Main Issues

The validity of the decision on permission of a successful bid made by a debtor or owner who died prior to or in the commencement of the procedures for voluntary auction of real estate;

Summary of Decision

Even if there exists a death of an obligor or owner before or during the commencement of the auction procedure for the auction of the real estate, the decision of permission for auction made by the auction court by continuing the procedure in relation to the obligor or owner on the registry which has already died before or after the commencement of the auction procedure for the auction of the real estate shall not be null and void unless the auction court

Re-appellant

Re-appellant

United States of America

Seoul Civil District Court Decision 64Ra162 delivered on December 22, 1964

Reasons

Since the voluntary auction of the mortgaged real estate based on the right to collateral security is in progress in relation to the debtor who is indicated in the registration of establishment of the right to collateral security and the owner of the mortgaged real estate, even if there was the death of the debtor or owner before or during the commencement of the auction procedure, the auction court cannot be said to be null and void because the auction court continued the auction procedure in relation to the debtor or owner on the registry which has already died and did not take over the auction procedure. Thus, it cannot be said that the decision of approval is null and void because the non-party, who is the debtor, established the right to collateral security on the real estate owned by the re-appellant, his wife, but was deceased on August 28, 1965, the procedure of voluntary auction based on the right to collateral security, and it cannot be argued that the auction court failed to know the death of the debtor as the non-party, and therefore, it cannot be said that the auction court continued the auction procedure with the permission of the above auction court.