deliver an inaccurate or exaggerated information regarding the Company's Product and allowance payment rule. Also, the Member shall keep in touch with customers after Product sales and perform the customer service after delivering the Product.

Article 31 Making Someone Want to be Lucky & Inducing Sales

The Member shall not make someone want to be lucky with words that if any person is subscribed, money can be earned, promoting the Company's allowance payment rule, or induce customers' investment or sales by a person who cannot conduct business activities (students, minors, seniors, a person devoid of mental/physical capacity and etc).

Article 32 Act of Using the Member's Personal Information

The Member shall not use the personal information of customers and the Members, unless it is used in accordance with the rules related to Company's membership activities such as calculation of payment and delivery of goods.

Article 33 Mass Media Advertising & Sales through Advertising
  • The Company advertising or producing printed matters via mass media is prohibited.

① The Company related matters or Products shall not be media-advertised without the Company's consent.
② he Company's printed matters (trade name and logo) shall not be manufactured, distributed or sold without the Company's consent.

  • Internet Site related Action Prohibited

① The Company's trade name/logo that can be misunderstood as the Company's official homepage shall not be used without the Company's consent, and the Company's shopping mall shall not be copied.
② The Company's business activities shall not be exaggerated using unconfirmed or insufficient information.
③ Advertisement e-mails using the Company's trade name or Products shall not be sent without the consent of given users.

Article 34 Abuse of the Authority & Negligence of Training Support Duty

The Member shall not use his/her authority to demand sub-members to do some activities that may burden them, or publicize critical comments that may determine qualification for membership or use abusive language. The Member shall sincerely perform supportive activities, and not sit by and watch wrongful business practices or receive only the allowance.

Article 35 Slander of the Company & Members

The Member shall not intentionally malign the Company and other Members at an open or closed place, or shall not defame the Company's or Member's reputation even though the fact is revealed without manipulation.

Article 36 Transfer & Acquisition of the Member's Rights

The Member shall never transfer/acquire the qualification for membership illegally, or transfer/acquire the rights and authority of the sales organization and Members to the third party.

Article 37 Money Transaction, Unfulfillment of Product Delivery
  • The Member shall not use the Company's organization for money transaction without Product delivery, or assist conduct of or merely conduct money transaction without authentic Product delivery.
  • The Member shall check whether the Product is properly delivered or to be delivered after the sales (contract) is concluded, and notify (explain) the Product information (how to use the Product).
Article 38 Public Criticism of the Company or Member-Member

The Member shall not conduct the following actions.

  • Despite the Company's business code or rule, the Member shall not unreasonably claim his/her rights, interrupting the business activities and using force in the Company and training centers, including disturbance, violence and using abusive languages.
  • The Member shall not publicly criticize other Members for whatever reason in relation to illegal money and credit card use.
Article 39 Group within the Organization Prohibited

A group for other purposes (separate projects, promoting friendship and others) within the sales organization shall not be organized with a separate group name, or the purpose of such group shall not have the priority over that of the sales purpose. The Members from specific regions or certain Members shall not be called together to exercise the authority's individual influence.

Article 40 Thoughtless Setup of Other Members

The Member shall not submit a list of false aggregate signatures requesting for a disciplinary action without a concrete evidence, or recommend cancelation of discipline to resolve misunderstanding or conflict after the claim for civil complaints.

Article 41 Unethical Speculative Behavior

The Member shall not conduct any of the following actions.

  • Adultery, leaving home due to family trouble and any unethical conduct among male/female Members shall be considered as personal issues. However, when such act disturbs the sound sales culture and order, degrading the Company's image, or when it greatly impacts other Members as the related Member fails to demonstrate an example, the Company shall terminate the authority of such Member and take other measures.
  • The Member shall not submit false documents in relation to membership registration and sales revenues.
Article 42 Measures taken against Misuse of Cash

The cash income of other Member cannot be replaced with the given person's or other's card, misusing such cash. In accordance with the importance of issue, the qualification of the Member can be suspended or terminated.

