By Bahk Eun-ji
Seoul Administrative Court ruled against Costco Korea, Sunday, in a lawsuit filed against Yeongdeungpo-gu Office which called for the lifting of restrictions on its operating hours.
The court ruled that ordinances imposed by three district offices in Seoul, which mandate the closure of discount stores every other Sunday, were valid.
Costco filed a petition against the districts in October 2012, claiming that the ordinance was discriminatory.
The ordinances, ordered by the Seoul Metropolitan Government (SMG), made large-sized discount chains and so-called super supermarkets, or scaled-down version of their outlets, to close two on Sundays every month.
"The restriction of operating hours imposed the ordinance are legitimate as a handful of big discount stores could strengthen their dominance of the retail market further if smaller retailers go out of business," the court said in its ruling. "At the same time, if the big retailers operate 24 hours a day, workers there would be unable to take legally-guaranteed time off."
At the beginning of 2012, big supermarket chains E-mart, Lotte Mart and Home Plus filed suits with local courts against the mandatory closure rule, and received favorable rulings. The courts said the ordinance had procedural errors at that time. In response, 25 districts in Seoul and local authorities nationwide amended the ordinances to correct the errors.
Seoul Administrative Court ruled against Costco Korea, Sunday, in a lawsuit filed against Yeongdeungpo-gu Office which called for the lifting of restrictions on its operating hours.
The court ruled that ordinances imposed by three district offices in Seoul, which mandate the closure of discount stores every other Sunday, were valid.
Costco filed a petition against the districts in October 2012, claiming that the ordinance was discriminatory.
The ordinances, ordered by the Seoul Metropolitan Government (SMG), made large-sized discount chains and so-called super supermarkets, or scaled-down version of their outlets, to close two on Sundays every month.
"The restriction of operating hours imposed the ordinance are legitimate as a handful of big discount stores could strengthen their dominance of the retail market further if smaller retailers go out of business," the court said in its ruling. "At the same time, if the big retailers operate 24 hours a day, workers there would be unable to take legally-guaranteed time off."
At the beginning of 2012, big supermarket chains E-mart, Lotte Mart and Home Plus filed suits with local courts against the mandatory closure rule, and received favorable rulings. The courts said the ordinance had procedural errors at that time. In response, 25 districts in Seoul and local authorities nationwide amended the ordinances to correct the errors.
