A. On January 30, 2013, with respect to the new construction of educational and research facilities (C kindergarten, hereinafter “instant building”) on the ground at the time of Pakistan in Gyeonggi-do (hereinafter “instant construction”), the construction contract was concluded on October 30, 2013 with the Defendant and the construction cost of KRW 2.4 billion on the date of commencement, and on October 30, 2013 at the time of completion of the scheduled date of completion of construction works (hereinafter “instant contract”).

B. The Plaintiff Primary Engineering Co., Ltd. (hereinafter “Plaintiff Primary Engineering Co., Ltd”) concluded a subcontract contract for construction works with construction cost of KRW 286 million (including value-added tax) with respect to the electricity, telecommunications, and fire-fighting parts of the said construction works, and Plaintiff Slova Landscape Co., Ltd. (hereinafter “Plaintiff Slovasung”) concluded a subcontract contract for construction works with construction cost of KRW 27.5 million among the said construction works on November 9, 2013.

C. The Plaintiffs commenced construction in accordance with each of the instant subcontract agreements, and approved the use of the instant building on December 3, 2013.

When the instant construction was delayed, the Defendant agreed on October 15, 2013 with respect to the case construction and the instant construction (hereinafter “instant waiver agreement”) as follows.

1. The date of completion shall be November 11, 2013 at the end of all the completion certificates necessary for authorization and permission of a kindergarten to the defendant.

2. In cases where it is impossible to submit documents on authorization and permission of a kindergarten to the Office of Education because the completion of construction is completed on November 11, 2013, the amount of compensation shall be reduced by 20 million won per day after November 11, 2013 from the amount of construction cost payment.

3. When it is impossible to submit kindergarten authorization and permission documents to the Office of Education due to the failure to complete construction by November 25, 2013, excess construction will waive all the construction works, and the remainder of construction expenses will not be claimed in entirety, and an objection is raised to all civil and criminal charges even if the Defendant directly performs the remaining construction works.