Act on Specified Commercial Transactions

The purpose of this Act is to protect the interests of purchasers and others and ensure that the distribution of the goods and other commodities and providing services is appropriate and smooth by ensuring fairness in specified commercial transactions (meaning transactions connected with door-to-door sales, mail order sales, and telemarketing sales; multilevel marketing transactions; transactions connected with the provision of specified continuous services; business opportunity sales transactions; and transactions connected with door-to-door purchases; the same applies hereinafter) and preventing damage that may be caused to purchasers and others, so as to contribute to the sound development of the national economy.

The term "door-to-door sale" as used in this Chapter and in Article 58-18, paragraph (1) means the following:

a sale of goods or specified rights or providing services that a seller or a person engaged in the business of providing the services (hereinafter referred to as a "service provider") undertakes after having received an offer to enter into a sales contract or for a contract to provide services in exchange for payment (hereinafter referred to as a "service contract"), or after having entered into a sales contract or a service contract, at a place other than a business office, agency office, or any other place specified by order of the competent ministry (hereinafter referred to as an "office or other location"); or

a sale of goods or specified rights or providing services that a seller or a service provider undertakes after having received an offer to enter into a sales contract or a service contract at an office or other location from a person whom the seller or the service provider has stopped at a place other than an office or other location and taken along with them to an office or other location, or from a person whom the seller or the service provider has induced away from a place that is not an office or other location by any other means specified by Cabinet Order (the person is hereinafter referred to as a "specified customer"), or that a seller or a service provider undertakes after having entered into a sales contract or a service contract at an office or other location with a specified customer.

The term "mail order sale" as used in this Chapter and in Article 58-19 means a sale of goods or specified rights or providing services that a seller or a service provider undertakes after having received an offer to enter into a sales contract or a service contract by postal mail or other means specified by order of the competent ministry (hereinafter referred to as "postal mail or a similar means"), and that does not fall under the category of telemarketing sales.

The term "telemarketing sale" as used in this Chapter and in Article 58-20, paragraph (1) means a sale of goods or specified rights or providing services that a seller or a service provider undertakes after having telephoned a person or having had a person to telephone the seller or the service provider by a means specified by Cabinet Order, during which telephone call the seller or the service provider has solicited the person to enter into a sales contract or a service contract (hereinafter referred to as an "act of telemarketing"), due to which the seller or the service provider received the relevant offer to enter into a sales contract or a service contract from the solicited person (hereinafter referred to as a "telemarketing target") by postal mail or a similar means, or due to which the seller or the service provider entered into the sales contract or a service contract with the telemarketing target via postal mail or a similar means.

The term "specified right" as used in this Chapter and in Article 58-19, item (i) and Article 67, paragraph (1) means the following rights:

the right to use a facility or to receive a service, which is sold in a transaction connected with people's daily lives, and which is specified by Cabinet Order;

a corporate bond or other monetary claim; and

a share in a stock company; an equity interest of a member of a limited liability company, general partnership company, or limited partnership company; a membership right in any other incorporated association; or a membership right in a foreign corporation that has the characteristics of any of the foregoing rights.

When a seller or a service provider seeks to conduct door-to-door sales, prior to solicitation, the seller or the service provider must clearly indicate to the other party the name of the seller or the service provider, the fact that the purpose is to solicit the person to enter into a sales contract or a service contract, and the type of goods, rights, or services connected with the solicitation.

When a seller or a service provider seeks to conduct a door-to-door sale, the seller or the service provider must endeavor to confirm that the other party is willing to be solicited.

A seller or a service provider must not solicit a person to enter into a sales contract or a service contract connected with a door-to-door sale if that person has indicated an unwillingness to enter into the sales contract or a service contract.

When a seller or a service provider has received an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services at a place other than an office or other location, or has received an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services at an office or other location from a specified customer, pursuant to the provisions of order of the competent ministry, the seller or the service provider must immediately deliver a document to the person who made the offer, giving the details of the offer with respect to the following information; provided, however, that this does not apply if the seller or the service provider enters into the sales contract or the service contract upon receiving the offer:

the type of goods, rights, or services;

the sales price of the goods or rights or the consideration for the services;

the timing and method of payment of the charges for the goods or rights, or the consideration for the services;

the timing of the delivery of the goods, the timing of the transfer of the rights, or the timing of the provision of the services;

information about withdrawing the offer to enter into the sales contract or the service contract or about canceling the sales contract or the service contract under the provisions of Article 9, paragraph (1) (including information under the provisions of paragraphs (2) through (7) of that Article (when the provisions of Article 26, paragraph (2), (4), or (5) apply, this includes information under the provisions of those paragraphs)); and

information specified by order of the competent ministry, beyond what is stated in the preceding items.

In place of the delivery in writing under the provisions of the preceding paragraph, a seller or a service provider may provide the information that should be described in the documents by an electronic or magnetic means (meaning a means that makes use of an electronic data processing system or any other means that makes use of information and communications technology, which is specified by order of the competent ministry; the same applies hereinafter) after gaining the consent of the person who made the offer, pursuant to Cabinet Order. In this case, the seller or the service provider is deemed to have delivered the documents.

The provision of information that should be described in documents as specified in the first sentence of the previous paragraph through electronic or magnetic means (excluding means specified by order of the competent ministry) means that the information is deemed to have reached the person who made the offer when it was recorded in a file stored on the computer used by the person who made the offer.

Except as prescribed in the following paragraph, if a seller or a service provider falls under one of the following items, the seller or the service provider must deliver a document to the purchaser or the service recipient that clarifies the details of the sales contract or the service contract with respect to the information referred to in the items of the preceding Article, paragraph (1) (with respect to the information referred to in item (v) of the paragraph, this is limited to information about the cancellation of the sales contract or the service contract) without delay (or immediately, in the case prescribed in the proviso to that Article), pursuant to the provisions of order of the competent ministry:

the seller or the service provider has entered into a sales contract for goods or specified rights or service contract for services at a place other than an office or other location (this excludes the case where the seller or the service provider received the offer at an office or other location from a customer who is not a specified customer, and entered into the sales contract or the service contract at a place other than an office or other location);

the seller or the service provider has received an offer to enter into a sales contract for goods or specified rights or a service contract for services at a place other than an office or other location and entered into the sales contract or the service contract at an office or other location; or

the seller or the service provider has entered into a sales contract for goods or specified rights or a service contract for services at an office or other location with a specified customer.

If a seller or a service provider falls under one of the items of the preceding paragraph and, upon entering into a sales contract or a service contract, the seller or the service provider delivers the goods, transfers the specified rights, or provides the services and receives the total amount of the charges for the goods or specified rights or the consideration for the services, pursuant to the provisions of order of the competent ministry, the seller or the service provider must immediately deliver to the purchaser or the service recipient a document giving the information referred to in paragraph (1), items (i) and (ii) of the preceding Article, and the portion of the information referred to in item (v) of the paragraph that is about canceling the sales contract or the service contract, and any other information specified by order of the competent ministry.

The provisions of paragraph (2) and paragraph (3) of the preceding Article apply mutatis mutandis to the delivery in writing under the provisions of the preceding two paragraphs. In this case, the phrase "the person who made the offer" in paragraph (2) and paragraph (3) of the Article is deemed to be replaced with "the purchaser or the service recipient".

A seller or a service provider must not misrepresent the following information, either in soliciting a person to enter into a sales contract or a service contract connected with a door-to-door sale, or in order to prevent the withdrawal or cancellation of an offer to enter into a sales contract or a service contract connected with a door-to-door sale or the cancellation of the contract:

the type of goods and their performance or quality, the type of rights or services, the details of them, or other similar information specified by order of the competent ministry;

the sales price of the goods or rights, or the consideration for the services;

the timing or method of payment of the charges for the goods or rights or the consideration for the services;

the timing of the delivery of the goods, the timing of the transfer of the rights, or the timing of the provision of the services;

information about withdrawing the offer to enter the sales contract or the service contract or about canceling the sales contract or the service contract (including information under the provisions of Article 9, paragraphs (1) through (7) (when the provisions of Article 26, paragraph (2), (4), or (5) apply, this includes information under the provisions of the relevant paragraphs));

information about any circumstances that make it necessary for the customer to enter into the sales contract or the service contract; or

beyond what is stated in the preceding items, any material information about the sales contract or the service contract that would affect the decision of the customer, the purchaser, or the service recipient.

A seller or a service provider must not intentionally fail to disclose facts with respect to the matters listed in items (i) through (v) of the preceding paragraph in soliciting a person to enter into a sales contract or a service contract connected with a door-to-door sale.

A seller or a service provider must not use intimidation to overwhelm a person in order to have that person enter into a sales contract or a service contract connected with a door-to-door sale, in order to prevent the person from withdrawing an offer to enter into a sales contract or a service contract connected with a door-to-door sale, or in order to prevent the person from canceling the contract.

A seller or a service provider must not solicit a person whom the seller or the service provider has stopped and taken along with them or whom the seller or the service provider has induced away from a place that is not an office or other location by any other means specified by Cabinet Order, to enter into a sales contract or a service contract connected with a door-to-door sale other than in a place into and out of which the general public comes and goes, without first having informed the person that the purpose for doing so is to solicit the person to enter into the sales contract orthe service contract.

On finding that it is necessary to do so in order to determine whether a seller or a service provider has misrepresented the information prescribed in paragraph (1), item (i) of the preceding Article, the competent minister may ask the seller or the service provider to submit materials showing reasonable grounds to support the information conveyed to the other party, within a specified period. In this case, if the seller or the service provider fails to submit those materials, concerning application of the provisions of paragraph (1) of the following Article and Article 8, paragraph (1), thethe seller or the service provider is deemed to have misrepresented the information prescribed in that item.

If a seller or a service provider has violated any of the provisions of Article 3, Article 3-2, paragraph (2), Article 4, paragraph (1), Article 5, paragraph (1) or paragraph (2), or Article 6, or has engaged in any of the following conduct, and the competent minister finds that the conduct is likely to prejudice the fairness of a transaction connected with a door-to-door sale and the interests of the purchaser or the service recipient, the minister may instruct the seller or the service provider to take measures to correct the violation or conduct, measures to protect the interests of the purchaser or the service recipient, and any other necessary measures:

refusing to perform or unjustifiably delaying the performance of all or part of the obligations under a sales contract or a service contract connected with a door-to-door sale or the obligations arising due to the cancellation of a sales contract or a service contract connected with a door-to-door sale;

intentionally failing to disclose any material information about a sales contract or a service contract that would affect the decision of the customer (excluding the matters listed in Article 6, paragraph (1), items (i) through (v)) in soliciting a person to enter into a sales contract or a service contract connected with a door-to-door sale;

intentionally failing to disclose any material information about a sales contract or a service contract connected with a door-to-door sale that would affect the decision of the customer, the purchaser, or the service recipient in order to prevent the withdrawal of the offer to enter the sales contract or the service contract or the cancellation of the contract;

soliciting a person, without reasonable grounds, to enter into a sales contract or a service contract connected with a door-to-door sale in which the amount of goods or the amount of benefits guaranteed by specified rights (limited to those stated in Article 2, paragraph (4), item (i)) of a quantity that significantly exceeds what is normally required in daily life or for a service whose frequency, period, or quantity significantly exceeds what is normally required in daily life, or any other conduct specified by order of the competent ministry as conduct that is found to be inappropriate in light of the customer's financial status; or

beyond what is stated in the preceding items, conduct in connection with a door-to-door sale that is specified by order of the competent ministry as being likely to prejudice the fairness of a transaction connected with a door-to-door sale and the interests of the purchaser or the service recipient.

Having given an instruction under the provisions of the preceding paragraph, the competent minister must issue a public announcement to that effect.

If a seller or a service provider has violated any of the provisions of Article 3, Article 3-2, paragraph (2), Article 4, paragraph (1), Article 5, paragraph (1) or paragraph (2), or Article 6 or has engaged in any of the conduct listed in the items of paragraph (1) of the preceding Article, and the competent minister finds that the conduct is likely to significantly prejudice the fairness of a transaction connected with a door-to-door sale and the interests of the purchaser or the service recipient, or the seller or the service provider fails to follow the instructions under the provisions of that paragraph, the minister may order the seller or the service provider to suspend its business activities that are connected with door-to-door sales in whole or in part, during a specified period of no longer than two years. In this case, if the seller or the service provider is an individual, the competent may also prohibit the individual from becoming an officer (meaning a member in charge of the executive management of business operations, a director, an operating officer, a representative, a manager, and including a person that has controlling power over a corporation that is equal or superior to a member in charge of the executive management of business operations, a director, an operating officer, a representative, a manager, regardless of the name of the person's position, the consultant or adviser; the same applies hereinafter) in charge of the business activities that are subject to the suspension at a corporation (including an association or a foundation without legal personality that has designated a representative or a manager; hereinafter the same applies) that engages in those business activities, for a period equal to the period of that suspension.

When the competent minister orders suspension of business pursuant to the provisions of the first sentence of the preceding paragraph, when the seller or the service provider is an individual, and when this specified associated corporation (meaning a corporation whose business management is substantially controlled by a seller or a service provider, an executive thereof, a person who supervises the business operations of business offices thereof, or other employees specified by Cabinet Order (hereinafter simply referred to as "employees") (including a person who was an officer or employee within one year before the date of the order; the same applies in paragraph (2) of the next Article, Article 15, paragraph (2), and Article 23-2, paragraph (2)) and other corporations specified by Cabinet Order; the same applies in this Chapter) is found to conduct business activities equal to the scope of the business activities subject to the suspension, the minister may order the seller or the service provider to suspend the business activities conducted by the specified associated corporation for the period equal to the period of the suspension.

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If the competent minister orders a seller or a service provider to suspend its business activities pursuant to the first sentence of paragraph (1) of the preceding Article, and the person specified in accordance with the category of cases listed in the following items in the relevant items is a person specified by order of the competent ministry as one whose door-to-door sales should be restricted so as to ensure the effectiveness of the order in consideration of the facts constituting the grounds for the order and the weight of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in the business activities) for a period equal to the period of that suspension:

if the seller or the service provider is a corporation: its officer or a person who was its officer in one year before the date of the order, or its employee or a person who was its employee within one year before the date of the order; or

if the seller or the service provider is an individual: an employee or a person who was an employee within one year before the date of the order.

When the competent minister prohibits business activities of an officer or employee pursuant to the provisions of the preceding paragraph and the officer or employee falls under any of the following items, the minister may order the officer or employee to suspend the same business activities conducted by it and provided for in each of the items for a period equal to the period of the prohibition.

a person who is found to be engaged in the same business as the business within the scope for which prohibition is ordered by the order at the specified associated corporation of a seller or a service provider who is found to have committed the act constituting the grounds for the order; or

a person who, as a seller or a service provider, is found to conduct the same business activities as the same scope of the business for which prohibition is ordered pursuant to the order.

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If a seller or a service provider has received an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services at a place other than an office or other location; if a seller or a service provider has received an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services at an office or other location from a specified customer; if a seller or a service provider has entered into a sales contract for goods or specified rights or a service contract for services at a place other than an office or other location (excluding the case where the seller or the service provider received the offer at an office or other location and entered into the sales contract or the service contract at a place other than an office or other location); or if a seller or a service provider has entered into a sales contract for goods or specified rights or a service contract for services at an office or other location with a specified customer, the person who made the offer or the purchaser or the service recipient (hereinafter referred to as the "offerer or purchaser" in this Article through Article 9-3) may withdraw the offer to enter into a sales contract or a service contract or cancel the sales contract or the service contract (hereinafter referred to as the "withdrawal of an offer or cancellation" of a contract in this Article) in writing or through electronic or magnetic records (meaning records created in electronic form, magnetic form, or any other form not recognizable by human perception, which is used in information processing by computers; the same applies hereinafter); provided, however, that this does not apply once eight days have passed after the date on which the offerer or purchaser received the document referred to in Article 5, paragraph (1) or paragraph (2) (or after the date on which the offerer or purchaser received the document referred to in Article 4, paragraph (1), if the offerer or purchaser received the document under Article 4 at an earlier date than that on which the offerer or purchaser received the document referred to in Article 5) (if the offerer or purchaser did not withdraw the offer or cancel the contract before the end of that period because of having been under the misconception that information about the withdrawal of an offer or cancellation of the contract that the seller or the service provider had misrepresented to the offerer or purchaser, in violation of the provisions of Article 6, paragraph (1), was true, or because the offerer or purchaser was overwhelmed due to the seller's or the service provider's use of intimidation, in violation of the provisions of paragraph (3) of that Article, when eight days have passed after the date on which the offerer or purchaser received a document delivered to them by the seller or the service provider pursuant to the provisions of order of the competent ministry that contains a notice to the effect that the offerer or purchaser may withdraw the offer or cancel the sales contract or the service contract).

