April 27, 2024

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[THE INVESTOR] Unsatisfied with the recent probe results of the incendiary Galaxy Note 7 and follow-up safety measures recently announced by the government as well as tech giant Samsung Electronics, some critics and consumers have pointed out that those measures are missing one important thing -- compensation.

After wrapping up their respective months-long investigations into the fire-prone Note 7, both the smartphone maker and the Ministry of Trade, Industry and Energy concluded the ill-fated phone overheated and exploded due to faulty batteries. The company pledged to beef up its quality control system to produce safer products while the ministry said it would adopt improved safety policies for smartphones and batteries and stricter recall rules.


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Galaxy Note 7 users stigmatized as frauds by Samsung vow to continue legal fight

Neither the tech giant nor the ministry, however, have mentioned, in their respective reports, anything about compensation measures for consumers who have been affected by the Note 7 fiasco and those who are at risk of suffering injuries or property damages in similar cases in the future.

“The ministry noted in its report that it would make manufacturers take more responsibility in improving product safety,” said an official from the office of lawmaker Woo Won-shik, who recently proposed a bill at the National Assembly to revise the nation’s safety rules for electronic products.

“There need to be stricter rules that hold companies more accountable for accidents caused by faulty products,” the official added.

The Korean safety laws do not mandate companies to compensate consumers affected by defective products. As Samsung also has no such compensation policy, those Note 7 users who want compensation need to file a time-consuming lawsuit individually, which usually has a slim chance of winning, especially, in Korea.

“I was bewildered by the fact that a global electronics maker like Samsung has no specific compensation measure for customers involved in accidents caused by its products,” said a Note 7 user who said had rejected an offer of 300,000 won (US$262), in addition to a refund, from Samsung after his Note 7 exploded.

Samsung is currently facing a number of class action lawsuits at home and abroad filed by consumers who think what Samsung has offered as compensation for the recall of the Note 7 is not enough for their pain and suffering.

Some of them had lost a vast amount of contact information and personal data stored in the Samsung phone, while the smartphones that caught fire damaged people and property in some cases.

Note 7 users who switched to other Samsung phones were given credit to buy the Galaxy S8 or Note 8 at a discounted price, a stop-gap measure that failed to satisfy many of the users.

A group of five Korean Note 7 users who claimed they were labeled as a “frauds” by Samsung also reiterated their intention to continue their court battle against the tech behemoth, which they said did not give a sincere personal apology.

By Kim Young-won (wone0102@heraldcorp.com)