The defendant's KRW 182,348,469 against the plaintiff and KRW 6.5% per annum from November 3, 2015 to December 2, 2020.

Basic Facts

The defendant is a company running real estate leasing business, housing construction business, etc., and the plaintiff is a company conducting construction business, civil engineering business, etc.

On June 1, 2012, the Defendant: (a) determined the construction price of KRW 6,600,000 (excluding value-added tax) and the construction period from June 8, 2012 to August 25, 2013; (b) concluded a contract for construction works that C is to construct officetels (hereinafter “instant building”) on the ground of the instant land (hereinafter “instant land”); (c) made a contract for construction works that C is to construct an officetel (hereinafter “instant building”); (d) made a loan from the financial right of Type 1 to raise funds for construction; and (e) paid KRW 400,000,000 as down payment (pre-payment for construction works) to C on June 27, 2012.

Along with C’s financial aggravation, it is difficult to prepare financial resources for construction works in the way prescribed in the original contract due to the aggravation of the financial resources of C, the Defendant borrowed part of the funds from the Plaintiff, and decided to modify the construction works of the instant construction to the Plaintiff on November 7, 2012 under C’s understanding, and drafted a written agreement with C as follows:

1) Alteration of the Project: The original contractor C does not raise any objection under a third party transfer, acquisition, double contract, etc. in the contract for construction with the Plaintiff. 2) Termination, etc. of the Contract: Pursuant to this Agreement, C shall suspend the validity of the contract for construction with the Defendant and transfer the part that has been completed, such as the start-up of the contract for construction that has been completed later, to the Plaintiff on the same condition as the contractor is transferred.

(iii)The down payment: C has received the down payment of KRW 400,000,000 (including additional dues) which has been received; C has received the down payment of KRW 400,000,000 (including additional dues) for the purpose of direct construction costs and indirect costs; settlement shall be made in the form of the work completion money; settlement shall be made in the form of the work completion money; the method of settlement shall be included in the total contract amount of the Plaintiff; and C within the contract amount.