The withdrawal of an offer or cancellation of a contract takes effect at the time the withdrawal or cancellation is stated in writing or through notification by electronic or magnetic records.

If a person withdraws an offer or cancels a contract, the seller or the service provider may not claim damages or demand the payment of any penalty in connection with the withdrawal of the offer or cancellation of the contract.

If a person withdraws an offer or cancels a contract, the seller bears the costs required for taking back or returning any goods already delivered or any rights already transferred under the sales contract.

If a person withdraws an offer or cancels a sales contract for goods or specified rights or a service contract, the seller or the service provider may not demand that the offerer or purchaser pay money equal to any benefit gained through the use of the goods or through the exercise of the rights, nor may the seller or the service provider demand that the offerer or purchaser pay consideration or any other money for services under the service contract, even if the goods delivered based on the sales contract have already been used or the rights have already been exercised, or even if services have already been provided based on the service contract.

If a person withdraws an offer or cancels a service contract, the service provider must promptly return any money the service provider has received in association with the service contract to the offerer or purchaser.

If the offerer or purchaser under a service contract or a sales contract for specified rights has withdrawn the offer to enter or canceled the service contract or the sales contract, and the existing state of the offerer or purchaser's land, building, or any other structure was changed in line with services that were to be provided in connection with the service contract or the specified rights, the offerer or purchaser may demand that the service provider or the seller of the specified rights take the necessary measures to restore it to its original state at no charge.

Any special provisions of a contract that run counter to the provisions of the preceding paragraphs and that are disadvantageous to the offerer or purchaser are invalid.

An offerer or purchaser may withdraw an offer to enter into a sales contract or a service contract that falls under the category of any of the following contracts, or may cancel the sales contract or the service contract (hereinafter referred to as "withdrawal of an offer or cancellation" of a contract in this Article); provided, however, that this does not apply if there are special circumstances that make it necessary for the offerer or purchaser to enter into the contract:

a sales contract in which the amount of goods or the amount guaranteed by specified rights (limited to those stated in Article 2, paragraph (4), item (i); hereinafter the same applies in the following item) greatly exceeds the amount that would normally be required in the offerer's or purchaser's daily life or a service contract for the offerer or purchaser to be provided with services of a frequency, period, or quantity that significantly exceeds what would normally be required in the offerer's or purchaser's daily life; or

a sales contract or a service contract for which the seller or the service provider has received an offer or that the seller or the service provider has entered into with the knowledge that performing its obligations under the sales contract or the service contract would cause the quantity of any of the offerer's or purchaser's goods or specified rights of the same kind as the goods or specified rights under the sales contract to significantly exceed what would normally be required in the offerer's or purchaser's daily life; that performing those obligations would cause the frequency, period, or quantity of any services with which the offerer or purchaser was being provided of the same type as the services under the service contract to significantly exceed what would normally be required in the offerer's or purchaser's daily life; or with the knowledge that the quantity of any of the offerer's or purchaser's goods or specified rights of the same type as the goods or specified rights under the sales contract already significantly exceeded what would normally be required in the offerer's or purchaser's daily life or that the frequency, period, or quantity of services with which the offerer or purchaser was being provided of the same kind as the services under the service contract already significantly exceeded what would normally be required in the offerer or purchaser's daily life.

An offerer or purchaser must exercise the right under the provisions of the preceding paragraph within one year from the time of entry into the sales contract or the service contract.

The provisions of paragraphs (3) through (8) of the preceding Article apply mutatis mutandis to the withdrawal of an offer or cancellation of a contract under the provisions of paragraph (1). In this case, the term "the preceding paragraphs" in paragraph (8) of that Article is deemed to be replaced with "paragraphs (1) and (2) of the following Article and paragraphs (3) through the preceding paragraph as applied mutatis mutandis pursuant to paragraph (3) of that Article".

If the offerer or purchaser was under a misconception specified in one of the following items as a result of the seller's or the service provider's having engaged in the conduct listed in that item in soliciting the offerer's or purchaser's entry into a sales contract or a service contract connected with a door-to-door sale, because of which the offerer or purchaser indicated the intention to offer to enter or accept a sales contract or a service contract, the offerer or purchaser may retract the manifestation of that intention to offer to enter or accept the contract:

a misrepresentation in violation of the provisions of Article 6, paragraph (1):the misconception that the information represented was true; or

the intentional failure to disclose a fact, in violation of the provisions of Article 6, paragraph (2):the misconception that the relevant fact did not exist.

The retraction under the provisions of the preceding paragraph of the manifestation of the intention to offer to enter into or accept a sales contract or a service contract connected with a door-to-door sale may not be duly asserted against a third party in good faith that is free from any negligence.

The provisions of paragraph (1) do not preclude the application of the provisions of Article 96 of the Civil Code (Act No. 89 of 1896) to the manifestation of intention to offer to enter into or accept a sales contract or a service contract connected with a door-to-door sale prescribed in the paragraph.

The right to a retraction under the provisions of paragraph (1) extinguishes by prescription if it is not exercised within one year from the time that a contract can be ratified. The same applies once five years have passed after the time that the relevant sales contract or the service contract was entered into.

Notwithstanding the provisions of Article 121-2, paragraph (1) of the Civil Code, if an offerer or purchaser to whom a benefit has been conferred through the performance of an obligation under a sales contract or a service contract connected with a door-to-door sale retracts the manifestation of the intention to offer to enter into or accept the contract pursuant to the provisions of paragraph (1), but the offerer or purchaser did not know that the manifestation of the intention could be retracted when the benefit was conferred, the offerer or purchaser bears the obligation to return up to the extent of the actual benefit received based on the sales contract or the service contract.

If a seller or a service provider has entered into a sales contract or a service contract falling under any of the items in Article 5, paragraph (1), but the sales contract or the service contract is canceled, the seller or the service provider may not demand that the purchaser or the service recipient pay an amount of money that exceeds the aggregate of the amount specified in the cases stated in the relevant items among the following items for the cases listed in them and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the goods or rights are returned:the amount constituting the normal charges for use of the goods or the amount equal to the profit that can normally be earned through the exercise of the rights (or the amount equal to the sales price of the goods or rights less the value of those goods or rights at the time of their return, if this exceeds the amount constituting the normal charges for use of the goods or the amount equal to the profit that can normally be earned through the exercise of the rights);

if the goods or rights are not returned:the amount equal to the sales price of the goods or rights;

if the service contract is canceled after the services started to be provided:the amount equal to the consideration for the provided services; or

if the contract is canceled prior to the start of the delivery of the goods or the transfer of the rights or the provision of the services:the amount of costs normally required for entering into and performing a contract.

If a seller or a service provider has entered into a sales contract or a service contract falling under any of the items in Article 5, paragraph (1), but the obligation to pay the charges under the sales contract or the consideration under the service contract is not performed in whole or in part (excluding cases where the sales contract or the service contract has been canceled), the seller or the service provider may not demand that the purchaser or the service recipient pay an amount of money that exceeds the aggregate of the amount equal to the sales price of the goods or rights or the consideration for the services less the already-paid amount of the charges for the goods or rights or the consideration for the services plus the amount of any damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty.

When a seller or a service provider advertises the terms and conditions under which the seller or the service provider sells goods or specified rights or provides services through mail order sales, the seller or the service provider must indicate the following information concerning the goods, rights, or services in the advertisement pursuant to the provisions of order of the competent ministry; provided, however, that the seller or the service provider is permitted not to indicate a portion of this information, pursuant to the provisions of order of the competent ministry, if the seller or the service provider indicates in the advertisement that upon request the seller or the service provider will deliver a document or provide an electronic or magnetic record that gives this information without delay:

the sales price of the goods or rights or the consideration for the services (meaning the sales price and the shipping charges for the goods, if shipping charges for the goods are not included in the sales price);

the timing and method of payment of the charges for the goods or rights or the consideration for the services;

the timing of the delivery of the goods, the timing of the transfer of the rights, or the timing of the provision of the services;

if there is a provision on the period of an offer regarding a sales contract for goods or specified rights or for a service contract, the fact and the details;

information concerning the withdrawal of an offer to enter into a sales contract for goods or specified rights or a service contract, or the cancellation of the contract (if there are special provisions as prescribed in the proviso to Article 15-3, paragraph (1), this information includes the details of those special provisions; and if the provisions of Article 26, paragraph (2) apply, this information includes information concerning those provisions); and

information specified by order of the competent ministry, beyond what is stated in the preceding items.

When a seller or a service provider advertises the terms and conditions under which the seller or the service provider sells goods or specified rights or provides services through mail order sales, the seller or the service provider must not make a representation regarding the performance of the goods or the details of the rights or services, regarding information on the withdrawal of an offer to enter into a sales contract for the goods or the rights or a service contract for the service or the cancellation (if there are special provisions as prescribed in the proviso to Article 15-3, paragraph (1), this information includes the details of those special provisions), or regarding any other information specified by order of the competent ministry with respect to mail order sales, that differs significantly from the truth or could mislead people into believing that conditions are significantly better or more advantageous than they are in reality.

On finding that it is necessary to do so in order to determine whether a seller's or service provider's representation falls under the category of representations provided in the preceding Article, the competent minister may ask the seller or the service provider that made that representation to submit materials showing reasonable grounds to support it within a specified period. In this case, if the seller or the service provider fails to submit those materials, with regard to the application of the provisions of Article 14, paragraph (1) and Article 15, paragraph (1), the representation is deemed to fall under the category of representations provided in the preceding Article.

Except in the following cases, a seller or a service provider must not advertise via email (meaning advertising by sending advertising text or any other data by an electronic or magnetic means in a way that causes it to be displayed on the screen of the computer used by the advertising target; the same applies hereinafter) with regard to the terms and conditions under which the seller or the service provider sells goods or specified rights or provides services through mail order sales, without the consent of the advertising target:

when sending email advertising regarding the terms and conditions under which the seller or the service provider sells goods or specified rights or provides services through mail order sales (hereinafter referred to as "email advertising mail order sales" in this section) at the request of the advertising target;

when sending email advertising mail order sales pursuant to the provisions of order of the competent ministry while notifying a person who has offered for a sales contract for goods or specified rights sold by the seller or a service contract for services provided by the service provider or a person who has entered into the sales contract or the service contract, of information concerning the details of the offer or contract or the performance of the contract through a means specified by order of the competent ministry; or

beyond what is stated in the preceding two items, when sending email advertising mail order sales in the cases specified by order of the competent ministry as cases that are found to be unlikely to prejudice the interests of the target of the email advertising mail order sales.

A seller or a service provider that has obtained the consent prescribed in the preceding paragraph or that has received the request prescribed in item (i) of that paragraph must mot send email advertising mail order sales to an advertising target if the target of the email advertising mail order sales indicates an unwillingness to receive email advertising mail order sales; provided, however, that this does not apply if the seller or the service provider later receives another request from the advertising target or regains the consent of the advertising target to send email advertising mail order sales.

Except in the case stated in paragraph (1), item (ii) or (iii), when sending email advertising mail order sales, a seller or a service provider must prepare what is specified by order of the competent ministry as a record of having obtained the consent of the advertising target or having received a request from the advertising target to send email advertising mail order sales, and must preserve the records pursuant to the provisions of order of the competent ministry.

Except in the case stated in paragraph (1), item (ii) or (iii), in addition to the matters listed in the items of Article 11, pursuant to the provisions of order of the competent ministry, when sending email advertising mail order sales, a seller or a service provider must indicate in its email advertising mail order sales the information that order of the competent ministry specifies as information that an advertising target needs to have in order to indicate an unwillingness to receive email advertising mail order sales.

If a seller or a service provider has comprehensively entrusted another person with all of the following business activities, the provisions of the preceding two paragraphs do not apply to any email advertising mail order sales subject to that entrustment:

business activities for obtaining the consent of advertising targets or receiving requests from advertising targets to send email advertising mail order sales;

business activities for preparing and preserving the records prescribed in paragraph (3); and

business activities for indicating the information that an advertising target needs to have in order to indicate an unwillingness to receive email advertising mail order sales, as prescribed in the preceding paragraph.

Except in the following cases, a person comprehensively entrusted with all of the business activities listed in the items of paragraph (5) of the preceding Article by a seller or a service provider (the person is hereinafter referred to as a "contractor sending email advertising mail order sales" in this Section, Article 66, paragraph (6) and Article 67, paragraph(1), item (iv)) must not send email advertising mail order sales with regard to the terms and conditions under which the seller or the service provider that entrusted the contractor with those business activities (hereinafter referred to as the "party entrusting a contractor with email advertising mail order sales" in this Section) sells goods or specified rights or provides services through mail order sales, without the consent of the advertising target:

when sending email advertising the mail order sales of the party entrusting the contractor with email advertising mail order sales at the request of the advertising target; or

beyond what is provided in the preceding item, when sending email advertising the mail order sales of the party entrusting the contractor with email advertising mail order sales in cases specified by order of the competent ministry as cases that are found to be unlikely to prejudice the interests of the target of the email advertising the mail order sales of a party entrusting a contractor with email advertising mail order sales.

The provisions of paragraphs (2) through (4) of the preceding Article apply mutatis mutandis to email advertising the mail order sales of a party entrusting a contractor sending email advertising mail order sales which is sent by the contractor sending email advertising mail order sales. In this case, the phrase "paragraph (1), item (ii) or (iii)" in paragraphs (3) and (4) of the preceding Article is deemed to be replaced with "paragraph (1), item (ii) of the following Article".

Except in the following cases, a seller or a service provider must not advertise via facsimile (meaning advertising by sending advertising text or any other information by using a facsimile machine; the same applies in item (i)) with regard to the terms and conditions under which the seller or the service provider sells goods or specified rights or provides services through mail order sales, without the consent of the advertising target:

when sending facsimile advertising regarding the terms and conditions under which the seller or the service provider sells goods or specified rights or provides services through mail order sales (hereinafter referred to as "facsimile advertisements for mail order sales" in this Article) at the request of the advertising target;

when sending facsimile advertisements for mail order sales pursuant to the provisions of order of the competent ministry while notifying a person who has applied for a sales contract for goods or specified rights sold by the seller or a service contract for services provided by the service provider or a person who has entered into the sales contract or the service contract, of information concerning the details of the offer or contract or the performance of the contract using a method specified by order of the competent ministry; or

beyond what is provided in the preceding two items, when sending facsimile advertisements for mail order sales in the cases specified by order of the competent ministry as cases that are found to be unlikely to prejudice the interests of the target of the facsimile advertisements for mail order sales.

A seller or a service provider that has obtained the consent prescribed in the preceding paragraph or that has received a request prescribed in item (i) of that paragraph must not send facsimile advertisements for mail order sales to an advertising target if the target of the facsimile advertisements for mail order sales indicates an unwillingness to receive facsimile advertisements for mail order sales; provided, however, that this does not apply if the seller or the service provider later receives another request from the advertising target or regains the consent of the advertising target to send facsimile advertisements for mail order sales.

Except in a case stated in paragraph (1), item (ii) or (iii), when sending facsimile advertisements for mail order sales, a seller or a service provider must prepare what is specified by order of the competent ministry as a record of having obtained the consent of the advertising target or having received a request from the advertising target to send facsimile advertisements for mail order sales, and must preserve those records pursuant to the provisions of order of the competent ministry.

Except in a case stated in paragraph (1), item (ii) or (iii), when sending facsimile advertisements for mail order sales, pursuant to the provisions of order of the competent ministry, a seller or a service provider must indicate in its facsimile advertisements for mail order sales information that is specified by order of the competent ministry as the information that an advertising target needs to have in order to indicate an unwillingness to receive facsimile advertisements for mail order sales, beyond the matters listed in the items of Article 11.

When a seller or a service provider receives an offer to enter into a sales contract or a service contract related to mail order sales made by customers in writing with a format specified by the seller or the service provider or a person entrusted by it or an offer to enter into a sales contract or a service contract related to mail order sales made by customers through a method where the seller or the service provider or a person entrusted by it uses an electronic data processing system or any other means that makes use of information and communications technology using procedures that display information on the screen of the computer used by the customers (hereinafter collectively referred to as a "specified offer"), the seller or the service provider must display the following matters on documents or a screen on which the processes are displayed related to the specified offer:

goods or specified rights sold under the sales contract, or the amount of services provided under the service contract; and

matters listed in Article 11, items (i) through (v) related to the sales contract or the service contract.

A seller or a service provider must not display the following indications on documents related to specified offers or screens on which procedures are displayed:

a misleading indication as to the fact that the sending of the documents or the transmission of information in accordance with the procedures constitutes an offer to enter into a sales contract or a service contract related to mail order sales; or

a misleading indication with regard to the matters listed in each item of the preceding paragraph.

