A. On March 10, 2014, Bovine Nations Co., Ltd. (hereinafter referred to as " Bovine Nations") contracted from the Defendant for the construction of a neighborhood living facility (hereinafter referred to as "the instant construction") on the ground B (hereinafter referred to as "the instant construction") to KRW 716,10,000, and thereafter, Boluminous Co., Ltd and the Defendant increased the construction cost of KRW 732,60,000 on March 10, 2014 and determined the scheduled completion date of the construction work as KRW 732,60,000 on July 31, 2014 and the liquidated damages rate of KRW 1/1,000.

(hereinafter “instant construction”). The instant construction was completed on June 23, 2014 or on June 30, 2014 at the latest.

B. Around May 29, 2015, the Plaintiff acquired 236,000,000 won for the remainder of the instant claim for construction payment against the Defendant from Bohman, and the notice of assignment of claims by Bohman on May 29, 2015 reaches the Defendant on January 22, 2016.

C. The Defendant filed a lawsuit against Bohman seeking confirmation that the instant claim for construction cost did not exist (U.S. District Court 2015Da7025), and the appellate court (Seoul High Court 2016Na9386) succeeded to the Plaintiff on the ground that the Plaintiff acquired the remainder of the construction cost as above. The Defendant asserted the following as against the Plaintiff in the lawsuit.

① The remainder of the construction price in this case remains only 5,132,600 won. The remainder of the construction price in this case is offset against the remainder of the construction price in the damages claim amounting to KRW 9,00,000,000,000,000,000 from August 1, 2014 to March 8, 2016 as of the date of the completion of the agreement, and the remainder of the construction price in the damages claim amounting to KRW 429,303,60,000,000,000,000,000 for the period from July 31, 2014 to June 1, 2015.

② As mentioned above, Boenna shall be liable to the Defendant for delay and damages in lieu of defect repairs.