CELEB
BRAND


Terms and Conditions

The following Terms & Conditions (hereinafter “Agreement”) for the SMTOWN &STORE website is divided into chapters “SMTOWN &STORE Services” and “Membership Services,” which concern the use of reward points and coupons. SMTOWN &STORE is operated by SM Brand Marketing Co., Ltd. (hereinafter “the Company”).


Chapter 1 (SMTOWN &STORE Services)

Article 1 (Objective)


The objective of this Agreement, in regards to the ecommerce services (hereinafter “Services”) provided by SMTOWN &STORE (hereinafter “Sales Channel”) and operated by the Company, is to stipulate the Company and User’s (defined in Article 2) rights, responsibilities, and procedures concerning the User’s use of Services.


Article 2 (Definitions)

①The terms used in this Agreement are defined as follows.

1.“Sales Channel” refers to the online website, mobile site, and mobile application arranged by the Company to sell/provide goods and services (hereinafter “Goods, etc.”) to Users.

2.“User” refers to any registered customer or guest who accesses the Sales Channel to receive Services provided by the Company.

3.“Registered Customer” refers to a customer who has entered into contract with the Company to use its Services by providing personal information and consenting to this Agreement. A Registered Customer automatically becomes a Member upon registration, and is automatically withdrawn from Membership once unregistered.

4.“Guest” refers to a customer who uses Services provided by the Company but is not a Registered Customer.

5.“ID” refers to the combination of alphanumeric characters created by the Registered Customer and approved by the Company in order to distinguish Registered Customers and facilitate use of Services.

6.“Password” refers to the combination of alphanumeric and special characters submitted to the Company by the Registered Customer in order to authenticate identity and to protect the rights and private information of the Registered Customer.

7.“Post” refers to any text, image, audio file, video file, or link posted on the Sales Channel by a Registered Customer during use of Services.

②Terms not defined in this Article shall be defined in accordance with standard commercial practice or related law.


Article 3 (Statement, Explanation, and Modification of Agreement)

①The Company shall, for easier recognition by Users, display the contents of this Agreement, store name, representative, address (including an address for handling customer complaints), business registration number, ecommerce permit, customer service phone number, and email address on the initial Service page of the Sales Channel. Details of this Agreement may be provided in the form of a link to a separate page.

②The Company shall obtain the confirmation of a User for important matters such as cancellation of purchase, delivery obligation, refund terms, etc. through a link to a separate page or pop-up window before the User consents to this Agreement.

③The Company may modify this Agreement within legal boundaries, such as under the Framework Act on Electronic Documents and Transactions, Electronic Financial Transactions Act, Digital Signature Act, Act on the Promotion of Information and Communications Network Utilization and Information Protection, etc., Act on the Consumer Protection in Electronic Commerce, etc., Framework Act on Consumers, and Act on the Protection, Use, etc. of Location Information.

④Should any changes be made to this Agreement, the Company shall announce the date of application and the cause of modification for 7 days prior on the initial page of the Sales Channel. Notwithstanding the foregoing, if the changes are disadvantageous to the Registered Customer, the announcement shall be made 30 days prior. In such case, the Company shall display the contents of the modification on a before-and-after basis for easier understanding.

⑤For amendments made to this Agreement by the Company and announced accordingly in advance, the User’s agreement is implied unless explicitly stated otherwise. Should the User disagree to the changes, the modified Agreement of the Company cannot be enforced on the User, and the User may terminate the contract of use with the Company.

⑥Changes made to the Agreement take effect only on contracts entered after the date of modification. For contracts entered before the modification is enforced, the Agreement prior to modification still applies. In the event that a User has already entered contract before the modification date and wishes to follow the modified Agreement instead, the User may contact the Company within the announcement period specified in Section 4 and follow the modified Agreement upon consent from the Company.

⑦Matters not stipulated herein and the interpretation of this Agreement shall be in accordance with the Act on the Consumer Protection in Electronic Commerce, etc., Act on the Regulation of Terms and Conditions, Act on the Consumer Protection in Electronic Commerce, etc., related law, and standard commercial practice.


Article 4 (Terms and Conditions of Individual Services)

The Company may request a User’s consent for additional terms and conditions that apply to individual Services. In such case, the individual terms and conditions take precedence over this Agreement.


Article 5 (Establishment of Contract of Use)

①The contract of use is entered upon the Registered Customer’s consent to the Agreement and the Company’s approval for the request of use.

②The contract of use takes effect once the Company indicates the completion of registration on the customer registration page.

③Following relevant laws, registration for contract of use may be limited for Users under the age of 14.


Article 6 (Application and Approval for Registration)

①Users may apply to become a Registered Customer after entering customer information and consenting to this Agreement provided by the Company.

②The Company may request identity verification via a specialized agency following the application stated in the clause above

③The Company may decline application or terminate the contract of use for reasons indicated in the following clauses.

1.The Registered Customer did not enter his or her real name during identity verification.

2.The email address or other information entered by the Registered Customer is already in use.

3.Registration is made with a stolen identity or includes false, missing, or incorrect information.

4.The Registered Customer has previously been denied membership due to failure to comply with this Agreement. Notwithstanding the foregoing, exceptions can be made once 3 years have passed since membership denial and the Company has consented to reregistration.