Section 6 Operation of Ethics Commission for Members & Suspension of Qualification

Article 34 Operation of Ethics Commission

For proper establishment of business cultures and prevention from damages caused by good faith or will of other Members, the Company shall request for deliberation by the Ethics Commission regarding a critical issue that is expected to result in suspension of qualification for at least 1 month when the Act on Door-to-door sales and the management rules are violated. The Company shall have the right to take various disciplinary actions and those violating the law or rules shall conform to the final decision.

  • The Ethics Commission shall be composed of 5 people or more, including the Company's executives, staffs and Members.

① Apply by attaching evidential documents upon occurrence of violation;
② Request for reply and explanatory materials from the related Member;
③ Check the facts and investigate the actual conditions; and
④ The sanction decided shall be notified to the given Member in writing (e-Document included).
⑤ When a corrective measure in relation to the violation of rules by the Member requires urgency, or when severe crisis is anticipated, the qualification of the given Member can be restricted during the review period until a final decision is made.
⑥ When a discipline is decided, the Company shall notify the related Member(s) or put up a notice at the related center (e-Document included). After 10 days from the date of such notification, it shall be deemed as no claim for objection and it will handled as notified.

Article 44 Type of Sanction
  • Termination of qualification
  • Suspension of qualification
  • Warning
  • Other necessary measures
Article 45 Warning & etc

When the Member violated the prohibited matters or the management rules, or for any minor issues, the Company shall warn the Member up to 2 times (However, when the Member violated the rules again from the date of such warning is notified and delivered, the duration for suspension of qualification can be up to 6 months, and the qualification can be terminated and expelled.)

Section 7 Withdrawal from Membership & Termination of Qualification

Article 46 Suspension of the Member's Qualification (Right)
  • The Member's qualification shall be suspended under the following condition:

① When the Member violates the terms set forth in Section 5 Prohibited Matters (Article 20~42);
② When a product other than the Company's Product or business is recommended or promoted to other Members of the Company;

  • The Company shall have the right to immediately suspend the qualification of the Member without a warning, when the degree of violation is severe. Here, the Company shall notify the given Member of such suspension as it goes into effect.
  • The subjects whose qualification can be suspended include the given Member as well as the Member at the highest position, and the duration for suspension shall be from at least 1 month to up to 6 months.
  • The Member whose qualification is suspended shall be restricted from conducting the following activities:

① Right to purchase and sell the Products;
② Right to recommend/support new Members; and
③ Right to receive allowance (Here, loss of such right refers to termination of the right).

  • The Company shall investigate not only the given Member, but also the superior Members on whether the person was aware of the violation in advance, has sincerely supported training and responsible for management according to the importance of the given issue. The Company may take disciplinary actions against the superior Members of the related Member (for all positions including the immediate superior).
Article 47 Withdrawal from Membership

Any Member has the right to withdraw from membership by notifying the Company (in writing, by website and etc).

Article 48 Termination of Qualification (Expel)
  • The qualification or right of the Member shall be terminated under the following conditions.

① Any person whose rights are suspended for 2 times or more for violating the membership rules;
② When false information is filled in the membership application form;
③ When such person caused a severe sales loss to the Company.

  • The Company shall have the right to terminate the qualification of the Member who has caused a major harm to the Company without the process of suspending the qualification. When the Member's rights are terminated, all legal relations with the Company shall be terminated and the Member's rights shall be invalid.
  • When terminating the Member's rights or qualification, the Company shall investigate not only the given Member, but also the superior Members on whether the person was aware of the violation in advance, has sincerely supported training and responsible for management according to the importance of the given issue. The Company may take disciplinary actions against the superior Members of the related Member (for all positions including the immediate superior).
Article 49 Re-registration of the Members
  • When the Member is automatically withdrawn from membership since he/she has not renewed the qualification, membership can be registered on the day after the date of withdrawal. When the Member is withdrawn (voluntary withdrawal or withdrawal owing to return of Products), new registration is permitted after 180 days from the date of withdrawal.
  • Any Member who lost the qualification due to a discipline may be permanently excluded from membership registration.

