Dispute panel merges two Coupang group cases into one
Additional applications accepted through June 26
Coupang retains firm employing former privacy commission chief
The Personal Information Protection Commission has resumed group dispute mediation proceedings against Coupang Inc over a personal data breach, with additional participation applications open through June 26.
Coupang was hit with a record 624.7 billion won fine by the commission on Thursday and immediately began preparing an administrative lawsuit to contest the penalty. The e-commerce giant has retained a law firm that counts a former commission chief among its members, signaling an all-out legal fight.
The fallout from Coupang's data breach — spanning consumer disputes to administrative litigation — shows no sign of abating.
The Personal Information Dispute Mediation Committee said Friday it had merged two separate group dispute mediation cases filed against Coupang — one involving 50 participants and another involving 1,626 — into a single case and resumed proceedings. The committee had suspended mediation on both cases on Feb. 9 after a formal investigation into the breach was launched.
With the commission having concluded its enforcement action and imposed the fine, the committee is now accepting additional participants. Users who received a data breach notification from Coupang may apply to join the group mediation through June 26. Applicants must complete a participation form — using the sample posted on the committee's website — and submit it by email or regular mail.
After the application deadline, the committee will verify each applicant's eligibility and notify them of its decision within 10 days. A mediation proposal will be drawn up within 60 days of the deadline and sent to both parties. If either party rejects the proposal, the mediation will be deemed to have failed.
Kang Yeong-su, chair of the dispute mediation committee, said the panel would "actively pursue the necessary procedures to prepare a swift and fair mediation proposal that protects the rights of data subjects and delivers effective relief" now that the commission's enforcement process against Coupang has concluded.
Coupang has retained a string of law firms with ties to former senior officials at the Personal Information Protection Commission as it prepares to challenge the fine in court.
The company has already brought on Sejong, a law firm where the commission's inaugural chair holds an advisory role. Kim & Chang, which represented Coupang during the deliberation and resolution process, is also expected to join as litigation counsel.
Immediately after the commission announced the fine on Thursday, Coupang said it "expects the facts to be clearly established through legal proceedings" once it receives the official written decision, signaling its intent to file an administrative lawsuit.
Coupang's choice of counsel has drawn scrutiny in the industry, with some observers suggesting the company is banking on preferential treatment from former officials — both firms employ people who previously held senior positions at the commission.
Sejong counts Yoon Jong-in, the commission's inaugural chair, as an adviser. Yoon served as the first PIPC chair from August 2020 and retired Oct. 7, 2022. He cleared a post-retirement employment review in January 2024, less than two years after leaving office.
Kim & Chang also has a former senior PIPC official on its roster. A Grade-3 director of the commission's personal data protection policy division who retired in July 2023 was cleared for re-employment at the firm in September of that year.
Concerns have been raised that the former officials could influence the litigation. PIPC Chairwoman Song Gyeong-hui shrugged off the suggestion, saying the commission "will respond vigorously if a lawsuit is filed" and that the penalty was "a well-grounded decision reached after careful deliberation based on law and principle."
ko@heraldcorp.com