5.60 days have not passed since withdrawal of Membership.

6.The Registered Customer is found to have deliberately closed account in order to reregister.

7.The Registered Customer seeks to use Services for inappropriate purposes or profit. (The Company may permit limited use of Services as an exception.)

8.The Registered Customer has a history of or is suspected of using a similar or different ID for improper use.

9.The Registered Customer is seeking to commit offence against related laws or public morals.

10.Equipment-related or technical difficulties in operating Services. In such case, approval of use may be delayed until the relevant issue is resolved.

11. Children under the age of 14 registering without the consent of a legal guardian.

12.The Company deems that the registration violates this Agreement or is for illegal or improper use.



Article 7 (ID and Password Duties)

①All responsibilities regarding ID and Password management lie in the Registered Customer. The Registered Customer is responsible for all criminal and civil liabilities that may arise from negligence in such duties.

②The Registered Customer’s ID and Password may not be used by a third party.

③In the event that your ID and Password are stolen or being used by a third party, alert the Company immediately and follow the relevant procedures should any occur.

④All disadvantages that may arise out of failure to alert the Company in regards to the clause above are the Registered Customer’s responsibility.


Article 8 (User Responsibility)

①The User is obliged to follow the Company’s regulations and relevant laws, and shall not participate in any activities that obstruct the business of the Company.

②The User shall not participate in any of the following, in regards to use of Services.

1.Posting of false information following registration for or modification of Services

2.Unauthorized modification of a posting made by the Company

3.Transmission or posting of information (such as a computer program) other than what is authorized by the Company

4.Violation of copyrights or intellectual property rights of the Company or other third parties

5.Acts of defamation or activities that obstruct the business of the Company or other third parties

6.Posting of obscene or violent messages, videos, and/or other inappropriate information on the Sales Channel

7.Failure to comply with customer duties (applies to Registered Customers only)

8.Other activities that violate the Company’s terms and conditions or relevant laws



Article 9 (Obligations of the Company)

①The Company shall not partake in any activity that violates this Agreement or goes against public order and customs. The Company shall, following this Agreement, continuously make every effort in providing a stable supply of goods and services.

②The Company shall fulfill the necessary security requirements to protect the personal information of Users and to ensure secure use of online services.

③The Company shall be held liable for damage claims by Users whose interests were injured due to unfair labeling and advertising of goods and services in violation of Article 3 of the Fair Labelling and Advertising Act.

④The Company shall not send any promotional for-profit emails without the User’s consent.


Article 10 (Notification to Registered Customers)

①The Company may send notifications to Registered Customers through messages on the Sales Channel or via the email address/phone number provided during registration.

②Notifications sent by the Company to unspecified masses are posted on the Sales Channel for 7 days and may substitute for individual notices. However, matters that are deemed important and relevant to the Registered Customer’s transaction shall be notified separately.



Article 11 (Intellectual Property Rights and Limitations)

①All copyrights, patent rights, trademark rights, and other intellectual property of content posted by the Company (as wells as rights authorized by third parties, in regards to the relationship between the Company and User on this Agreement) are reserved by the Company.

②By using the Services of the Company, the User may not copy, transmit, publish, distribute, broadcast, or use any information obtained through use of Services, nor may the User allow a third party to do so.



Article 12 (Personal Information Protection)

①The Company collects the minimum required amount of personal information from Register Customers in order to provide Services.

②The Company does not collect required information for fulfilling purchase transactions during customer registration. However, under relevant laws, the Company is required to collect the minimum amount of specific information for identity verification purposes.

③When collecting and using the personal information of a Registered Customer, the Company shall notify the Registered Customer of the purpose and obtain prior consent.

④The Company may not use collected personal information for any other purpose than intended. In the event that a new purpose arises or the collected information is to be provided to a third party, the Company shall notify the purpose to the Registered Customer and obtain prior consent.

⑤Following Clauses 2 and 3, in the event that the Company requires the consent of a Registered Customer, the Company shall disclose the identity of the personal information manager (department, name, phone number and other contact information), the purpose for collection and use of information, related matters for providing information to third parties (the receiver, the purpose of receiving, and the information to be received), and other subjects under Chapter 22, Article 2 of the Act on the Promotion of Information and Communications Network Utilization and Information Protection, etc. The Registered Customer may withdraw consent at any time.

⑥The Registered Customer may, at any time, request to view and modify the personal information provided to the Company, and the Company is obliged to take prompt measures as required. In the event that a Registered Customer requests modification for an error, the Company shall not use the relevant personal information until the modification is made. The process for viewing and modifying personal information is as determined by the Company.

⑦In order to protect the personal information of Registered Customers, the Company shall limit the number of personal information managers to a minimum.

⑧The Company, or third parties that receive personal information from the Company, shall destroy the personal information immediately after its purpose has been fulfilled.

⑨The Company shall not select “Agree” as the default option when requesting consent for collecting, using, and providing personal information. The Company shall not restrict or deny registration or use of Services to a Registered Customer for not agreeing to the non-required collection, use, or provision of personal information.



