Chapter VIII.

Compliance with the Consumer Protection

While telecommunications services have become indispensable for daily lives of people and socioeconomic activities, general consumers are facing difficulties in selecting necessary services because of advancement of information and communications technology (ICT), diversification of service contents and service menus. Thus, telecommunications carriers fulfilling accountability on terms and conditions shall, upon conclusion of contracts for telecommunications services with users, make explanations and process complaints, etc.
MIC published the "Guidelines for Consumer Protection Rules in the Telecommunications Business Law" in March 2004. For details, please refer to the following sites at:
(Reference)
http://www.soumu.go.jp/main_sosiki/joho_tsusin/eng/Releases/NewsLetter/Vol14/Vol14_24/Vol14_24.pdf (excerpts)
http://www.soumu.go.jp/menu_news/s-news/2004/pdf/040305_6_b1.pdf (Japanese-language version)

1. Prior notice to users pertaining to suspension or discontinuation of business operations

Telecommunications Business Law
(Suspension and Discontinuation of Business, and Dissolution of Juridical Person)
Article 18.
(1) and (2) (Omitted)
(3) When a telecommunications carrier intends to suspend or discontinue part or all of the operations of its telecommunications business, as specified in the applicable MIC ordinance, the telecommunications carrier shall inform fully to that effect to users (meaning persons concluding contracts with a telecommunications carrier to receive telecommunications services. Hereinafter the same shall apply.) of said telecommunications business to be suspended and discontinued. Provided, however, that in the cases where suspension or discontinuation of a telecommunications business specified in the applicable MIC ordinance as those having a comparatively small influence on the users' benefit, this shall not apply.


(Article 13 of the Regulations for Enforcement of the Telecommunications Business Law (MIC ordinance))

When a telecommunications carrier intends to suspend or discontinue part or all of the operations of its telecommunications business, the telecommunications carrier shall inform fully to that effect to its users prior to implementation thereof. The prior notice of information shall be made by sure methods (e.g., delivery of written documents, transmission of e-mails, etc.) for enabling users to recognize the suspension or discontinuation of business operations, by setting a reasonable time period (about one month) prior to implementation thereof.


2. Explanation of terms and conditions

Telecommunications Business Law
(Accountability on Terms and Conditions)
Article 26. Telecommunications carriers and persons who perform conclusion of contracts as business of intermediary, commission or procuration concerning the provision of telecommunications services from other telecommunications carriers (hereinafter referred to as "telecommunications carrier, etc.") shall, when intending to perform conclusion of contracts, contracts as business of intermediary, commission or procuration concerning the provision of telecommunications services that are specified as telecommunications services pertaining to people's daily lives in the applicable MIC ordinance, with persons who intend to receive telecommunications services (except persons who are telecommunications carriers), explain outlines of terms and conditions including charges concerning said telecommunications services to the persons, as specified in the applicable MIC ordinance.


(Article 22-2-2 of the Regulations for Enforcement of the Telecommunications Business Law (MIC ordinance))

Any telecommunications carrier or agent shall, before conclusion of a contract of services for general consumers, explain service contents (matters to be explained) to users. Basically, the telecommunications carrier (or agent) shall deliver potential users documents containing matters to be explained, subsequently verbal explanation shall be made. With consent from users, similar methods may be allowed.


1) Types of services for general consumers, for which matters are to be explained, are as follows:

i) Telephone and ISDN
ii) Cellular telephone and Internet access services on cellular phone
iii) PHS and Internet access services on PHS
iv) Internet access service
v) DSL service
vi) FTTH service
vii) Cable TV Internet access service
viii) Public wireless LAN access service
ix) FWA service
x) IP telephony service


2) All of the following matters shall be explained:

i) Name of the telecommunications carrier
ii) In cases of a carrier's agent on a contract basis, its name, the fact that the company concerned is a carrier's agent on a contract basis, and others
iii) Contact points for the telecommunications carrier (as for telephone numbers, the business hours for the telephone should be included.)
iv) In cases of a carrier's agent on a contract basis, contact points for the agent (as for telephone numbers, the business hours for the telephone should be included.)
v) Contents of telecommunications services (their names, types and, if there are restrictions on usage, the facts)
vi) Charges to be applied to its users
vii) In addition to charges in vi), where other charges excluded in charges for the service are applied, details thereon
viii) In addition to charges in vi) and vii), when a free-of-charge or discount offer is applied, its period, scope, and other terms and conditions
ix) Where there are the provisions for changes or cancellation of contracts upon requests from users, details thereon

(including:
(a) Limits on grace periods for changes and cancellation of contract, the facts
(b) Clauses on early withdrawal penalty on changes and cancellation, the facts
(c) Payment of return costs, etc. for rental modem upon changes and cancellation, details thereon)

3) The telecommunications carrier (or agent) shall, in principle, deliver to potential users documents containing matters to be explained, with verbal explanation to be subsequently offered.

With consent from users, the following methods may be allowed:

i) Send e-mail
ii) Display matters to be explained as posted on a website
iii) Display matters to be explained as posted on a website for mobile terminals
iv) Deliver a storage media such an electromagnetic media as CD-ROM
v) Send DM, etc. containing matters to be explained
vi) Telephone call (it is compulsory that, after explanation via telephone call, written documents be sent without delay.)

3. Appropriate processing of complaints, etc.

Telecommunications Business Law
(Procedure for Processing Complaints, Etc.)
Article 27.
Any telecommunications carrier shall, properly and promptly, process complaints and inquiries from users (including persons who intend to receive telecommunications services and except persons who are telecommunications carriers. The same shall apply to Article 29 paragraph (2)) concerning operations methods of said telecommunications carrier pertaining to telecommunications services specified in the applicable MIC ordinance under the preceding article or telecommunications services provided by said telecommunications carrier specified in the applicable MIC ordinance under the same article.

Any telecommunications carrier shall, properly and promptly, process complaints and inquiries from users concerning telecommunications services or operations methods. Whether "appropriately and promptly process(ed)" or not shall be judged (by said telecommunications carrier) on a case-by-case basis for each individual case. At least the following cases are not "appropriately and promptly process(ed)":
i) Where there is no contact point for accepting complaints and inquiries
ii) Even if there are contact points for accepting complaints and inquiries, when the contact points are actually not accessible from consumers

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