1. The instant lawsuit shall be dismissed.

2. The costs of lawsuit shall be borne by the Plaintiff’s auditor E.

1. The Plaintiff’s assertion netF (hereinafter “the deceased”) used the Plaintiff’s funds of KRW 50 million for personal purposes while serving as the Plaintiff’s representative director. As such, the Defendants, the deceased’s heir, are liable to compensate the Plaintiff for damages, and the Defendants are liable to pay the Plaintiff the amount of money in accordance with the Defendants’ inheritance shares in the amount of KRW 50 million and delay damages.

2. Determination on the defense prior to the merits

A. The plaintiff asserts that the lawsuit in this case is filed against the deceased who is a director, and the auditor is required to represent the plaintiff, because Article 394 of the Commercial Act applies to the lawsuit in this case. The defendant asserts that Article 394 of the Commercial Act is not applicable since the deceased had already died at the time of the lawsuit in this case, and the representative director acting on behalf of the representative director or the newly appointed representative director must represent the plaintiff.

B. Article 394(1) of the Commercial Act provides that an auditor who is relatively objective in order to prevent a conflict of interest and to ensure fair performance of a lawsuit between a director and a company shall represent the company in connection with the lawsuit. Even if the legal relationship which is the object of the lawsuit is due to a cause that occurred during the office of a director, the company does not bring a lawsuit against such person, but where a director already leaves the office of a director, barring special circumstances, Article 394(1) of the Commercial Act does not apply (see Supreme Court Decision 200Da9086, Mar. 15, 2002).