GENERAL TERMS AND CONDITIONS FOR USE OF SERVICES ON THE MNET SITE

CHAPTER I
GENERAL PROVISIONS

Article 1 (Purpose)

The purpose of these General Terms and Conditions for Use of Services on the Mnet Site (these “General Terms and Conditions”) is to set forth the rights, obligations and liabilities of Users (as defined below) of an online site (http://global.mnet.com) (the “Mnet Site”) operated by CJ E&M CORPORATION (the “Company”) with respect to the Services (as defined below) provided by the Company and additional services provided by the Company.

Article 2 (Effectiveness and Amendment of the General Terms and Conditions)

  1. (1)These General Terms and Conditions shall become effective upon being posted on the initial screen of the Services on the Mnet Site.
  2. (2)Upon the occurrence of any reasonable event which makes it necessary to amend these General Terms and Conditions, the Company may amend these General Terms and Conditions to the extent not violating the relevant laws and regulations. The Company shall notify Members (as defined below) of any such amendment on the initial screen of the Mnet Site, which shall indicate the effective date of such amendment and the reasons for such amendment, together with the text of the then existing General Terms and Conditions.
  3. (3)A Member shall have the right to object to the amendment to the General Terms and Conditions. A Member who does not agree with the amendment to the General Terms and Conditions may request to withdraw the membership from the Mnet Site. If a Member does not indicate his or her objection to the amendment to the General Terms and Conditions within 15 days of becoming aware of such amendment, such Member shall be deemed to consent to such amendment to the General Terms and Conditions.
  4. (4)An amendment to these General Terms and Conditions which is unfavourable to Members shall (i) be disclosed, together with the effective date of such amendment and the reasons for such amendment, for a period of thirty (30) days ending on the date immediately preceding the effective date of such amendment, and (ii) be clearly notified to the individual Members separately by way of emails or other electronic means.
  5. (5)Members to whom the disclosure or notification under Section (4) above has been made shall be deemed to have consented to such amendment to the General Terms and Conditions if such Members fail to expressly indicate their intent to object to such amendment to the General Terms and Conditions within thirty (30) days, even though such disclosure or notification clearly stated that in the event that the Members fail to make an expression of intent within the thirty (30) day period, such Members will be deemed to have expressed their intent.
  6. (6)An amendment to the General Terms and Conditions shall apply only to the agreements entered into after the effective date of such amendment, and the agreements entered into prior to such amendment shall be subject to the General Terms and Conditions in effect prior to such amendment; provided, however, that the amendment to the General Terms and Conditions shall be automatically applied to Users who have indicated their consent to being subject to such amendment to the General Terms and Conditions pursuant to Sections (3) or (5) above.

Article 3 (Applicable Provisions Other Than the General Terms and Conditions)

Matters not specified herein shall be governed by the Framework Act on Telecommunications, the Telecommunications Business Act, the Act on Promotion of Utilization of Information and Communications Network and other applicable laws and regulations, and Users of Paid Services shall be subject to the General Terms and Conditions for Use of Paid Services.

Article 4 (Definitions)

As used herein, the following terms shall have the meanings afforded below:

  1. (1)Services: all Internet-based services (including wireless Internet based services) provided on the Mnet Site operated by the Company;
  2. (2)Users: Members and non-Members to whom the Company provides the Services on the Mnet Site;
  3. (3)Members: all Users who use the Services provided by the Mnet Site, based on IDs granted by the Company under a Service Use Agreement (as defined below) regarding the Mnet Site entered into with the Company.
  4. (4)ID: letters, numbers or a combination of the two, which is selected by a Member and approved by the Company to identify such Member and enable such Member to use the Services;
  5. (5)Password: a combination of characters and numbers determined by a Member which is used to confirm that a person is the Member corresponding to the ID granted to such Member and to protect the secrecy of such Member;
  6. (6)Suspension of Use: restriction of a Member’s use of the Services by the Company under these General Terms and Conditions;
  7. (7)Termination: termination of the Service Use Agreement by the Company or by a Member.

