A. The Plaintiffs are stock companies with the purpose of distributing and selling building materials. Defendant C Co., Ltd. (hereinafter “Defendant Co., Ltd”) is a company with the purpose of indoor construction construction business, etc., and Defendant D is a representative as an internal director of the Defendant Co., Ltd.

B. The Defendant Company supplied construction materials from April 2014 to June 2016 by the Plaintiffs. The price for the goods that the Defendant Company supplied after July 2015, which was not currently paid, is KRW 400,517,301 for the Plaintiff Company A (hereinafter “Plaintiff A”) and KRW 360,659,233 for the Plaintiff Company B (hereinafter “Plaintiff B”).

C. On April 8, 2016, Defendant Company filed an application for commencement of simplified rehabilitation procedures with the Seoul Central District Court (Seoul Central District Court 2016 Mahap10030) on April 19, 2016, but received a decision to discontinue simplified rehabilitation procedures on May 26, 2016 as the debt amount of Defendant Company exceeds 3 billion won.

After that, on May 31, 2016, the defendant company filed an application for commencement of rehabilitation procedures with the Seoul Central District Court (Seoul Central District Court 2016 Gohap111) on June 10, 2016, but it was decided to commence rehabilitation procedures by the above court on August 2, 2016.

On the other hand, on March 24, 2016, the plaintiffs prepared a letter of commitment to the reduction and exemption of claims to the defendant company, respectively, and on the same day, the defendant D respectively prepared a joint and several guarantee letter to the effect that "the defendant company is jointly and severally liable with the company for the outstanding amount arising from the price of goods sold by the plaintiffs in conducting commercial transactions with the plaintiffs."

The plaintiffs claim against the price of goods sold by the plaintiffs in commercial transactions with the defendant company.