Article 13 (Commencement of Use of Services)

①The Company shall open services upon approving the Registered Customer’s registration. Certain services may open instead on a designated date.

②In the event that the Company is unable to offer services due to technical or business-related difficulties, the Company shall post an announcement on the Sales Channel or inform Registered Customers separately.



Article 14 (Service Hours)

①The Company’s services may be temporarily suspended due to business-related or technical reasons. For operational purposes, services may be temporarily suspended for a period of time set by the Company.

②The Company may divide services into ranges and designate an available time of use for each separate range.


Article 15 (Application of Purchase)

①The User enters information on the Sales Channel following procedures indicated by the Company to request purchase. The Company is obliged to provide the following content to Users in an easily recognizable manner.

1.Search and selection of products.

2.Input for the recipient’s name, address, phone number, email address, and/or mobile phone number

3.Confirmation of terms and conditions, services with limited order cancellations, fees incurred for shipment and installment, etc.

4.Indicators for consenting to this Agreement and for confirming/denying the contents of Clause 3 (e.g. mouse click)

5.Purchase request and confirmation for Goods, etc., or consent to confirmation of the Sales Channel

6.Selection of payment method


②In the event that the Company entrusts a third party to handle the buyer’s personal information, the Company shall inform the buyer of the information recipient and the contents of the information being entrusted before obtaining consent. Notwithstanding the foregoing, in events deemed necessary for contract fulfillment in regards to service provision, and if deemed relevant to buyer convenience, the consensual process is not necessary, provided that the information has been notified though the Privacy Policy as prescribed by the Act on the Promotion of Information and Communications Network Utilization and Information Protection, etc.



Article 16 (Establishment of Contract)

①In regards to a User’s purchase request, the Company may, if pertaining to the following clauses, deny approval, withdraw approval, or defer/suspend provision of Goods, etc.

1.Requests including falsified, missing, or incorrect information

2.Minors purchasing tobacco, alcoholic beverages, or other goods and services banned under the Youth Protection Act

3.Purchase requests that may severely impede the technology of the Company

4.Purchased Goods, etc. that cannot be provided due to insufficient stock or incorrectly posted information (In the event of such cases, the Company shall inform the User and implement necessary measures.)

5.Purchase requests made with a stolen ID, identification, or payment method

6.Purchase requests of Goods, etc. for commercial purposes (resale, purchasing agents, etc.) or bulk/repeated purchases suspected of commercial use (with the exception of cases approved by the Company)

7.Bulk/repeated purchases for personal use that deprive other Users of the opportunity to purchase (with the exception of cases approved by the Company)

8.Goods that are repeatedly returned and repurchased

9.Purchases without the actual intention of purchasing, such as without delivery

10.Purchase requests made in violation of relevant laws or with the purpose of harming public morals

11.Other cases that violate this Agreement; inappropriate purchase requests that utilize one or more IDs to abuse the payment methods or benefits provided by the Company; cases in which the Company deems is necessary


②The contract is established once the Company’s approval reaches the User via the receipt confirmation as indicated under Article 19, Section 1.

③The Company’s approval notice must include confirmation and sales availability of the User’s purchase request, as well as information on the modification and cancellation of purchase request.


Article 17 (Payment)

①The Company shall provide methods for the User to make payments using cash, credit card, etc.

②The User is responsible for any liabilities or disadvantages that arise in regards to the information entered by the User during payment.

③In the event that payment is not made within a specified period of time following order placement, the Company may cancel the order without the User’s prior consent.

④The Company may confirm whether the User holds valid rights to the payment method used to pay the purchase amount. The Company reserves the right to suspend the transaction until confirmation is complete, or cancel/refund/defer transactions that are unconfirmable.

⑤The amount actually paid by the User takes into account the product price, coupon discounts (for Registered Customers only), shipping fees, and prices per detailed option (this is referred to as the actual purchase amount). All receipts issued to the User (cash receipt, tax invoice, credit card slips, etc.) reflect the actual purchase amount.



Article 18 (Payment Methods Available for Use)

①The User may pay for Goods, etc. purchased from the Company by using any of the methods indicated in the following clauses.

1.Various cards including prepaid card, debit card, and credit card

2.Real-time bank account transfer

3.Reward points (for Registered Customers only)

4.Other payment methods designated by the Company

②In the event that legal or technical difficulties arise in regards to the User’s payment, or failures unforeseen by the Company (such as bank network failure) occur, the Company may, according to policies, request for the User to change payment method, temporarily defer payment, or deny payment.


Article 19 (Receipt Confirmation Notification, Modification and Cancellation of Purchase Requests)

①Following the purchase request of a User, the Company shall notify the User of request receipt confirmation.

②In the event that the receipt confirmation contains any discrepancies, the User reserves the right to immediately request modification or cancellation of the purchase request, and the Company is obliged to promptly comply with such requests at the order processing stage. In the event that payment has already been made, the User and Company shall follow the regulations as stipulated under Article 22.



Article 20 (Provision of Goods, etc.)

①The Company shall partake in the necessary measures to supply Users with Goods, etc. within 7 business days of order placement, unless a separate supply schedule is specified. Notwithstanding the foregoing, in the event that the Company has received full or partial payment for the Goods, etc., the measures shall be taken within 5 business days of payment. The Company is obliged to provide Users with information regarding the supply procedure of Goods, etc. as well as progress details.

