A. The Defendant is a regional housing association under the Housing Act which obtained authorization for establishment from the Seongdong-gu Seoul Metropolitan Government Office on October 18, 2007 for the purpose of conducting multi-family housing projects for the parcels outside Seongdong-gu Seoul Metropolitan Government 94 (hereinafter “instant projects”).

B. The main contents of the Defendant’s covenant of association are as follows.

Article 45 (Supply of Housing Units by Association) (1) The scale of housing to be supplied to association members shall be determined by deliberation in accordance with a project plan and approval for a project plan of a union.

(2) The same subparagraph of a cooperative member shall be determined by fair drawing at the time of designation determined by the cooperative.

Detailed methods of drawing may be separately determined.

(3) The sale price of each partner may be differentiated in accordance with the same subparagraph, and when such price is determined, the method of calculating the sale price or the sale price shall be disclosed prior to the drawing.

Article 46 (General Parcelling-Out) (1) Where 20 or more houses are sold to members, they shall be sold to the public in accordance with the Housing Act and subordinate statutes.

(2) The remaining housing and welfare facilities, including commercial buildings, may be sold voluntarily in accordance with the resolution of the general meeting or the board of directors of the association.

C. Before obtaining authorization for the establishment of a housing association, the Defendant entered into a project implementation contract (hereinafter “instant contract”) with E Co., Ltd. (hereinafter “E”) on October 27, 200 with the joint and several guarantee of Dongbu Construction Co., Ltd. (hereinafter “Dongbu”), a contractor, to delegate the authority to implement the instant project as an agent (hereinafter “instant contract”).

The main contents of the instant contract are as follows.

Even if the defendant obtains approval for partnership approval, he/she shall automatically succeed to this contract without concluding a separate contract.

Article 3 (Status of Parties and Principles of Business)

3.E invests the entire project cost of E in the subject matter of this contract, and the remaining apartment sale price remaining after selling to the invested members of the land shall be the total project cost E.