CHAPTER II
SERVICE USE AGREEMENT

Article 5 (Taking Effect)

  1. (1)A User applies for membership by indicating his or her consent to these General Terms and Conditions after filling the required information in a membership application form prescribed by the Company (“Application Form”).
  2. (2)An agreement for the use of the Services (“Service Use Agreement”) shall become valid upon the Company giving its consent to the Application Form submitted by a person desiring membership in the Mnet Site; provided that such person has consented to these General Terms and Conditions.

Article 6 (Application for Use of Services)

  1. (1)A person desiring to use the Services as a Member shall apply by providing his or her personal information in the Application Form.
  2. (2)If a person younger than 14 years of age desires to apply for membership, confirmation shall be required that consent has been obtained from such child’s legal parents or guardian and that such child has full power to agree and comply with these General Terms and Conditions.
  3. (3)A User of contents prohibited for Users young than 19 years of age shall agree to be certified as an adult, and there shall be no falsity in such certification.

Article 7 (Approval of Application for Use)

  1. (1)Application Forms under Article 6 above shall be approved by the Company in the order in which they were submitted to the Company absent special circumstances.
  2. (2)In any of the following events, the Company may elect not to approve an Application Form, and may withhold approval until such event is eliminated:
    • If the facilities necessary for the Services are not sufficiently available;
    • If technical difficulties exist; or
    • If otherwise deemed necessary due to the circumstances of the Company.
  3. (3)If any of the following circumstances is brought to the attention of the Company, the Company may elect not to approve the Application Form concerned without giving a separate notice to the applicant concerned:
    • If the Application Form has been filed in the name of another person;
    • If any of the required information filled in the Application Form is false;
    • If the Application Form has been filed for the purpose of undermining the societal wellbeing, or good social morals and customs; or
    • If the Application Form otherwise fails to satisfy the requirements for application for use as set forth on the Mnet Site by the Company.

Article 8 (Protection of Personal Information)

  1. (1)The Company shall comply with the personal information protection policy as provided in the relevant laws and regulations, in order to protect personal information of the Users, including the information registered regarding the Users.
  2. (2)The Company shall provide the personal information protection policy on its initial screen of the Services on the Mnet Site.
  3. (3)It is possible that the personal information provided voluntarily by Members online such as on the bulletin boards or by emails or chatting may be collected and used by other persons, and the Company shall not bear any liability in any connection with such risks.

Article 9 (Consent to Use of Personal Information)

  1. (1)The personal information collected by the Company on the Mnet Site shall be the minimum information necessary for the provision of the Services, and the Company may, if deemed necessary, request more detailed information.
  2. (2)In any of the following cases, the Company may provide the personal information of Users to a third party with the consent of such Users. Even in such case, the personal information of Users may be provided to third parties only with the consent of the relevant Users and the Users who do not want their personal information to be provided may elect not to use the specified Services or participate in the sales promotions or events of the specified types:
    • The names, addresses, telephone numbers, etc. of Users may be provided to (i) shopping mall companies, (ii) providers of Paid Services or (iii) delivery companies, to enable such Users to purchase goods on the Mnet Site from such shopping mall companies, use such Paid Services on the Mnet Site, receive goods through the Mnet Site, or take delivery of bonus gifts based on such Users’ participation in promotional or other events through the Mnet Site; or
    • The personal information of Users who participated in various events taking place on the Mnet Site may be provided to the organizers of such events.
  3. (3)The Company may, to improve the quality of the Services provided to the Members through the Mnet Site, forge partnerships with specialized contents providers in various areas or business partners (“Allied Companies”), which will enable the Mnet Site to provide a variety of Services, including, but not limited to, tailored services, online advertising services, shopping mall services, community services, pay contents services, mobile services, insurance, credit card and other telemarketing services, statistical or market survey services.
  4. (4)If the Company desires to provide to, or share with, the Allied Companies as set forth in Section (3) above, the personal information of the Members, the Company shall provide or share the minimum necessary information with the consent of such Users and shall specify for which purpose such information is provided and which information (names of the Allied Companies, the purpose of alliance with the Allied Companies, and the personal information shared with the Allied Companies) is shared.
  5. (5)The consent to the use of the personal information under Section (3) above may be obtained by way of posting a separate notification therefor, etc.
  6. (6)The consent given by a User to the Company’s use and collection of personal information in order for such User to fuse the Services may be withdrawn at any time by such User. To withdraw his or her consent, a User shall apply for Termination. The consent to be so withdrawn is the consent to the collection of personal information in connection with the use of the Services on the Mnet Site, and not the consent to the provision of personal information to Allied Companies, and after such allied services stop, the Company shall recommend the relevant Allied Companies to destroy the personal information of Users provided to them, after which the Company shall bear no liability for any problem that follows thereafter and not imputable to a fault committed by the Company.

