CHAMBERS OF COMMERCE AND INDUSTRY ACT

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CHAMBERS
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2018-08-23 17:54
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CHAMBERS OF COMMERCE AND INDUSTRY ACT


[Enforcement Date 23. Mar, 2013.] [Act No.11690, 23. Mar, 2013., Amendment by Other Act]

산업통상자원부 ( 산업정책과) , 044-203-4213




CHAPTER I GENERAL PROVISIONS






Article 1 (Purpose)


The purpose of this Act is to prescribe matters concerning the establishment and operation of chambers of commerce and industry and the Korea Chamber of Commerce and Industry with the aim of contributing to developing the national economy by elevating the economic and social status of merchants and industrialists and bolstering the competitiveness of the nation's commerce and industry.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 2 (Juristic Personality)


Every chamber of commerce and industry and the Korea Chamber of Commerce and Industry established pursuant to this Act shall be a juristic person.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 3 (Work)


Every chamber of commerce and industry and the Korea Chamber of Commerce and Industry shall perform the work falling under each of the following subparagraphs:


1. Consultation and suggestion on commerce and industry-related policies of the Government and local governments;


2. Surveys and research on the commerce and industry;


3. Formulation and implementation of plans to support the commerce and industry;


4. Collection and publication of information and materials on the commerce and industry;


5. Guidance, education concerning the commerce and industry and assist and intermediation of transactions;


6. Verification, inspections and evaluation concerning the commerce and industry;


7. Distribution and authorization of technology and skills concerning the commerce and industry;


8. Cooperation and coordination between conglomerates and small and medium enterprises;


9. Cooperation with domestic and foreign institutions concerned with commercial arbitrations;


10. Advancement of welfare and interests of those who are engaged in the commerce and industry;


11. Holding and assisting in holding fairs and exhibitions in order to advance the commerce and industry;


12. Installation and operation of exhibition and training facilities, etc. concerned with the commerce and industry;


13. Establishment of economic ethics and enhancement of business morality;


14. Promotion of international commerce and trade, and international economic cooperation;


15. Development of occupational capabilities, and occupational education and training;


16. Works commissioned by the State and local governments;


17. Others incidental to those referred to in subparagraphs 1 through 16.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




CHAPTER II CHAMBERS OF COMMERCE AND INDUSTRY






SECTION 1 Establishment






Article 4 (Purpose of Establishment)


Every chamber of commerce and industry shall be established for the purpose of developing the nation's commerce and industry by representing the commerce and industry circles in its jurisdictions, speaking for the rights and interests of such commerce and industry circles, providing its members with technology and information and elevating the economic and social status of its members.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 5 (Jurisdictions)(1) Every chamber of commerce and industry shall be established with the administrative areas of a Special Metropolitan City, Metropolitan Cities, a Special Self-Governing Province, or a Si/Gun (excluding a Gun located in a Metropolitan City) under its jurisdiction: Provided, That if the number of eligible members is not enough or special circumstances exist, any chamber of commerce and industry may be established by integrating not less than two adjoining administrative areas of a Special Metropolitan City, Metropolitan City or Si/Gun (excluding a Gun located in a Metropolitan City).


(2) Every chamber of commerce and industry may set up its branch office, as prescribed by its articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 6 (Authorization, etc. of Establishment)(1) A chamber of commerce and industry shall be promoted by at least 30 persons eligible for membership and established by obtaining authorization from the Minister of Trade, Industry and Energy after preparing the articles of association at the inaugural general meeting by obtaining approval from at least 100 persons eligible for membership including the promoters. In such cases, at least 100 persons eligible for membership shall include no less than 50 members under Article 10 (3).


(2) Upon receiving an application filed for authorization for the establishment of a chamber of commerce and industry under paragraph (1), the Minister of Trade, Industry and Energy shall grant the authorization within 30 days from the date of application if procedures for the establishment of such chamber of commerce and industry and contents of the articles of association thereof are not in violation of Acts and subordinate statutes.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 7 (Articles of Association)(1) The following matters shall be included in the articles of association of a chamber of commerce and industry:


1. Name;


2. Jurisdictions;


3. Location of an office;


4. Matters concerning the number of councillors and special councillors, and their election;


5. Matters concerning the number, election and authority of officers;


6. Matters concerning meetings;


7. Matters concerning administrative affairs;


8. Matters concerning membership fees, rental fees and service charges;


9. Matters concerning dissolution.


(2) When a chamber of commerce and industry intends to modify the matters specified in paragraph (1) 1, 2, 4, 5, 8 and 9, it shall obtain authorization therefor from the Minister of Trade, Industry and Energy.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 8 (Registration, etc. of Establishment)(1) A chamber of commerce and industry shall be established by effecting the registration of its establishment in the place in which its principal office is located.


