On September 29, 2008, the Plaintiff entered into a contract (hereinafter “instant contract”) under which the construction cost is 12 billion won (value added tax) for the Housing Complex Construction Co., Ltd. (hereinafter “instant construction”) (hereinafter “instant construction”). On September 29, 2008, the Plaintiff agreed that the instant contract becomes effective when Defendant Bocheon-gun submitted to the Plaintiff a performance guarantee of KRW 4 billion equivalent to 1/3 of the construction cost.

B. On January 9, 2009, Defendant Bocheon-si submitted to the Plaintiff a letter of performance guarantee (issuance of the Construction Mutual Aid Association) with the amount of security deposit of KRW 400 million, and commenced the instant construction. However, the instant construction was discontinued following the Seoul Southern District Court Decision 2009Kahap842 on September 10, 2009 upon filing an application for a provisional disposition for the suspension of construction with respect to Defendant Bocheon-young, a foundation which is the Plaintiff’s member, for the suspension of construction.

C. After that, Defendant Bocheon-gu filed an application with the Plaintiff for payment order against the Plaintiff seeking payment of construction expenses due to Defendant Bocheon-gu’s honored order with Seoul Southern District Court Decision 2010 tea6550, Jun. 15, 2010, the Plaintiff received payment order with the content of the payment order (hereinafter “payment order”) calculated at the rate of 6% per annum from September 19, 2009 to June 25, 2010, the delivery date of the original payment order of this case, and KRW 1,590,480 per annum from the next day to the date of full payment. The payment order of this case became final and conclusive to the Plaintiff around that time.