If a seller or a service provider engages in mail order sales in which the seller or the service provider receives charges for goods or rights or the consideration for services in whole or in part prior to the delivery of goods, the transfer of rights, or providing services from a person who has offered a sales contract for goods or specified rights or who has offered a service contract for services, and the seller or the service provider receives an offer to enter into a sales contract for goods or rights or a service contract for services by postal mail or a similar means and receives the charges for the goods or rights or consideration for the services in whole or in part, the seller or the service provider must notify the person who made the offer in writing of the acceptance or non-acceptance of the offer (if the seller or the service provider notified the person who made the offer of the acceptance or non-acceptance of the offer before receiving those charges or that consideration, the seller or the service provider must send the person a notice to that effect) and of any other information specified by order of the competent ministry without delay, pursuant to the provisions of order of the competent ministry; provided, however, that this does not apply if the seller or the service provider has sent the goods, transferred the rights, or provided the services without delay after receiving the charges for the goods or rights or the consideration for the services in whole or in part.

In place of the notification in writing under the provisions of the preceding paragraph, a seller or a service provider may provide the information that should be described in the documents by an electronic or magnetic means, after gaining the consent of the person who made the offer, pursuant to Cabinet Order. In this case, the seller or the service provider is deemed to have made the notification in writing.

A seller or a service provider must not make a misrepresentation on matters related to withdrawal of an offer to enter into a sales contract or a service contract related to mail order sales or cancellation of the sales contract or the service contract (including matters on the provision of Article 15-3) or matters on circumstances that require customers to enter into the sales contract or the service contract in order to prevent withdrawal or cancellation of the offer to enter into the sales contract or the service contract.

If a seller or a service provider has violated any of the provisions of Article 11, Article 12, or Article 12-3 (excluding paragraph (5)), Article 12-5, Article 12-6, Article 13, paragraph (1), or Article 13-2, or has engaged in any of the following conduct, and the competent minister finds that the conduct is likely to prejudice the fairness of a transaction connected with a mail order sale and the interests of the purchaser or the service recipient, the minister may instruct the seller or the service provider to take measures for correcting the violation or conduct, measures for protecting the interests of the purchaser or the service recipient, and any other necessary measures:

refusing to perform or unjustifiably delaying the performance of the obligations under a sales contract or a service contract connected with a mail order sale or the obligations that occur through the cancellation of a sales contract or a service contract connected with a mail order sale in whole or in part;

that which is specified by order of the competent ministry as conduct through which the relevant person sought to have a customer offer to enter into a sales contract or a service contract connected with a mail order sale against the customer's will; or

beyond what is stated in the preceding two items, conduct in connection with a mail order sale that is specified by order of the competent ministry as being likely to prejudice the fairness of a transaction connected with a mail order sale and the interests of the purchaser or the service recipient.

If a contractor sending email advertising mail order sales has violated any of the provisions of Article 12-4, paragraph (1) or Article 12-3, paragraphs (2) through (4) as applied mutatis mutandis pursuant to Article 12-4, paragraph (2) or has engaged in any of the following conduct, and the competent minister finds that the conduct is likely to prejudice the fairness of a transaction connected with mail order sales and the interests of the purchaser or the service recipient, the minister may instruct the contractor sending email advertising mail order sales to take any necessary measures:

that which is specified by order of the competent ministry as conduct through which the relevant person sought to have a customer offer to enter into a sales contract or a service contract related to mail order sales offered to the party entrusting a contractor with email advertising mail order sales, against the customer's will; or

beyond what is stated in the preceding item, conduct in connection with a mail order sale that is specified by order of the competent ministry as being likely to prejudice the fairness of a transaction connected with a mail order sale and the interests of the purchaser or the service recipient.

Having given an instruction under the provisions of paragraph (1), the competent minister must issue a public announcement to that effect.

Having given an instruction under the provisions of paragraph (2), the competent minister must issue a public announcement to that effect.

If a seller or a service provider has violated any of the provisions of Article 11, 12, or 12-3 (excluding paragraph (5)), Article 12-5, Article 12-6, Article 13, paragraph (1), or Article 13-2, or has engaged in any of the conduct listed in the items of paragraph (1) of the preceding Article, and the competent minister finds that the conduct is likely to significantly prejudice the fairness of a transaction connected with a mail order sale and the interests of the purchaser or the service recipient or the seller or the service provider fails to follow the instructions under the provisions of that paragraph, the minister may order the seller or the service provider to suspend those of its business activities that are connected with mail order sales in whole or in part, during a specified period of no longer than two years. In this case, if the seller or the service provider is an individual, the minister may also prohibit the individual from becoming an officer in charge of business activities that are subject to the suspension at a corporation that engages in those business activities for a period equal to the period of that suspension.

If the competent minister orders suspension of business pursuant to the provisions of the first sentence of the preceding paragraph, and the seller or service provider is an individual, and the specified associated corporation is found to conduct business activities equal to the scope of the business activities subject to the suspension, the minister may order the seller or the service provider to suspend the business activities conducted by the specified associated corporation for the period equal to the period of the suspension.

If a contractor sending email advertising mail order sales has violated any of the provisions of Article 12-4, paragraph (1) or Article 12-3, paragraphs (2) through (4) as applied mutatis mutandis pursuant to Article 12-4, paragraph (2) or has engaged in any of the conduct listed in the items of paragraph (2) of the preceding Article, and the competent minister finds that the conduct is likely to significantly prejudice the fairness of a transaction connected with mail order sales and the interests of the purchaser or the service recipient, or if a contractor sending email advertising mail order sales fails to follow the instructions under the provisions of that paragraph, the minister may order the contractor sending email advertising mail order sales to suspend those of its business activities that are connected with email advertising mail order sales in whole or in part, during a specified period of no longer than one year.

Having issued an order under the provisions of paragraph (1) or paragraph (2), the competent minister must issue a public announcement to that effect.

Having issued an order under the provisions of paragraph (3), the competent minister must issue a public announcement to that effect.

If the competent minister orders a seller or a service provider to suspend its business activities pursuant to the first sentence of paragraph (1) of the preceding Article, and a person that the relevant items among the following items prescribe for the category of the case stated in that item is a person specified by order of the competent ministry as one whose mail order sales should be restricted so as to ensure the effectiveness of the order in consideration the facts constituting the grounds for the order and the weight of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in the business activities) for a period equal to the period of that suspension:

if the seller or the service provider is a corporation: its officer or a person who was its officer in one year before the date of the order, or its employee or a person who was its employee within one year before the date of the order; or

if the seller or the service provider is an individual: an employee or a person who was an employee within one year before the date of the order.

Where the competent minister prohibits business activities of an officer or employee pursuant to the provision of the preceding paragraph and the officer or employee falls under any of the following items, the minister may order the officer or employee to suspend the same business activities conducted by the person and provided for in each of the items for a period equal to the period of the prohibition.

a person who is found to be engaged in the same business as the business on a scope for which prohibition is ordered by the order at a specified associated corporation of a seller or a service provider who is found to have committed the act constituting the grounds for the order; or

a person who is found to conduct the same business as the business on a scope for which prohibition is ordered pursuant to the order as a seller or a service provider

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If a seller that has advertised terms and conditions for selling goods or specified rights through mail order sales has received an offer to enter into a sales contract for those goods or specified rights or entered into a sales contract for those goods or specified rights, the person making the offer or the purchaser (simply referred to as the "purchaser" in the following paragraph) may withdraw the offer to enter into the sales contract or cancel the sales contract (hereinafter referred to as a "withdrawal of an offer or cancellation" of a contract in this Article) during the period up until eight days have passed since the date on which the purchaser is delivered the goods or is transferred the specified rights; provided, however, that this does not apply if the seller had indicated special provisions on withdrawal of an offer or cancellation of a contract in its advertisement (if the sales contract is an electronic consumer contract prescribed in Article 2, paragraph (1) of the Act on Special Provisions of the Civil Code for Electronic Consumer Contracts (Act No. 95 of 2001) or in any other cases specified by order of the competent ministry, the case where the seller had indicated special provisions in its advertisement and had also indicated those special provisions by a method other than an advertisement that is specified by order of the competent ministry).

If a person withdraws an offer or cancels a contract, the purchaser bears the costs required for taking back or returning any goods already delivered or any specified rights already transferred under the sales contract.

When a seller or a service provider conducts any of the acts listed in the following items at the time of receiving a specified offer, and a person who made the specified offer is given the mistaken impressions specified in the items as a result of the acts and manifested intention for the specified offer, the person may rescind the manifested intention.

misrepresentation in violation of the provisions of Article 12-6, paragraph (1):the misconception that the information being represented is true;

failure to display a fact, in violation of the provisions of Article 12-6, paragraph (1):the misconception that the matter not displayed does not exist;

Act of displaying matters listed in Article 12-6, paragraph (2), item (i):the misconception that the sending of the documents or the transmission of information set out in the same item does not constitute an offer to enter into a sales contract or a service contract related to mail order sales; or

Act of displaying matters set out in Article 12-6, paragraph (2), item (ii):the misconception on matters set out in the items of paragraph (1) of the Article.

The provisions of Article 9-3, paragraphs (2) through (5) apply mutatis mutandis to the retraction: under the provisions of the preceding paragraph, of the manifested intention for a specified offer.

When a seller or a service provider seeks to conduct telemarketing sales, prior to solicitation, the seller or the service provider must tell the other party the name of the seller or the service provider and the name of the solicitor, the type of the goods, rights, or services, and the fact that the purpose of the telephone call is to solicit the person to enter into a sales contract or a service contract.

A seller or a service provider must not solicit a person to enter into a sales contract or a service contract connected with a telemarketing sale if that person has indicated an unwillingness to enter into the sales contract or a service contract.

When a seller or a service provider receives an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services from a telemarketing target by postal mail or a similar means as a result of an act of telemarketing, the seller or the service provider must deliver a document giving the details of the offer to the person who made the offer with respect to the following information without delay, pursuant to the provisions of order of the competent ministry; provided, however, that this does not apply if the seller or the service provider has entered into the sales contract or the service contract upon receiving the offer for them:

the type of goods, rights, or services;

the sales price of the goods or rights or the consideration for the services;

the timing and method of payment of the charges for the goods or rights or the consideration for the services;

the timing of the delivery of the goods, the timing of the transfer of the rights, or the timing of the provision of the services;

information about withdrawing the offer to enter into the sales contract or the service contract or about canceling the sales contract or the service contract under the provisions of Article 24, paragraph (1) (including information under the provisions of paragraphs (2) through (7) of that Article (when the provisions of Article 26, paragraph (2), (4), or (5) apply, this includes information under the provisions of the paragraphs)); and

information specified by order of the competent ministry, beyond what is stated in the preceding items.

In place of the delivery in writing under the provisions of the preceding paragraph, a seller or a service provider may provide the information that should be described in the documents by an electronic or magnetic means, after gaining the consent of the person who made the offer, pursuant to Cabinet Order. In this case, the seller or the service provider is deemed to have delivered the documents.

Regarding the provision of information that should be described in documents as specified in the first sentence of the previous paragraph through electronic or magnetic means (excluding means specified by order of the competent ministry), the information is deemed to have reached the person who made the offer when it is recorded in a file stored on the computer used by the person who made the offer.

Except as prescribed in the following paragraph, if a seller or a service provider falls under one of the following items, the seller or the service provider must deliver a document to the purchaser or the service recipient that clarifies the details of the sales contract or the service contract with respect to the matters listed in the items of paragraph (1) of the preceding Article (with respect to the information referred to in item (v) of that Article, limited to information about the cancellation of the sales contract or the service contract) without delay, pursuant to the provisions of order of the competent ministry:

the seller or the service provider has entered into a sales contract for goods or specified rights or a service contract for services with a telemarketing target by postal mail or a similar means as a result of an act of telemarketing; or

the seller or the service provider has received an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services from a telemarketing target by postal mail or a similar means as a result of an act of telemarketing.

If a seller or a service provider falls under item (ii) of the preceding paragraph and, upon entering into a sales contract or a service contract, the seller or the service provider delivers the goods, transfers the specified rights, or provides the services and receives the total amount of the charges for the goods or specified rights or the consideration for the services, pursuant to the provisions of order of the competent ministry, the seller or the service provider must immediately deliver to the purchaser or the service recipient a document giving the information referred to in paragraph (1), items (i) and (ii) of the preceding Article, the portion of the information referred to in item (v) of the paragraph of the Article that is about canceling the sales contract or the service contract, and any information specified by order of the competent ministry.

The provisions of paragraph (2) and paragraph (3) of the preceding Article apply mutatis mutandis to the delivery in writing under the provisions of the preceding two paragraphs. In this case, the phrase "the person who made the offer" in paragraph (2) and paragraph (3) of the Article is deemed to be replaced with "the purchaser or the service recipient".

If a seller or a service provider engages in telemarketing sales in which the seller or the service provider receives charges for goods or rights or the consideration for services in whole or in part prior to the delivery of goods, the transfer of rights, or providing services from a person who has offered a sales contract for goods or specified rights or who has offered a service contract for services, when the seller or the service provider has received an offer to enter into a sales contract for goods or rights or a service contract for services by postal mail or a similar means and has received the charges for the goods or rights or the consideration for the services in whole or in part, the seller or the service provider must notify the person who made the offer in writing of the acceptance or non-acceptance of the offer (if the seller or the service provider has notified the person who made the offer of the acceptance or non-acceptance of the offer before receiving the charges or consideration, the seller or the service provider must send the person a notice to that effect) and of any other information specified by order of the competent ministry without delay, pursuant to the provisions of order of the competent ministry; provided, however, that this does not apply if the seller or the service provider has sent the goods, transferred the rights, or provided the services without delay after receiving the charges for the goods or rights or the consideration for the services in whole or in part.

In place of the notification in writing under the provisions of the preceding paragraph, a seller or a service provider may provide the information that should be described in the documents by an electronic or magnetic means, after gaining the consent of the person who made the offer, pursuant to Cabinet Order. In this case, the seller or the service provider is deemed to have made the notification in writing.

A seller or a service provider must not misrepresent the following information, either in soliciting a person to enter into a sales contract or a service contract connected with a telemarketing sale, or in order to prevent the withdrawal of an offer to enter into a sales contract or a service contract connected with a telemarketing sale or the cancellation of the contract:

the type of goods and their performance or quality, the type of rights or services, the details thereof, and other similar information specified by order of the competent ministry;

the sales price of the goods or rights, or the consideration for the services;

the timing or method of payment of the charges for the goods or rights or the consideration for the services;

the timing of the delivery of the goods, the timing of the transfer of the rights, or the timing of the provision of the services;

information about withdrawing the offer to enter into the sales contract or the service contract or about canceling the sales contract or the service contract (including information under the provisions of Article 24, paragraphs (1) through (7) (when the provisions of Article 26, paragraph (2), (4), or (5) apply, this includes information under the provisions of the paragraphs));

information about any circumstances that make it necessary for the telemarketing target to enter into the sales contract or the service contract; or

beyond what is stated in the preceding items, any material information about the sales contract or the service contract that would affect the decision of the telemarketing target, the purchaser, or the service recipient.

A seller or a service provider must not intentionally fail to disclose facts with respect to the matters listed in items (i) through (v) of the preceding paragraph in soliciting a person to enter into a sales contract or a service contract connected with a telemarketing sale.

A seller or a service provider must not use intimidation to overwhelm a person, either in order to have the person enter into a sales contract or a service contract connected with a telemarketing sale, or to prevent the person from withdrawing an offer to enter into a sales contract or a service contract connected with a telemarketing sale or from canceling the contract.

On finding that it is necessary to do so in order to determine whether a seller or a service provider has misrepresented the information prescribed in paragraph (1), item (i) of the preceding Article, the competent minister may ask the seller or the service provider to submit materials showing reasonable grounds to support the information conveyed to the other party, within a specified period. In this case, if the seller or the service provider fails to submit those materials, with regard to the application of the provisions of paragraph (1) of the following Article and Article 23, paragraph (1), thethe seller or the service provider is deemed to have misrepresented the information prescribed in that item.