Article 10 (Changes in the Contracted Matters)

  1. (1)The Members may at any time inspect and modify their personal information through the ‘Member Information Change’ menu.
  2. (2)In case of any change that makes the information filled in by a Member at the time of submitting an Application Form not correct, such change shall be reflected online by such Member, and the Member shall bear the consequences, if any, that may arise due to the Member’s failure to update such information.

Article 11 (Grant and Change of ID)

  1. (1)The Company shall grant a User an ID in accordance with these General Terms and Conditions.
  2. (2)The Company may, in any of the following cases, request a relevant Member to change his or her ID:
    • If the Company believes that such ID may be offensive to other people, or harmful to youth and children;
    • an integration of the Mnet Site with other sites results in duplicate IDs;
  3. (3)If the ID is detrimental to the protection of Member information (because the ID contains special characters or is wholly made up of Korean characters), or to the smooth provision of the Services; or
  4. (4)If there are any other reasonable reasons

CHAPTER III
OBLIGATIONS OF THE PARTIES

Article 12 (Obligations of the Mnet Site)

  1. (1)The Company shall make the Services available to a Member on the date that such Member submitted an Application Form, absent special circumstances.
  2. (2)The Company shall make continued efforts to provide the Services on a continuous and stable basis in accordance with these General Terms and Conditions, and shall repair and restore the facilities immediately if the facilities are affected by technical difficulties or are destroyed. Notwithstanding the preceding sentence, the Company may suspend its offering of the affected Services in the event of an act of God or emergency or other unavoidable cases.
  3. (3)If opinions or complaints are raised by Members in accordance with the procedures prescribed by the Company, the Company shall handle such opinions or complaints through appropriate procedures, if the Company recognizes such opinions or complaints as valid. If such opinions or complaints take certain amount of time to handle, the Company shall inform the Members about the reason therefor and the schedule for such handling.
  4. (4)The Company shall comply with the provisions of Article 8 above in connection with protection of the privacy of Members.

Article 13 (Obligations of Members)

  1. (1)Members shall comply with the terms and conditions of these General Terms and Conditions and also abide by the guidelines and announcements that the Company posts from time to time on the website of Global Mnet. Members shall not act in any other manner that may interfere with the business of the Company.
  2. (2)Each Member has the obligation to keep his/her IDs and Passwords safe. Each Member shall be liable for all consequences that may arise from negligent management or unauthorized use made of their IDs and Passwords.
  3. (3)A Member shall report to the Company immediately upon becoming aware of any unauthorized use of his or her ID or Password, and the liability for all consequences that may arise from such Member’s failure to so report shall be borne by such Member.
  4. (4)The Members shall not conduct any business activities using the Services, without the prior consent of the Company, and the Company shall not be liable for (i) the consequences of such business activities or (ii) the consequences of any business activities that the Members conduct in violation of these General Terms and Conditions. The losses, if any, suffered by the Company as a result of such business activities shall be compensated for by such Members.
  5. (5)The sound source provided by the Company as part of the Services shall not be used by Members outside of their private use, such as disclosure to the public or re-use of such sound source in public places or in profit-seeking business places or stores.
  6. (6)Unless the Company expressly consents, no Member may transfer or donate, or provide as security, to a third party, the right of such Member to use the Services or other rights and obligations of such Member under the Service Use Agreement.
  7. (7)No Member shall do any of the acts described below, in connection with use of the Services:
    • Copying other than for such Member’s use, using for publication, broadcasting or similar purposes, or providing to a third party, any information obtained by such Member through the Services, without the prior consent of the Company;
    • Spreading or disseminating, to a third party, by way of posting or emailing or in any other manner, any information infringing the patents, trademarks, trade secrets, copyrights or other intellectual property rights;
    • Spreading or disseminating, to a third party, by way of transmission, posting or emailing or in any other manner, obscene or vulgar information, sentences, geometric figures, etc. which harms the societal wellbeing, or good social morals and customs;
    • Spreading or disseminating, to a third party, by way of transmission, posting or emailing or in any other manner, insulting or threatening content that may infringe the privacy of other people;
    • Any act that objectively appears to have a link to a crime;
    • Collecting or storing personal information of other Users without authorization of the Company; or
    • Any other act that may violate the relevant laws and regulations.