(2) Matters to be registered concerning the establishment of a chamber of commerce and industry under paragraph (1) shall be as follows:


1. Name;


2. Jurisdictions;


3. Location of an office;


4. Date of authorization granted for the establishment;


5. Name and address of the representative.


(3) Where the matters referred to in the subparagraph of paragraph (2) are modified, the registration for modification thereof shall be made within three weeks from the date of modification.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 9 (Dissolution)


A chamber of commerce and industry shall be dissolved on the grounds falling under each of the following subparagraphs:


1. Resolution adopted at the general meeting of councillors;


2. Bankruptcy;


3. Merger;


4. Grounds for dissolution prescribed in the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




SECTION 2 Membership






Article 10 (Membership)(1) A person who runs the commerce and industry (referring to the acts to earn the business income under Article 19 (1) 2 through 14 of the Income Tax Act) (hereinafter referred to as "merchant and industrialist") may be eligible for the membership of a chamber of commerce and industry having jurisdiction over the place where his/her office of business, factory or place of business is located.


(2) A nonprofit corporation and organization which is engaged in the business related to the commerce and industry may be eligible for the special membership of a chamber of commerce and industry having jurisdiction over the place where its office is located.


(3) Notwithstanding paragraph (1), an amount of sales tax under Article 17 of the Value-Added Tax Act (with respect to the supply of goods and services to which the zero tax rate is applied under Article 11 of the Value-Added Tax Act or which is exempted from taxes under Article 12 of the same Act, an amount equivalent to the amount of tax calculated in accordance with what is prescribed by Presidential Decree shall be added to the amount of sales tax) satisfies the standards set forth by Presidential Decree shall be rightfully eligible for the membership of a chamber of commerce and industry.


(4) The standards for eligibility for the membership pursuant to paragraph (3) may be modified once every three years in consideration of the inflation rate and other economic conditions.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 11 (Entry into Membership)(1) A person who intends to gain the membership or special membership of a chamber of commerce and industry shall file an application therefor with such chamber of commerce and industry as prescribed by the articles of association and become the member or special member by obtaining approval from the chamber of commerce and industry.


(2) When a person eligible for the membership or special membership intends to join a chamber of commerce and industry as a member or special member, the chamber of commerce and industry may not reject his/her application for such membership or special membership without any justifiable grounds.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 12 (Associate Membership)(1) A person who intends to participate in works performed by a chamber of commerce and industry or to make use of facilities operated by such chamber of commerce and industry as a merchant and industrialist without gaining a membership of the chamber of commerce and industry may be granted an associate membership of the chamber of commerce and industry.


(2) An associate member shall pay membership fees, as prescribed by the articles of association.


(3) An associate member may participate in works performed by a chamber of commerce and industry and use facilities operated by the chamber of commerce and industry, as prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 13 (Rights of Members, etc.)(1) Every member and special member of a chamber of commerce and industry shall have a right to participate in works performed by the chamber of commerce and industry and to make use of facilities operated by the chamber of commerce and industry, as prescribed by the articles of association.


(2) Every member and special member of a chamber of commerce and industry shall have a right to elect any councillor or special councillor or to be elected as such in accordance with Article 22 and the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 14 (Obligations of Members, etc.)(1) Every member and special member of a chamber of commerce and industry shall earnestly participate in the business and operation of the chamber of commerce and industry.


(2) Every member and special member of a chamber of commerce and industry shall pay membership fees, as prescribed by the articles of association, within the limit of the amount approved by the Minister of Trade, Industry and Energy.


(3) A chamber of commerce and industry may, as prescribed by Presidential Decree, reduce a part of membership fees of a member if he/she is a member of the small and medium enterprise cooperatives under the Small and Medium Enterprise Cooperatives Act and falls under the provisions of Article 10 (3).


[This Article Wholly Amended by Act No. 10709, May 24, 2011].






Article 15 (Secession from Membership)(1) A member or special member of a chamber of commerce and industry may secede from his/her membership of the chamber of commerce and industry after notifying the chamber of commerce and industry of his/her intention to secede therefrom: Provided, That the same shall not apply to a member provided for in Article 10 (3).


(2) A member or special member falling under any of the following subparagraphs shall duly secede from his/her membership of a chamber of commerce and industry:


1. When he/she is disqualified to be a member or special member;


2. When he/she dies or a chamber of commerce and industry with which he/she is affiliated as a member or a special member is dissolved;


3. When he/she goes bankrupt.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 16 (Expulsion and Restrictions on Rights)(1) When a member or special member falls under any of the following subparagraphs, a chamber of commerce and industry may expel him/her from the chamber of commerce and industry after adopting a resolution at a general meeting of councillors or place restrictions on all of some of his/her rights, as prescribed by the articles of association:


1. Where he/she fails to perform his/her obligation to pay his/her membership fees and his/her other obligations to the chamber of commerce and industry without any justifiable grounds;


2. Where he/she performs any prohibited act under the articles of association.


(2) If a chamber of commerce and industry intends to expel a member or special member in accordance with paragraph (1), it shall notify the member or special member of the grounds of his/her expulsion ten days before the date on which a general meeting of councillors is held and provide him/her with an opportunity to state his/her opinion at the general meeting.