②The Company shall specify the shipping method, shipping liabilities per method, delivery time per method, etc. In the event that the delivery period exceeds the period specified, the Company shall reimburse the User for damages occurred as a result thereof. Notwithstanding the foregoing, reimbursement is not necessary in the event that the Company provides proof of no intent or negligence.

③If there exists a separate agreement between the Company and User in regards to the timing of delivery of goods and services, the agreement shall take precedence over this Agreement.

④The Company does not hold liability for damages that occur from incorrect recipient name, address, phone number, email address (or mobile phone number), etc. provided by the User.


Article 21 (Refunds)

In the event that Goods, etc. purchased by the User cannot be provided due to reasons such as insufficient stock, the Company shall immediately notify the User of the cause, and take necessary measures in issuing a refund within 5 business days of payment.


Article 22 (Cancellation of Order, etc.)

①A User who enters contract with the Company for the purchase of Goods, etc. reserves the right to cancel within 7 days of written confirmation (in the event that the provision of goods is later than when the confirmation is received, within 7 days of the date of provision) under the Act on the Consumer Protection in Electronic Commerce, etc. In the event that the regulations of Act on the Consumer Protection in Electronic Commerce, etc. stipulate otherwise, the relevant regulations shall take precedence.

②Users may not request a refund or exchange upon delivery of Goods, etc. in the cases indicated in the following clauses.

1.Damage or destruction of Goods, etc. for which the User is held liable

2.Full or partial consumption of Goods, etc. by the User, resulting in significant reduction of value

3.Significant reduction of the value of Goods, etc. over time, rendering resale impossible

4.Duplicable or replaceable Goods, etc. of which the original packaging is damaged

5.Services or digital contents

6.Goods, etc. that have been manufactured individually following the User’s order, or similar products

7.Other conditions as further specified by the Company


③In regards to Section 2, Clause 2 and Clause 5, in the event that the Company does not provide the User with prior notice on limitations to order cancellation in an easily recognizable manner, or does not provide a trial product, etc., limitations to cancellation do not apply to the User.

④Notwithstanding Sections 1 and 2, in the event that the goods received differ from the contents indicated or advertised, or the contract is not executed as stated, the User reserves the right to cancel the order for Goods, etc. within 30 days of discovery, and within 3 months of delivery.

⑤In the event that the cancellation request is made after dispatch due to technical problems, the cancellation shall be processed as a return instead of cancellation.



Article 23 (Effects of Cancellation, etc.)

①For Goods, etc. returned by the User, the Company shall refund the paid purchase amount within 7 business days. However, delays may occur in refund due to the processing procedure of the credit card company.

②In regards to refunds for payments made by the User with credit card or electronic currencies, the Company shall, without delay, submit a request to the relevant providers of payment method to suspend or cancel claims for payment of Goods, etc.

③The User is liable for costs required to return Goods, etc. in the event of cancellation. The Company shall not claim for breach of contract or damage following the User’s request for cancellation. Notwithstanding the foregoing, in the event that that the order is cancelled due to the Goods, etc. differing from as indicated or advertised, or the contract not being executed as stated, the Company is held liable for return costs.

④If the User has paid initial shipping fees for Goods, etc., the Company shall clearly notify the User of which party is held liable for initial shipping fees in the event of order cancellation.

⑤In regards to the refund process, the Company shall issue the refund after the return shipment has arrived at the Company or affiliate company and the reasons for return as well as matters regarding liability for return costs have been confirmed. In the event that the refund is issued in advance but the return shipment fails to arrive, or the item is pursuant to Section 2, the User shall immediately return the refund amount and/or relevant return costs following the process specified by the Company.

⑥In regards to orders paid with coupons or reward points, cancellations can only be made in full and not in part due to technical issues. In the event that the User wishes to cancel an order paid with coupons or reward points, the User can either cancel the order before dispatch and reorder the Goods, etc. as desired, or return all the ordered Goods, etc. after delivery and reorder the Goods, etc. as desired.



Article 24 (International Shipping Service)

①The Company provides services to assist with international delivery for established purchase contracts through international shipping networks in partnership with the Company. The stages for international shipping are as specified in the following clauses.

1.Domestic Shipping Stage: The item purchased by the buyer reaches the warehouse of the third party courier in partnership with the Company.

2.International Shipping Stage: The item is processed and dispatched from the warehouse and is delivered to the recipient via the international shipping network.

②For international shipments, orders can be cancelled at any time while in Pending Shipment status. Limitations for returns apply to change of mind once the shipment is in transit. Returns are not accepted for items in the International Shipping Stage, with the exception of delivered products that are damaged or defective, in which the Company shall accept an exchange or return.

③Buyers who wish to request an exchange or return must submit objective evidence of product damage or other reasons for exchange/return to the Company. Once the product damage or defect is proven, the Company is held liable for all costs incurred during exchange or return.

④Once the Company accepts the exchange or return, the buyer is obliged to contact the customer service center for international shipping, send the product via EMS, and provide the Company with documentation to prove shipping costs, etc.