CHAPTER IV
USE OF THE SERVICES

Article 14 (Provision of Information)

  1. (1)The Company may provide Members with various pieces of information that the Company believes that the Members may need during their use of the Services, by way of, among others, public announcement, email or text message transmitted to their mobile phones.
  2. (1)The Company may provide information related to the Services through various means of communication (including, but not limited to, information notice and emails) in order to provide better Services to the Members. However, if the Members indicate they do not desire to be provided with such information, the Company shall ensure that such Members shall be excluded from the list of Members to whom such information is provided, and the Company shall not be liable for any disadvantages that such Members may suffer in their use of the Services due to such exclusion.

Article 15 (Use of Paid Services)

Any person may subscribe to the Mnet Site as a Member free of charge. However, with respect to certain Services, such as those for music and other contents, designated by the Company, the Members shall be charged therefor or may use the Services on a charge basis after a certain period of experiencing the Services free of charge. Paid Services and availability of experiencing the Paid Services free of charge shall be as set forth in the ‘General Terms and Conditions for Use of Paid Services’ separately established by the Company.

Article 16 (Global Mnet Social)

The Global Mnet’s Software Application has features that allow a User to make his or her profile publicly available, share links to tracks and with other users of the Global Mnet Service and integrate his or her activities on the Global Mnet Service with functionality offered by third party social networking services, including Facebook, Google and Twitter (“Global Mnet Social”). A User may choose whether to use the features of Global Mnet Social or not. If a User uses the Global Mnet Social, the User must respect other users of the Global Mnet Service in his or her interactions with them. The Global Mnet reserves the right, in its absolute discretion, to disable the User’s account if it believes that the User is violating this principle. Unacceptable behavior will result in the User’s account being terminated and the User being blocked from accessing the Global Mnet Service. Examples of unacceptable behavior include, but are not limited to:

  1. (1)giving comments offensive, abusive, defamatory, pornographic or obscene titles;
  2. (2)harassing or bullying other users;
  3. (3)spamming or using automated means to artificially promote content; and
  4. (4)using a photo on a User’s profile that infringes the copyright of a third party, or is offensive, abusive, defamatory, pornographic or obscene.

Article 17 (Posting, Etc. by Members)

  1. (1)Any content within the Services posted or registered by a Member on the Mnet Site may be deleted by the Company without prior notice, if the Company believes that such content falls under any of the following:
    • If it criticizes or harms the reputation of another Member or a third party;
    • If it harms the societal wellbeing, or good social morals and customs;
    • If it is deemed to be related to criminal acts;
    • If it infringes upon the rights of any other persons (e.g., copyrights of the Company or copyrights of a third party);
    • If it exceeds the posting period or volume established by the Company;
    • If the Member posts pornographic content in the bulletin board or creates a link to a pornographic website;
    • If it is not suitable in view of the nature of the bulletin board; or
    • If it is not suitable in view of the nature of the bulletin board; or
  2. (2)The Company may amend database information of a Member (album information, etc.), if deemed unavoidable in view of the circumstances of the Company.