(3) Any resolution adopted at a general meeting of councillors with respect to the expulsion of a member or special member without providing him/her with an opportunity to state his/her opinion at the general meeting of councillors under paragraph (2) shall not be able to be set up against the expelled member or special member.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 17 (Membership Roster)(1) A chamber of commerce and industry shall make, keep and manage a membership roster with respect to its members and associate members.


(2) If it is deemed necessary to make the membership roster, a chamber of commerce and industry may request its members and associate members to submit materials with respect to their amount of sale, manufactured goods, etc.. In such cases, the members and associate members shall not reject the request without any justifiable grounds: Provided, That the same shall not apply to matters concerning patents, technology and other trade secrets in possession by the members and associate members.


(3) A person who has learned matters concerning confidential information of merchants and industrialists in relation to the preparation of the membership roster shall not leak the confidential information to any other person or abuse it.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




SECTION 3 Organizations






Article 18 (General Meeting of Councillors)(1) Every chamber of commerce and industry shall have the general meeting of councillors.


(2) The general meeting of councillors shall consist of councillors and special councillors.


(3) An ordinary general meeting of councillors shall be held once a year at the time prescribed by the articles of association.


(4) A provisional general meeting of councillors shall be convened by the President if the President deems it necessary to do so or councillors and special councillors make a request stating in writing the objectives and grounds of convening the provisional meeting of councillors with the consent of not less than 1/3 of the fixed number of registered councillors and special councillors. If the President fails to convene the provisional general meeting of councillors within 15 days from the date of request without any justifiable grounds, the representative of councillors and special councillors who have made the request for convening the provisional general meeting of councillors shall convene the provisional general meeting of councillors.


(5) The President shall be the Chairperson of the general meeting of councillors: Provided, That if the President is unable to perform his/her duties for unavoidable reasons, a person designated by the President according to the order set by the President in advance among vice presidents shall chair the general meeting of councillors. If the President and vice presidents are all unable to perform their duties, the Chairperson shall be elected among councillors present.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 19 (Matters to be Resolved on at General Meeting of Councillors)


Matters falling under any of the following subparagraphs shall undergo a resolution at the general meeting of councillors:


1. Modification of the articles of association;


2. Matters concerning membership fees;


3. Approval of the settlement of accounts;


4. Matters concerning the election of councillors and special councillors;


5. Matters concerning the election of officers and the consent to appointment and dismissal of officers;


6. Dismissal of councillors, special councillors and officers;


7. Dissolution;


8. Expulsion of members and special members;


9. Establishment of a chamber of commerce and industry by division or merger


10. Other important matters prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 20 (Proceedings of General Meeting of Councillors)(1) The general meeting of councillors shall open with the attendance of a majority of the fixed number of registered councillors and special councillors, and resolve on matters with the concurrent vote of a majority of those present: Provided, That the matters provided for in subparagraphs 1, 6, 7, and 9 of Article 19 shall be resolved on with the attendance of not less than 2/3 of the fixed number of registered councillors and special councillors and the concurrent vote of not less than 2/3 of those present.


(2) A councillor or special councillor may exercise his/her voting right either in writing or through his/her agent. In such cases, a councillor or special councillor who submits a written statement or has his/her agent attend the general meeting of councillors on behalf of him/her shall be deemed present at the general meeting of councillors.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 21 (Fixed Number of Councillors and Special Councillors)(1) The fixed number of councillors of a chamber of commerce and industry shall be set by the articles of association within the limit of 100 persons.


(2) The fixed number of special councillors shall be set by the articles of association within the scope not exceeding 1/5 of the fixed number of councillors referred to in paragraph (1).


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 22 (Election of Councillors)(1) Councillors shall be elected by members among the members of a chamber of commerce and industry while special councillors shall be elected by special members among the special members of a chamber of commerce and industry.


(2) A by-election shall be held when the position for not less than 1/5 of the fixed numbers of councillors or special councillors become vacant: Provided, That even when the position for less than 1/5 of the fixed number becomes vacant, a by-election may be held, as prescribed by the articles of association, if the general meeting of councilors deems it necessary.


(3) Matters concerning the election of councillors and special councillors referred to in paragraph (1) and methods of and procedures, etc. for holding the by-elections referred to in paragraph (2) shall be prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 23 (Restrictions on Qualifications of Councillors, etc.)(1) A person falling under any of the following subparagraphs shall not become a councillor or special councillor of a chamber of commerce and industry:


1. A person who is not a member or a special member;


2. An incompetent or quasi-incompetent person;


3. A person who has yet to be reinstated after having been declared bankrupt;


4. A person who is subject to a decision made with respect to the commencement of rehabilitation process under the Debtor Rehabilitation and Bankruptcy Act;


5. A person who has been sentenced to imprisonment without labor or a heavier punishment and for whom two years have yet to elapse from the date on which the execution of the sentence is terminated (including a case where the execution of the sentence is deemed terminated) or is exempted;


6. A person who is under the suspension of execution of the imprisonment without labor or a heavier punishment as declared by a court;


7. A person who has been dismissed from the position of a councillor, a special councillor or an officer in accordance with a resolution of the general meeting of councillors and for whom three years have yet to elapse from the date of dismissal.


