All appeals are dismissed.

The costs of appeal by the Plaintiff are assessed against Defendant U.S. Co., Ltd.

The grounds of appeal are examined.

1. As to the Plaintiff’s grounds of appeal (to the extent of supplement in case of supplemental appellate briefs not timely filed)

A. As to the claim that the third franchise in this case is not subject to bona fide acquisition, Article 6 of the Automobile Management Act provides that “The acquisition, loss, and transfer of the ownership of a motor vehicle shall take effect upon registration.”

Since the economic utility and property value of motor vehicles are high in modern society, the purpose of this is to protect the safety of motor vehicle ownership and transactions by publicly announcing the change of ownership through the "registration" rather than the "delivery," which is an incomplete method of public announcement under the Civil Act, which is a systematic method of public announcement in public books.

Therefore, the principle that the acquisition of ownership of an automobile subject to the Automobile Management Act cannot be based on the "delivery", which is a public notice method under the Civil Act, and furthermore, the bona fide acquisition provision under Article 249 of the Civil Act premised on this is not applicable

(2) In light of the above legal principles, the automobile management act’s ownership change cannot be seen as an act of disclosure under the Automobile Management Act (see, e.g., Supreme Court Decision 64Da650, Sept. 8, 1964). However, inasmuch as the automobile management act is applicable to an automobile, if there are special circumstances, such as the structure and devices are not consistent with the safety standards as prescribed by the Automobile Management Act since they were manufactured, and thus, they cannot be duly registered without administrative special measures, and their ordinary usage is used only at a place other than a road, it is difficult to expect public announcement of ownership change only by the “registration” which is the method of public notification as prescribed by the Automobile Management Act.

In this case, the bona fide acquisition provision of Article 249 of the Civil Code can be applied.

According to the records, the following circumstances are examined.