In the case of donation of property for the establishment of an incorporated foundation, only the name of the donor of property shall vest in the incorporated foundation, and the effect of the father-general shall not extend to the incorporated foundation by the Ministry of Government Administration and Home Affairs in accordance with the withholding of ownership to the donor.

In the donation of property for the establishment of a foundation, the property donor shall vest only in the name of his/her ownership in the foundation and the actual ownership shall not extend to the foundation even though a subsidiary is attached to the donor according to the suspension of ownership.

Article 43 of the Civil Act

Supreme Court Decision 69Da1369 Decided November 25, 1969

Plaintiff

Maritime Institute of Maritime Sciences

Busan High Court Decision 68Na327 delivered on April 1, 1971

We reverse the original judgment. The case is remanded to the Daegu High Court.

The defendant's grounds of appeal are examined.

The facts established by the court below are that the real estate was originally owned by the plaintiff, and at the time of June 26, 1953, at the request of the non-party (the founder of the defendant corporation) who established the defendant corporation, the name of the registration of the real estate was entrusted to the defendant corporation (the head of the defendant corporation) for the purpose of obtaining the establishment permission of the foundation. The plaintiff obtained the establishment permission of the foundation and passed through the registration of the establishment of the foundation. The trust contract was terminated by notification to the defendant corporation on July 15, 1959 that the trust contract was terminated. In the establishment of the foundation, the basic property of the foundation was donated to the foundation which was owned by the donor, and the substantial ownership was deferred according to the purpose of the foundation, and it does not violate the purpose of the establishment of the foundation, and it does not affect the conclusion of the judgment of the court below as to the establishment of the foundation and the basic property which was established by the non-party (the head of the 19th court below). It does not affect the establishment permission of the foundation and the trust agreement itself.

It is so decided as per Disposition by the assent of all participating Justices on the bench to reverse the original judgment.

[Judgment of the Supreme Court (Presiding Judge) Nabri-dong and Dobri-Jaking Hanwon