(2) If the matters falling under paragraph (1) happen to a councillor or a special councillor, the councillor or special councillor shall be dismissed.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 24 (Dismissal of Councillors)(1) Councillors and special councillors may ask the general meeting of councillors for the dismissal of a councillor or a special councillor with the consent of not less than 1/5 of the registered councillors.


(2) When the general meeting of councillors intends to pass a resolution with respect to the dismissal of any councillor or special councillor, it shall inform the relevant councillor or special councillor of the reasons of the dismissal ten days before the date on which the general meeting of councillors is held to pass the resolution with respect to the dismissal and provide him/her with an opportunity to state his/her opinion at the general meeting of councillors.


(3) A resolution passed at a general meeting of councillors with respect to the dismissal of any councillor or special councillor without providing him/her with an opportunity to state his/her opinion at the general meeting of councillors under paragraph (2) shall not be able to be set up against the dismissed councillor or special councillor.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 25 (Term of Office for Councillors)(1) The term of office for councillors and special councillors shall be three years.


(2) The term of office for a councillor elected in a by-election shall be the remaining period of the term of office for his/her predecessor.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 26 (Representative of Corporation Councillor)(1) A corporation elected as a councillor or special councillor (hereinafter referred to as "corporation councillor") shall select a representative among the officers of the corporation (in case the office of business, factory or the place of business has no corporation officer, a person in charge of overall business thereof shall be the representative) to have him/her serve as a councillor or special councillor.


(2) A person falling under any of the following subparagraphs shall not be selected as the representative referred to in paragraph (1):


1. A person who falls under any restrictions on qualifications referred to in Article 23 (1) 2 through 7;


2. A councillor of the same chamber of commerce and industry;


3. A representative of another corporation councillor in the same chamber of commerce and industry.


(3) When a corporation councillor selects or replaces its representative under paragraph (1), it shall inform the relevant chamber of commerce and industry of the selection or the replacement without delay.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 27 (Officers)(1) A chamber of commerce and industry shall have one president, vice presidents, standing councillors and auditors as its officers. In such cases, the number of officers (excluding the president) shall be prescribed by the articles of association.


(2) A chamber of commerce and industry having jurisdiction over a Special Metropolitan City, a Metropolitan City, a Special Self-Governing Province or a city where a Do office is located may have one standing vice president.


(3) Officers shall be elected at a general meeting of councillors by the chamber of commerce and industry among its members while the Chairperson shall be elected among the councilors: Provided, That the standing vice-chairperson shall be appointed or dismissed by the Chairperson after obtaining the consent of the general meeting of councillors.


(4) The term of office for officers shall be three years, and the term of office for any officer elected in a by-election shall be the remaining period of the term of office for his/her predecessor: Provided, That the Chairperson may be reelected only once. In such cases, the term of office of the Chairperson elected in a by-election shall not be included therein.


(5) The officers, with the exception of the standing vice president, shall be non-standing.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 28 (Mandatory Resignation, etc. of Officers)(1) An officer shall resign from his/her office in any of the following cases:


1. When he/she is dismissed from the office of a councillor or special councillor under Article 23 (2);


2. When he/she, as the representative of a corporation councillor, resigns from the office of an officer of the corporation (in case that the office of business, factory or the place of business has no corporation officer, a person in charge of overall business thereof) or when the corporation changes the representative.


(2) The provisions of Article 24 governing dismissal of councillors shall apply mutatis mutandis to the dismissal of an officer.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 29 (Duties of Officers)(1) The president shall represent his/her chamber of commerce and industry, prepare the agenda and take overall control of the chamber's work.


(2) When the president is unable to perform his/her duties due to unavoidable reasons, a person designated by the president in accordance with the order set by the president in advance among vice presidents shall act on behalf of the president in performing the duties.


(3) The standing vice president shall assist the president in executing and dealing with the chamber's work and when the president and vice presidents are all unable to perform their duties for unavoidable reasons, he/she shall perform the chamber's work on behalf of them.


(4) The auditors shall audit and inspect the work and property of their chamber of commerce and industry.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 30 (Standing Committee)(1) A chamber of commerce and industry shall have a standing committee.


(2) The standing committee shall consist of the president, vice presidents, the standing vice president (this shall apply only to cases where the standing vice president is appointed under Article 27 (2)) and standing councillors.


(3) The president shall convene the standing committee if he/she deems it necessary to do so or members of the standing committee make a request stating in writing the purposes and reasons of convening the standing committee with the consent of not less than 1/3 of the fixed number of registered members.


(4) The standing committee shall open with the attendance of a majority of the fixed number of registered members, and resolve on with the concurrent vote of a majority of those present.


