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Serious Accidents Punishment Act

Overview

Kim & Chang’s Serious Accidents Punishment Act (“SAPA”) Practice draws on the market-leading resources of our firm’s diverse practices to provide clients with comprehensive support on complying with SAPA and responding to government investigations of serious accidents, among other things.

The Largest Practice in Korea, with a “One-Stop Service” Capability

Our Practice is made up of more than 120 lawyers and advisors, with substantial accumulated experience in areas such as EHS, criminal defense, construction, employment, product safety and internal investigations.  Many of our Practice’s members have worked at government agencies such as the Ministry of Employment and Labor, the Korea Occupational Safety and Health Agency, the Ministry of Environment, and the Ministry of Land, Infrastructure and Transport.  Working together with colleagues and drawing upon their backgrounds in enforcement agencies such as the Police and the Prosecutors’ Offices, our Practice possesses the expertise to advise our clients on effectively managing corporate criminal liability exposure in connection with serious accidents.

Providing Tailored Solutions

The breadth and depth of our capabilities in all related areas of expertise allow us to tailor solutions for each client – from establishing safety and health management systems, to responding effectively to the investigation of any criminal liability for serious accidents.  We believe that our experience in advising clients across all major industry segments will help us guide our clients through the very challenging regulatory landscape presented by the SAPA regime.  Moreover, we have been advising numerous clients on SAPA cases that have occurred since January 2022, when the SAPA went into effect.

Key Servicesshow

Design and Implementation of SAPA Compliance Regimes
  • Providing advice on the duties of “Responsible Management Personnel” and organizational restructuring to comply with the SAPA

  • Conducting on-site inspections to assess the status of safety and health management systems

  • Advising on concrete measures to fulfill the duty to secure safety and health

  • Preparing manuals and checklists tailored to site-specific needs

  • Reviewing the status of subcontracting/outsourcing/delegation arrangements and  preparing measures to manage SAPA risks

 

Accident Response
  • Responding to government investigations

  • Providing crisis management-related advice and services

  • Advising on accident response pursuant to root cause analysis (including technical analysis) and assisting with establishment of accident prevention systems

  • Representing clients in civil actions (and related insurance disputes) following large scale accidents (e.g., fires, explosions)

Key Experienceshow

We advise clients in all major industry segments, such as the petrochemicals, semiconductor, construction, distribution and logistics, energy, telecommunications, steel, cement, automobile manufacturing, pharmaceutical and real estate industries.

 

Design and Implementation of SAPA Compliance Regimes
  • Advised a leading Korean semiconductor company on the establishment of a company-wide safety and health management system to comply with SAPA and prevent accidents.

  • Established a company-wide safety and health management system for SAPA/OSHA compliance and accident prevention for a leading Korean petrochemical company.

  • Advised the largest e-commerce logistics company in Korea on its safety and health management system.

  • Established compliance systems addressing SAPA and OSHA for a leading Korean steel company.

  • Represented a number of major construction companies in Korea and provided comprehensive advice on legal risks related to construction site accidents and remediation measures.

  • Established a safety and health management system, including on-site inspections and subcontractor operations, for leading Korean auto-parts makers.

  • Developed OSHA related company regulations and checklists for leading Korean distribution companies.

  • Provided advice to a multinational chemical company on the obligation to file voluntary safety confirmation reports.

  • Completed a compliance project regarding OSHA, the Act on the Safety Control of Hazardous Substances, and the High-Pressure Gas Safety Control Act for a leading Korean biopharmaceutical company.

  • Established a product safety inspection system for a leading Korean distribution company.

  • Conducted risk assessment and provided advice on safety and health management system updates for the largest airline in Korea.

 

Accident Response (Selected Cases)
  • Advised a leading Korean semiconductor company in addressing worksite fatalities.

  • Represented leading Korean companies in energy, manufacturing and steel industries and multinational chemical companies in responding to worksite accidents such as explosions and chemical leaks.

  • Provided assistance to leading Korean companies in various industries in responding to fire accidents affecting large warehouses and stores.

  • Advised a leading domestic company on responding to demolition-related injury claims.

  • Represented leading Korean construction companies in their response to government investigations of worksite employee fatalities.

  • Assisted various clients in the defense of criminal or civil proceedings and administrative sanctions (such as special supervision and work stoppage orders) resulting from worksite accidents.

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