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Changing Law and Contractual Relations under COVID-19: Reallocation of Social Risks in Asian SME Sectors

Changing Law and Contractual Relations under COVID-19: Reallocation of Social Risks in Asian SME Sectors

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COVID-19 has had a significant impact on human society, including legal measures to control human behavior. Different countries have employed different modes of legal control, resulting in varying results in terms of constraining the spread of infection. SMEs have been particularly vulnerable, assuming the economic burdens of the pandemic. This book explores the law and social changes in Asian countries under the impact of COVID-19, with a particular focus on the social relations surrounding SMEs. A comparative approach is taken, using interview surveys based on structured questions conducted via research collaboration between contributors from Japan and other Asian countries. The authors argue that Asian countries have sufficient bases for international comparison, particularly in the risk reallocation in the SME sector, due to the similarity of cooperative social culture and the similarity of the laws surrounding the business operation of SMEs.

Format: Hardback
Length: 213 pages
Publication date: 23 December 2022
Publisher: Springer Verlag, Singapore


COVID-19 has profoundly impacted not only human lives but also the very fabric of human society since the beginning of 2020. In response to this global pandemic, governments across the world have implemented legal measures aimed at controlling human behavior in order to halt the spread of infection. However, the approach to legal control has varied significantly between countries, leading to differing outcomes in terms of containing the pandemic. While behavioral restrictions remain in place, the socio-economic consequences of the pandemic have resulted in another catastrophic crisis, particularly affecting the most vulnerable sectors of each society. Small and medium-sized enterprises (SMEs) are exemplary representatives of such vulnerable groups, forced to bear the economic burdens of the pandemic that have been shifted away from larger economic actors with greater bargaining power in contractual negotiations.

Statistical data on infection status have highlighted a significant disparity between countries, with European nations experiencing thousands of deaths per hundred thousand population, while most Asian countries have maintained levels ranging from one to two digits. Despite the universal impact of COVID-19, it is crucial to pursue a redistribution of risks within the socio-cultural context of each society.

This book delves into the legal and social changes experienced by Asian countries under the influence of COVID-19, with a particular emphasis on the social dynamics surrounding SMEs. These entities serve as the focal point of contractual relations among various socio-economic actors and are, in turn, a direct reflection of the governmental SME policies unique to interventionist governments in Asia. A comparative approach is adopted, utilizing the findings of interview surveys based on structured questions conducted through research collaboration among the contributors.

The impact of COVID-19 on legal measures and human behavior has been far-reaching and multifaceted. In many countries, governments have implemented emergency laws and regulations to restrict movement, enforce social distancing, and limit the operations of businesses and organizations. These measures have been necessary to contain the spread of the virus and protect public health. However, the implementation of these measures has raised concerns about civil liberties, privacy rights, and the ability of individuals to engage in their daily lives.

One of the most significant legal challenges arising from COVID-19 has been the question of whether governments have the authority. The right to impose such restrictions on individual rights and freedoms. While some argue that the pandemic presents an unprecedented public health emergency that requires extraordinary measures, others contend that these measures may violate fundamental human rights such as the right to freedom of movement, assembly, and expression.

In response to these concerns, some governments have sought to balance the need for public health with the protection of individual rights. For example, in some countries, laws have been passed that allow for the temporary suspension of certain rights, such as the right to free speech or the right to privacy, in order to prevent the spread of the virus. However, these measures must be carefully calibrated to ensure that they do not exceed the limits set by international human rights standards.

Another legal challenge arising from COVID-19 has been the issue of discrimination. The pandemic has highlighted the existing disparities in healthcare access and treatment among different populations, particularly marginalized and vulnerable groups. Some argue that the response to COVID-19 has exacerbated these disparities, leading to increased discrimination against certain groups, such as racial and ethnic minorities, the elderly, and people with disabilities.

To address these issues, governments have implemented measures to promote equality and prevent discrimination. For example, in some countries, laws have been passed that require healthcare providers to treat all patients equally, regardless of their race, ethnicity, or other characteristics. Additionally, governments have provided financial support to marginalized and vulnerable groups to help them cope with the economic impact of the pandemic.

In addition to legal challenges, COVID-19 has also had significant social and economic impacts. The pandemic has led to widespread job losses, business closures, and economic instability, particularly in sectors such as tourism, hospitality, and retail. Many individuals and families have been struggling to make ends meet, and the pandemic has highlighted the need for social safety nets and support programs to help those in need.

Governments have responded to these social and economic challenges by implementing various relief programs and support measures. For example, in many countries, governments have provided financial assistance to businesses and individuals to help them cope with the economic impact of the pandemic. Additionally, governments have implemented social safety nets such as unemployment benefits, food assistance, and housing subsidies to help those who have lost their jobs or are unable to work due to the pandemic.

However, the impact of COVID-19 on social and economic disparities has also highlighted the need for long-term solutions to address the underlying causes of these disparities. For example, the pandemic has exposed the fragility of the global supply chain and the importance of local economies and sustainable development. Governments have recognized the need to invest in infrastructure, education, and healthcare to promote economic growth and reduce inequality.

In conclusion, COVID-19 has had a profound impact on legal measures, human behavior, and social and economic systems. While the pandemic has presented significant challenges, it has also highlighted the need for governments, businesses, and individuals to work together to address these challenges and promote a more equitable and sustainable future. The legal measures implemented to contain the pandemic must be carefully calibrated to balance the need for public health with the protection of individual rights. Additionally, governments must prioritize social and economic support programs to help those who have been disproportionately affected by the pandemic. By working together, we can overcome the challenges posed by COVID-19 and build a more resilient and inclusive society.

Weight: 516g
Dimension: 164 x 242 x 21 (mm)
ISBN-13: 9789811942372
Edition number: 1st ed. 2023

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