(5) The president shall be the Chairperson of the standing committee: Provided, That when the president is unable to perform his/her duties for unavoidable reasons, a person designated by the president in accordance with the order set by the president beforehand from among vice presidents (excluding the standing vice president) shall chair the standing committee. When the president and vice presidents are all unable to perform their duties, a person elected among members present shall be the Chairperson.


(6) Every member of the standing committee may exercise his/her voting right in writing. In such cases, any member who submits a written statement shall be deemed present.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 31 (Matters to be Resolved on at Standing Committee)


Matters falling under each of the following subparagraphs shall undergo a resolution of the standing committee:


1. Formulation of a work schedule and budget;


2. Establishment and amendment of rules governing the office organization, service, personnel administration, salaries and accounting of the secretariat;


3. Matters concerning borrowing of funds;


4. Matters mandated under a resolution of the general meeting of councillors;


5. Other matters prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 32 (Secretariat)(1) A chamber of commerce and industry shall have a secretariat to deal with administrative affairs.


(2) The organization, tasks and other necessary matters of the secretariat shall be prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




SECTION 4 Establishment of a Chamber of Commerce and Industry by Division or Merger






Article 32-2 (Establishment of Chamber of Commerce and Industry by Division)(1) A chamber of commerce and industry having jurisdiction over one administrative area or two or more administrative areas may be established by dividing a chamber of commerce and industry which has been established by integrating two or more administrative areas of a Special Metropolitan City, a Metropolitan City or a Si/Gun (excluding a Gun located in a Metropolitan City) (hereafter referred to as "integrated chamber of commerce and industry" in this Article) pursuant to the proviso to Article 5 (1).


(2) If a chamber of commerce and industry is to be established by dividing an integrated chamber of commerce and industry as prescribed in paragraph (1), a resolution thereon shall be adopted at a general meeting of councillors of the integrated chamber of commerce and industry. In such cases, the general meeting of councillors of the integrated chamber of commerce and industry may adopt a resolution on the scope of rights and obligations that a chamber of commerce and industry to be established by division is to take over.


(3) An integrated chamber of commerce and industry shall make a public notification for at least one month stating that any creditor, if dissatisfied with the resolution under paragraph (2), may raise an objection within a specific period, and give individual peremptory notices to the creditors who already know it.


(4) Where an objection is raised by a creditor as prescribed in paragraph (3), an integrated chamber of commerce and industry shall make payment or provide reasonable security, or leave considerable property in trust at a trust company for such purpose.


(5) A chamber of commerce and industry to be established by division as prescribed in paragraphs (1) and (2) shall be formed in accordance with the procedures set forth in Articles 6 through 8.


(6) When a chamber of commerce and industry established by division pursuant to paragraph (5) registers its incorporation, the integrated chamber of commerce and industry shall, within three weeks, modify its articles of association on the change of its jurisdictions and register such changes after obtaining authorization from the Minister of Trade, Industry and Energy.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 32-3 (Merger of Chambers of Commerce and Industry)(1) Where a chamber of commerce and industry intends to merge with another chamber of commerce and industry, a resolution there on shall be adopted respectively at the general meetings of councillors of each of them.


(2) Each of chamber of commerce and industry which intend to merge pursuant to paragraph (1) shall elect incorporators at their general meetings of councillors.


(3) The quorum of incorporators shall be 30 or more persons, and the same number of incorporators shall be elected respectively among members of each of chambers of commerce and industry which intend to merge; Provided, That the chambers of commerce and industry may decide differently upon mutual agreement.


(4) A chamber of commerce and industry to be established by a merger as prescribed in paragraph (1) shall be formed in accordance with the procedures set forth in Articles 6 through 8. In such cases, "promoters" in Article 6 shall be deemed as "incorporators".


(5) The term of office of an incorporator shall expire when officers are elected at the first general meeting of councillors convened by the chamber of commerce and industry formed by a merger.


(6) Where two or more chambers of commerce and industry exist in one administrative area due to the integration of administrative areas, each chamber of commerce and industry shall take a merging process pursuant to paragraphs (1) through (5) without delay from the time the administrative areas are integrated, and a chamber of commerce to be formed by merger shall register as prescribed in Article 32-4 (1) within one year.


(7) Article 32-2 (3) and (4) shall apply mutatis mutandis to public notification raising an objection against the resolution of a chamber of commerce and industry which intends to merge with another chamber of commerce, peremptory notices to creditors and repayment or provision of security for the creditors who has raised an objection.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 32-4 (Time and Effect of Merger)(1) Merger of chambers of commerce and industry pursuant to Article 32-3 shall take effect by filing the registration for the merger at the place where the principal office of a chamber of commerce and industry formed by a merger is located.


(2) The term of office of officers of each chambers of commerce and industry before a merger shall expire when officers are elected at the first general meeting of councillors convened by the chamber of commerce and industry formed by a merger.


(3) A chamber of commerce and industry formed by a merger shall succeed to the rights and obligations of a chamber of commerce and industry which ceases to exist by a merger.


