"Do Not Use the 'Compensation Coupon' from Coupang," Experts Warn—Here’s Why

[Financial News] Coupang has decided to provide a compensation coupon to all victims following a large-scale Personal Information Leakage. However, some legal experts have urged caution regarding the use of these coupons, warning that using them could potentially disadvantage claimants in future damages claim lawsuits.
According to ILRO Law Firm on the 29th, the firm posted a warning in an online community for participants in the damages claim lawsuit against Coupang, outlining these concerns.
ILRO Law Firm criticized the measure, stating, "This compensation plan is not a cash payment for actual damages, but rather a discount on product purchases." They argued that Coupang is attempting to avoid responsibility by encouraging additional spending from customers instead of offering direct compensation.
They further noted, "The 50,000-won coupon is divided into four categories, so to receive the full benefit, users are forced to make at least four separate purchases." The firm added that this structure encourages excessive consumption.
A particular point of caution is the possible inclusion of a 'covenant not to sue' clause in the terms and conditions. This could mean that by using the coupon, users are deemed to have received full compensation and agree not to pursue any further civil or criminal claims.
'Covenant not to sue' is a legal term indicating that parties to a dispute agree not to raise any further objections after reaching an amicable settlement. In other words, using the coupon could restrict participation in future damages claim lawsuits.
ILRO Law Firm also warned, "Coupang has an 'automatic coupon application' system, which may result in coupons being used without the user's intent." They urged users to refrain from using the coupons to avoid unknowingly limiting their rights or reducing potential compensation.
Previously, Coupang announced a compensation plan to provide each affected customer with a Pass worth 50,000 won. Coupang stated at the time, "We take full responsibility for the Personal Information Leakage incident and will work to regain customer trust," adding that the Pass would be distributed to all 33.7 million affected accounts.
The total compensation through these coupons amounts to 1.685 trillion won, marking the largest payout ever for a Personal Information Leakage case involving a Korean company.
hsg@fnnews.com Han Seung-gon Reporter