Section 8 Notice & Matters other than the Rules

Article 50 Notice

For establishment of proper business cultures, the Company shall announce a list of the Members with warnings, suspended or terminated qualifications in writing or posted on the Company's official homepage.

Article 51 Matters other than the Rules

Matters other than the Rules shall be in accordance with the applicable laws, ordinances and general commercial practices of other companies.

Additional Rules

Article 1 Enforcement & Application

The Rules shall be enforced on the date of notification - 2012.5.4.

II . Business Procedure of RUAN KOREA INC.

Any Member registered in RUAN KOREA INC. can purchase the Products with membership price (wholesale price) to gain profits (retail income) from direct sales.


  • All Members must purchase the Company's Products directly from the Company.
  • The Member shall not have an excessive stock of Products for a new purchase, and shall not purchase too much Products, which is beyond the quantity that can be sold to other customers or self-consumed. In such a case, withdrawal (return) of purchases may be restricted in accordance with the Act on Door-to-door Sales and etc.
  • The Company's Members shall accurately identify his/her sales ability or consumption range to purchase the Products.

Replacement of Products & Subscription Withdrawal

Replacement of Products

When customers or the Members point out the defects of Product contents or containers and request for replacement, such Product can be replaced with the same Product, if the request is reasonable in relation to the Product warranty conditions.

2. Unsatisfying Product

When customers or the Members request to return the purchased Product for a refund, it can be refunded if such request is reasonable in relation to the Product warranty conditions. However, in such as case, the customers or Members shall return the Product in accordance with the Act on Door-to-door Sales and etc and submit a subscription withdrawal form in writing to the Company. The Company shall refund the price after deducting the allowance already paid.

3. Excessive Stock (Overstock)

Return of the unused Products that can be resold is permitted, yet the Company has the right to restrict the Members with overstock in withdrawing subscriptions and purchasing the Products. When the Member fails to return the Products on behalf of the customers who reasonably requested for return, the purchaser may request for return directly to the Company, and the Company shall refund the price. The Company shall have the right to indemnity against the Members after the price is refunded to the customers (purchasers).

4. Return Process

The Member who is not a customer shall have the right to withdraw the subscription on the given contract in writing within 3 months after the contract is concluded, unless the Member informed the Company of false inventory or severely damaged the Products so that they cannot be resold. The Member shall prepare a return application form, attach it to a purchase order or transaction details and submit to the Company. After return is approved, the Products can be returned.

III. The Marketing Plan of RUAN KOREA INC.

Summary of the Marketing Plan

When it comes to the Marketing Plan of the Company, a wide range of multi-level compensation in relation to the sales performance is made for the Members who have independent rights of consuming or selling the Company's Products (hereinafter referred to as "the Member(s)"). Using the Network Sales method, the Products shall be sold to customers, or consumed by the Members or sub-members. Such Marketing Plan is to compensate training and supporting activities regarding the individual's Product consumption, sales and sales of other Members.

Membership Qualification

The Member refers to anyone without obligations or conditions, who is approved by the Company after submitting the documents for membership registration. The consumer Member is the one for simply consuming the Products, and the business Member is the one for gaining income.

