An article titled “What Is the Act on the Promotion of Small and Medium-sized Subcontractors? Background to the Revision of the Promotion Standards” written by Kenji Sarukura and Chihiro Tominaga was posted on “Manegy.”

Contents

1: What is the Act on the Promotion of Small and Medium-sized Subcontractors? Background to the revision of the promotion standards

(1) Outline of the Act (differences with the Subcontract Act)

(2) Outline and key points of the revision of the promotion standards effected in November 2024

2: Influence of the revision of the promotion standards on the management divisions

(1) Clarifying the interpretation of kaitataki (setting the price unjustly low)

(2) Strict requirement to set the usance within 60 days

3: Business operations under new promotion standards

(1) Points on avoiding kaitataki

(2) Points on setting usance

4: Relationship between declaration of partnership building and the promotion standards

5: Summary

[Written by Attorneys] What is the Act on the Promotion of Small and Medium-sized Subcontractors? Background to the Revision of the Promotion Standards