If a seller or a service provider has violated any of the provisions of Article 16, Article 17, Article 18, paragraph (1), Article 19, paragraph (1) or paragraph (2), Article 20, paragraph (1), or Article 21 or has engaged in any of the following conduct, and the competent minister finds that the conduct is likely to prejudice the fairness of a transaction connected with a telemarketing sale and the interests of the purchaser or the service recipient, the minister may instruct the seller or the service provider to take measures for correcting the violation or conduct, measures for protecting the interests of the purchaser or the service recipient, and any other necessary measures:

refusing to perform or unjustifiably delaying the performance of the obligations under a sales contract or a service contract connected with a telemarketing sale or the obligations that occur through the cancellation of a sales contract or a service contract connected with a telemarketing sale in whole or in part;

intentionally failing to disclose any material information about a sales contract or a service contract that would affect the decision of a telemarketing target (excluding the matters listed in Article 21, paragraph (1), items (i) through (v)) in soliciting a person to enter into the sales contract or the service contract connected with the telemarketing sale;

intentionally failing to disclose any material information about a sales contract or a service contract connected with a telemarketing sale that would affect the decision of the telemarketing target, the purchaser, or the service recipient, in order to prevent the withdrawal of an offer to enter into the sales contract or the service contract or the cancellation of the contract;

without reasonable grounds, a person's entry into a sales contract or a service contract connected with a telemarketing sale for goods or specified rights (limited to those stated in Article 2, paragraph (4), item (i)) of a quantity that significantly exceeds what is normally required in daily life or for a service whose frequency, period, or quantity significantly exceeds what is normally required in daily life, or any other conduct specified by order of the competent ministry as conduct that is found to be inappropriate in light of the telemarketing target's financial status; or

beyond what is stated in the preceding items, conduct in connection with a telemarketing sale that is specified by order of the competent ministry as being likely to prejudice the fairness of a transaction connected with a telemarketing sale and the interests of the purchaser or the service recipient.

Having given an instruction under the provisions of the preceding paragraph, the competent minister must issue a public announcement to that effect.

If a seller or a service provider has violated any of the provisions of Article 16, Article 17, Article 18, paragraph (1), Article 19, paragraph (1) or paragraph (2), Article 20, paragraph (1), or Article 21 or has engaged in any of the conduct listed in the items of paragraph (1) of the preceding Article, and the competent minister finds that the conduct is likely to significantly prejudice the fairness of a transaction connected with a telemarketing sale and the interests of the purchaser or the service recipient or the seller or the service provider fails to follow the instructions under the provisions of that paragraph, the minister may order the seller or the service provider to suspend its business activities that are connected with telemarketing sales in whole or in part, during a specified period of no longer than two years. In this case, if the seller or the service provider is an individual, the minister may also prohibit the individual from becoming an officer in charge of the business activities of a corporation that engages in the business activities which fall within the scope of the suspension, for a period equal to the period of that suspension.

If the competent minister orders suspension of business pursuant to the provisions of the first sentence of the preceding paragraph, and when the seller or the service provider is an individual and a specified associated corporation of them is found to conduct business activities equal to the scope of the business activities subject to the suspension, the minister may order the seller or the service provider to suspend the business activities conducted by the specified associated corporation for the period equal to the period of the suspension.

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If the competent minister orders a seller or a service provider to suspend their business activities pursuant to the first sentence of paragraph (1) of the preceding Article, and a person that the relevant items among the following items prescribe for the category of the case stated in that item is a person specified by order of the competent ministry as one whose telemarketing sales should be restricted so as to ensure the effectiveness of the order in consideration of the facts constituting the grounds for the order and the weight of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in the business activities) for a period equal to the period of that suspension:

if the seller or the service provider is a corporation: its officer or a person who was its officer within one year before the date of the order, or its employee or a person who was its employee within one year before the date of the order; or

if the seller or the service provider is an individual: their employee or a person who was an employee within one year before the date of the order.

If the competent minister prohibits business activities of an officer or employee pursuant to the provisions of the preceding paragraph and the officer or employee falls under any of the following items, the minister may order the officer or employee to suspend the same business activities conducted by them and provided for in each of the items for a period equal to the period of the prohibition.

a person who is found to be engaged in the same business as the business on a scope for which prohibition is ordered by the order at a specified associated corporation of a seller or a service provider who is found to have committed the act constituting the grounds for the order; or

a person who, as a seller or a service provider, is found to conduct the same business as the business on a scope for which prohibition is ordered pursuant to the order.

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If a seller or a service provider has received an offer to enter into a sales contract for goods or specified rights or an offer to enter into a service contract for services from a telemarketing target by postal mail or a similar means as the result of an act of telemarketing, or when a seller or a service provider enters into a sales contract for goods or specified rights or a service contract for services with a telemarketing target by postal mail or a similar means as a result of an act of telemarketing, the person who made the offer or the purchaser or the service recipient (hereinafter referred to as the "offerer or purchaser" in this Article through Article 24-3) may withdraw the offer to enter into the sales contract or the service contract or cancel the sales contract or the service contract (hereinafter referred to as "withdrawal of an offer or cancellation" of a contract in this Article) in writing or by using electronic or magnetic records; provided, however, that this does not apply once eight days have passed after the date on which the offerer or purchaser received the document referred to in Article 19, paragraph (1) or paragraph (2) (or after the date on which the offerer or purchaser received the document referred to in Article 18, paragraph (1), if the offerer or purchaser received the document under Article 18 at an earlier date than that on which the offerer or purchaser received the document referred to in Article 19, paragraph (1) or paragraph (2)) (if the offerer or purchaser did not withdraw the offer or cancel the contract by that time limit because the offerer or purchaser was under the misconception that information about the withdrawal of an offer or cancellation of a contract that the seller or the service provider had misrepresented to the offerer or purchaser, in violation of the provisions of Article 21, paragraph (1), was true, or because the offerer or purchaser was overwhelmed due to the seller's or service provider's use of intimidation, in violation of the provisions of paragraph (3) of that Article, when eight days have passed after the date on which the offerer or purchaser received a document delivered to them by the seller or the service provider pursuant to the provisions of order of the competent ministry that contains a notice to the effect that the offerer or purchaser may withdraw the offer or cancel the sales contract or the service contract).

A withdrawal of an offer or cancellation of a contract takes effect at the time the withdrawal of the offer or cancellation of the contract is stated in writing or through notification of electronic or magnetic records.

If a person withdraws an offer or cancels a contract, the seller or the service provider may not claim damages nor demand the payment of any penalty in connection with the withdrawal of the offer or cancellation of the contract.

If a person withdraws an offer or cancels a contract, the seller bears the costs required for taking back or returning any goods already delivered or any rights already transferred under the sales contract.

If a person withdraws an offer or cancels a sales contract for goods or specified rights or a service contract, the seller or the service provider may not demand that the offerer or purchaser pay money equal to any benefit gained through the use of the goods or through the exercise of the rights, nor may the seller or the service provider demand that the offerer or purchaser pay consideration or any other money for services under the service contract, even if the goods delivered based on the sales contract have already been used or the rights have already been exercised, or even if services have already been provided based on the service contract.

If a person withdraws an offer or cancels a service contract, the service provider must promptly return any money the service provider has received in association with the service contract to the offerer or purchaser.

If the offerer or purchaser to a service contract or a sales contract for specified rights has withdrawn the offer or canceled the service contract or sales contract, and the existing state of the offerer or purchaser's land, building, or any other structure was changed in line with services that were to be provided in connection with the service contract or the specified rights, the offerer or purchaser may demand that the service provider or the seller of the specified rights take the necessary measures to restore it to its original state at no charge.

Any special provisions of a contract that run counter to the provisions of the preceding paragraphs and that are disadvantageous to the offerer or purchaser are invalid.

An offerer or purchaser may withdraw an offer to enter into a sales contract or a service contract that falls under the category of any of the following contracts, or may cancel the sales contract or a service contract (hereinafter referred to as "withdrawal of an offer or cancellation" of a contract in this Article); provided, however, that this does not apply when there are special circumstances that make it necessary for the offerer or purchaser to enter into the contract:

a sales contract for goods or specified rights (limited to those stated in Article 2, paragraph (4), item (i); hereinafter the same applies in the following item) of a quantity that significantly exceeds what would normally be required in the offerer's or purchaser's daily life or service contract for the offerer or purchaser to be provided with services of a frequency, period, or quantity that significantly exceeds what would normally be required in the offerer's or purchaser's daily life; or

a sales contract or a service contract for which the seller or the service provider has received an offer or that the seller or the service provider has entered into with the knowledge that performing its obligations under the sales contract or the service contract would cause the quantity of any of the offerer's or purchaser's goods or specified rights of the same type as the goods or specified rights under the sales contract to significantly exceed what would normally be required in the offerer's or purchaser's daily life, that performing those obligations would cause the frequency, period, or quantity of any services the offerer or purchaser was being provided of the same type as the services under the service contract to significantly exceed what would normally be required in the offerer's or purchaser's daily life, or with the knowledge that the quantity of any of the offerer's or purchaser's goods or specified rights of the same kind as the goods or specified rights under the sales contract already significantly exceeded what would normally be required in the offerer's or purchaser's daily life or that the frequency, period or quantity of services the offerer or purchaser was being provided of the same type as the services under the service contract already significantly exceeded what would normally be required in the offerer's or purchaser's daily life.

An offerer or purchaser must exercise the right under the provisions of the preceding paragraph within one year from the time of entry into the sales contract or service contract.

The provisions of paragraphs (3) through (8) of the preceding Article apply mutatis mutandis to the withdrawal of an offer or cancellation of a contract under the provisions of paragraph (1). In this case, the term "the preceding paragraphs" in paragraph (8) of that Article is deemed to be replaced with "paragraphs (1) and (2) of the following Article and paragraphs (3) through (8) as applied mutatis mutandis pursuant to paragraph (3) of that Article".

If an offerer or purchaser was under a misconception specified in one of the following items as a result of the seller or the service provider having engaged in the conduct listed in that item in soliciting a person to enter into a sales contract or a service contract connected with a telemarketing sale, because of which the offerer or purchaser manifested the intention to offer to enter into or accept a sales contract or a service contract, the offerer or purchaser may retract the manifestation of that intention to offer to enter into or accept the contract:

a misrepresentation in violation of the provisions of Article 21, paragraph (1):the misconception that the information being represented was true; or

the intentional failure to disclose a fact, in violation of the provisions of Article 21, paragraph (2):the misconception that the relevant fact does not exist.

The provisions of Article 9-3, paragraphs (2) through (5) apply mutatis mutandis to a retraction, under the provisions of the preceding paragraph, of the manifestation of an intention to offer to enter into or accept a sales contract or a service contract connected with a telemarketing sale.

If a seller or a service provider has entered into a sales contract or a service contract falling under any of the items in Article 19, paragraph (1), and the sales contract or the service contract is canceled, the seller or the service provider may not demand that the purchaser or the service recipient pay an amount of money that exceeds the aggregate of the amount specified in the relevant items among the following items for the cases listed in them and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the goods or rights are returned:the amount constituting the normal charges for use of the goods or the amount equal to the profit that can normally be earned through the exercise of the rights (or the amount equal to the sales price of the goods or rights less the value of those goods or rights at the time of their return, if this exceeds the amount constituting the normal charges for use of the goods or the amount equal to the profit that can normally be earned through the exercise of the rights);

if the goods or rights are not returned:the amount equal to the sales price of the goods or rights;

if the service contract is canceled after the services started to be provided:the amount equal to the consideration for the provided services; or

if the contract is canceled prior to the start of the delivery of the goods or the transfer of the rights or the provision of the services:the amount of costs normally required for entering into and performing a contract.

If a seller or a service provider has entered into a sales contract or a service contract falling under any of the items in Article 19, paragraph (1), and the obligation to pay the charges under the sales contract or the consideration under the service contract is not performed in whole or in part (except if the sales contract or the service contract has been canceled), the seller or the service provider may not demand that the purchaser or the service recipient pay an amount of money that exceeds the aggregate of the amount equal to the sales price of the goods or rights or the consideration for the services less the already-paid amount of the charges for the goods or rights or the consideration for the services plus the amount of any damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty.

The provisions of the preceding three Sections do not apply to the following sales or provision of services that fall under the category of door-to-door sales, mail order sales, or telemarketing sales:

a sale or providing services under a sales contract or a service contract as prescribed in Article 2, paragraphs (1) through (3) that the person offering to enter into the sales contract or the purchaser or service recipient enters into for business purposes or as a part of business;

a sale of goods or rights or providing services to a person located outside of Japan;

a sale or providing services by the national or local government;

a sale or providing services by one of the following organizations to its direct or indirect member (if the organization is able to make its business or facilities available to non-members, this includes a sale or provision of services to those non-members):

a partnership established based on a special law or a federation or central association of the partnerships;

an organization as referred to in Article 108-2 of the National Public Service Act (Act No. 120 of 1947) or Article 52 of the Local Public Service Act (Act No. 261 of 1950); or

a labor union;

a sale or providing services by a business to its employee;

the sale of a newspaper published by a person that is not a stock company;

providing services as prescribed in Article 3, paragraph (1) of the Attorneys Act (Act No. 205 of 1949) by an attorney, providing services as prescribed in Article 3, paragraph (1) or Article 30-5 of that Act by a legal professional corporation as prescribed in Article 30-2 of that Act, and providing services as prescribed in Article 3, paragraph (1), Article 5, paragraph (1), Article 6, paragraph (1), or Article 7 of the Act on the Handling of Legal Services by Foreign Lawyers (Act No. 66 of 1986) by a registered foreign-qualified lawyer prescribed in Article 2, item (iv) of that Act, the provision of the services prescribed in Article 59 of the Act by a registered foreign lawyer corporation prescribed in Article 2, item (v) of the Act, and providing services prescribed in Article 3, paragraph (1) of the Attorneys Act and Article 71 of the Act on the Handling of Legal Services by Foreign Lawyers by an attorney / registered foreign lawyer joint corporation prescribed in Article 2, item (vi) of the Act; or

the following sales or provision of services:

a sale of goods or providing services as prescribed in Article 2, item (ii) of the Real Estate Brokerage Act (Act No. 176 of 1952) by a real estate broker prescribed in Article 2, item (iii) of that Act (including a trust company or a financial institution that has obtained the authorization stated in Article 1, paragraph (1) of the Act on Engagement in Trust Business Activities by Financial Institutions (Act No. 43 of 1943) that engages in the real estate brokerage prescribed in Article 2, item (ii) of the Real Estate Brokerage Act);

providing services as prescribed in Article 2, paragraph (3) of the Travel Agency Act (Act No. 239 of 1952) by a travel operator as prescribed in Article 6-4, paragraph (1) of that Act or a travel agent as prescribed in paragraph (3) of that Article; or

beyond what is provided in (a) through (c), a sale or providing services under a sales contract for goods or specified rights or service contract in door-to-door sales, mail order sales, or telemarketing sales, which is specified by cabinet order as a sale or providing services for which it is found that the interests of the target of solicitation or advertisement, the person making the offer, or the purchaser or service recipient can be protected based on the provisions of other laws.

The provisions of Articles 9 through 9-3, 15-3, 15-4, and 24 through 24-3 do not apply to a sale of specified rights that falls under the category of a door-to-door sale, mail order sale, or telemarketing sale that has been undertaken as a subscription for shares or for contributions, or as a contribution of funds, which pursuant to the Companies Act (Act No. 86 of 2005) or any other Act, cannot be retracted on grounds of fraud or duress.

The provisions of Articles 4, 5, 9, 18, 19, and 24 do not apply if the whole or a part of providing services that is specified by Cabinet Order as being normally undertaken in whole immediately after the parties enter into a contract, and which falls under the category of a door-to-door sale or telemarketing sale, has been undertaken immediately after the parties enter into the contract (limited to the cases specified by order of the competent ministry).

The provisions of Articles 9 and 24 do not apply to the following sales or provision of services falling under the category of a door-to-door sale or telemarketing sale:

a sale of goods or providing services that is specified by Cabinet Order as goods or services whose transactions normally feature negotiations over the terms and conditions of their sale or the terms and conditions for providing services taking place between the seller or the service provider and the purchaser or the service recipient over a reasonable period of time; or

providing services that are specified by Cabinet Order as being likely to significantly prejudice the interests of the service recipient if they are not provided promptly after the contract is entered into.

The provisions of Articles 9 and 24 do not apply to a sale or providing a service that falls under the category of a door-to-door sale or telemarketing sale if any of the following applies:

an offerer or purchaser as prescribed in Article 9, paragraph (1) or an offerer or purchaser as prescribed in Article 24, paragraph (1) has received a document as referred to in Article 4, paragraph (1), or Article 5, paragraph (1) or paragraph (2), Article 18, paragraph (1) or Article 19, paragraph (1) or paragraph (2), and the offerer or purchaser has used or consumed in whole or in part goods specified by Cabinet Order as having a value that is likely to decline significantly through their use or partial consumption (except when the seller had the offerer or purchaser use or consume the goods in whole or in part);

an offerer or purchaser as prescribed in Article 9, paragraph (1) or an offerer or purchaser as prescribed in Article 24, paragraph (1) has received a document as referred to in Article 4, paragraph (1), Article 5, paragraph (1) or paragraph (2), or Article 18, paragraph (1) or Article 19, paragraph (1) or paragraph (2), and the goods transferred to them are goods specified by Cabinet Order as being of a quality that is difficult to maintain for any reasonable period of time and whose value is likely to decline significantly due to a decline in quality; or

in a case as prescribed in Article 5, paragraph (2) or Article 19, paragraph (2), if the total amount of the charges for the goods or the specified rights under the sales contract or the consideration for the services under the service contract is below the amount specified by Cabinet Order.

