1. The defendant's appeal is dismissed.

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

Purport of claim and appeal

1...

1. Basic facts

A. On August 22, 1995, the Korea Guarantee Insurance Co., Ltd. (hereinafter “Korea Guarantee Insurance Co., Ltd.”) concluded a small loan guarantee contract (hereinafter “the instant insurance contract”) with the Defendant on a date when it was merged with the Korea Guarantee Insurance Co., Ltd. and changed its trade name to the Seoul Guarantee Insurance Co., Ltd. (hereinafter “Korea Guarantee Insurance Co., Ltd.”); and the Seoul Guarantee Insurance Co., Ltd. entered into a small loan guarantee contract with the Defendant. The main contents of the instant insurance contract are as follows.

Insured: the insured amount covered by the Korea Development Bank insurance policy: the cover period of 22,000,000 won: from August 22, 1995 to October 20, 1998 - the terms of the prime contract - the amount of loans of 20,000,000 won - the term of loans of 20,000 won: the period from August 22, 1995 to August 21, 1998 - the repayment method of principal: the due date and time repayment - the repayment method of interest: the payment method after the end of each

B. On November 26, 1996, Korea Insurance Co., Ltd. paid insurance money of KRW 21,890,737 to Korea Development Bank due to an insured event under the instant insurance contract.

(hereinafter referred to as the “instant claim”) against the Defendant by paying insurance proceeds to the Korea Development Bank.

On March 12, 1997, the Korea Guarantee Insurance Co., Ltd. filed a lawsuit against the Defendant for the claim for reimbursement of the claim of this case against the Seoul District Court 97Da63644, and on June 17, 1997, the above court rendered a judgment on June 17, 1997 that "the Defendant shall pay to the Korea Guarantee Insurance Co., Ltd the amount of KRW 21,890,737 and the amount equivalent to 14% per annum from November 27, 1996 to December 26, 1996, and the amount equivalent to 18% per annum from the next day to the day of full payment (hereinafter "the first judgment"). The first judgment was finalized on July 17, 1997.

On February 18, 1998, the Defendant repaid 785,442 won, which is a part of the claim amount of this case, to the Korea Guarantee Insurance Co., Ltd., and the Korea Guarantee Insurance Co., Ltd. appropriated the above partial payment to the principal of the claim of this case

E. Seoul Guarantee Insurance Co., Ltd. is to extend extinctive prescription of the instant claim on March 3, 2007.