1. The plaintiff's appeal is dismissed.

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

The purport of the claim and appeal is the purport of the appeal.

1. An independent Saemaul Savings Depository, on July 28, 2003, loaned 5,500,000 won to the Defendant at the interest rate of 16.5% per annum, 25% per annum, and 12 months per annum.

On June 28, 2013, the Independent Saemaeul Fund transferred the above loan claims to the Plaintiff, and delegated the power to notify the assignment of claims to the Plaintiff.

On June 23, 2014, the Plaintiff notified the Defendant of the above transfer, and the above notification was delivered to the Defendant around that time.

As of November 15, 2015, 10,658,955 won (i.e., principal amount of KRW 5,551,172) remains (i.e., principal amount of KRW 5,107,783).

[Ground of recognition] Evidence Nos. 1-1-6, Gap evidence Nos. 2 and 3, and the purport of the whole pleadings

2. According to the facts of recognition, the Defendant is obligated to pay the above principal and interest of the loan to the Plaintiff, the transferee of the bonds, except in extenuating circumstances.

However, the above loan claims are claims arising out of commercial activities and the period of extinctive prescription is five years pursuant to Article 64 of the Commercial Act. Since it is apparent in the record that the Plaintiff applied for the instant payment order on November 20, 2015 after five years from the due date of the above loan claims ( July 28, 2004). Thus, the above loan claims have already expired prior to the application for the instant payment order.

The defendant's defense pointing this out is with merit.

3. In conclusion, the plaintiff's claim shall be dismissed as it is without merit.

The judgment of the first instance is justified in its conclusion, and the plaintiff's appeal is dismissed. It is so decided as per Disposition by the assent of all participating Justices.