The provisions of Articles 4 through 10 do not apply to the following door-to-door sales:

a door-to-door sale to a person that has offered to enter into a sales contract or a service contract or requested that the contract be entered into at the person's residence; or

a door-to-door sale that falls under a form of transaction specified by Cabinet Order in which it is normal for the seller or the service provider to receive an offer to enter into a sales contract for goods or specified rights or a service contract for services at a place other than an office or other location and that is found unlikely to prejudice the interests of the purchaser or the service recipient.

The provisions of Articles 18, 19, and 21 through 25 do not apply to the following telemarketing sales:

a telemarketing sale to a person that has requested a telephone call in order to offer to enter into a sales contract or a service contract (excluding a person that has made the request as a result of an act of telemarketing or because of conduct specified by Cabinet Order); or

a telemarketing sale that falls under a form of transaction specified by Cabinet Order in which it is normal for the seller or the service provider to receive offers to enter into a sales contract for goods or specified rights or a service contract for services by postal mail or a similar means as a result of an act of telemarketing, and that is found unlikely to prejudice the interests of the purchaser or the service recipient.

The provisions of Article 10 and the preceding Article do not apply to installment sales (meaning installment sales as prescribed in Article 2, paragraph (1) of the Installment Sales Act (Act No. 159 of 1961); the same applies hereinafter) that fall under the category of door-to-door sales or telemarketing sales.

The provisions of Articles 11 and 13 do not apply to installment sales, etc. (meaning installment sales, loan-backed sales as prescribed in Article 2, paragraph (2) of the Installment Sales Act, intermediation of comprehensive credit purchases as prescribed in paragraph (3) of that Article, or intermediation of individual credit purchases as prescribed in paragraph (4) of that Article; the same applies in the following paragraph) that fall under the category of mail order sales.

The provisions of Article 20 do not apply to installment sales, etc. that fall under the category of telemarketing sales.

A general incorporated association that includes the characters "訪問販売協会" (pronounced "houmon-hanbai-kyoukai", meaning "door-to-door sales association" in its name may be established, provided that its articles of incorporation contain provisions to the effect that it will ensure the fairness of transactions connected with door-to-door sales, protect the interests of the purchasers or the service recipients, contribute to the sound development of the door-to-door sales business, and have as its members persons who engage in door-to-door sales as a business.

The provisions of the articles of incorporation prescribed in the preceding paragraph may not be changed.

A general incorporated association stated in paragraph (1) of the preceding Article (hereinafter referred to as a "door-to-door sales association") must provide in its articles of incorporation to the effect that it may refuse admission to any party that has been ordered to suspend its business activities that are connected with door-to-door sales in whole or in part pursuant to the provisions of Article 8, paragraph (1), or to any party that has been expelled by a door-to-door sales association pursuant to the provisions of the articles of incorporation prescribed in Article 29-3.

A door-to-door sales association must make the directory of its members available for public inspection.

When a door-to-door sales association has been established, a notification to that effect must be submitted to the competent minister with a certificate of registered information and a copy of its articles of incorporation attached to it, within two weeks from the day of its establishment.

When a notification under the provisions of the preceding paragraph is submitted, the competent minister must issue a public notice to that effect.

If there has been a change involving a door-to-door sales association's name, address, articles of incorporation, or any other information specified by order of the competent ministry, a notification to that effect must be submitted to the competent minister within two weeks from the day on which the change occurred.

The provisions of paragraph (2) of the preceding Article apply mutatis mutandis to a notification under the provisions of the preceding paragraph.

A person that is not a door-to-door sales association must not use a character in its name or trade name that could cause it to be mistaken for a door-to-door sales association.

A person that is not a member of a door-to-door sales association must not use a character in its name or trade name that could cause it to be mistaken for a door-to-door sales association member.

When a door-to-door sales association is requested by a purchaser, a service recipient, or other relevant person to help settle a complaint about business activities for door-to-door sales in which a member is engaging, it must hold consultations, provide the necessary advice to the requester, and in addition to investigating the circumstances surrounding the complaint, the association must notify the member of the details of the complaint and request that it be processed promptly.

When a door-to-door sales association finds it necessary for settling a complaint connected with a request under the preceding paragraph, it may ask for a written or oral explanation or for the submission of materials from the member.

A member must not refuse what a door-to-door sales association has asked it to do under the provisions of the preceding paragraph without reasonable grounds.

A door-to-door sales association must fully inform its members about any request under paragraph (1), the circumstances involved in the complaint, and the result of the settlement of the complaint.

If a person has canceled a sales contract or a service contract connected with the business activities in door-to-door sales in which a member is engaged, pursuant to the provisions of this Act, or the person has retracted a manifestation of the intention to offer to enter into or accept a sales contract or a service contract connected with the business activities in door-to-door sales in which a member is engaged, pursuant to the provisions of this Act, and if the member has refused the person's request for the refund of the money that the person paid to the member, a door-to-door sales association must carry out business activities for delivering a fixed amount of money to the person that has requested the refund of the money.

A door-to-door sales association is to set up a fund for the business activities stated in the preceding paragraph, and is to allocate to the fund the total amount of money contributed by its members on the condition of its allocation to the expenses required for the business activities.

A door-to-door sales association must specify the means by which it will implement the business activities stated in paragraph (1) in its articles of incorporation.

Once a door-to-door sales association has specified the means by which it will implement its business activities pursuant to the provisions of the preceding paragraph, it must issue a public announcement of those means. The same applies if the door-to-door sales association has changed those means.

A door-to-door sales association must state in its articles of incorporation that if a member engages in conduct violating the provisions of this Act or a disposition based on the provisions of this Act, it will impose a monetary penalty on the member, order the member's rights as provided in the articles of incorporation to be suspended or restricted, or expel the member.

The competent minister must provide the necessary information and materials or offer the necessary guidance and advice concerning the implementation of the business activities prescribed in Articles 29 and 29-2 to a door-to-door sales association.

The business activities of a door-to-door sales association are subject to the supervision of the competent minister.

If the competent minister finds that it is necessary to do so in order to ensure the proper implementation of business activities, to the extent necessary for enforcing the provisions of this Act, the minister may examine a door-to-door sales association's business activities or financial status or order a door-to-door sales association to take any measures necessary for the improvement of them.

Having issued the order stated in the preceding paragraph, upon finding that it is particularly necessary to do so in order to protect the interests of purchasers or service recipients, the competent minister may issue a public announcement to the effect that the order has been issued.

A general incorporated association that includes the characters "通信販売協会" (pronounced "tsushin-hanbai kyoukai" and meaning "mail order sales association") in its name may be established, but only if its articles of incorporation contain provisions to the effect that it will ensure the fairness of transactions connected with mail order sales, protect the interests of the purchasers or the service recipients, contribute to the sound development of the mail order sales business, and have as its members persons engaged in mail order sales as a business.

The provisions of the articles of incorporation prescribed in the preceding paragraph may not be changed.

When a general incorporated association stated in paragraph (1) of the preceding Article (hereinafter referred to as a "mail order sales association") is established, a notification to that effect must be submitted to the competent minister with a certificate of registered information and a copy of its articles of incorporation attached to it, within two weeks from the day of its establishment.

When a notification under the provisions of the preceding paragraph is submitted, the competent minister must issue a public notice to that effect.

If there has been a change involving a mail order sales association's name, address, articles of incorporation, or any other information specified by order of the competent ministry, a notification to that effect must be submitted to the competent minister within two weeks from the day on which the change occurred.

The provisions of paragraph (2) of the preceding Article apply mutatis mutandis to a notification under the provisions of the preceding paragraph.

A person that is not a mail order sales association must not use a character in its name or trade name that could cause it to be mistaken for a mail order sales association.

A person that is not a member of a mail order sales association must not use a character in its name or trade name that could cause it to be mistaken for a mail order sales association member.

When a mail order sales association is requested by a purchaser, a service recipient, or any other relevant person to help settle a complaint about business activities for mail order sales in which a member is engaging, it must hold consultations, provide the necessary advice to the requester, and investigate the circumstances surrounding the complaint, and also notify the member of the details of the complaint and ask that it be processed promptly.

When a mail order sales association finds it necessary for settling a complaint connected with a request under the preceding paragraph, it may ask for a written or oral explanation or for the submission of materials from the member.

A member must not refuse what a mail order sales association has asked for under the provisions of the preceding paragraph without reasonable grounds.

A mail order sales association must fully inform its members about any request under paragraph (1), the circumstances involved in the complaint, and the result of settlement of the complaint.

The business activities of a mail order sales association are subject to the supervision of the competent minister.

On finding that it is necessary to do so in order to ensure the proper implementation of the business activities stated in the preceding Article, at any time, the competent minister may examine a mail order sales association's business activities or financial status, or issue a mail order sales association any order that is necessary from a supervisory perspective, with regard to its business activities.

Having issued an order as stated in the preceding paragraph, and on finding it particularly necessary for protecting the interests of purchasers or service recipients, the competent minister may issue a public announcement to the effect that the order has been issued.

The term "multilevel marketing undertaking" as used in this Chapter and Article 58-21, paragraphs (1) and (3) and Article 67, paragraph (1) means the business of selling (including arranging for another person to sell) articles (including rights to use facilities or to be provided with services; the same applies hereinafter in this Chapter and Chapter 5) or of providing (including arranging for another person to provide) services in exchange for payment, where a counterparty is induced to resell the articles that have been sold to them (hereinafter referred to as "goods" in this Chapter and Article 58-21, paragraph (1), item (i), (a)) ("resell" means purchasing the goods and then selling them; the same applies hereinafter), wherein a counterparty is induced to sell goods on consignment (meaning being consigned the goods and then selling them; the same applies hereinafter), where a counterparty is induced to arrange the sale of goods, where a counterparty is induced to provide the same kind of services (meaning providing the same kind of services that have been provided to them; the same applies hereinafter), or where a counterparty is induced to arrange for the services to be provided, using the possible receipt of a specified profit (meaning all or part of the transaction fees provided by another person who resells, sells on consignment, or arranges the sale of goods, all or part of the transaction fees provided by another person who provides the same kind of services or arranges for those services to be provided, and any other profits that satisfy the requirements specified by order of the competent ministry; hereinafter the same applies in this Chapter and Article 58-21, paragraph (1), item (iv)), and where transactions that involve a specified burden (meaning the purchase of goods, payment of the consideration for services, or provision of a transaction fee; hereinafter the same applies in this Chapter and Article 58-21, paragraph (1), item (iv)) are carried out with the counterparty to sell or arrange the sale of goods, or where transactions that involve a specified burden are carried out with the counterparty to provide or arrange the provision of the same type of services (the transactions include any change in the terms of a transaction; hereinafter referred to as "multilevel marketing transactions").

The term "orchestrator" as used in this Chapter and Article 58-21, Article 58-26, paragraph (1), Article 66, paragraph (1), and Article 67, paragraph (1) means the person materially orchestrating a set of related multilevel marketing undertakings, which includes the orchestrator attaching its own trademark to the multilevel marketing goods or causing its own trade name or other specified indication to be used for providing services in connection with multilevel marketing undertakings, stipulating the terms and conditions of multilevel marketing transactions, and continuously guiding the operations of persons carrying on multilevel marketing undertakings.

The term "transaction fee" as used in this Chapter means a transaction fee, a membership fee, a security deposit, or other money or goods provided at the time a transaction is carried out or upon changing the terms of a transaction, irrespective of the name given to it.

When an orchestrator, a solicitor (meaning a person who is made to solicit other persons by the orchestrator in connection with multilevel marketing transactions connected to the set of related multilevel marketing undertakings orchestrated by that orchestrator; the same applies hereinafter), or a general multilevel marketing distributor (meaning a person, other than an orchestrator or a solicitor, who carries on a multilevel marketing undertaking; the same applies hereinafter) seeks to carry out a multilevel marketing transaction connected to the set of related multilevel marketing undertakings orchestrated by that orchestrator, the orchestrator, the solicitor, or the general multilevel marketing distributor must clearly indicate to the other party, prior to solicitation, the name of the orchestrator, the solicitor, or the general multilevel marketing distributor (a solicitor or a general multilevel marketing distributor must also indicate the name of the orchestrator), the fact that the purpose is to solicit the person to enter into a contract involving transactions that give rise to a specified burden, and the type of goods or services connected with the solicitation.

An orchestrator or solicitor must not intentionally fail to disclose facts about or to misrepresent the following information either in soliciting a person to enter into a contract involving multilevel marketing transactions that are connected to the set of related multilevel marketing undertakings orchestrated by the orchestrator (limited to a contract with an individual who, without using a store or other similar facility (hereinafter referred to as a "store or similar facility"), will sell or arrange the sale of goods associated with that multilevel marketing undertaking or will provide or arrange for providing services associated with that multilevel marketing undertaking; hereinafter the same applies in this Article and Article 38, paragraph (3), item (ii)), or in order to prevent the cancellation of a contract involving multilevel marketing transactions that are connected to the multilevel marketing undertaking:

the type of goods (excluding rights to use a facility and to be provided with services) and their performance or quality, the type of services, rights to use a facility, or rights to be provided with services, the details of them, and other similar information specified by order of the competent ministry;

information about the specified burden involved in the multilevel marketing transactions;

information about canceling the contract (including information under the provisions of Article 40, paragraphs (1) through (3) and Article 40-2, paragraphs (1) through (5));

information about the specified profit involved in that multilevel marketing undertaking; or

beyond what is stated in the preceding items, any material information about that multilevel marketing undertaking that would affect the decision of the counterparty to the multilevel marketing transactions.

A general multilevel marketing distributor must not misrepresent the matters listed in the items of the preceding paragraph, either in soliciting a person to enter into a contract involving multilevel marketing transactions that are connected to a set of related multilevel marketing undertakings orchestrated by an orchestrator, or in order to prevent the cancellation of a contract for multilevel marketing transactions connected with that multilevel marketing undertaking.

An orchestrator, solicitor, or general multilevel marketing distributor must not use intimidation to overwhelm a person in order to have the person enter into a contract involving multilevel marketing transactions that are connected to a set of related multilevel marketing undertakings orchestrated by that orchestrator or in order to prevent the person from canceling a contract involving multilevel marketing transactions that are connected to the multilevel marketing undertaking.

An orchestrator, solicitor, or general multilevel marketing distributor must not solicit a person whom the orchestrator, the solicitor, or the general multilevel marketing distributor has stopped and taken along with them or whom the orchestrator, the solicitor, or the general multilevel marketing distributor has induced away from a place that is not a business office, agency office, or any other place specified by order of the competent ministry by any other means specified by Cabinet Order, to enter into a contract involving transactions that give rise to a specified burden other than in a place into and out of which the general public comes and goes, without first having informed the person that the purpose for doing so is to solicit the person to enter into the contract.

On finding that it is necessary to do so in order to determine whether an orchestrator, a solicitor, or a general multilevel marketing distributor has misrepresented the information prescribed in Article 34, paragraph (1), item (i) or (iv), the competent minister may ask the orchestrator, the solicitor, or the general multilevel marketing distributor to submit materials showing reasonable grounds to support the information conveyed to the other party, within a specified period. In this case, if the orchestrator, the solicitor, or the general multilevel marketing distributor fails to submit those materials, the orchestrator, the solicitor, or the general multilevel marketing distributor is deemed to have misrepresented the information prescribed in Article 34, paragraph (1), item (i) or (iv), with regard to the application of the provisions of Article 38, paragraphs (1) through (3) and Article 39, paragraph (1).

When an orchestrator, a solicitor, or a general multilevel marketing distributor advertises the multilevel marketing transactions that are connected with the set of related multilevel marketing undertakings orchestrated by the orchestrator, it must indicate the following information about the multilevel marketing undertaking in the advertisement, pursuant to the provisions of order of the competent ministry:

the type of goods or services;

information about the specified burden involved in the multilevel marketing transactions;

if the specified profits connected with its multilevel marketing undertaking are advertised, the method of calculating those profits; and

beyond what is listed in the preceding three items, information specified by order of the competent ministry.

When an orchestrator, a solicitor, or a general multilevel marketing distributor advertises multilevel marketing transactions that are connected with the set of related multilevel marketing undertakings orchestrated by the orchestrator, it must not make a representation about the performance or quality of the goods associated with its multilevel marketing undertaking (excluding rights to use a facility or to be provided with services), the details of the rights to use a facility or to be provided with services, or the details of services associated with its multilevel marketing undertaking, nor about the specified burden involved in those multilevel marketing transactions, the specified profit involved in that multilevel marketing undertaking, or any other information specified by order of the competent ministry, that differs significantly from the truth or misleads people into believing that it is significantly better or more advantageous than it is in reality.

