Daily Union (Monthly, Korea News Newspaper) Ju-un Journalist | BHC was fined 350 million won by the Fair Trade Commission for committing unfair cancellation of contracts and suspension of supplies with a franchise store in Ulsan.

BHC notified the owner of the store, who raised suspicions of unfair behavior by the headquarters, of the unilateral termination of the contract in April 2019 and October 2020.

We also stopped supplying goods from November 6, 2020 to April 22, 2022.

The store owner is known to have taken issue with the supply of low-quality ingredients, such as BHC turning frozen meat into fresh meat.

On the other hand, the BHC headquarters unilaterally notified the store owner of the franchise contract, saying that the reputation and credit of the franchise headquarters were damaged by spreading false information.

In response, the store owner applied for a provisional disposition to confirm the franchise owner's status to the court.

In the first trial, the Seoul Eastern District Court cited an application for a provisional disposition to confirm the status of the owner.

The second trial Seoul High Court canceled the application for provisional disposition of the owner on August 31, 2020, explaining that there is no need to argue for status because the franchise contract has been renewed between the owner and the BHC headquarters.

The court decided that the termination of the contract of the BHC headquarters was not legal.

After the Seoul High Court's decision, the BHC headquarters lost a civil lawsuit, including the spread of false information between the store owner and the BHC headquarters.

[[Issue_DIG UP)] Ju-un Journalist]