2. Membership Benefits
  • Good Products can be purchased.
    Various types of qualitative Products can be purchased with a reasonable price. In addition, they can be used as an opportunity for successful business activities.
  • The Products can be purchased with the discounted membership price.
    The Products manufactured by the Company can be purchased with the discounted price in accordance with the Company's rules.
  • Retail income may be gained.
    The difference between the membership price and the retail price when selling the Company's Products in accordance with the Act on Door-to-door sales and etc, will be the retail income.
  • Support allowance can be received.
    According to the performance of business activities by the Members, including the retail or support activities, diverse allowance can be received. When there is a sales by the sub-members who are registered by the Member, support allowance can be received in accordance with the Company's rules. ※ In case of communication products, related allowance is given only when such products are sold by the given Member.
3. Marketing Plan
  • The total allowance of the Member based on the membership level, support allowance, multi-matching service, allowance for job grade and training allowance shall be 70% of the point value (PV) (When it exceeds 35% of the gross sales, it is automatically deducted).
  • Acquisition of the Membership Level:
    The Company's Rules shall be applied.
  • Support Allowance:
    The Company's Rules shall be applied.
  • Multi-Matching Bonus:
    The Company's Rules shall be applied.
  • Allowance for Job Grade:
    The Company's Rules shall be applied.
  • Promotion Standard:
    The Company's Rules shall be applied.
  • Celebratory Promotion:
    The Company's Rules shall be applied.
  • Training Allowance:
    The Company's Rules shall be applied.
  • Total Sales Allowance Range:
    The Company's Rules shall be applied.

IV. Prohibited Matters for the Company's Members

※ The Company's Members shall not conduct each of the following actions.

Membership Qualification
  • An action to force order of the Products or hinder cancellation of orders;
  • Using a false or exaggerated method, or deceitful method to induce Product orders or hinder subscription withdrawal, or deliver a false information on the price and quality of the Products or mislead others to believe that such Products are significantly superior or advantageous compared to the actual ones;
  • An action to impose money and valuables, or fees that are beyond the terms set forth in the Act/Enforcement Ordinance of Door-to-door Sales and etc in the title and form of membership registration fee, supplementary sales items, sales quantity per individual and training fee;
  • When compensation is offered to the Company's Members for recruiting sub-members, or when compensation is provided without a reasonable cause other than the allowance set forth in the support allowance rule;
  • When changing the address, contact number and so forth for the purpose of hindering subscription withdrawals;
  • When neglecting the duration of handling disputes or complaints, damaging customers;
  • When forcing others to purchase the Product after providing the Product without an individual's subscription and charging for payment, or forcing the sub-members to purchase the Products;
  • When forcing others to purchase the Products or get the related services by phone, fax and computer, even when such person clearly indicated that he/she has not intention of purchasing the Product or getting the services;
  • When the Member forces others to register as sub-members or to purchase the Products using his/her social status;
  • When forcing the person who wishes to be the Member or the Member to take part in the training or education against his/her decision;
  • When the Member pretends to be the Company's employee or allows the person who is not registered as the Member to conduct activities;
  • When the Member sells an individual Product sold to customers with a price that is beyond the terms set forth in the enforcement ordinance;
  • When using the customer's personal information without such person's consent or beyond the range permitted;
  • When transferring or acquiring the status of the Member's organization and the Member; however, it is exempted when the Member status is inherited;
  • When violating the prohibited matters announced by the Fair Trade Commission for protection of customers;
  • When forcing the Members to recruit or support sub-members allocated per person;
  • When providing a false information in relation to the profits the Member is likely to gain;
  • When there is only money transaction without Product delivery or services, or merely money transaction without authentic Product delivery or services;
  • When providing a false information written in the membership book; and/or
  • When deceiving or abetting the prohibited matters described above.

V. Ethical Rules for the Company's Members

As the Member of RUAN KOREA INC., I will have full commitment as the Member and conform to the matters set forth in the 'Membership Rules' contained in the Company's membership book.

For Reputation & Dignity

As the Member of the Company, I will act on behalf of RUAN KOREA INC. with sincerity and honesty, and be responsible with self-esteem and community spirit.

2. Conforming to the Ethical & Enforcement Rules

In conducting the Company's business activities, I will be fully aware of the terms and conditions specified in the Ethical Rules, Enforcement Rules and other regulations, rules and guidelines, and conform to them.

