Reference
PL
Abbreviation for “Product Liability.”
Chapter 1
(2)Product Liability Act
The “PL (Product Liability Act)” is a piece of legislation that sets forth
the liability for damages of manufacturers if there is injury or loss to the
life, body, or property of the consumer of a product due to a defect in the
product.
Prior to the introduction of the Product Liability Act, liability for damages
to victims required proof that the accident was caused by the negligence of
the manufacturer. However, with the introduction of the Product Liability
Act, it is only necessary to show proof that the accident was caused by a
defect in the product in order for the liability for damages to exist.
Corporate and legal affairs
1-2-4 Other legislation, guidelines,
and engineer ethics
In addition to complying with legislation prescribed under civil and criminal law, it is necessary to act in compliance with codes, guidelines, and
criteria for engagement set forth within organizations.
1
Compliance
“Compliance” refers to achieving compliance with all rules including legislative systems, corporate ethics, and codes of conduct. Corporate activities are expected to comply with relevant legislation and regulations, but
there is seemingly no end to scandals that arise due to a lack of moral
judgment or inadequate sense of crisis. Scandals also occur because of response that places the interests of the corporation first, and due to insufficient recognition of criminal activity or social responsibility.
The preponderance of scandals has accelerated the introduction of legislative systems for internal controls in Japan, reflecting the trend in other
countries. Corporations must implement internal controls and compliance
management in order to engage in healthy corporate activities that do not
work against the interests of stakeholders such as investors, business partners, and customers.
Internal controls and compliance are often confused with each other, but
compliance is one of the purposes of internal controls.
(1)Act on the Protection of Personal Information
The “Act on the Protection of Personal Information” is a piece of legislation that sets forth the duties to be observed by business operators handling personal information in order to protect the rights and interests of individuals, while taking into consideration the practicality of personal information. The legislation was brought into effect in April 2005, and imposes
penal provisions against regulatory violations by business operators that
handle personal information.
Reference
Compliance
In Japan, compliance refers to “regulatory compliance.”
Reference
Internal control
Refer to “Chapter 6-2-2. Internal control.”
Reference
Personal information
“Personal information” refers to information that can be used to identify a specific individual such as a name, date of
birth, or address. Information about occupation, personal income, family, and
health condition are also forms of personal information.
Reference
A business operator handling personal information
“A business operator handling personal
information” is defined as a business
operator using a database with personal
information on more than 5,000 individuals. Business operators that handle
personal information on 5,000 individuals or less, and civilians with personal
information on more than 5,000 individuals are not covered.
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