Court Upholds 423.6 Billion Won Coupang Data Breach Fine
A Seoul court refused to suspend the 423.6 billion won fine on Coupang over its data breach, but froze the corrective order and public notice requirements.
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giftdetect· the right gift in minutesA Seoul court has declined to suspend a 423.6 billion won (about $300 million) penalty imposed on Coupang over last November's data breach, which affected 37.55 million people. The Seoul Administrative Court's Administrative Division 4, led by Presiding Judge Kim Young-min, partially rejected Coupang's request on Thursday for an injunction against the fine imposed by the Personal Information Protection Commission (PIPC).
The bench found there was no sufficient urgent need to halt the fine's effect, so Coupang remains subject to it while its main lawsuit proceeds.
Corrective order and public notice paused
The court did grant part of the request. It suspended the PIPC's corrective order and its public notice and publication order until 30 days after the ruling in the main case is announced. According to the judges, these measures could cause Coupang damage that is hard to undo, making an urgent suspension necessary. They added that pausing them is unlikely to seriously harm the public interest.
Background of the penalty
In June, the PIPC fined Coupang a total of 624.681 billion won and levied an additional 16.8 million won administrative fine, the largest penalty the commission had ever issued. It also adopted the corrective order and the publication orders now partly on hold.
The total consists of two parts: 423.575 billion won for the leak of personal data belonging to 37.55 million people, and 201.1 billion won for the unauthorized collection of online activity records from more than 10 million members, among other conduct.
The ruling does not decide whether the penalty is lawful. That question will be settled in the main proceedings, where Coupang is challenging the PIPC's decision.
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