(4) The name of an extinct chamber of commerce and industry specified in the registration certificate and other registers shall be deemed the name of the chamber of commerce and industry established by a merger.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




CHAPTER III KOREA CHAMBER OF COMMERCE AND INDUSTRY






SECTION 1 Establishment






Article 33 (Purpose of Establishment)


The Korea Chamber of Commerce and Industry aims to advance common interests of its members and to contribute to bolstering and stimulating the competitiveness of the commerce and industry by making recommendations to the central and local governments after collecting and coordinating opinions and proposals from its members with respect to the commerce and industry.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 34 (Establishment)(1) Chambers of commerce and industry shall jointly establish the Korea Chamber of Commerce and Industry.


(2) The Korea Chamber of Commerce and Industry shall be established, with not less than five chambers of commerce and industry acting as promoters and with the consent of not less than ten chambers of commerce and industry, after the articles of association thereof are made at an inaugural general meeting and authorization thereof is granted by the Minister of Trade, Industry and Energy.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 35 (Articles of Association)(1) The following matters shall be included in the articles of association of the Korea Chamber of Commerce and Industry:


1. Name;


2. The place of office;


3. Matters concerning the number of special councillors and their election;


4. Matters concerning the number, election and authority of officers;


5. Matters concerning meetings;


6. Matters concerning management of administrative affairs;


7. Matters concerning membership fees, rental fees and service charges.


(2) When the Korea Chamber of Commerce and Industry intends to change the matters of paragraph (1) 2 through 4 and 7, it shall obtain authorization thereof from the Minister of Trade, Industry and Energy.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 36 (Registration, etc. of Establishment)(1) The Korea Chamber of Commerce and Industry shall be established by having its establishment registered at the place where its principal office is located.


(2) Matters to be registered under paragraph (1) shall be as follows:


1. Name;


2. The place of office;


3. The date of authorization of its establishment;


4. The name and address of the representative.


(3) If the matters referred to in each subparagraph of paragraph (2) are changed, such change shall be registered within three weeks from the date of change.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




SECTION 2 Members






Article 37 (Members)(1) Chambers of commerce and industry shall become regular members of the Korea Chamber of Commerce and Industry.


(2) National federations of nonprofit corporations and organizations that are engaged in the business related to the commerce and industry, institutions corresponding thereto and enterprisers' organizations established by business type may become special members of the Korea Chamber of Commerce and Industry, as prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 38 (Membership Fees)(1) Regular members and special members shall pay membership fees.


(2) The membership fees of a regular member shall be an amount calculated by multiplying the total amount of the membership fees received from its members by the percentage that the articles of association prescribes within 10/100.


(3) The membership fees of a special members shall be an amount set by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 39 (Application Mutatis Mutandis to Restrictions on Rights of Regular Members and Special Members)(1) The provisions of Article 16 on restrictions on rights of members or special members of the chamber of commerce and industry shall apply mutatis mutandis to the restrictions on rights of regular members. In such cases, the term "members" shall be read as "regular members."


(2) The provisions of Articles 11, 15 and 16 on entry, etc. of members or special members of the chamber of commerce and industry shall apply mutatis mutandis to the entry, secession, expulsion and the restriction of rights of special members.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




SECTION 3 Organizations






Article 40 (General Meeting of Councillors)(1) The Korea Chamber of Commerce and Industry shall have the general meeting of councillors.


(2) The general meeting of councillors shall consist of delegates and special councillors.


(3) The provisions of Article 18 (3) through (5) on the general meeting of councilors of the chamber of commerce and industry and Article 20 on proceedings thereof shall apply mutatis mutandis to procedures of convening the general meeting of councillors, vicarious execution of the Chairperson's duties and the proceedings of the general meeting of councillors.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 41 (Matters to be Resolved on at General Meeting of Councillors)


The following matters shall be resolved on at the general meeting of councillors:


1. Changes in the articles of association;


2. Matters concerning membership fees;


3. Approval of the settlement of accounts;


4. Matters concerning the election of special councillors and officers;


5. Dismissal of special councillors and officers;


6. Dissolution;


7. Expulsion of special members;


8. Other important matters prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 42 (Delegates and Special Councillors)(1) Delegates shall be the presidents of chambers of commerce and industry.


(2) Special councillors shall be elected by special members from among special members provided for in Article 37 (2). In such cases, methods of electing such special councillors shall be prescribed by the articles of association.


(3) The number of special councillors shall be set by the articles of association within the scope of not exceeding 1/2 of the fixed number of councillors.


(4) The term of office of special councillors shall be three years: Provided, That the term of office of a special councillor elected in the by-election shall be the remaining term of his/her predecessor.


(5) The provisions of Articles 23, 24 and 26 on restrictions on qualifications of councillors of the chamber of commerce and industry shall apply mutatis mutandis to the restriction on qualifications for special councillors, dismissal of special councillors and the representatives of corporation councillors.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 43 (Officers)(1) The Korea Chamber of Commerce and Industry shall have one President, vice presidents, standing councillors and auditors as its officers. In such cases, the number of officers (excluding the President) shall be set by the articles of association.