3. Acknowledgement of the Marketing Plan & Accurate Delivery of the Plan

I acknowledge that the Company business activities require sincere efforts. I will endeavor to fully understand the information related to the Products and the Company's Marketing Plan before selling the Products and will not spread inaccurate information. I will do my best for constant education and training. If any is violated, I will be responsible for any disciplinary action taken by the Company.

4. Guaranteeing Customer Satisfaction

I will thoroughly identify customer satisfaction on the Products sold and respond to it accordingly, so that the quality of the Company's Products is not distorted, deceitful or exaggerated for customers. In addition, I will make sure that the request for complaints or return by customers is handled with accuracy and promptness in accordance with the procedure specified in the Company's official guideline, fully satisfying the customers.

5. Conforming to the Related National Laws & Company Rules

In conducting the Company's business activities, I will conform to all national laws and ordinances, including the Act on Door-to-door Sales and etc, as well as various rules and regulations established by the Company.

6. Punishing the Violators

When various regulations and rules established by the Company, including the Ethnical and Enforcement Rules, are violated, I will bear all sanctions imposed upon, including compensation for damages to the Company, restriction in purchasing the Products, suspending the membership activities and reception of support allowance and termination of qualification or rights.

Multi-Level Marketing

The following is the explanation of Multi-Level Marketing specified in Clause 1, Article 18 of the Enforcement Rule for the Act on Door-to-door Sales, defined by the Fair Trade Commission.

  • Multi-Level Marketing refers to a gradual, multi-level sales method in which a customer who has used the products sold by the Multi-Level Marketing Company becomes the member of such organization to sell or recommend using the products to other customers, and then such customers become the members again to do the same. It does not go through a typical distribution channel like: Manufacturer → Wholesaler → Retailer → Customer.
  • As customers become members and membership registration gradually spreads, it may damage the customers as it rely on personal/private selling.
  • Multi-Level Marketing, which has been the social issue, may encourage people want to be lucky as the product price is too high compared to its quality, illegally demanding money and valuables from people who wishes to be the member and forcing the existing members to purchase the products or recruit sub-members, where the member income is mostly from just recruiting sub-members.
  • Thus, the Government is implementing the Act on Door-to-door Sales to prevent customers from damages and encouraging them to want to be lucky caused by Multi-Level Marketing, and if violated, related person can be punished accordingly.

When recommended to become the member of Multi-Level Marketing

When a Multi-Level Marketing organization recommended to register as a member, first check the following matters.

  • Before membership registration, first check whether the company that you wish to register is registered in the Fair Trade Commission or the Mayor/Governor in accordance with the Act on Door-to-door Sales and etc. If there is any suspicious matter, hold on for registration and contact the Fair Trade Commission, or the Mayor/Governor(related department), association of businessmen and consumer group.
  • If you wish to be the Multi-Level Marketing member, thoroughly review the products manufactured by such company and check if it is appropriate to act as the member. Since such marketing has no advertisement or distribution margin, the quality and price of products should be competitive.
  • The member should be able to withdraw from membership whenever possible, and the company should have no right to impose whatever conditions in relation to withdrawal.

When purchasing or selling the goods and services from the Multi-Level Marking company

When a Multi-Level Marketing company recommended to register as a member, first check the following matters.

