A. The terms and conditions of the construction contract and the Plaintiff’s status of the Plaintiffs entered into a subcontract with the Korea Land and Housing Corporation (hereinafter “instant subcontract”) on March 19, 2013 (hereinafter “BL apartment construction”) with respect to the aggregate construction during the instant construction project (hereinafter “instant construction”) and the construction period from March 19, 2013 to November 4, 2014, with respect to which the construction amount was KRW 14,80,000,000 (including value-added tax) and the terms and conditions of the standard subcontract attached to the instant subcontract are as follows.

Article 7 (Execution of Contracts and Guarantee for Payment of Construction Costs) (1) The plaintiffs and Mine Construction shall guarantee each other the execution of contracts and the payment of construction costs by the methods falling under any of the following subparagraphs:

1. The method of guaranteeing the execution of the contract amount of an amount equivalent to 10% of the contract amount to the Plaintiffs. (3) The guarantee between the Plaintiffs and the Mine Construction pursuant to the provisions of paragraph (1) shall be paid in cash or by the delivery of the letter of guarantee pursuant to the provisions of each of the following subparagraphs:

1. A letter of guarantee issued by the construction mutual aid association, specialized construction mutual aid association, guarantee insurance company, and the Korea Credit Guarantee Fund and other equivalent guarantee organizations. 6 Where the Plaintiffs cancel or terminate the whole or part of the contract pursuant to Article 25 (1) due to the failure to perform contractual obligations, the Plaintiffs shall revert to the total amount of the deposit under paragraph (3) 1;

(7) If the unpaid amount of the construction price of the plaintiffs and the amount of losses caused by failure to execute a contract for construction of mineral rain exceeds the security deposit as referred to in paragraph (1), the plaintiffs and mineral rain construction may request the other party to pay the excess amount.

Article 23 (Defect Security) (1) Mining construction shall not exceed the amount calculated by multiplying the contract amount by the rate of the defect warranty bond determined in the contract.