(2) The Korea Chamber of Commerce and Industry shall have one standing vice president.


(3) Officers shall be elected among its members at a general meeting of councillors while the Chairperson shall be elected from among the delegates: Provided, That the standing vice-chairperson shall be appointed or dismissed by obtaining consent at the general meeting of councillors.


(4) The term of office of officers shall be three years: Provided, That the term of office of any officer elected in the by-election shall be the remaining term of his/her predecessor.


(5) Officers, with the exception of the standing vice president, shall be non-standing.


(6) The provisions of Article 28 on the rightful resignation, etc. of an officer of the chamber of commerce and industry shall apply mutatis mutandis to the mandatory resignation and dismissal of officers.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 44 (Duties of Officers)(1) The President shall represent the Korea Chamber of Commerce and Industry, prepare the agenda and take overall charge of the chamber's business.


(2) If the President cannot perform his/her duties due to unavoidable reasons, a person designated by the President according to the order set by the President in advance from among vice presidents shall act on behalf of the President in performing his/her duties.


(3) The standing vice president shall assist the president in executing and dealing with the chamber's business and if the President and vice presidents cannot perform their duties for unavoidable reasons, he/she shall perform the chamber's business on behalf of them.


(4) The auditors shall audit and inspect the business and property of the Korea Chamber of Commerce and Industry.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 45 (Standing Committee)(1) The Korea Chamber of Commerce and Industry shall have a standing committee.


(2) The provisions of Articles 30 (2) through (6) and 31 on the standing committee of the chamber of commerce and industry shall apply mutatis mutandis to the composition, convocation, proceedings, matters subject to be voted of the standing committee of the Korea Chamber of Commerce and Industry.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 46 (Administrative Office)


The provisions of Article 32 on the secretariat of the chamber of commerce and industry shall apply mutatis mutandis to the administrative office of the Korea Chamber of Commerce and Industry. In such cases, the "secretariat" shall be deemed "administrative office".


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




CHAPTER IV SUPPLEMENTARY PROVISIONS






Article 47 (Business Schedule and Budget)


Every chamber of commerce and industry and the Korea Chamber of Commerce and Industry shall make business schedules and draft budgets of each fiscal year and then the resolution thereof shall be passed by their standing committees one month before the commencement of the relevant fiscal year. The same shall apply to cases where they intend to change their budgets.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 48 (Submission, etc. of Statement of Settlement of Accounts)(1) The President of every chamber of commerce and industry and the President of the Korea Chamber of Commerce and Industry shall submit their statements of settlement of accounts (referring to the business report, balance sheet, income statement, plan for retained earnings or losses) to auditors one week before their regular general meetings of councillors are held and keep such statements of settlement of accounts in their principal offices.


(2) Members and special members of a chamber of commerce and industry, and regular members and special members of the Korea Chamber of Commerce and Industry may request the perusal of documents referred to in paragraph (1) or the delivery of copies thereof.


(3) The President of a chamber of commerce and industry and the President of the Korea Chamber of Commerce and Industry shall submit the documents referred to in paragraph (1) and the statements of auditors at their ordinary general meetings of councillors for approval thereof.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 48-2 (Auditing by Outside Auditor)(1) A chamber of commerce and industry and the Korea Chamber of Commerce and Industry which have revenue amounting to one billion won or more in the previous fiscal year shall undergo a financial audit by an auditor every fiscal year under Article 3 of the Act on External Audit of Stock Companies (hereafter referred to as "auditor" in this Article).


(2) When an auditor has audited a chamber of commerce and industry or the Korea Chamber of Commerce and Industry pursuant to paragraph (1), he/she shall submit his/her audit report to the Chairperson and auditor of the relevant chamber of commerce and industry or the Korea Chamber of Commerce and Industry.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 49 (Administrative Disposition against Unlawful Act)(1) Where an officer of a chamber of commerce and industry or of the Korea Chamber of Commerce and Industry violates this Act or the articles of association, the Minister of Trade, Industry and Energy may request the chamber of commerce and industry or the Korea Chamber of Commerce and Industry to take steps for re-election with respect to the relevant officer.


(2) An officer who becomes subject to re-election under paragraph (1) (hereafter referred to as "officer subject to re-election" in this Article) shall be suspended from performing his/her duties from the date on which the re-election is requested to the date on which whether to hold a re-election is determined.


(3) If a request for re-election under paragraph (1) is made, the Chairperson of a chamber of commerce and industry or of the Korea Chamber of Commerce and Industry shall convene a general meeting of councilors within 15 days from the date on which such request is made: Provided, That where the Chairperson of the chamber of commerce and industry or of the Korea Chamber of Commerce and Industry fails to convene or cannot convene the general meeting of councilors within 15 days, the general meeting of councilors may be convened by obtaining approval of 1/3 or more of the fixed number of councilors and special councilors.