  • Multi-Level Marketing companies are obliged to be insured in the Consumer Damages Compensation Insurance or the Financial Cooperative. When purchasing the goods or services (hereinafter referred to as the "goods/services") from the Multi-Level Marketing company, make sure that such company has concluded a subscription contract in relation to the Consumer Damages Compensation Insurance or the Financial Cooperative, and receive an insurance policy or a certificate. If the Multi-Level Marketing company fails to refund the price of goods/services or refuses to supply the goods/services when there is a subscription withdrawal or the contract is terminated (hereinafter referred to as the "subscription withdrawal"), all or part of the price for goods/services can be compensated in accordance with the insurance conditions set by the insurance company.
  • The member can request for subscription withdrawal and refund the price of goods/services from the sales company when less than 3 months have passed from the date of purchase. The amount of refund is as follows: Subscription withdrawal within 1 month from the date of supply - full price; subscription withdrawal within 2 months and after 1 months from the date of supply - the contract amount in which 5% of the price is deducted; and subscription withdrawal within 3 months and after 2 months from the date of supply - the contract amount in which 7% of the price is deducted.
  • When the member requests for subscription withdrawal and returns the products to the sales company, the price can be refunded within 3 working days. If the sales company fails to make a refund within 3 working days, the amount added with delay charge can be refunded.
  • As a member, when the products are sold to a customer and the customer requests for subscription withdrawal within 14 days from the date of contract conclusion (when delivery of goods or services is later than the date of contract conclusion, within 14 days from the date of goods or services delivery), the price of goods or services should be refunded.

What is an illegal Multi-Level Marketing Organization?

The following companies indicate illegal Multi-Level Marketing organizations. If the companies that you know are as described below, report them to the city/province, Fair Trade Commission, headquarters of the police, association of businessmen and consumer groups.

  • There is no or unclear Multi-Level Marketing business license and number.
  • The information related to calculating and providing support allowance is not disclosed.
  • A Multi-Level Marketing member license, membership book and others are not issued or ones with insufficient information are issued.
  • Expensive products where the sales prices is over 1,300,000 won (VAT included) are sold.
  • There is no clear rule on returning and refunding products, or such rule is not conformed to.
  • The ratio of support allowance is excessively high (It exceeds 35% of the membership price of goods/services).
  • It induces membership registration using violence, pressure and other forceful, threatening methods.
  • As a membership fee, it demands 10,000 won or more, or forces to purchase products that are more than 50,000 won as the condition for membership registration.
  • It forces the members to purchase supplementary sales items of more than 30,000 won.
  • Unlike the standard on providing support allowance notified upon membership registration, it maintains membership and the support allowance is paid only when the sales quantity per person is achieved.
  • Income is generated only by registering people.
  • The address and contact information of office is intentionally and frequently changed.
  • The products are sold with significantly higher prices compared to those of similar products, or only money transaction is conducted.
Privacy Policy

Privacy Policy

Privacy Policy specifies the purpose of collecting personal information by RUAN KOREA INC. (hereinafter referred to as "the Company") and the political, systematic security of such information for protection of personal information. It is established to prevent damages to human rights caused by disclosure of personal information and to secure confidentiality and freedom of the Member's privacy as well as the confidentiality of communications and network.

In accordance with Article 20 of the Personal Information Protection Act, the Company has established and announced the following Privacy Policy so as to protect the personal information of information providers and handle related troubles with efficiency and promptness. The Company informs our Members on how and on what purpose the personal information is used and what actions are taken for protection of personal information in this Privacy Policy.

The Company will inform any changes to the Privacy Policy through the notice of official homepage. Please frequently visit our homepage to check for any change.
When the Company amends the Privacy Policy, it will be notified through the notice of official homepage (or notified to individual Members).

Article 1 Personal Information Collection Items & Purpose of Use

The Company will use the collected personal information for the following purposes. The personal information processed will be used for the purposes specified below, and when the purpose of its use is changed, any necessary measures, including a separate agreement for its use, will be implemented in accordance with Article 18 of the Personal Information Protection Act.

  • Collection Items : Resident registration number or alien registration number, bank account number and business (corporate) registration number
  • Purpose of Use : To check an individual's decision for membership registration; identify and authenticate the identity of member for membership registration; maintain and manage the membership rights; check the member ID; prevent illegal use of membership services; for various announcements and notifications; trouble-shooting (handling troubles); ID check for purchasing/authorization; for legal and administrative duties imposed to the Company in accordance with the applicable laws and ordinances including the Act on Door-to-door Sales and etc; pay allowances; for tax declaration/payment including the income and residents' taxes; and for issuance/distribution of cash receipts and tax invoices.
  • Collection Items : Name, birthday, login ID, password, phone number (home), mobile phone number and e-mail address
  • Purpose of Use : To secure an accurate address for delivery of products; offer services; send contracts and bills; provide contents; offer customized services; for user authentication; for age authentication in accordance with the applicable laws and ordinances including the Act on Door-to-door Sales; for user and age check based on the membership services; for membership registration and management; and for preparation of a list of members.