⑤Customs duties and taxes that are levied by the destination country as a result of international shipping are the recipient’s responsibilities.


Article 25 (Provision of Information)

①The Company may provide Registered Customers with various information relevant to Services via post, SMS, etc., and Registered Customers can refuse to receive such information. Notwithstanding the foregoing, the Company can provide Registered Customers with information necessary for the use of Services (e.g. updates to policies and regulations) regardless of the Registered Customer’s consent.

②In addition to the provision of information pursuant to the preceding clause, the Company may provide individual services for member information entered upon usage of Services or upon completion of purchase request.



Article 26 (Management of Posts)

①The Registered Customer holds all rights and responsibilities to his or her postings. The Company may, without prior notice, delete or restrict access to posts written by Registered Customers that fall under the following clauses.

1.Infringement of or offense to a person’s rights, honor, credit, or other legitimate interests

2.Violation of public order and customs

3.Content in connection to criminal activities

4.Violation of the intellectual property rights of the Company or another third party

5.Defamation of the Company or a third party

6.Posts, advertisements, or links leading to illegal content, obscene content, or content deemed harmful to youths

7.Commercial advertisements unauthorized by the Company, promotional posts, or web links to third party sites

8.Content irrelevant to Goods, etc.

9.Falsified information that obstructs the business of the Company, or failure to comply with the Company’s request for factual confirmation more than two times

10.Content deemed to obstruct the progression of Services and other business operations provided by the Company

11.Other cases that violate this Agreement or relevant laws

②In the event that the User’s legal interests have been violated due to a post pursuant to Section 1 of this Article, the User may request the deletion of such post following procedures as set out by relevant laws. The Company is obliged to take action in accordance with the relevant laws and policies of the Company.

③In the event that the Company pays damages to a third party due a post pursuant to Section 1 of this Article, the Registered Customer held liable shall compensate the same amount to the Company immediately after the damages are paid.

④Member information is deleted once an account is closed, and posts written before account closure cannot be modified or deleted thereafter. Registered Customers who wish to modify or delete their postings must do so before closing account.



Article 27 (Copyright and Exclusive Use of Postings)

①The copyright of a post written by a Registered Customer belongs to the person who wrote it. In the event that the Posting infringes the copyright of another person, the Registered Customer who published the posting is held liable.

②The Company reserves the right to exclusively use all postings published by Registered Customers. The Company may permanently use all postings published by Registered Customers for search exposure, promotional, and marketing purposes free of charge; and may modify, copy, or edit postings within the required scope.


Article 28 (Limitations, Cancellation of Service Contract, etc.)

①Registered Customers may use the functions provided by the Sales Channel to request to close their account at any time. The Company is obliged to process such requests without delay.

②The Company may restrict or terminate the use of Services for a Registered Customer for reasons indicated in the following clauses.

1.Falsified information entered during registration

2.Cases pursuant to Article 6, Section 3

3.Failure to meet the obligations of a Registered Customer in regards to payment for Goods, etc. and usages of other Services within the due date

4.Activities that threaten the order of electronic commerce, such as obstruction of the use of Services and identity theft

5.Activities that are banned by law or this Agreement, or are in offense to public order and customs

6.Improper usage of Reward Poin

7.Improper usage of Membership

8.Activities that damage the rights, honor, credit, and other legitimate interests of the Company, other Registered Customers, or third parties

9.Infringement of the intellectual property rights of the Company or a third party

10.Activities that promote distrust in Goods, etc. sold by the Company through unconfirmed facts

11.Activities that obstruct the progress of Services provided by the Company

12.Single or multiple IDs created to take unfair advantage of payment methods, access medium, or other benefits provided by the Company

13.Other cases deemed appropriate for restriction or denial of Services by the discretion of the Company

③Notwithstanding the foregoing section, the Company may permanently suspend use or terminate contract for cases involving identity/payment theft in violation of the Resident Registration Act, violations of the Copyright Act, illegal communications and hacking in violation of the Act on the Promotion of Information and Communications Network Utilization and Information Protection, etc., and activities such as the distribution of malicious programs that violate relevant laws.

④In the event that an account is permanently suspended or terminated according to regulations following this Article, all reward points, coupons, and benefits will automatically expire, and the Company shall not provide compensation. Cases that require refund will be processed in accordance to the Company’s refund policy; however, benefits acquired unfairly by Registered Customers shall be withdrawn in accordance to methods specified by the Company.

⑤In the event that the Company terminates contract with a Registered Customer in accordance to this Article, the Registered Customer shall be notified via the contact information (email address, phone number) entered at the time of registration. The Registered Customer shall be given an opportunity to provide clarification before membership is revoked. The contract is terminated once the Registered Customer is notified by the Company.

⑥The Company may restrict usage of Services in accordance to the Promotion of the Motion Pictures and Video Products Act and the Youth Protection Act.

⑦Registered Customers suspected of violating the laws and regulations within the Republic of Korea, including but not limited to the Resident Registration Act, Copyright Act, and Act on the Promotion of Information and Communications Network Utilization and Information Protection, etc., will be separately notified before the usage of Services is restricted. The Registered Customer shall be given an opportunity to provide an explanation or confirm facts through an investigative agency.

