1. The plaintiff's appeal is dismissed.

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

Purport of claim and appeal

The first instance court.

1. Basic facts

A. On August 28, 2014, the Plaintiff, a corporation engaged in the business of manufacturing and selling leather products, concluded a contract with the Defendant for the supply of facilities under which the Defendant produced malodor prevention facilities and installed in the Plaintiff’s Ansan plant (hereinafter “instant contract”).

The main contents of the instant contract are as follows.

1. Contract name: Installation of facilities to prevent air/ malodor pollution;

3. Contract amount: including 60 million won, and value-added tax.

4. Payment method (cash) 1: (1) 1: (1) - 110,00,000 won for primary payments - (2) - 330,000,000 won for secondary payments including value-added tax (within five days after the conclusion of the contract) - (2) part payment (20%) including value-added tax (after the settlement of a loan for environmental improvement fund), 132,00,000 won for intermediate payments: (3) balance of value-added tax including value-added tax (90%) 132,00,000 won for progress - 90% for major facilities - at the progress of progress - 13%) : 88,00,000 won for value-added tax (within seven days after the completion of construction work).

5. The construction period is September 1, 2014 - Special Agreement No. 1/Financing 600,000 won on January 6, 2015, on condition that the advance payment is made after the conclusion of a contract, separately from the construction amount.

7. Prize: Guarantee of the performance under Article 5 for the construction of the contractual compound;

1. Facilities to be supplied under this Agreement must satisfy the environmental standards set out in the Environmental Act, which are currently applicable on August 27, 2014.

Article 8 Cancellation and Termination of Contracts

4. (1) In the event that the Plaintiff’s cause is attributable to the Plaintiff, the down payment that the Plaintiff paid to the Defendant is owned by the Defendant, and the Plaintiff pays not more than 30 days of the cost of manufacturing the goods by the time the contract is terminated. (2) In the event that the Defendant’s cause is attributable to the Plaintiff, the civil, criminal, and administrative disadvantage incurred to the Plaintiff due to the failure to supply the equipment is attributable to the Plaintiff. (1) In the event that the Defendant’s cause

(2) The defendant shall pay to the plaintiff 10% of the construction amount additionally with penalty for breach of contract.

B. The plaintiff.