Article 2 Personal Information Retention Period & Period of Use

When receiving the services provided by the Company, the personal information of Members will be retained in the Company and used for service provision. However, when the purpose of collecting and receiving the personal information of Members is achieved, when withdrawal from membership is requested in accordance with the procedure set forth in Article 47 of the Membership Management Rules of the Company, or when the Member's rights are terminated in accordance with the cause(s) defined in Article 48, the relevant personal information will be deleted using a technical method that prevents recovery of such information, and it cannot be read or used for any other purposes.

However, when such information should be retained for a certain period of time for the purpose of checking the relation of rights and duties in relation to the business transactions, in accordance with the applicable laws and ordinances such as the Commercial Law, such information will be retained for the set period.

Records on contracts (agreements) or subscription withdrawal : 5 years

Records on payments and supply of goods/services : 5 years

Records on customer complaints or dispute settlement : 3 years

Prevention of re-registration within 6 months after withdrawal from membership & Distinguishing people not suitable to be the Company's Members in accordance with the internal corporate policy : 3 years

Article 3 Personal Information Provision & Sharing

In principle, the Company will not disclose the Member's personal information to companies and organizations that are irrelevant to the services. However, the personal information can be exceptionally provided without a consent under the following conditions.

① When it is determined that personal information should be provided to take legal actions against the person who violated the Company's Membership Rules, or damaged others or acted against the beautiful and fine custom using the Company's services;
② When it is requested by the investigation agencies for the purpose of conducting investigations in accordance with the procedure and method specified in the law, or for the purpose of the terms set forth in the laws.

Article 4 Consignment of Personal Information Processing & Providing to the Third Parties

For improvement of the services, collection, handling and management of the Member's personal information can be consigned to the consignment company, and upon concluding a consignment agreement in accordance with the applicable laws and ordinances, it is specified for safe management of personal information.

① Upon concluding a consignment agreement, the Company will specify the following matters in the contract documents, including prohibition of handling personal information for purposes other than the purpose of consignment works in accordance with Article 25 of the Personal Information Protection Act; technical and managerial protection policy; restriction of re-consignment; management and supervision of the consignee; and liability of compensation for damages, and will supervise whether the consignee is safely handling the personal information.
② When the consignment work scope or the consignee is changed, it will be immediately informed in the Privacy Policy.

Article 5 Rights/Duties of the Information Provider & Exercising the Rights/Duties

① The information providers can exercise the following rights related to protection of personal information at any time against the Company.

  • Request for reading the personal information;
  • Request for correction of errors;
  • Request for deletion; and
  • Request for suspension of information handling.

② Exercising the rights in accordance with Clause 1 can be done in writing and by phone, e-mail or fax, and the Company will immediately take proper actions.
③ When the information providers request for correction of errors in the personal information or for deletion of personal information, the Company will not use the relevant personal information until such correction or deletion is completed.
④ Exercising the rights in accordance with Clause 1 can be done through an agent, including a legal agent of the information provider or any delegating person. In such a case, the power of attorney in accordance with the Appendix 11 Form of the Enforcement Rules of the Personal Information Protection Act should be submitted.
⑤ The information providers should not violate the applicable laws including the Personal Information Protection Act to invade the personal information and privacy of himself/herself and others.

Article 6 Technical & Managerial Actions

① Technical Measures

The Company has come up with the following technical measures in handling the Member's personal information, to prevent loss, theft, leakage, transformation or damage of the personal information and to secure safety.