⑧For up to 30 days from the date of account termination, the Company may keep record of the Registered Customer’s ID, name, connecting information, date of termination, and reasons for termination in order to prevent fraudulent transactions. After 30 days, the records shall be destroyed without delay.

⑨Upon account termination, Registered Customers may not reregister for 60 days.

⑩For Registered Customers suspected to be deliberately closing and reopening accounts, restrictions may apply for future Service requests and benefits.

⑪In regards to usage restriction and termination, all damages that occur are the sole responsibility of the Registered Customer, and the Company shall not be held liable in any way.


Article 29 (Discontinuation of Services)

①The Company may discontinue provision of Services for reasons indicated in the following clauses.

1.Inevitable constructions such as the repairment of service facilities

2.Discontinued services from the key telecommunications service provider stipulated in the Telecommunication Business Act

3.Other force majeure events or circumstances

②The Company may restrict or suspend all or part of its Services in the event of a disruption to normal use of Services such as a national emergency, power outage, service facility failure, or excessive web traffic.

③In the event that services can no longer be provided due to reasons such as change in business item, abandonment of business, or company acquisition, the Company shall inform Registered Customers via email or SMS at least 30 days in advance, and provide compensation for consumers in accordance to the conditions stipulated by the Company.


Article 30 (Compensation for Damages)

①In the event that the Company suffers loss due to a User’s violation of this Agreement, the User held liable shall compensate the Company for all losses incurred.

②In the event that the Company receives various objections, including a claim or suit from a third party other than the User, for any illegal acts or violation of this Agreement by the User in use of Services, the User shall indemnify the Company at his or her own responsibility and expense, and provide compensation for any damages incurred.



Article 31 (Exemption Clause)

①In the event that the Company cannot provide Services due to natural disasters or force majeure, the Company is exempted from the responsibility of providing Services.

②The Company shall not be held liable for any interruption in the use of Services due to reasons attributable to the User.

③The Company shall not be held liable for the loss of revenue expected by the User in regards to use of Services, or for damages caused by data obtained from other Services

④The Company shall not be held responsible for the information, data, reliability of facts, and accuracy of content posted by the User.

⑤The Company shall not be held liable for Service transactions between Users or between Users and third parties.


Article 32 (Record Preservation)

The Company shall keep records of the items indicated in the following clauses for a duration as prescribed by the Act on Consumer Protection in Electronic Commerce.

1.Records of consumer complaints or dispute handling

2.Records on payments and the supply of goods, etc.

3.Records of contracts and contract terminations, etc.

4.Records related to display/advertisement

5.Records related to access

6.Records related to transaction details



Article 33 (Dispute Settlement)

①The Company shall promptly handle any complaints filed by Users.

②In the event of a User’s claim for relief in regards to ecommerce disputes between the Company and User, the dispute may be subject to arbitration by the Fair Trade Commission or the dispute settlement agency commissioned by the Mayor or Provincial Governor.


Article 34 (Applicable Laws and Jurisdiction)

①The laws and regulations of the Republic of Korea apply to the interpretation of this Agreement and to disputes between the Company and User.

②In the event of a lawsuit between the Company and User that arises from use of Services, the competent court shall be decided in accordance with the Civil Procedure Act.


Chapter 2 (Membership Services)

Article 1 (Objective)

 The objective of this Agreement, in regards to the Membership Service system, is to stipulate the rights and responsibilities concerning the reward points and coupons issued by the Company to the Member. The contents of this Chapter are constituted of special provisions related to the Company’s rewards points and coupons. For matters not related to reward points and coupons, regulations from other terms and conditions shall take precedence.



Article 2 (Definitions)

The terms used in this Agreement are defined as follows.

1.“Member” refers to a Registered Customer who has provided his or her personal information to the Company and consented to this Agreement. A Registered Customer automatically becomes a Member upon registration, and is automatically withdrawn from Membership once his or her account is closed.

2.“Reward Points” refer to points issued to the Member by the Company following purchase activities and participation in events. Members can use Rewards Points like cash when purchasing Goods, etc. from SM TOWN &STORE.

3.“Coupons” refer to vouchers issued to Members by the Company. When purchasing Goods, etc. from SMTOWN &STORE, a Member may redeem a Coupon for a discount in the amount or percentage indicated on the Coupon. Coupons can also be redeemed for deduction in shipping fees.


Article 3 (Modification of Terms & Conditions)

①The Company may make modifications to this Agreement in the event of changes in management environment or operation policies. Should any changes be made to this Agreement, the Company shall announce the date of application and the cause of modification for 7 days prior on the initial page of the Sales Channel. Notwithstanding the foregoing, if the changes are disadvantageous to the Member, the announcement shall be made 30 days prior. In such case, the Company shall display the contents of the modification on a before-and-after basis for easier understanding.

②For amendments made to this Agreement by the Company and announced accordingly in advance, the Member’s agreement is implied unless explicitly stated otherwise. Should the Member disagree to the changes, the modified Agreement cannot be enforced on the Member by the Company, and the Member may terminate the contract of use with the Company.

