South Korea’s National Assembly approved an amendment to the Act on Fair Transactions in Large Franchise and Retail Business on Sept. 17, shortening the maximum payment period for direct purchase transactions from 60 days to 35 days. The rule primarily affects big-box stores, convenience stores and online malls that buy goods outright and assume inventory risk. Deadlines for special contract purchase, consignment and lease arrangements will fall from 40 days to 20 days. Monthly settlement arrangements can use a 20-day deadline from the monthly purchase closing date, while exemptions may apply when payment is objectively impossible or retailers face severe financial distress, subject to Korea Fair Trade Commission approval. The amendment will be promulgated after Cabinet Council approval and take effect one year later, potentially from October 2027. Intermediary platforms including Naver Shopping, 11Street and Gmarket remain outside the law’s scope.