The purpose of this Act is to ensure fairness in transactions between entrusting business operators and small and medium-sized entrusted business operators and to protect the interests of small and medium-sized entrusted business operators, by preventing delays, etc. in the payment of the price to small and medium-sized entrusted business operators, related to manufacturing consignment, etc., thereby contributing to the sound development of the national economy.

①The term "manufacturing consignment" as used in this Act means the consignment to another business operator of the manufacture of goods, their semi-finished products, parts, accessories or raw materials, which are the subject matter of sales conducted on a regular basis or manufacturing contracted on a regular basis (including processing; the same applies below) by a business operator, or metal dies, wooden models or other molds for molding goods, workpiece holders or other special tools to be exclusively used for the manufacture of the goods, their semi-finished products, parts, accessories or raw materials referred to above , or the manufacture of parts or raw materials necessary for the repair of goods conducted on a regular basis, and the consignment to another business operator of the manufacture of goods, their semi-finished products, parts, accessories or raw materials, or the relevant molds or tools to be exclusively used for the manufacture of the goods when a business operator engages in the manufacture of goods to be used or consumed by itself on a regular basis.

②The term "repair consignment" as used in this Act means the consignment to another business operator of all or a part of the repair of goods which the business operator contracted on a regular basis, and the consignment to another business operator of part of the repair of goods when the business operator is engaging in the repair of the goods which it uses itself on a regular basis.

③The term "information-based product creation consignment" as used in this Act means the consignment to another business operator of all or part of the creation of an information-based product which is the object of provision conducted on a regular basis or creation on a regular basis, and the consignment to another business operator of all or part of the creation of an information-based product which is used by the business operator in the case where the business operator produces that information-based product in the course of trade.

④The term "service contract" as used in this Act means the consignment to another business operator of all or part of the provision of a service which is the object of provision conducted on a regular basis (excluding any contract by a person conducting a construction business (meaning a construction business as prescribed by Article 2 paragraph 2 of the Construction Business Act (Act No. 100 of 1949); the same applies below in this paragraph) of all or part of the construction work it contracts as a regular business (meaning construction work prescribed in paragraph 1 of that Article) to other parties conducting a construction business of all or part of the construction work it contracts on a regular basis).

⑤The term "specific transportation consignment" as used in this Act means the consignment to another business operator of all or part of the transportation for the counterparty (including a person designated by the counterparty) in the sale, manufacture, repair, or creation of goods that are the subject matter of sales conducted by the business operator on a regular basis, manufacturing contracted on a regular basis, or repairs contracted on a regular basis, or goods on which information products that are the subject matter of creation contracted on a regular basis are stated, recorded, or embodied.

⑥The term "manufacturing consignment, etc." as used in this Act means manufacturing consignment, repair consignment, information-based product creation consignment, service contract and specific transportation consignment.

⑦The term "information-based product" as used in this Act means any of the articles described in the following items.

⑧The term "entrusting business operator" as used in this Act means a person who falls under any of the following items:

⑨The term "small and medium-sized entrusted business operator" as used in this Act means a person who falls under any of the following items:

⑩If a business operator that is a corporation whose appointment and dismissal of officers, or execution or existence of business, is controlled by a business operator that is a corporation with the amount of stated capital or the total amount of contributions exceeding 10 million yen or a business operator that is a corporation with the number of regular employees exceeding 100, and that receives a manufacturing consignment, etc. from the business operator, further entrusts all or a considerable part of the act of manufacturing, repairing, creating, providing, or transporting relating to the manufacturing consignment, etc. (excluding cases where a person who falls under paragraph (8), item (i), item (ii), or item (v) makes a manufacturing consignment, etc. to a person who falls under item (i), item (ii), or item (v) of the preceding paragraph respectively, and cases where a person who falls under paragraph (8), item (iii), item (iv), or item (vi) makes an information-based product creation consignment or service contract to a person who falls under item (iii), item (iv), or item (vi) of the preceding paragraph respectively), when the business operator that receives the further consignment is a business operator who would fall under any of the items of that paragraph if the business operator received the manufacturing consignment, etc. directly from the business operator that controls the appointment and dismissal of officers, or the execution or existence of business, and makes the manufacturing consignment, etc., with regard to the application of this Act, the business operator that makes the further consignment is deemed to be an entrusting business operator, and the business operator that receives the further consignment is deemed to be a small and medium-sized entrusted business operator.

⑪The term "payment for manufacturing consignment, etc." as used in this Act means the payment to be made for the performance (provision of services in the case of service contract or specific transportation consignment; the same applies below) by a small or medium-sized entrusted business operator when the entrusting business operator concludes a manufacturing consignment, etc.

①The due date of the payment for manufacturing consignment, etc. must be set within a period of 60 days, and within as short a period as possible, from the day on which the entrusting business operator receives the performance from the small or medium-sized entrusted business operator (in the case of service contract or specific transportation consignment, the day on which the entrusted services are received from the small or medium-sized entrusted business operator; the same applies below), regardless of whether or not the entrusting business operator inspects the content of the performance from the small or medium-sized entrusted business operator.

②If the due date of the payment for manufacturing consignment, etc. has not been specified, the day on which the entrusting business operator receives the performance from the small or medium-sized entrusted business operator is deemed to be specified as the due date of the payment for manufacturing consignment, etc., and if the due date of the payment for manufacturing consignment, etc. is specified in violation of the provisions of the preceding paragraph, the day before the day on which 60 days have elapsed from the day on which the entrusting business operator receives the performance from the small or medium-sized entrusted business operator is deemed to be specified as the due date of the payment for manufacturing consignment, etc..

①If an entrusting business operator concludes a manufacturing consignment, etc. with a small or medium-sized entrusted business operator, the entrusting business operator must immediately clearly indicate to the small or medium-sized entrusted business operator, in writing or by electronic or magnetic means (meaning a means of using an electronic data processing system or any other means of using information and communications technology that is specified by Japan Fair Trade Commission Rules; the same applies below in this Article), the details of the performance, the amount of the payment of manufacturing consignment, etc., the date of payment, the method of payment, and other matters pursuant to the provisions of Japan Fair Trade Commission Rules; provided, however, that if there are justifiable grounds for the details of any of these matters not being specified, the clear indication is not required, and in this case, the entrusting business operator must clearly indicate the matters to the small or medium-sized entrusted business operator in writing or by electronic or magnetic means immediately after the details of the matters have been specified.

②If the entrusting business operator has clearly indicated the matters prescribed in the preceding paragraph by electronic or magnetic means pursuant to the provisions of that paragraph, and is requested by the small and medium-sized entrusted business operator to issue a document stating the matters, the entrusting business operator must issue the document without delay, pursuant to the provisions of Japan Fair Trade Commission Rules; provided, however, that this does not apply if it is specified by Japan Fair Trade Commission Rules as a case that does not hinder the protection of a small and medium-sized entrusted business operator.