③Changes made to the Agreement take effect only on contracts entered after the date of application. For contracts entered before the modification date, the Agreement prior to modification still applies. In the event that a Member has already entered a contract before the modification date and wishes to follow the modified Agreement instead, the Member may contact the Company within the announcement period specified in Article 3 and follow the modified Agreement upon consent from the Company.


Article 4 (Registration)

①Users can apply to become a Member after entering customer information and consenting to this Agreement provided by the Company. A Registered Customer automatically becomes a Member upon completing registration.

②The Company may request identity verification via a specialized agency following the application stated in the clause above.

③The Company may decline an application or terminate the contract of use for reasons indicated in the following clauses.

1.The Member did not enter his or her real name during identity verification.

2.The email address or other information entered by the Member is already in use.

3.Registration is made with a stolen identity or includes false, missing, or incorrect information.

4.The Member has previously been denied membership due to failure to comply with this Agreement. Notwithstanding the foregoing, exceptions can be made once 3 years have passed since membership denial and the Company has consented to reregistration.

5.60 days have not passed since withdrawal of Membership.

6.The Member is found to have deliberately withdrawn membership in order to reregister.

7.The Member seeks to use Services for inappropriate purposes or profit. (The Company may permit limited use of Services as an exception.)

8.The Member has a history of or is suspected of using a similar or different ID for improper use.

9.The Member is seeking to commit offence against related laws or public morals.

10.Equipment-related or technical difficulties in operating Membership Services. In such case, approval of use may be delayed until the relevant issue is resolved.

11.Children under the age of 14 registering without the consent of a legal guardian.

12.The Company deems that the registration violates this Agreement or is for illegal or inappropriate purposes.


Article 5 (Modification of Member Information)

①In the event that changes need to be made to information entered during registration, the Member shall edit the information using methods determined by the Company or inform the Company of the changes.

②The Company is not liable for damages that occur as a result of the Member’s failure to inform the Company of changes.


Article 6 (Limitations, Cancellation of Contract, etc.)

①Members may request to withdraw their membership at any time. The Company is obliged to process such requests without delay.

②The Company may restrict or terminate the use of Membership Services for a Member for reasons indicated in the following clauses.

1.Falsified information entered during registration

2.Cases pursuant to Article 4, Section 3

3.Activities that threaten the order of electronic commerce, such as obstruction of the use of Services and identity theft

4.Activities that are banned by law or this Agreement, or are in offense to public order and customs

5.Improper usage of Reward Points

6.Improper usage of Membership

7.Activities that damage the rights, honor, credit, and other legitimate interests of the Company, other Members, or third parties

8.Infringement of the intellectual property rights of the Company or a third party

9.Activities that promote distrust in Goods, etc. sold by the Company through unconfirmed facts

10.Activities that obstruct the progress of Services provided by the Company

11.Single or multiple IDs created to take unfair advantage of payment methods, access medium, or other benefits provided by the Company

12.Other cases deemed appropriate for restriction or denial of Services by the discretion of the Company

③In the event that membership is permanently suspended or terminated according to regulations following this Article, all reward points, coupons, and benefits will automatically expire, and the Company shall not provide compensation. Cases that require refund will be processed in accordance to the Company’s refund policy; however, benefits acquired unfairly by Members shall be withdrawn in accordance to methods specified by the Company.

④In the event that the Company restricts or terminates contract of use with a Member in accordance to this Article, the Member shall be notified via the contact information (email address, phone number) entered at the time of registration. The Member shall be given an opportunity to provide clarification before membership is revoked.

⑤Members suspected of violating the laws and regulations within the Republic of Korea, including but not limited to the Resident Registration Act, Copyright Act, and Act on the Promotion of Information and Communications Network Utilization and Information Protection, etc., will be separately notified before the usage of Services is restricted. The Member shall be given an opportunity to provide an explanation or confirm facts through an investigative agency.

⑥The contract is terminated once the Member is notified by the Company. The Company shall notify the Member through the email address or phone number provided by the Member at the time of registration.

⑦For up to 30 days from the date of account termination, the Company may keep record of the Member’s ID, name, connecting information, date of termination, and reasons for termination in order to prevent fraudulent transactions. After 30 days, the records shall be destroyed without delay.

⑧Upon membership withdrawal, Members may not reregister for 60 days.

⑨For Members suspected to be deliberately closing and reopening accounts, restrictions may apply for future Service requests and benefits.

⑩In regards to usage restriction and termination, all damages that occur are the sole responsibility of the Member, and the Company shall not be held liable in any way.


Article 7 (Membership Benefits)

①Members can purchase products from the Company and receive a portion of the purchase amount in Reward Points.

②Members are qualified to participate in various exclusive events.

③In accordance to Membership system management objectives and policies, limitations may apply for employees and Members of the Company in regards to Membership services including accumulation and use of reward points, selection of customer group, and provision of other services.


Article 8 (Accumulation and Use of Reward Points)

①Reward Points are a discount method issued by the Company to Members following purchasing activities, participation in events, etc. Public charges and taxes incurred from the accumulation of Reward Points are borne by the Member. In the event that the Member does not meet the requirements for Reward Points after the Reward Points are issued due to changes such as cancellation or return of purchase order, the Company shall withdraw the relevant issued Reward Points. The Company shall not issue Reward Points to any customer who is not a Member.

