Subcontract Act

We provide legal services in the area covering the Subcontract Act, an important area of law that affects the business of our clients, and one with respect to which the Japan Fair Trade Commission (“JFTC”) has a strong enforcement policy in light of protecting small and medium-sized enterprises.

The Act will apply, regardless of the counterparties’ consent, to swiftly protect small and medium-sized enterprises, and the JFTC tends to enforce the law formalistically without allowing any flexible alternative interpretation of the law, often leading to a result that may be counterintuitive. There is, therefore, a substantially large pecuniary risk of refunding money to the affected counterparties depending on the conduct in question and its scope.

Drawing on its rich experience in handling JFTC investigations regarding the Act, our antitrust/competition team has an extensive track record of successfully resolving those matters.