On finding that it is necessary to do so in order to determine whether an orchestrator's, solicitor's, or general multilevel marketing distributor's representation falls under the category of representations provided in the preceding Article, the competent minister may ask the orchestrator, the solicitor, or the general multilevel marketing distributor that made that representation to submit materials showing reasonable grounds to support it within a specified period. In the case, with regard to the application of the provisions of Article 38, paragraphs (1) through (3) and Article 39, paragraph (1) if the orchestrator, the solicitor, or the general multilevel marketing distributor fails to submit those materials, the representation is deemed to fall under the category of representations provided for in the preceding Article.

Except in the following cases, an orchestrator, a solicitor, or a general multilevel marketing distributor must not advertise multilevel marketing transactions that are connected with the set of related multilevel marketing undertakings orchestrated by that orchestrator via email without the consent of the advertising target:

when sending email advertising multilevel marketing transactions that are connected with the set of related multilevel marketing undertakings orchestrated by that orchestrator (hereinafter referred to as "email advertising multilevel marketing transactions" in this Chapter) at the request of the advertising target; or

beyond what is provided in the preceding item, when sending email advertising multilevel marketing transactions in cases specified by order of the competent ministry as cases that are found to be unlikely to prejudice the interests of the target of the email advertising multilevel marketing transactions.

An orchestrator, solicitor, or general multilevel marketing distributor that has obtained the consent prescribed in the preceding paragraph or that has received a request provided in item (i) of that paragraph must not send email advertising multilevel marketing transactions to an advertising target if the target of the email advertising multilevel marketing transactions indicates an unwillingness to receive email advertising multilevel marketing transactions; provided, however, that this does not apply if the orchestrator, the solicitor, or the general multilevel marketing distributor later receives a request from the advertising target or regains the consent of the advertising target to send email advertising multilevel marketing transactions.

Except in the case stated in paragraph (1), item (ii), when sending email advertising multilevel marketing transactions, an orchestrator, a solicitor, or a general multilevel marketing distributor must prepare what is specified by order of the competent ministry as a record of having obtained the consent of the advertising target or having received a request from the advertising target to send email advertising multilevel marketing transactions, and must preserve the records pursuant to the provisions of order of the competent ministry.

Except in the case stated in paragraph (1), item (ii), when sending email advertising multilevel marketing transactions, pursuant to the provisions of order of the competent ministry, in its email advertising multilevel marketing transactions, an orchestrator, a solicitor, or a general multilevel marketing distributor must indicate information that is specified by order of the competent ministry as the information that an advertising target needs to have in order to indicate an unwillingness to receive email advertising multilevel marketing transactions, in addition to the matters listed in the items of Article 35.

If an orchestrator, a solicitor, or a general multilevel marketing distributor has comprehensively entrusted another person with all of the following business activities, the provisions of the preceding two paragraphs do not apply to any email advertising multilevel marketing transactions subject to that entrustment:

business activities for obtaining the consent of the advertising targets or receiving requests from advertising targets to send email advertising multilevel marketing transactions;

business activities for preparing and preserving the records prescribed in paragraph (3); and

business activities for indicating the information an advertising target needs to have in order to indicate an unwillingness to receive email advertising multilevel marketing transactions, as prescribed in the preceding paragraph.

Except in the following cases, a person comprehensively entrusted with all of the business activities listed in the items of paragraph (5) of the preceding Article by an orchestrator, a solicitor, or a general multilevel marketing distributor (a person so entrusted is hereinafter referred to as a "contractor sending email advertising multilevel marketing transactions" in this Chapter and Article 66, paragraph (6) and Article 67, paragraph (1), item (iv)) must not send email advertising multilevel marketing transactions for multilevel marketing transactions that are connected with the set of related multilevel marketing undertakings orchestrated by the orchestrator, that are carried out by the orchestrator, the solicitor, or the general multilevel marketing distributor that entrusted the contractor with those business activities (hereinafter referred to as the "party entrusting a contractor with email advertising its multilevel marketing transactions" in this Article), without the consent of the advertising target:

when sending email advertising the multilevel marketing transactions of a party entrusting a contractor with email advertising its multilevel marketing transactions at the request of the advertising target; and

beyond what is stated in the preceding item, when sending email advertising the multilevel marketing transactions of a party entrusting a contractor with email advertising its multilevel marketing transactions in cases specified by order of the competent ministry as cases that are found to be unlikely to prejudice the interests of the target of the email advertising the multilevel marketing transactions of the party entrusting a contractor with email advertising its multilevel marketing transactions.

The provisions of paragraphs (2) through (4) of the preceding Article apply mutatis mutandis to the email advertising the multilevel marketing transactions of a party entrusting a contractor with email advertising its multilevel marketing transactions by a contractor sending email advertising multilevel marketing transactions .In this case, the phrase "paragraph (1), item (ii)" in paragraphs (3) and (4) of the preceding Article is deemed to be replaced with "paragraph (1), item (ii) of the following Article".

When a person carrying on a multilevel marketing undertaking (if a person other than a person carrying on a multilevel marketing undertaking will enter into a contract concerning the specified burden involved in multilevel marketing transactions that are connected with that multilevel marketing undertaking, the person entering into the contract; the same applies in paragraph (3)) seeks to enter into a contract concerning the specified burden involved in multilevel marketing transactions with a person seeking to bear that specified burden (limited to an individual who will sell or arrange the sale of goods associated with that multilevel marketing undertaking or will provide or arrange for providing services associated with its multilevel marketing undertaking, without using a store or similar facility), the person carrying on that multilevel marketing undertaking must deliver to that person a document containing an outline of its multilevel marketing undertaking pursuant to the provisions of order of the competent ministry before entering into that contract.

If a person carrying on a multilevel marketing undertaking has entered into a contract involving multilevel marketing transactions that are connected with the person's multilevel marketing undertaking (hereinafter referred to as a "multilevel marketing contract" in this Chapter), and the counterparty to the multilevel marketing contract is an individual who sells or arranges the sale of goods associated with that multilevel marketing undertaking or provides or arranges for providing services associated with that multilevel marketing undertaking without using a store or similar facility, the person engaged in multilevel marketing must deliver to that person a document containing the details of that multilevel marketing contract with respect to the following information without delay, pursuant to the provisions of order of the competent ministry:

the type of goods (excluding rights to use a facility or to be provided with services) and their performance or quality, or the type of services, rights to use a facility, or rights to be provided with services, and the details of them;

information about conditions for reselling, selling on consignment, or arranging the sale of the goods, or about providing the same type of services or arranging for those services to be provided;

information about the specified burden involved in the multilevel marketing transactions;

information about canceling the multilevel marketing contract (including information related to the provisions of Article 40, paragraphs (1) through (3) and Article 40-2, paragraphs (1) through (5)); and

information specified by order of the competent ministry, beyond what is stated in the preceding items.

In place of the delivery in writing under the provisions of the preceding two paragraphs, a person engaged in multilevel marketing may provide the information that should be described in the documents by an electronic or magnetic means, after gaining the consent of a person who seeks to execute the specified burden involved in the multilevel marketing transactions or a counterparty to the multilevel marketing contract, pursuant to Cabinet Order. In this case, the person engaged in the multilevel marketing is deemed to have delivered the documents.

The provision of information that is to be described in documents under paragraph (2) as specified in the first sentence of the previous paragraph through electronic or magnetic means (excluding means specified by ordinance of the competent ministry) is deemed to have been made to the counterparty to the multilevel marketing contract when the information is recorded in a file stored on the computer used by the counterparty to the multilevel marketing contract.

If an orchestrator has violated any of the provisions of Article 33-2, Article 34, paragraph (1), (3), or (4), Article 35, Article 36, Article 36-3 (excluding paragraph (5)), or Article 37, paragraph (1) or paragraph (2) or has engaged in any of the following conduct, or if a solicitor has violated any of the provisions of Article 33-2, Article 34, paragraph (1), (3), or (4), Article 35, Article 36, or Article 36-3 (excluding paragraph (5)) or has engaged in any of the conduct listed in items (ii) through (iv) of this paragraph, and the competent minister finds that the conduct is likely to prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, the minister may instruct the orchestrator to take measures for correcting the violation or conduct, measures for protecting the interests of the counterparty to the multilevel marketing transactions, or any other necessary measures:

refusing to perform or unjustifiably delaying the performance of the obligations under a multilevel marketing contract connected with multilevel marketing or the obligations that occur through the cancellation of the contract in whole or in part;

soliciting a person's entry into a multilevel marketing contract connected with a multilevel marketing undertaking (limited to a contract with an individual who sells or arranges the sale of goods associated with that multilevel marketing undertaking or provides or arranges for providing services associated with that multilevel marketing undertaking, without using a store or similar facility; hereinafter the same applies in the following item) by providing conclusive evaluations that would likely cause a person to mistakenly believe that the multilevel marketing transactions connected with the set of related multilevel marketing undertakings orchestrated by the orchestrator are sure to generate a profit;

soliciting a person who has indicated an unwillingness to enter into a multilevel marketing contract connected with the set of related multilevel marketing undertakings orchestrated by the orchestrator to enter into the contract, in a way that the person feels is a nuisance; or

beyond what is stated in the preceding three items, conduct that is carried out in connection with a multilevel marketing contract connected with the set of related multilevel marketing undertakings orchestrated by a orchestrator, and that is specified by order of the competent ministry as being likely to prejudice the fairness of multilevel marketing transactions and the interests of the counterparty.

If a solicitor has violated any of the provisions of Article 33-2, Article 34, paragraph (1), (3), or (4), Article 35, Article 36, Article 36-3 (excluding paragraph (5)), or Article 37, paragraph (1) or paragraph (2) or has engaged in any of the conduct listed in the items of the preceding paragraph, and the competent minister finds that the conduct is likely to prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, the minister may instruct the solicitor to take measures for correcting the violation or conduct, measures for protecting the interests of the counterparty to multilevel marketing transactions, and any other necessary measures.

If a general multilevel marketing distributor has violated any of the provisions of Article 33-2, Article 34, paragraphs (2) through (4), Article 35, Article 36, Article 36-3 (excluding paragraph (5)), or Article 37, paragraph (1) or paragraph (2) or has engaged in any of the conduct listed in the following items, and the competent minister finds that the conduct is likely to prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, the minister may instruct the general multilevel marketing distributor to take measures for correcting the violation or conduct, measures for protecting the interests of the counterparty to multilevel marketing transactions, or any other necessary measures:

conduct stated in the items of paragraph (1); or

intentionally failing to disclose any material information about its multilevel marketing undertaking that would affect the decision of the other party, either in soliciting a person to enter into a contract involving multilevel marketing transactions that are connected to a set of related multilevel marketing undertakings orchestrated by an orchestrator or in order to prevent the cancellation of a contract involving multilevel marketing transactions that are connected to the multilevel marketing undertaking.

If a contractor sending email advertising multilevel marketing transactions has violated any of the provisions of Article 36-4, paragraph (1) or Article 36-3, paragraphs (2) through (4) as applied mutatis mutandis pursuant to Article 36-4, paragraph (2), and the competent minister finds that the conduct is likely to prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, the minister may instruct the contractor sending email advertising multilevel marketing transactions to take any necessary measures.

Having given an instruction under the provisions of paragraphs (1) through (3), the competent minister must issue a public announcement to that effect.

Having given an instruction under the provisions of paragraph (4), the competent minister must issue a public announcement to that effect.

If an orchestrator has violated any of the provisions of Article 33-2, Article 34, paragraph (1), (3), or (4), Article 35, Article 36, Article 36-3 (excluding paragraph (5)), or Article 37, paragraph (1) or (2) or has engaged in any of the conduct listed in the items of Article 38, paragraph (1), or if a solicitor has violated any of the provisions of Article 33-2, Article 34, paragraph (1), (3), or (4), Article 35, Article 36, or Article 36-3 (excluding paragraph (5)) or has engaged in any of the conduct listed in Article 38, paragraph (1), items (ii) through (iv), and the competent minister finds that that conduct is likely to significantly prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, or the orchestrator fails to follow the instructions under the provisions of Article 38, paragraph (1), the minister may order the orchestrator to stop soliciting or causing a solicitor to solicit persons in connection with the multilevel marketing transactions that are connected to the multilevel marketing undertaking, or may order the orchestrator to suspend the multilevel marketing transactions in whole or in part, during a specified period of no longer than two years. In this case, if the orchestrator is an individual, the minister may also prohibit the individual from becoming an officer in charge of the business activities of a corporation that engages in business activities related to multilevel marketing transactions which fall within the scope of the suspension for a period equal to the period of that suspension.

If a solicitor has violated any of the provisions of Article 33-2, Article 34, paragraph (1), (3), or (4), Article 35, Article 36, Article 36-3 (excluding paragraph (5)), or Article 37, paragraph (1) or paragraph (2) or has engaged in any of the conduct listed in the items of Article 38, paragraph (1), and the competent minister finds that the conduct is likely to significantly prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, or the solicitor fails to follow the instructions under the provisions of Article 38, paragraph (2), the minister may order the solicitor to stop soliciting persons in connection with the multilevel marketing transactions that are connected to the multilevel marketing undertaking, or may order the solicitor to suspend multilevel marketing transactions in whole or in part, during a specified period of no longer than two years. In this case, if the solicitor is an individual, the competent minister may also prohibit the individual from becoming an officer in charge of the business activities of a corporation that engages in business activities related to multilevel marketing transactions which fall within the scope of the suspension for a period equal to the period of that suspension.

If a general multilevel marketing distributor has violated any of the provisions of Article 33-2, Article 34, paragraphs (2) through (4), Article 35, Article 36, Article 36-3 (excluding paragraph (5)), or Article 37, paragraph (1) or paragraph (2) or has engaged in any of the conduct listed in the items of paragraph (3) of the preceding Article, and the competent minister finds that the conduct is likely to significantly prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, or the general multilevel marketing distributor fails to follow the instructions under the provisions of that paragraph, the minister may order the general multilevel marketing distributor to stop soliciting persons in connection with the multilevel marketing transactions that are connected to the multilevel marketing undertaking, or may order the general multilevel marketing distributor to suspend multilevel marketing transactions in whole or in part, during a specified period of no longer than two years. In this case, if the general multilevel marketing distributor is an individual, the minister may also prohibit the individual from becoming an officer in charge of the business activities of a corporation that engages in business activities related to multilevel marketing transactions which fall within the scope of the suspension for a period equal to the period of that suspension.

When the competent minister orders suspension of a multilevel marketing transaction pursuant to the provisions of the first sentence of paragraph (1), the first sentence of paragraph (2), and the first sentence of the preceding paragraph, and when the orchestrator, solicitor, or general multilevel marketing distributor is an individual and a specified associated corporation of them (meaning a juridical person whose business management is substantially controlled by an orchestrator, solicitor, or general multilevel marketing distributor, or an officer or employee of them (including a person who was an officer or employee within one year before the date of the order; the same applies in paragraph (4) of the next Article) and other corporations specified by Cabinet Order; the same applies in this paragraph and paragraph (4), item (i) of the Article) is found to conduct business activities equal to the business activities related to the multilevel marketing transaction on the scope subject to the suspension, the minister may order the orchestrator, solicitor, or general multilevel marketing distributor to suspend the business activities conducted by the specified associated corporation for the period equal to the period of the suspension.

If a contractor sending email advertising multilevel marketing transactions has violated any of the provisions of Article 36-4, paragraph (1) or Article 36-3, paragraphs (2) through (4) as applied mutatis mutandis pursuant to Article 36-4, paragraph (2), and the competent minister finds that the conduct is likely to significantly prejudice the fairness of multilevel marketing transactions and the interests of the counterparty to them, or the contractor sending email advertising multilevel marketing transactions fails to follow the instructions under the provisions of paragraph (4) of the preceding Article, the minister may order the contractor sending email advertising multilevel marketing transactions to suspend its business activities that are connected with email advertising multilevel marketing transactions in whole or in part, during a specified period of no longer than one year.

Having issued an order under the provisions of paragraphs (1) through (4), the competent minister must issue a public announcement to that effect.

Having issued an order under the provisions of paragraph (5), the competent minister must issue a public announcement to that effect.

If the competent minister orders an orchestrator to suspend its multilevel marketing transactions pursuant to the first sentence of paragraph (1) of the preceding Article, and a person that the relevant items among the following items prescribe for the category of the case stated in that item is a person specified by order of the competent ministry as a person whose multilevel marketing transactions should be restricted so as to ensure the effectiveness of the order in consideration of the facts constituting the grounds for the order and the extent of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities related to multilevel marketing transactions that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in the business activities) for a period equal to the period of that suspension:

if the orchestrator is a corporation: its officer or a person who was its officer within one year before the date of the order, or its employee or a person who was its employee within one year before the date of the order; or

if the orchestrator is an individual: an employee or a person who was an employee within one year before the date of the order.

