1. The Defendant shall pay to the Plaintiff KRW 150 million and the interest rate of KRW 150 million per annum from September 20, 2018 to the day of complete payment.

1. Facts of recognition;

A. On March 20, 2016, the Plaintiff entered into a lease agreement with the Defendant on two floors of multi-household C’s detached houses owned by the Defendant (hereinafter “instant house”) by setting the deposit amount of KRW 150 million and the lease period from April 15, 2016 to April 15, 2018.

B. The Plaintiff paid 150 million won to the Defendant under the above lease agreement.

C. On May 18, 2017, the Plaintiff transferred the instant house to the Defendant, and transferred the resident registration under Eunpyeong-gu Seoul Metropolitan Government D Building and E.

[Ground of recognition] Facts without dispute, Gap evidence 1, 2, 3, Gap evidence 4-1, 2, Gap evidence 5, and 6, the purport of the whole pleadings

2. Determination

A. According to the facts of the determination on the cause of the claim, the instant lease agreement terminated on April 15, 2018, and the Plaintiff already delivered the instant house to the Defendant before the expiration of the said period. As such, the Defendant is obligated to pay to the Plaintiff damages for delay calculated at the rate of 15% per annum from September 20, 2018, the day following the delivery date of the deposit KRW 150 million and the copy of the instant complaint, which is the day following the delivery date of the copy of the instant claim, to the day of full payment.

B. 1) The Defendant asserts that since F succeeds to the status of lessor pursuant to Article 3(4) of the Housing Lease Protection Act by disposing of the instant house to F, the Defendant’s claim that the Defendant extinguished the obligation to return deposit to the Plaintiff. 2) Article 3(4) of the Housing Lease Protection Act provides that the transferee of the leased house, which is the object of lease meeting the requirements for counterclaim under Article 3(1) of the Housing Lease Protection Act, shall be deemed to succeed to the status of lessor.

This should be viewed as a legal succession regulation. Therefore, in the case of a transfer of a rental house, the transferee succeeds to all the rights and obligations of the lessor under the lease contract by combining with the ownership of the house.