Article 18 (Copyrights to Posted Content)

  1. (1)All rights and liabilities with regards to any posted contents will accrue to the person who posted such content, and the Company may not, without the consent of such person, use such content for any profit-making purpose other than for the offering of the Services. Notwithstanding the preceding sentence, the Company may use such content for any non-profit-seeking purpose, and the Company also has the right to post and edit such contents within the scope of the Services.
  2. (2)No information obtained by a Member through the Services shall be processed or sold by such Member.

Article 19 (Insertion of Advertisements and Transactions with Advertisers)

  1. (1)The Company is able to offer the Services partly from the profits the Company makes from posting advertisings. Users of the Services are deemed to have consented to the insertion of advertisements to which the Users may be exposed while using the Services.
  2. (2)The Company shall not be liable for any loss or damage that may arise for any Member as a result of such a Member’s participation in promotional activities of an advertiser conducted through the Services or described as part of the Services or a Member’s communication or transactions in connection therewith.

Article 20 (Provision of Programs)

  1. (1)The Company may recommend Members to install separate programs (the “Software”) which may be necessary for the Members to use the Services, and the Members may refuse such installation if they so desire.
  2. (2)The Company may collect and use data regarding the PCs of the Users as part of the product support services provided to the Users in connection with the Software.
  3. (3)The Company may use the data explained in Section (1) above only for the purpose of improving the Software or providing the Services or technology suitable for the use environment of the Users, and for no other purposes.
  4. (4)For more efficient transmission of large-volume data, the Company may use some of the Users’ PCs and network resources, as follows:
    • The Software may use the network equipment of the Users’ PCs as necessary;
    • The Software may use the storage of the Users’ PCs; and
    • The Software may be operated automatically in the Users’ PCs even if the Users do not intend that to happen.

Article 21 (Service Hours)

  1. (1)The Services may be used 24 hours a day and everyday of the year in absence of special technical difficulties or special circumstances of the Mnet Site, except for days or hours designated by the Company for regular checkups or other needs.
  2. (2)The Company may divide the Services into any number of segments and stipulate separate hours of uses for each such divided segment; provided that the Company gives prior notice thereof.

Article 22 (Responsible Use of the Services)

Members may not conduct business activities of selling products using the Services provided by the Mnet Site, and shall be prohibited from, among others, commercial activities through hacking, money-making advertising, pornographic sites, etc. and illegally distributing commercial software. The Company shall not be liable for the results of business activities, losses, punishment by the related authorities or other legal actions, which may arise as a result of the Users’ failure to comply with the above provisions.

Article 23 (Suspension of Provision of the Services)

  1. (1)In any of the following cases, the Company may suspend provision of the Services:
    • If unavoidable due to repair or other works involving the facilities for the Services;
    • If the key communications business operators as set forth in the Telecommunications Business Act stop providing telecommunications services; or
    • If there is any other force majeure event.
  2. (2)The Company may restrict or suspend the provision of certain or all of the Services if there are difficulties in normally using the Services due to, among others, national emergency, electric power failure, technical difficulties involving the facilities for the Services, or massive use of the Services.
  3. (3)In the event of restriction or suspension of the Services under Sections (1) and (2) above, the Members shall be notified by the Company without delay of the reasons therefor and the period of such restriction or suspension.
  4. (4)The Company may change some or all of the Services, if there is a reason justifying such change considering the operational or technical needs of the Mnet Site.
  5. (5)In the event of a change in the details, method of use or available hours of the Services under Section (4) above, the Company shall, prior to such change, post, on the initial screen of the Services on the Mnet Site, the reasons for such change, details of the Services after such change, and the date of the provision of such Services as changed.
  6. (6)The Services provided free of charge may be changed, modified or suspended if there is a reason justifying such a change considering the operational or technical needs of the Mnet Site. In such case, the fact of such change, modification or suspension shall be posted on the initial screen of the Services on the Mnet Site, and the Members shall not be separately compensated therefor in view of the nature of the Services provided free of charge, unless there are special provisions in the relevant laws and regulations.

Article 24 (Different General Terms and Conditions for Different Services)

For the use of the Services, there may be separate General Terms and Conditions (or public announcements), other than these General Terms and Conditions. In case of a conflict between such separate General Terms and Conditions and these General Terms and Conditions, the General Terms and Conditions closest to the Services in question shall prevail.

