Business

Japan E-Commerce Law: What Your Website Must Display Under the Specified Commercial Transactions Act

Website Display Requirements Under the Act on Specified Commercial Transactions

When selling goods or services online, business operators are required to post a Notice Based on the Act on Specified Commercial Transactions(特定商取引法に基づく表記) on their websites. This law is designed to protect consumers by ensuring transparency in online transactions. Businesses selling goods or providing paid services to consumers via the Internet must comply with its requirements.

Many people, both Japanese and non-Japanese, may not be familiar with this law. However, if you plan to accept credit card payments through providers like Stripe, they may require you to display a proper notice under this Act on your site.


Why Is This Display Necessary?

Online shopping has made our lives more convenient, but it has also led to an increase in consumer complaints. Here are some common issues:

I bought a music device with my credit card, but the item was never shipped. I couldn’t reach the seller, and when I looked it up, I found out it was a scam site.

I ordered sneakers for 10,000 yen and paid by bank transfer, but the product was very low quality. I emailed the store to cancel, but never got a response.

To prevent such issues, consumers should check the credibility of the seller and the return/refund policy before making a purchase. However, if important information isn’t displayed, consumers can’t make informed decisions.

That’s why the Act requires certain information to be clearly posted on the seller’s website.


Required Information Under the Act

According to the Act, the following information must be clearly displayed:

  • Selling price

  • Payment method and timing

  • Delivery timing

  • Conditions for cancellation, returns, and refunds

  • Name, address, and telephone number of the business

  • Name of representative or person in charge (for corporations)

  • Charges other than the selling price (e.g., shipping, handling fees)

  • Liability for defects

  • System requirements (if selling software)

*Depending on the product or service, other items may also be required.


Frequently Asked Questions

Q: We provide paid services but don’t sell physical products. Do we still need to follow the Act?
A: Yes. The Act applies to both the sale of goods and the provision of paid services online.

Q: We operate from home. Do we have to publish our address and phone number?
A: If you indicate on your website that you will promptly provide your address and phone number upon request, and actually do so when requested, you may omit these details from your website.


Where and How Should This Information Be Displayed?

Make sure to display the required information clearly and accessibly on your website so that consumers can shop with confidence.

Display on the Final Order Page

In addition to the general notice, the following must be shown on the page just before the customer confirms their order (in accordance with Article 12-6 of the Act):

  • Ordered quantity

  • Total price (including shipping)

  • Payment method and timing

  • Delivery timing or service provision schedule

  • Period of offer (if applicable)

  • Cancellation or return conditions

Any misleading or unclear information on this page is prohibited. If misleading representations are made, consumers may be entitled to cancel the contract under the Civil Code (e.g., by claiming mistake under Article 95).


For More Information

For a detailed explanation in English, visit the Consumer Affairs Agency website:
https://www.no-trouble.caa.go.jp/foreignlanguage/english/