Due Diligence Exemption from Joint Liability

Verified from official sources
Article 26Version 1Effective -Verified 31 August 2026

In plain language

A company will not be fined for an employee's violation if the company can prove it exercised proper care and supervision to prevent the illegal activity.

Requirement as structured

A corporation or individual employer is exempt from joint penal liability (양벌규정) if they did not neglect to exercise reasonable care and supervision (상당한 주의와 감독) to prevent the violation by their employee.

Original regulatory text

다만, 법인 또는 개인이 그 위반행위를 방지하기 위하여 해당 업무에 관하여 상당한 주의와 감독을 게을리하지 아니한 경우에는 그러하지 아니하다.