Legal System Planning
Consumer Contract Act
When a consumer and business enter into a contract for any product or service is made, there is a disparity in amount of information and negotiation capability which the both parities own separately. Taking such circumstances into account and protecting consumers' Benefits, the Consumer Contract Act came into effect in 2001.
Pursuant to this Act, consumers may cancel any contract resulting from unjust solicitation. If a contract contains any unjust contractual clause, that contractual clause itself will be invalidated.
Consumer Organization Collective Litigation System (Injunction demand and redress for damage)
The Consumer Organization Collective Litigation System enables qualified entities (refers to following “Qualified Consumer Organization” and “Specified Qualified Consumer Organization”) certified by the Prime Minister to launch a judicial or extrajudicial action against a Business Operator for the protection of consumers’ interests.
According to the basic principles of civil litigation, a consumer as the victim should file a litigation against a Business Operator as the perpetrator. However, there is (1) a disparity in the quality and quantity of information and negotiating power between consumers and Business Operators, (2) filing a litigation generally requires time, expense, and effort which is not commensurate with redress for minor damage, and (3) resolving an individual problem does not mean preventing the same type of problems for many and unspecified consumers, for these reasons, it is authorized by law qualified entities to launch judicial or extrajudicial action.
Specifically, there is a system that enables a “Qualified Consumer Organization” certified by the Prime Minister to demand an injunction to protect the interests of many and unspecified consumers (injunction demand) and a system that enables a “Specified Qualified Consumer Organization” certified by the Prime Minister among Qualified Consumer Organizations to conduct court proceedings for the collective redress for property damage on behalf of consumers against a Business Operator (redress for damage).
Whistleblower Protection System
In quite a number of instances, a case of corporate misconduct that compromises consumer safety comes into the open as a result of someone working for them reporting it.
The whistleblower protection system is a means to protect whistleblowers so that they should not be subjected to dismissal, demotion or other disadvantageous treatment on the grounds that they reported the case and also to ensure, by setting forth things like what measures should be taken by businesses in relation to whistleblowing, that laws and regulations associated with consumer safety and interests should be adhered to.
The Consumer Affairs Agency has developed and released to the public a handbook that describes the system and guidelines and other information that can be helpful for businesses and administrative organs to establish and administer a pertinent structure.
We have also set up the "Whistleblower Protection System Consultation Dial" as a point of contact for consultation about the system and has also made various resources available on its Whistleblower Protection System Webpage.
Whistleblower Protection System Consultation Dial
Phone: +81-3-3507-9262 (from 9:30 to12:00 and from 13:00 to17:30 on weekdays)