  • The Member's personal information is protected with passwords, and files and transmission data are encrypted or a file lock function is used to protect critical data with a separate security function.
  • The Company uses a vaccine program to prevent damages caused by computer viruses.
  • The vaccine program is periodically updated, and it is provided as the viruses suddenly appear, preventing the viruses to intrude the personal information.
  • The Company uses encryption algorithm and adopts a security device (SSL or SET) to safely send the personal information via network.
  • In preparation for external intrusions including hacking, each server is fully protected using the intrusion prevention system (firewall) and vulnerability analysis system.

② Managerial Measures

  • The Company restricts the number of users authorized to access the Member's personal information, and regular office training and the training with external instructors regarding acquisition of new security technologies and duties of personal information protection are conducted for the employees handling the personal information.
  • Before joining the company, all employees sign the security pledge to prevent disclosure of information by people, and internal procedures are established to monitor whether the employees conform to the Privacy Policy and whether the terms are implemented accordingly.
  • The employees handling personal information will transfer his/her works with the security thoroughly maintained, and the employees are responsible for the accidents related to personal information upon entering and leaving the company.
  • The Company will not be responsible for user's mistakes or any event caused by the basic danger of Internet.
  • The individual Member should reasonably manage his/her ID and password to protect the personal information and the Member should act with responsibility.
  • When the personal information is lost, disclosed, transformed or damaged, caused by the internal administrator's mistake or the accident in relation to technical management, the Company will immediately inform the Member and come up with an appropriate action.

Article 7 Personal ID & Password Management

In principle, the ID and password used by the Member are to be used only by such Member. Unless the Company intentionally or negligently uses the information, the Company will not be responsible for the problems arising from illegal use of the Member's ID and password or use by other people. In whatever case, do not reveal the password to others and take special care not to disclose the personal information to others when at login status. When the personal information of others is illegally used for membership registration or purchasing goods/services, the agreement can be unilaterally terminated and the person illegally using the information will be sentenced for 3 years or less, or fined for 10 million won or less in accordance with the Resident Registration Act.

Article 8 Information Protection for the Children under 14

Only the person who is 20 years or older can register as the member of the Company.

Article 9 Personal Information Manager

The Company will be responsible for overall handling of personal information, and the following managers for personal information protection (management & practical task) are assigned for handling complaints of the information providers and damage relief. Any personal information protection related inquiry, complaints handling and damage relief arising from using the Company's services (or business activities) can be dealt by the personal information managers and relevant departments. The Company endeavors to offer you with the best possible answers for the inquiry of information providers.

① Personal Information Manager

  • Name : Guk-Sang Choi
  • Contact Number : 1661-8235 (Extension no. 3)
  • E-mail :

② Hands-on Personal Information Staff

  • Name : Gyeong-Ah Kim
  • Contact Number : 1661-8235 (Extension no. 1)
  • E-mail :

Article 10 Relief of Infringement on Rights and Interests

The information providers can inquire the following organizations for invasion of personal information. The organizations listed below are irrelevant to the Company. Please contact the following organizations to report or consult accidents related to invasion of personal information.

Personal Information Intrusion Declaration Center & Dispute Mediation Committee (under operation by Korea Internet & Security Agency)

  • Tasks : Reporting intrusion of personal information, requesting for consultation and applying for dispute mediation
  • Homepage:
  • Contact Number: (without area code) 118
  • Address: (138-950) KISA, 135 Jungdae-ro, Songpa-gu, Seoul

Personal Information Intrusion Declaration Center

  • Cybercrime Investigation Department of the Prosecution Service: 02-3480-3573 (
  • Cyber Terror Response Center of the National Police Agency: 1566-0112 (

For further consultation in relation to infringement/damages of personal information, contact the Personal Information Intrusion Declaration Center inside KISA (; Contact Number: 1336).

Article 11 Change of the Privacy Policy

  • Privacy Policy: v1.0
  • The Privacy Policy will be applied from May 4th, 2012.
I agree to all the terms and conditions.