If the competent minister orders a solicitor to suspend its multilevel marketing transactions pursuant to the first sentence of paragraph (2) of the preceding Article, and a person that the relevant items among the following items prescribe for the category of the case stated in that item is a person specified by order of the competent ministry as one whose multilevel marketing transactions should be restricted so as to ensure the effectiveness of the order in consideration of the facts constituting the grounds for the order and the extent of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities related to multilevel marketing transactions that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in the business activities) for a period equal to the period of that suspension:

if the solicitor is a corporation: its officer or a person who was its officer within one year before the date of the order, or its employee or a person who was its employee within one year before the date of the order; or

if the solicitor is an individual: an employee or a person who was an employee within one year before the date of the order.

If the competent minister orders a general multilevel marketing distributor to suspend its multilevel marketing transactions pursuant to the first sentence of paragraph (3) of the preceding Article, and a person that the relevant items among the following items prescribe for the category of the case stated in that item is a person specified by order of the competent ministry as one whose multilevel marketing transactions should be restricted so as to ensure the effectiveness of the order in consideration of the facts constituting the grounds for the order and the extent of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities related to multilevel marketing transactions that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in the business activities) for a period equal to the period of that suspension:

if the general multilevel marketing distributor is a corporation: its officer or a person who was its officer within one year before the date of the order, or its employees or a person who was its employee within one year before the date of the order; or

if the general multilevel marketing distributor is an individual: an employee or a person who was an employee within one year before the date of the order.

When the competent minister prohibits business activities of an officer or employee pursuant to the provision of the preceding three paragraphs and the officer or employee falls under any of the following items, the minister may order the officer or employee to suspend the same business activities conducted by it and provided for in the relevant items for a period equal to the period of the prohibition.

a person who is found to be engaged in the same business as the business related to a multilevel marketing transaction on a scope for which prohibition is ordered by the order at a specified associated corporation who is an orchestrator, solicitor, or general multilevel marketing distributor and is found to have committed the act constituting the grounds for the order; or

a person who is found to be engaged in the same business as the business related to a multilevel marketing transaction on a scope for which prohibition is ordered by the order as an orchestrator, solicitor, or general multilevel marketing distributor.

Having issued an order under the provisions of the preceding paragraphs, the competent minister must issue a public announcement to that effect.

When a person conducting a multilevel marketing undertaking has entered into a multilevel marketing contract in connection with the multilevel marketing undertaking, the counterparty to the multilevel marketing contract (limited to an individual who sells or arranges the sale of goods associated with that multilevel marketing or provides or arranges for providing services associated with that multilevel marketing undertaking, without using a store or similar facility; hereinafter referred to as a "multilevel marketing affiliate" in this Chapter) may cancel the multilevel marketing contract in writing or through electronic or magnetic records, except when 20 days have passed after the date on which the multilevel marketing affiliate received the document referred to in Article 37, paragraph (2) (or except when 20 days have passed since the date the goods were first delivered, if the specified burden under the multilevel marketing contract is the purchase of goods (excluding rights to use a facility or to be provided with services; hereinafter the same applies in this paragraph) for resale, and if the date of the first delivery of the goods that were purchased based on the multilevel marketing contract is after the date on which the multilevel marketing affiliate received the document; the same applies in paragraph (1) of the following Article) (if the multilevel marketing affiliate did not cancel the multilevel marketing contract under the provisions of this paragraph by that time limit because the multilevel marketing affiliate was under the misconception that information about canceling the multilevel marketing contract under the provisions of this paragraph that the orchestrator or the solicitor had misrepresented to the multilevel marketing affiliate, in violation of the provisions of Article 34, paragraph (1), or that the general multilevel marketing distributor had misrepresented to the multilevel marketing affiliate, in violation of Article 34, paragraph (2), was true, or because the multilevel marketing affiliate was overwhelmed due to the orchestrator's, the solicitor's, or the general multilevel marketing distributor's use of intimidation, in violation of the provisions of Article 34, paragraph (3), then except when 20 days have passed after the date on which the multilevel marketing affiliate received a document delivered to them by the orchestrator, the solicitor, or the general multilevel marketing distributor, pursuant to the provisions of order of the competent ministry, that contains a notice to the effect that the multilevel marketing affiliate may cancel the multilevel marketing contract pursuant to the provisions of this paragraph). In this case, the person engaged in multilevel marketing may not claim damages or demand the payment of any penalty in connection with the cancellation of the multilevel marketing contract.

The cancellation of a multilevel marketing contract as referred to in the preceding paragraph takes effect at the time the multilevel marketing affiliate states in writing or through electronic or magnetic records that the multilevel marketing affiliate is canceling the multilevel marketing contract.

If a multilevel marketing contract is canceled as referred to in paragraph (1), the person engaged in multilevel marketing bears the costs required for taking back any goods that have already been delivered under the multilevel marketing contract.

Any special provisions of a contract that run counter to the provisions of the preceding three paragraphs and that are disadvantageous to the multilevel marketing affiliate are hereby invalidated.

When 20 days have passed after the date on which a multilevel marketing affiliate has received the document referred to in Article 37, paragraph (2), the multilevel marketing affiliate may effect a prospective cancellation of the multilevel marketing contract in question (if the multilevel marketing affiliate did not cancel the multilevel marketing contract under the provisions of paragraph (1) of the preceding Article by the relevant time limit because the multilevel marketing affiliate was under the misconception that information about canceling the multilevel marketing contract under the provisions of that paragraph that the orchestrator or the solicitor had misrepresented to the multilevel marketing affiliate, in violation of the provisions of Article 34, paragraph (1), or that the general multilevel marketing distributor had misrepresented, in violation of Article 34, paragraph (2), was true, or because the multilevel marketing affiliate was overwhelmed due to the orchestrator's, the solicitor's, or the general multilevel marketing distributor's use of intimidation, in violation of the provisions of Article 34, paragraph (3), at the time when 20 days have passed after the date on which the multilevel marketing affiliate received a document delivered to them by the orchestrator, the solicitor, or the general multilevel marketing distributor, pursuant to the provisions of order of the competent ministry, that contains a notice to the effect that the multilevel marketing affiliate may cancel the multilevel marketing contract under the provisions of paragraph (1) of the preceding Article).

If a multilevel marketing contract has been canceled pursuant to the provisions of the preceding paragraph, and the person carrying on the multilevel marketing undertaking has already sold (including arranging the sale of) the goods associated with the multilevel marketing undertaking to the multilevel marketing affiliate (limited to the person who entered into the relevant multilevel marketing contract (excluding a multilevel marketing contract to change the terms of transactions) within the past one-year period; hereinafter the same applies in this Article), the multilevel marketing affiliate may cancel the contract for the sale of the goods (including the part of the multilevel marketing contract concerning the sale of goods that are connected with the specified burden involved in the relevant multilevel marketing transactions; hereinafter referred to as the "sales contract for goods" in this Article), except in the following cases:

when 90 days have passed after the date the goods were delivered to the multilevel marketing affiliate (if those goods constitute rights to use a facility or to be provided with services, the date the multilevel marketing affiliate was transferred the rights; hereinafter the same applies in this Article);

if the multilevel marketing affiliate has resold the goods;

if the multilevel marketing affiliate has used or consumed the goods in whole or in part (excluding the case where the person that sold the multilevel marketing affiliate the goods associated with that multilevel marketing undertaking induced the multilevel marketing affiliate to use or consume the goods in whole or in part); or

when otherwise specified by Cabinet Order.

If a multilevel marketing contract is canceled pursuant to the provisions of paragraph (1), the person carrying on the multilevel marketing undertaking may not demand that the multilevel marketing affiliate pay an amount of money that exceeds the aggregate of the amount of costs normally required for entering into and performing a contract (if the case falls under one of the following items, that amount plus the amount specified in the relevant items for the cases listed in them) and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the multilevel marketing contract is canceled after the delivery of goods connected with multilevel marketing transactions that involve a specified burden: the total of the following amounts:

the amount equal to the sales price of the delivered goods (limited to those sold under the multilevel marketing contract and excluding those with regard to which the sales contract for goods has been canceled pursuant to the provisions of the preceding paragraph); and

the amount equal to the specified profit or any other money and goods that were offered (limited to those connected with the goods under the sales contract for goods that was canceled pursuant to the provisions of the preceding paragraph).

if the multilevel marketing contract is canceled after the services connected with multilevel marketing transactions that involve a specified burden started to be provided:the amount equal to the consideration for the services provided (limited to those provided under the multilevel marketing contract).

When a sales contract for goods is canceled pursuant to the provisions of paragraph (2), the person engaged in the sale of goods associated with that multilevel marketing undertaking may not demand that the multilevel marketing affiliate pay an amount of money that exceeds the aggregate of the amount specified in the relevant items among the following items for the cases listed in them and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the goods have been returned or the sales contract for goods has been canceled before the delivery of the goods:the amount equal to one-tenth of the sales price of the goods; and

if the goods are not returned:the amount equal to the sales price of the goods.

If a sales contract for goods is canceled pursuant to the provisions of paragraph (2), the orchestrator of the set of related multilevel marketing undertakings with which the goods are associated is jointly and severally liable for the performance of any obligations of the person selling the goods which have arisen from that cancellation.

Any special provisions that run counter to the provisions of the preceding paragraphs and that are disadvantageous to the multilevel marketing affiliate are hereby invalidated.

The provisions of paragraphs (3) and (4) do not apply to goods or services associated with a multilevel marketing undertaking that are sold or provided through installment sales.

If a multilevel marketing affiliate was under a misconception specified in item (i) or (ii) as a result of the orchestrator's or the solicitor's having engaged in conduct listed in that item in soliciting a multilevel marketing contract connected with the set of related multilevel marketing undertakings orchestrated by the orchestrator, or if the multilevel marketing affiliate was under a misconception specified in item (iii) as a result of a general multilevel marketing distributor's having engaged in conduct listed in that item in soliciting the affiliate's entry into the multilevel marketing contract connected with its multilevel marketing undertaking, because of which the multilevel marketing affiliate manifested the intention to offer to enter into or accept a multilevel marketing contract, the multilevel marketing affiliate may retract the manifestation of the intention to offer to enter into or accept the contract; provided, however, that this does not apply if the counterparty to the multilevel marketing contract was unaware of the conduct by the orchestrator, the solicitor, or the general multilevel marketing distributor at the time the multilevel marketing contract was entered into:

a misrepresentation in violation of the provisions of Article 34, paragraph (1):the misconception that the information being represented was true;

an intentional failure to disclose a fact, in violation of the provisions of Article 34, paragraph (1):the misapprehension that the relevant fact does not exist; or

a misrepresentation in violation of the provisions of Article 34, paragraph (2):the misconception that the information being represented is true.

The provisions of Article 9-3, paragraphs (2) through (5) apply mutatis mutandis to a retraction under the provisions of the preceding paragraph of the manifestation of the intention to offer to enter into or accept a multilevel marketing contract.

The term "provision of specified continuous services" as used in this Chapter and Article 58-22, paragraph (1), item (i) means the following:

the provision of specified continuous services that a service provider undertakes after having entered into a contract under which the service provider promises to provide specified continuous services for a period exceeding that which is specified by Cabinet Order for each type of specified continuous services, and under which the counterparty promises to pay an amount of money that exceeds that which is specified by Cabinet Order in exchange (hereinafter referred to as a "specified continuous service contract" in this Chapter); and

the sale of rights to be provided with specified continuous services (limited to those to be provided for a period exceeding that which is specified by Cabinet Order under the preceding item) that a seller undertakes after having entered into a contract under which the seller sells the rights to be provided with specified continuous services and receives an amount of money exceeding that which is specified by Cabinet Order under that item (hereinafter referred to as a "sales contract for specified rights" in this Chapter).

The term "specified continuous services" as used in this Chapter and Article 58-22, paragraph (1), item (i) and Article 67, paragraph (1) means services that are continuously provided, in exchange for payment, during transactions that arise in people's daily lives, and that are specified by Cabinet Order as falling under both of the following items:

services that the recipient is induced to receive through the claim that they will increase the recipient's physical beauty, increase the recipient's knowledge or skills, or enable the recipient to accomplish any other purpose related to the recipient's mind, body, or personal affairs; and

services whose nature makes it uncertain whether the purposes prescribed in the preceding item will be accomplished.

If a service provider or a seller seeks to enter into a specified continuous service contract or a sales contract for specified rights (hereinafter referred to as a "contract for specified continuous service or sale of specified rights" in this Chapter and Article 58-22) with a person who seeks to be provided with specified continuous services or a person who seeks to purchase the rights to be provided with specified continuous services, the service provider or the seller must deliver a document containing an outline of the contract for specified continuous service or sale of specified rights to them pursuant to the provisions of order of the competent ministry, prior to the person's entry into the contract for specified continuous service or sale of specified rights.

Having entered into a specified continuous service contract, a service provider must immediately deliver to the person being provided the specified continuous services a document containing the details of the specified continuous service contract pursuant to the provisions of order of the competent ministry, with respect to the following information:

information specified by order of the competent ministry concerning the details of the services, and if there are goods that the service recipient will need to purchase at the time the services are provided, the names of those goods;

the consideration for the services and any other amount of money that the service recipient must pay;

the timing of the payment and means of paying the money referred to in the preceding item;

the service period;

information about canceling the specified continuous service contract under the provisions of Article 48, paragraph (1) (including information under the provisions of paragraphs (2) through (7) of that Article);

information about canceling the specified continuous service contract under the provisions of Article 49, paragraph (1) (including information under the provisions of paragraphs (2), (5), and (6) of that Article); and

information specified by order of the competent ministry, beyond what is stated in the preceding items.

Having entered into a sales contract for specified rights, a seller must immediately deliver to the purchaser a document containing the details of the sales contract for specified rights pursuant to the provisions of order of the competent ministry, with respect to the following information:

information specified by order of the competent ministry concerning the details of the rights, and if there are goods that the purchaser of the rights to be provided with services will need to purchase at the time the services are provided, the names of those goods;

the sales price of the rights and any other amount of money that the purchaser of the rights to be provided with the services must pay;

the timing and method of payment of the money referred to in the preceding item;

the service period for the services that the purchaser can receive by exercising the rights;

information about canceling the sales contract for specified rights under the provisions of Article 48, paragraph (1) (including information under the provisions of paragraphs (2) through (7) of that Article);

information about canceling the sales contract for specified rights under the provisions of Article 49, paragraph (3) (including information under the provisions of paragraphs (4) through (6) of that Article); and

information specified by order of the competent ministry, beyond what is stated in the preceding items.

In place of the delivery in writing under the preceding three paragraphs, a service provider or seller may provide information that should be described in documents by an electronic or magnetic means, after gaining approval from a person who seeks to be provided with specified continuous services or a person who seeks to purchase the rights to be provided with specified continuous services, a recipient of the specified continuous services or sales contract for specified rights, or the purchaser of the rights to be provided with specified continuous services, pursuant to Cabinet Order. In this case, the service provider or seller is deemed to have delivered the documents.

The provision of information that should be described in writing as specified in the first sentence of the previous paragraph under paragraph (2) or paragraph (3) through electronic or magnetic means (excluding means specified by ordinance of the competent ministry) means that the information is deemed to have reached a person who is provided with specified continuous services or a person who purchases the rights to be provided with specified continuous services.

In the provision of specified continuous services, when a service provider or a seller advertises the terms and conditions under which it provides specified continuous services or under which it sells the rights to be provided with specified continuous services, it must not make a representation about the content, results, or any other information specified by order of the competent ministry concerning the specified continuous services that differs significantly from the truth or misleads people into believing that it is significantly better or more advantageous than it is in reality.

On finding that it is necessary to do so in order to determine whether a service provider's or seller's representation falls under the category of representations provided in the preceding Article, the competent minister may ask the service provider or the seller that made that representation to submit materials showing reasonable grounds to support it within a specified period. In this case, when the service provider or the seller fails to submit those materials, the representation is deemed to fall under the category of representations provided in the preceding Article with regard to the application of the provisions of Article 46, paragraph (1) and Article 47, paragraph (1).