CHAPTER V
TERMINATION AND RESTRICTION OF USE

Article 25 (Termination and Restriction of Use)

  1. (1)A Member desiring to terminate the Service Use Agreement shall make an online request to the Mnet Site that he or she be allowed to withdraw from the Mnet Site.
  2. (2)If a Member commits any of the following acts, the Company may, without prior notice to such Member, terminate the Service Use Agreement or suspend use of the Services for a certain period of time.
    • If such Member has stolen or made fraudulent use of another person’s personal information, ID and/or Password;
    • If such Member has committed an act which harms the reputation of another person or is otherwise detrimental to another person;
    • If such Member has infringed the intellectual property rights of the Company, another Member or a third party;
    • If such Member has intentionally spread or disseminated content which harms the societal wellbeing, or good social morals and customs;
    • If such Member plans to use, or uses, the Services for the purpose of undermining the national interests or public interests of society;
    • If such Member has intentionally interfered with the operation of the Services;
    • If such Member transmits large volumes of information or information of advertising nature in order to interfere with stable operation of the Services;
    • If such Member spreads or disseminates a computer virus program which may cause malfunction of the information and communication equipment and facilities or loss of information;
    • If such Member is subject to a remedial order issued by the Korea Internet Safety Commission or any other outside organization, or is subject to interpretive ruling of the Election Management Committee regarding an illegal election campaign;
    • If such Member, without prior authorization of the Company, copies or distributes information obtained using the Services of the Mnet Site, or uses such information for commercial purposes;
    • If such Member posts pornographic content on the bulletin board or provides a link to a pornographic website;
    • If such Member violates any of the terms of use established by the Company, such as the Company’s policy on copyright/posting, etc.; or
    • If such Member has, for a continuous period of one year or longer, failed to log onto the Mnet Site at least once to use the Services (amended as of April 1, 2010); provided, however, that the Company may give the Member a prior notice of scheduled termination of the Service Use Agreement, offering the Member an option to keep the Service Use Agreement alive.
  3. (3)If the Service Use Agreement is terminated between a Member and the Company, the Company shall immediately destroy all information relating to such Member, except to the extent that it is required to keep such information under the relevant laws and regulations, as follows:
    • If such exceptional keeping is necessary pursuant to the relevant laws and regulations
    • If such information is stored for thirty (30) days to prevent additional damage to Members or for counselling purposes with customers

CHAPTER VI
COMPENSATION FOR DAMAGE AND MISCELLANEOUS PROVISIONS

Article 26 (Compensation for Damage)

The Company shall not be liable for any damage that may be incurred by a Member in connection with his or her use of the Services provided free of charge, unless the Company has acted with wilful misconduct or gross negligence. Compensation for damage with respect to Paid Services shall be as set forth in these General Terms and Conditions for the Services concerned.

Article 27 (Exemption from Liability)

  1. (1)The Company shall be exempt from responsibility for provision of the Services if such inability to provide the Services is due to an act of God or a force majeure event equivalent thereto.
  2. (2)The Company shall not be liable to a Member for a technical difficulty involving the use of the Services if such difficulty is due to a cause attributable to such Member.
  3. (3)The Company shall not be liable for loss of profit that a Member expected to enjoy using the Services or the damage incurred by a Member due to data obtained through the Services.
  4. (4)The Company shall not be liable for the reliability, accuracy, etc. of the information, data or facts posted by the Members on the Services.
  5. (5)The Company shall not be liable for damage incurred by a Member in connection with use of the Services, to the extent that such damage is due to wilful misconduct or negligence on the part of such Member.

Article 28 (Jurisdiction)

Any lawsuit filed in connection with a dispute arising from the use of the Services shall be subject to the exclusive jurisdiction of the Seoul Central District Court

[Addenda]

    • These General Terms and Conditions shall become effective as of March 1, 2011.
    • The General Terms and Conditions in effect since September 1, 2010 shall be superseded by these General Terms and Conditions.