2. The costs of lawsuit shall be borne by the Plaintiff.

A. The plaintiff is a legal entity established around March 1970 with the main purpose of boiler manufacturing operations, and the defendant is the Republic of Korea.

B. Pursuant to Article 9(4) of the Act on the Promotion of Purchase of Small and Medium Enterprise Products and the Development of Market Support (hereinafter “CB”) and Article 5(3) of the Enforcement Rule of the said Act, the president of the B organization confirmed the direct production of the relevant boiler and the relevant boiler (hereinafter “instant boiler”) on two occasions (the term of validity: 1: the term of validity from March 11, 2014 to March 10, 2016; 2: the term of validity from March 11, 2016 to March 10, 2018; 3: the head of the C organization designated and publicly announced the boiler as the exemplary procurement goods pursuant to Article 9-2(1)1 of the Government Procurement Act and Article 18 of the Enforcement Decree of the said Act.

C. In accordance with Article 9(1)1 of the Act on the Development of Market Support, the proviso to Article 7(1) of the State Contracts Act, and Article 26(1)3(f) of the Enforcement Decree of the State Contracts Act, the Plaintiff and the Defendant (the competent authority): (a) concluded a negotiated contract with respect to the boiler in the instant case (hereinafter “each of the instant contracts”); (b) determined the method of the contract as a unit price contract for a third party under Article 5(1) of the Procurement Act and Article 7(1) of the Enforcement Decree of the same

The details of the contract concluded by the Plaintiff and the Defendant are as follows:

Contract number No. 542,973,792,000 between January 8, 2015 and March 6, 2017, the contract number No. 542,914,314,000 between February 23, 2017 and October 30, 2018, the contract number No. 397,230,220,000 of the Frelated boiler 397,230,220,000 to August 29, 2016 to November 21, 2016.

On September 5, 2017, the president of the Group B made a disposition to cancel the confirmation of direct production pursuant to Article 11(2)3 of the Act on Support of Development of Agricultural and Fishing Villages (hereinafter “instant disposition of cancellation”) on the ground that “creditor had produced goods in good faith without direct implementation during the essential process” and specified the effective date of the instant disposition of cancellation as September 11, 2017.