A service provider or seller must not misrepresent the following information in soliciting a person to enter into a contract for specified continuous service or sale of specified rights or in order to prevent the cancellation of the contract:

the type of services or rights to be provided with services, and the details or results of them (in the case of rights, the results of the services connected to the rights), and other similar information specified by order of the competent ministry;

if there are goods that the service recipient or the purchaser of the rights needs to purchase at the time the services are provided or at the time the purchaser of the rights exercises the right to be provided with the services, the type of goods and their performance or quality, and other similar information specified by order of the competent ministry;

the consideration for the services or the sales price of the rights, and any other amount of money that the service recipient or the purchaser of the rights to be provided with services must pay;

the timing and method of payment of the money referred to in the preceding item;

the service period or the service period for the services that the purchaser can receive by exercising the rights;

information about canceling the contract for specified continuous service or sale of specified rights (including information under the provisions of Article 48, paragraphs (1) through (7) and Article 49, paragraphs (1) through (6));

information about any circumstances that make it necessary for the customer to enter into the contract for specified continuous service or sale of specified rights; and

beyond what is stated in the preceding items, any material information about the contract for specified continuous service or sale of specified rights that would affect the decision of the customer, the recipient of the specified continuous services, or the purchaser of the rights to be provided with specified continuous services.

A service provider or a seller must not intentionally fail to disclose facts with respect to the matters listed in items (i) through (vi) of the preceding paragraph in soliciting a person to enter into a contract for specified continuous service or sale of specified rights.

A service provider or a seller must not use intimidation to overwhelm a person in order to have the person enter into a contract for specified continuous service or sale of specified rights or to prevent the person from canceling the contract.

On finding that it is necessary to do so in order to determine whether a service provider or a seller has misrepresented the information prescribed in paragraph (1), item (i) or (ii) of the preceding Article, the competent minister may ask the service provider or the seller to submit materials showing reasonable grounds to support the information conveyed to the other party, within a specified period. In this case, with regard to the application of the provisions of Article 46, paragraph (1) and Article 47, paragraph (1)the, if the service provider or the seller fails to submit those materials, the service provider or the seller is deemed to have misrepresented the information prescribed in paragraph (1), item (i) or (ii) of the preceding Article.

When a service provider or a seller conducts prepaid transactions during the provision of specified continuous services (meaning a transaction connected with the provision of specified continuous services where the service provider or the seller receives an amount of money exceeding an amount specified by Cabinet Order from the counterparty prior to the provision of specified continuous services; the same applies in the following paragraph), it must keep documents describing its business and financial status at the office where it carries out business activities that are connected to a contract for specified continuous service or sale of specified rights, pursuant to the provisions of order of the competent ministry.

The counterparty to a prepaid transaction connected with the provision of specified continuous services may ask to inspect the documents prescribed in the preceding paragraph or may pay the fee specified by the service provider or the seller under the paragraph and may request to be issued a certified copy or extract of the documents.

If a service provider or a seller has violated any of the provisions of Article 42, paragraphs (1) through (3), Article 43, 44, or 45 or has engaged in any of the following conduct, and the competent minister finds that the conduct is likely to prejudice the fairness of a transaction connected with the provision of specified continuous services and the interests of a person entering into a specified continuous service contract and receiving specified continuous services or a person purchasing the rights to be provided with specified continuous services after entering into a sales contract for specified rights (hereinafter referred to as the "service recipient or purchaser" in this Chapter), the minister may instruct the service provider or the seller to take measures for correcting the violation or conduct, measures for protecting the interests of the service recipient or purchaser, and any other necessary measures:

refusing to perform or unjustifiably delaying the performance of the obligations under the contract for specified continuous service or sale of specified rights or the obligations that due to the cancellation of the contract in whole or in part;

intentionally failing to disclose any material information about a contract for specified continuous service or sale of specified rights that would affect the decision of the customer (excluding the information stated in Article 44, paragraph (1), items (i) through (vi)) in soliciting a person to enter into the contract;

intentionally failing to disclose any material information about a contract for specified continuous service or sale of specified rights that would affect the decision of the service recipient or purchaser in order to prevent the cancellation of the contract; or

beyond what is stated in the preceding three items, conduct in connection with the provision of a specified continuous service that is specified by order of the competent ministry as being likely to prejudice the fairness of a transaction connected with the provision of a specified continuous service and the interests of the service recipient or purchaser

Having given an instruction under the provisions of the preceding paragraph, the competent minister must issue a public announcement to that effect.

If a service provider or a seller has violated any of the provisions of Article 42, paragraphs (1) through (3), Article 43, 44, or 45 or has engaged in any of the conduct listed in the items of paragraph (1) of the preceding Article, and the competent minister finds that the conduct is likely to significantly prejudice the fairness of a transaction connected with the provision of a specified continuous service and the interests of the service recipient or purchaser or the service provider or the seller fails to follow the instructions under the provisions of that paragraph, the minister may order the service provider or the seller to suspend its business activities that are connected with the provision of specified continuous services in whole or in part, during a specified period of no longer than two years. In this case, if the service provider or the seller is an individual, the minister may also prohibit the individual from becoming an officer in charge of business activities that are subject to the suspension at a corporation that engages in those business activities for a period equal to the period of the suspension.

When the competent minister orders suspension of a business pursuant to the provisions of the first sentence of the preceding paragraph, and when the service provider or seller is an individual and a specified associated corporation of them (meaning a corporation whose business management is substantially controlled by a service provider or seller, or an officer or employee of them (including a person who was officer or employee within a one-year period before the date of the order; the same applies in paragraph (2) of the next Article) and other corporations specified by Cabinet Order; the same applies in this paragraph and paragraph (2), item (i) of the Article) and is found to conduct business activities equal to the business activities on the scope subject to the suspension, the minister may order the service provider or seller to suspend the business activities conducted by the specified associated corporation for the period equal to the period of the suspension.

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If the competent minister orders a service provider or a seller to suspend its business activities pursuant to the first sentence of paragraph (1) of the preceding Article, and a person that the relevant items among the following items prescribe for the category of the case stated in that item is a person specified by order of the competent ministry as one whose provision of specified continuous services should be restricted so as to ensure the effectiveness of the order in consideration of the facts constituting the grounds for the order and the extent of the responsibility that the person had for those facts, the minister may prohibit the person from commencing new business activities that fall within the scope of the suspension (including becoming an officer in charge of the relevant business activities of a corporation that engages in that business activities) for a period equal to the period of that suspension:

if the service provider or seller is a corporation: its officer or a person who was its officer within one year before the date of the order, or its employee or a person who was its employee within one year before the date of the order; or

if the service provider or seller is an individual: an employee or a person who was an employee within one year before the date of the order.

When the competent minister prohibits business activities of an officer or employee pursuant to the provisions of the preceding paragraph and the officer or employee falls under any of the following items, the minister may order the officer or employee to suspend the same business activities conducted by it and provided for in the items for a period equal to the period of the prohibition.

a person who is found to be engaged in the same business as the business on a scope for which prohibition is ordered by the order at a specified associated corporation of a service provider or seller who is found to have committed the act constituting the grounds for the order; or

a person who, as a service provider or seller, is found to conduct the same business as the business on a scope for which prohibition is ordered pursuant to the order

Having issued an order under the provisions of the preceding two paragraphs, the competent minister must issue a public announcement to that effect.

If a service provider or a seller has entered into a contract for specified continuous service or sale of specified rights, the service recipient or purchaser may cancel the contract in writing or through electronic or magnetic records, except when eight days have passed after the date on which the service recipient or purchaser received the document referred to in Article 42, paragraph (2) or (3) (if the service recipient or purchaser did not cancel the contract under this paragraph by that time limit because the service recipient or purchaser was under the misconception that information about the cancellation of the contract under the provisions of this paragraph that the service provider or the seller had misrepresented to the service recipient or purchaser, in violation of the provisions of Article 44, paragraph (1), was true, or because the service recipient or purchaser was overwhelmed due to the service provider's or the seller's use of intimidation, in violation of the provisions of Article 44, paragraph (3), once eight days have passed after the date on which the service recipient or purchaser received a document delivered to them by the service provider or the seller pursuant to the provisions of order of the competent ministry that contains a notice to the effect that the service recipient or purchaser may cancel the contract under the provisions of this paragraph).

If a contract for specified continuous service or sale of specified rights has been canceled under the provisions of the preceding paragraph, and the service provider or the seller has sold, acted as an agent for the sale of, or arranged the sale of goods specified by Cabinet Order as goods that a service recipient or purchaser needs to purchase at the time the service recipient or purchaser is provided with specified continuous services (hereinafter referred to as "related goods" in this Chapter and Article 58-22, paragraph (2), Article 58-26, paragraph (1), and Article 66, paragraph (2)), the provisions of the preceding paragraph also apply to any contract connected with the sale of the goods (hereinafter referred to as a "sales contract for related goods" in this Article, the following Article and Article 58-22, paragraph (2)); provided, however, that this does not apply if, in spite of having received the document referred to in Article 42, paragraph (2) or (3), the service recipient or purchaser has used or consumed in whole or in part related goods specified by Cabinet Order as having a value that is likely to decline significantly through their use or partial consumption (excluding the case where the service provider or the seller induced the service recipient or purchaser to use or consume the related goods in whole or in part).

The cancellation of a contract for specified continuous service or sale of specified rights and the cancellation of a sales contract for related goods under the provisions of the preceding two paragraphs take effect at the time the service recipient or purchaser states in writing or through a notification with electronic or magnetic records that the service recipient or purchaser is canceling each of them.

If a contract for specified continuous service or sale of specified rights is canceled under the provisions of paragraph (1) or if a sales contract for related goods is canceled under the provisions of paragraph (2), the service provider or the seller may not claim damages or demand the payment of any penalty in connection with the cancellation.

If a sales contract for specified rights is canceled under the provisions of paragraph (1) or if a sales contract for related goods is canceled under the provisions of paragraph (2), the seller or the person selling the related goods bears the costs required for taking back or returning any rights already transferred under the sales contract for specified rights or any related goods already delivered under the sales contract for related goods.

If a contract for specified continuous service or sale of specified rights is canceled under the provisions of paragraph (1), the service provider or the seller may not demand that the service recipient or purchaser pay consideration or any other money for specified continuous services under the contract, even if specified continuous services have already been provided based on that contract.

If a specified continuous service contract is canceled under the provisions of paragraph (1), the service provider must promptly return any money the service provider has received in association with the specified continuous service contract to the recipient of the specified continuous services.

Any special provisions of a contract that run counter to the provisions of the preceding paragraphs and that are disadvantageous to the service recipient or purchaser are hereby invalidated.

If a service provider has entered into a specified continuous service contract, the recipient of the specified continuous services may effect a prospective cancellation of the contract in question when eight days have passed after the date on which the recipient of the specified continuous services has received the document referred to in Article 42, paragraph (2) (if the recipient of the specified continuous services did not cancel the specified continuous service contract under the provisions of paragraph (1) of the preceding Article by the relevant time limit because the recipient of the specified continuous services was under the misconception that information about canceling the specified continuous service contract under the provisions of the paragraph that the service provider had misrepresented to the recipient of the specified continuous services, in violation of the provisions of Article 44, paragraph (1), was true, or because the recipient of the specified continuous services was overwhelmed due to the service provider's use of intimidation, in violation of the provisions of Article 44, paragraph (3), when eight days have passed after the date on which the recipient of the specified continuous services received a document delivered to them by the service provider, pursuant to the provisions of order of the competent ministry, that contains a notice to the effect that the recipient of the specified continuous services may cancel the specified continuous service contract under the provisions of paragraph (1) of the preceding Article).

If a specified continuous service contract is canceled pursuant to the provisions of the preceding paragraph, the service provider may not demand that the recipient of the specified continuous services pay an amount of money that exceeds the aggregate of the amount specified in the following items for the cases listed in them and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the specified continuous service contract is canceled after the specified continuous services began to be provided: the total of the following amounts:

the amount equal to the consideration for the specified continuous services that were provided; or

the amount specified by Cabinet Order referred to in Article 41, paragraph (2) in accordance with the services specified in it as the amount of damages that are normally caused by the cancellation of the relevant specified continuous service contract.

if the specified continuous service contract is canceled before the specified continuous services started to be provided: the amount specified by Cabinet Order referred to in Article 41, paragraph (2) in accordance with each of the services specified in it as the amount of costs normally required for entering into and performing a contract.

If a seller enters into a sales contract for specified rights, the purchaser of the right to be provided with specified continuous services may cancel the sales contract for specified rights when eight days have passed after the date on which the purchaser of the right to be provided with specified continuous services has received the document referred to in Article 42, paragraph (3) (if the purchaser of the right to be provided with the specified continuous services does not cancel the sales contract for specified rights under the provisions of paragraph (1) of the preceding Article by the time when the period has passed because the purchaser of the right to be provided with specified continuous services was under the misconception that information about canceling the sales contract for specified rights under the provisions of that paragraph that the seller had misrepresented to the purchaser of the rights to be provided with specified continuous services, in violation of the provisions of Article 44, paragraph (1), was true, or because the purchaser of the right to be provided with the specified continuous services was overwhelmed due to the seller's use of intimidation, in violation of the provisions of Article 44, paragraph (3), once eight days have passed after the date on which the purchaser of the right to be provided with specified continuous services has received a document delivered to them by the seller, pursuant to the provisions of order of the competent ministry, that contains a notice to the effect that the purchaser of the right to be provided with specified continuous services may cancel the sales contract for specified rights under the provisions of paragraph (1) of the preceding Article).

If a sales contract for specified rights has been canceled pursuant to the provisions of the preceding paragraph, the seller may not demand that the purchaser of the right to be provided with specified continuous services pay an amount of money that exceeds the aggregate of the amount specified in the relevant items among the following items for the cases listed therein and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the rights are returned:the amount equal to the profit that can normally be earned through the exercise of the rights (or the amount equal to the sales price of the rights less the value of those rights at the time of their return, if this exceeds the amount equal to the profit that can normally be gained through the exercise of the rights);

if the rights are not returned:the amount equal to the sales price of the rights; or

if the contract is canceled prior to the transfer of the rights:the amount of costs normally required for entering into and performing a contract.

If a contract for specified continuous service or sale of specified rights has been canceled pursuant to the provisions of paragraph (1) or (3), and the service provider or the seller has sold, acted as an agent for the sale of, or arranged for the sale of the related goods to the service recipient or purchaser, the service recipient or purchaser may cancel the sales contract for related goods.

If a sales contract for related goods is canceled pursuant to the provisions of the preceding paragraph, the seller of the related goods may not demand that the service recipient or purchaser pay an amount of money that exceeds the aggregate of the amount specified in the relevant items among the following items for the cases listed therein and the amount of the relevant damages for delay based on the statutory interest rate, even if there is a provision for liquidated damages or a provision for a penalty:

if the related goods are returned:the amount constituting the normal charges for use of the related goods (or the amount equal to the sales price of the related goods less the value of those related goods at the time of their return, if this exceeds the amount constituting the normal charges for use of the goods);

if the related goods are not returned:the amount equal to the sales price of the related goods; or

if the contract is canceled prior to the transfer of the related goods:the amount of costs normally required for entering into and performing a contract.

Any special provisions that run counter to the provisions of the preceding paragraphs and that are disadvantageous to the service recipient or purchaser, are hereby invalidated.

If a service recipient or purchaser was under a misconception specified in one the following items as a result of the service provider's or the seller's having engaged in the conduct listed in the following items in soliciting the service recipient or purchaser to enter into a contract for specified continuous service or sale of specified rights, because of which the service recipient or purchaser manifested the intention to offer to enter into or accept the contract, the service recipient or purchaser may retract the manifestation of that intention to offer to enter into or accept the contract:

a misrepresentation in violation of the provisions of Article 44, paragraph (1):the misconception that the information being represented was true; or

the intentional failure to disclose a fact, in violation of the provisions of Article 44, paragraph (2):the misconception that the relevant fact did not exist.

The provisions of Article 9-3, paragraphs (2) through (5) apply mutatis mutandis to the retraction under the provisions of the preceding paragraph of the manifestation of an intention to offer to enter into or accept a contract for specified continuous service or sale of specified rights.

The provisions of Article 49, paragraphs (5) through (7) apply mutatis mutandis if the manifestation of an intention to offer to enter into or accept a contract for specified continuous service or sale of specified rights has been retracted pursuant to the provisions of paragraph (1).

The provisions of this Chapter do not apply to any provision of the specified continuous services stated below:

the provision of specified continuous services under a contract for specified continuous service or sale of specified rights entered into by a service recipient or purchaser for business purposes or as a part of their business;

the provision of specified continuous services to a person located outside of Japan;

the provision of specified continuous services by the national or local governments;

the provision of specified continuous services by one of the following organizations to a direct or indirect member (if an organization is able to make its business or facilities available to a non-member, this includes the provision of specified continuous services to the non-member):

a partnership established based on a special law or a federation or central association of the partnerships;

an organization under Article 108-2 of the National Public Service Act or Article 52 of the Local Public Service Act; or

a labor union.

the provision of specified continuous services by a business to its employee.

The provisions of Article 49, paragraphs (2), (4), and (6) (including as applied mutatis mutandis pursuant to Article 49-2, paragraph (3)) do not apply to specified continuous services provided or related goods sold through installment sales.