2. The plaintiff's claim as to the above cancellation part is dismissed.

A. On December 20, 2007, the Plaintiff entered into a subcontract (hereinafter “instant construction contract”) with the Defendant on December 20, 2007 with respect to the machinery and equipment work among the Yangyang International Tourist Hotel Construction Work contracted by the Plaintiff (hereinafter “instant construction work”) as the construction period from December 20, 207 to December 30, 2008, and the construction cost of KRW 910 million (including value-added tax) (hereinafter “instant construction contract”).

B. In order to pay the down payment of the instant construction contract, the Plaintiff delivered to the Defendant two copies of promissory notes causing the total face value of KRW 90 million, and each of the said promissory notes was normally settled on October 31, 2008.

C. The Defendant, according to the instant construction contract, was carrying human resources and equipment in accordance with the construction contract and constructed the foundation for the installation of air conditioners. However, the Plaintiff could not undertake the construction work due to the circumstances of the original contractor who contracted the instant construction work.

Accordingly, the plaintiff requested the defendant to suspend construction, and the defendant accepted the request and completed all of the human resources and equipment invested in the existing construction site at the construction site of this case and suspended construction.

[Ground of recognition] without any dispute, entry of Gap's 1 through 5, Gap's 7, and 8 (including each number), the result of the order to submit financial transaction information to the main office of the court of the first instance, and the purport of the whole pleadings

2. Summary of the parties' arguments

A. The Plaintiff’s assertion that the instant construction contract was rescinded by agreement after the Defendant executed construction works at a rate of 2% high interest rate.

Even if the contract is not rescinded, the contractor may compensate for the damages and cancel the contract before the completion of the contractor's work pursuant to Article 673 of the Civil Code.

Pursuant to the cancellation of the instant construction contract, the Defendant is obliged to restore the construction cost of KRW 90 million, which was already paid to the Defendant, to KRW 24 million [the fixed rate of KRW 18,200,000,000 when calculating the fixed rate of KRW 2%] (i.e., KRW 910,000 x 2%, but the Defendant paid for the purchase of materials.