(4) An officer subject to re-election shall be dismissed unless the general meeting of councilors which is convened under paragraph (3) is attended by 2/3 or more of incumbent councilors and special councilors and 2/3 of those present vote in favor of putting confidence again in the officer subject to re-election.


(5) The provisions of Article 24 (2) and (3) on dismissal of councillors of the chamber of commerce and industry shall apply mutatis mutandis to resolution for putting confidence again for the officer subject to a re-election under paragraph (4).


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 50 (Guidance and Supervision)(1) The Korea Chamber of Commerce and Industry shall guide and supervise the business and accounting of a chamber of commerce and industry, as prescribed by Presidential Decree.


(2) The Korea Chamber of Commerce and Industry may order a chamber of commerce and industry to make a report on the business and accounting or to undergo audit, as prescribed by Presidential Decree.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 51 (Report and Examination)(1) The Korea Chamber of Commerce and Industry shall make a report to the Minister of Trade, Industry and Energy on its business schedule and budget.


(2) The Minister of Trade, Industry and Energy may request the Korea Chamber of Commerce and Industry to submit necessary materials related to its business and accounting or require his/her officials to examine necessary materials related to its business and accounting.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 52 (Prohibition on Use of Similar Name)


No institution other than a chamber of commerce and industry or the Korean Chamber of Commerce and Industry established pursuant to this Act shall use the name "chamber of commerce and industry" or the "Korea Chamber of Commerce and Industry" or any similar name thereto: Provided, That the same shall not apply where such institution obtains approval therefor from the Minister of Trade, Industry and Energy, as prescribed by Presidential Decree.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 53 (Rental Fees and Service Charges)


Every chamber of commerce and industry and the Korean Chamber of Commerce and Industry may collect rental fees and service charges with respect to the performance of the business provided for in Article 3 from users, as prescribed by the articles of association.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 54 (Subsidies)


Local governments may provide subsidies for the business of chambers of commerce and industry within their budgetary limits.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 55 (Delegation of Authority)


The authority of the Minister of Trade, Industry and Energy provided for in this Act may be partially delegated to a Special Metropolitan City Mayor, a Metropolitan City Mayor, a Do Governor or the Governor of a Special Self-Governing Province, as prescribed by Presidential Decree.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 55-2 (Political Neutrality)(1) A chamber of commerce and industry and the Korea Chamber of Commerce and Industry shall observe political neutrality in performing their business and shall not be a member of any party which aims for political activities.


(2) A chamber of commerce and industry and the Korea Chamber of Commerce and Industry shall be prohibited from performing the following acts:


1. Supporting any specific political party;


2. Helping any specific candidate win an election;


3. Having any specific candidate fail in an election;


4. Other acts of destroying political neutrality.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




Article 56 (Application Mutatis Mutandis of the Civil Act)


The provisions regarding the incorporated association by or under the Civil Act shall apply mutatis mutandis to chambers of commerce and industry and the Korea Chamber of Commerce and Industry except those provided for in this Act.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




CHAPTER V PENAL PROVISIONS






Article 57 (Fines for Negligence)(1) A person who violates Article 52 on the prohibition on use of similar name shall be punished by a fine for negligence not exceeding one million won.


(2) Fines for negligence referred to in paragraph (1) shall be imposed and collected by the Minister of Trade, Industry and Energy.


[This Article Wholly Amended by Act No. 10709, May 24, 2011]




부칙  ADDENDA<Act No. 7428,  Mar. 31,  2005>


Article 1 (Enforcement Date)




This Act shall enter into force one year after the date of its promulgation.


Articles 2 through 6 Omitted.






부칙  ADDENDA<Act No. 8109,  Dec. 28,  2006>


(1) (Enforcement Date) This Act shall enter into force on January 1, 2007.


(2) Deleted. <by Act No. 10229, Apr. 5, 2010>


(3) (Applicability) The amended provisions of Article 27 (4) shall apply starting with the first Chairperson elected after this Act enters into force.





부칙  ADDENDA<Act No. 8852,  Feb. 29,  2008>


Article 1 (Enforcement Date)




This Act shall enter into force on the date of its promulgation. (Proviso Omitted.)


Articles 2 through 7 Omitted.






부칙  ADDENDA<Act No. 10229,  Apr. 5,  2010>


(1) (Enforcement Date) This Act shall enter into force on January 1, 2011.


(2) (Applicability to Standards for Eligibility for Membership) Modification of standards for eligibility for membership under the amended provision of Article 10 (4) shall apply from the year following three years after this Act enters into force.





부칙  ADDENDUM<Act No. 10709,  May 24,  2011>


This Act shall enter into force on the date of its promulgation.





부칙  ADDENDA<Act No. 11690,  Mar. 23,  2013>


Article 1 (Enforcement Date)


(1) This Act shall enter into force on the date of its promulgation


(2) Omitted.




Articles 2 through 7 Omitted.