②Members can use Reward Points as a payment method (1 Reward Point is equivalent to 1 KRW) when purchasing Goods, etc. from the Sales Channel or other stores operated by the Company. Reward Points can be used alongside cash and credit cards during payment. The Company shall notify Members of the accumulation standards for Reward Points, instructions for usage, expiration dates, and further limitations, via public announcements on the webpage for Services or by contacting Members individually. Conditions for using Reward Points are subject to change following the policies of the Company. According to Company policy, select items, discounts, and bargains may be excluded from Reward Point accumulation, differ in accumulation percentage, or not be available for payment in Reward Points. The maximum limit for payment in Reward Points is set as 500,000 under the Electronic Financial Transaction Act. Orders paid for with Reward Points may not be eligible for free/promotional gifts.

③In principle, Reward Points issued from purchases expire 2 years after date of issue. Reward Points unused within the given date will automatically expire. For Reward Points issued from event participation or marketing promotions, or for Reward Points issued with separate agreement or notification in advance, the expiration date may be determined separately. The Company is not obliged to provide prior notification for pending expiration dates and related matters for Reward Points. Notwithstanding the foregoing, the Company shall display the status of Reward Points soon to expire and related information on the Company’s website for Members to easily recognize.

④Reward Points are used in the order of earliest issue date.

⑤Reward Points may not be redeemed for cash. Reward points will be deleted past the expiration date or for closed accounts.

⑥Members may not transfer Reward Points to a third party or a different user. Reward Points may not be sold or exchanged for cash.

⑦In the event that a Member obtains Reward Points or uses Rewards Points for inappropriate purposes by providing false information or by using methods that are unapproved by the Company or in violation to this Agreement; the Company reserves the right to restrict use of or withdraw the relevant Reward Points, cancel purchase orders paid for with Reward Points, suspend the Member’s membership, or terminate contact of use.

⑧In the event that a Member withdraws membership, all unused Reward Points will immediately expire and will not be issued again after reregistration.


Article 9 (Coupons)

①Coupons are issued to Members for payment or free of charge. The Company does not issue coupons to non-Members. Customers who are not registered as a Member cannot use Coupons.

②Members can use Coupons for discounts or for shipping fee deductions when purchasing Goods, etc. from SMTOWN &STORE. The Company may decide the applicable Members, method of use, expiration date, discount rates, and shipping fee deduction rates for all Coupons. The Company shall display the applicable Members, method of use, expiration date and limitations, discount rate, and shipping fee deduction rate on the Service page or notify Members individually.

③Coupons cannot be redeemed for cash. Coupons will be deleted past the expiration date or for cancelled orders and closed accounts.

④Members may not transfer coupons to a third party or a different user. Coupons may not be sold or exchanged for cash.

⑤Coupons used on cancelled or returned orders will not be issued again.

⑥In the event that a Member obtains Coupons using methods unapproved by the Company or uses Coupons for inappropriate purposes, the Company reserves the right to restrict use of the relevant Coupon, cancel purchase orders paid for with Coupons, or suspend the Member’s membership.

⑦In the event that a Member withdraws membership, all unused Coupons will immediately expire and will not be issued again after reregistration..


Article 10 (Notification of Changes)

①In the event of any changes to the Member’s personal information such as address, (mobile) phone number, or email address; the Member ought to inform the relevant department of the Company in order to continue usage of Services.

②The Member shall be held responsible for the omission of services resulting from neglect to notify the Company in accordance to Clause 1.


Article 11 (Collection and Use, etc. of Personal Information)

①The Company, following prior consent of Members, collects the minimum personal information of registering Members necessary for provision of Services, and may collect additional information during membership according to the needs of membership system management.

②In the event that a Member discovers that his or her membership is stolen or being used by a third party, the Member shall immediately inform the Company and comply with Company measures if necessary.

③The Company is not held responsible for damages caused by the neglect of obligations stipulated in the foregoing clauses.

④The personal information of Members as stipulated in this Agreement is collected with the purpose of providing Members with quality service, and will not be used for any other purpose.

⑤The purpose of use for personal information is subject to change following changes in Member service. In the event of such changes, the Company shall notify the Member in advance. If the Member does not raise any objections within 30 days of announcement or notification, the Member’s consent to the revised collection and use of personal information is implied. Notwithstanding the foregoing, the Member may withdraw his or her consent at any time.

⑥The Company is obliged to disclose the Company’s privacy policy in regards to the Members’ personal information, and operate in accordance to the relevant policy. Members can view the details of this privacy policy through a weblink on the initial page of the store’s website.



Article 12 (Termination of Services)

In the event that Membership Services can no longer be provided due to reasons such as change in business item, abandonment of business, or company acquisition, the Company shall inform Members at least 30 days in advance, through the email address or phone number provided at the time of registration.


Article 13 (Applicable Laws and Jurisdiction)

①The laws and regulations of the Republic of Korea apply to the interpretation of this Agreement and to disputes between the Company and Member.

②In the event of a lawsuit between the Company and Member that arises from use of Membership Services, the competent court shall be decided in accordance with the Civil Procedure Act.


Additional Clause

This Agreement takes effect on April 2, 2019.



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