2. The costs of appeal shall be borne by the Defendant.

Purport of claim and appeal

1..

A. On October 18, 2012, the Plaintiff, the Defendant, C, D, and E5 had been awarded a successful bid for five parcels of land and buildings on the land (hereinafter “instant real estate”) located in the real estate auction procedure commenced with F with the Government District Court in order to complete the registration of ownership transfer due to the sale of each of the instant real estate under the name of the above five persons on November 29, 2012.

B. On November 29, 2012, the purchaser of the Plaintiff, the Defendant, and the other five parties, obtained a loan of KRW 500,000,000 from the Dondo Fisheries Cooperatives (hereinafter “instant loan”) in the course of setting up the said sales price, and completed the registration of the establishment of a neighboring mortgage with respect to the instant real estate as security, the maximum debt amount of the instant real estate was KRW 600,000,000,000, the debtor and the other five persons, the mortgagee of the said right to collateral security, and the fisheries cooperative with the full amount

C. On October 16, 2013, C entered into a lease agreement with H on a part of the instant real estate, which provides for KRW 15,000,000 as lease deposit, monthly rent of KRW 1,200,000 with respect to certain real estate among the instant real estate. D.

Since then, the procedure of voluntary auction was commenced with the District Court I for the instant real estate, and as a result, the instant real estate was sold to a third party, and the distribution was made on June 10, 2015.

E. Meanwhile, C filed a lawsuit against the Defendant seeking reimbursement of the cost to be borne by the Defendant out of the cost of acquiring the instant real estate, and the Defendant asserted that C should be entitled to deduct the lease deposit and rent that it had entered into a lease agreement with respect to the instant real estate from the said cost.

In the above lawsuit, the Seoul High Court accepted the defendant's defense of set-off as of May 19, 2016 by 2016Na2248, and C is more than the amount the defendant shall pay to C in connection with the acquisition of the real estate of this case through a lease agreement.