2016 Ghana 5252686 Damage, etc.

Korean Bank, Inc.

1. A;

2. B

May 16, 2017

May 30, 2017

1. The Defendants jointly and severally pay to the Plaintiff 146,768,069 won and the amount calculated by the ratio of 15% per annum from March 10, 2017 to the date of full payment to Defendant B from March 9, 2017.

2. The costs of lawsuit are assessed against the Defendants.

3. Paragraph 1 can be provisionally executed.

The same shall apply to the order.

1. Facts recognized;

A. On December 7, 2015, the Plaintiff purchased the D Building of 11th and six underground floors (hereinafter referred to as the “D Building” in this case) from a (main) coppirirosis management real estate investment company entrusted with the management of the D Building located in Yeongdeungpo-gu Seoul Metropolitan Government, Yeongdeungpo-gu, Seoul, and acquired its ownership on December 23, 2015.

B. On November 20, 2015, Defendant A entered into a lease agreement on the part of 492.44 square meters, which is part of the two floors of the instant building, with the (i) management real estate investment company entrusted with the management of heptospirpiros (i.e., the (ii) and (iii) the two floors of the instant building; and Defendant B agreed to jointly and severally perform the responsibilities and obligations under the instant lease agreement with the lessor of Defendant A.

C. Meanwhile, the Plaintiff received the ownership of the instant building from the management real estate investment company entrusted with the management of Leptospirirosis, and decided to succeed to the lessor’s status under the instant lease agreement concluded between the real estate investment company entrusted with the management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of management of housing units

D. The lease deposit under the instant lease agreement is KRW 94,00,000, monthly rent is KRW 9,929,000 (excluding value-added tax); monthly management expenses are KRW 2,442,00 (excluding value-added tax); Defendant A paid KRW 94,00,000, but did not pay monthly rent and management expenses from February 2016.

E. On August 8, 2016, Defendant A delayed payment of rent, etc. exceeding five months, and the Plaintiff notified the Defendants of the termination of the instant lease agreement. On August 9, 2016, the notice of termination was sent to the Defendants on August 9, 2016.

F. After the termination of the instant lease agreement, the Plaintiff filed an application for compulsory execution of the delivery of the building in Seoul Southern District Court 2016No. 2908, the Seoul Southern District Court Decision 2016Hu551, which declared that the Defendants did not order the leased object of the instant case, under the name of the debt holder, and was also ordered by compulsory execution on October 2016.

G. According to the termination of the instant lease agreement, the Defendants shall pay the unpaid rent, etc., damages, and penalty, to the Plaintiff. The sum of the rental fee, management fee, overdue interest, and electricity and water supply charges that Defendant A did not pay until August 9, 2016 when the instant lease agreement was terminated, shall be KRW 78,970,78, and the unpaid electricity and water charges shall be KRW 728,443,00 from August 10, 2016 on the date following the termination date until the date.

H. Article 24 (5) of the lease contract provides that "If a lessee fails to take the property or possession of a lessee, or fails to take it out by restoring the leased object to its original state, the lessee shall pay the lessor the amount equivalent to twice the rent and management fee for the object of lease on a daily basis, counting from the date this contract is terminated until the date when the order of the object of lease or the restoration to its original state is completed."

I. The Plaintiff did not perform its duty to restore the leased object of this case to its original state at the Plaintiff’s expense from October 22, 2016 to October 31, 2016.

For the restoration of the original state, the Plaintiff spent KRW 19,800,000.

(j) On the other hand, Article 24 (5) of the lease contract provides that "where a lessee fails to take out the property owned or occupied by the lessee or fails to take out the leased object by restoring it to the original state, the lessee shall pay the lessor the amount equivalent to twice the rent and management fee for the object of lease from the date the contract is terminated to the date the name of the object of lease is actually terminated or the restoration to the original state is completed on a daily basis, as damages compensation."

(j) Since the restoration to the original state was completed on October 31, 2016, the amount of damages under Article 24(5) of the lease agreement is KRW 17,558,838 (1) that is calculated on August 8, 2016; KRW 24,742,000 for damages on September 2016; KRW 24,742,00 for damages on October 2016; and KRW 67,042,838 for damages on October 24, 2016.

(k) Article 23(2) of the lease agreement provides that “If a lessor terminates this contract pursuant to the former part of this Article, ... the lessee shall compensate the lessor for any damage incurred by the lessor due to the termination of the lease agreement, and the lessee and the lessor shall separately pay the amount agreed upon by the special agreement as a penalty for breach of contract.” Article 4 of the special agreement provides that “The penalty for breach of contract that the lessee and the lessor agreed separately pursuant to Article 23(2) of the agreement shall be the rent and management fee for six months” (Article 23(2) of the agreement. In addition, Article 23(8) of the Civil Procedure Act (Evidence No. 3) also provides that “Where the lease contract is terminated as the grounds for arrears of the rent between January 1, 2016 and December 31, 2017, the Defendants shall jointly and severally pay the Plaintiff penalty for breach of contract.”

(l) On the other hand, the Plaintiff is obligated to refund the lease deposit amount of KRW 94,00,000 to Defendant A, and the claim of this case is made after deducting KRW 94,00,000 from the above debt amount that Defendant A should pay to the Plaintiff.

[Reasons for Recognition] Defendant A: Judgment on deemed confession (Article 208(3)2 of the Civil Procedure Act)

Defendant B: Facts without dispute, entry in Gap evidence 1 through 8 (including branch numbers, if any) and the purport of the whole pleadings

2. Determination on the cause of the claim

According to the above facts, the defendants are jointly and severally liable to pay the plaintiff 79,69,231 won (78,970,788 won + 728,443 won) with unpaid rent, etc., 19,80,000 won for restoration, and 67,042,838 won for damages from the termination date to the completion date of delivery and reinstatement, and 240,768,069 won for damages from the termination date to the completion date of delivery and reinstatement (i.e., 79,69,231 won + 19,80,000 won + 67,000 won + 79,238 won + 74,26,000 won. Accordingly, the defendants are jointly and severally liable to pay the plaintiff 146,80,600 won for lease deposit that the plaintiff is liable to pay to the defendant A from the above amount to the above amount to the plaintiff (i.e., the defendants are jointly and severally liable to the plaintiff (i.

3. Conclusion

Therefore, the Defendants are jointly and severally liable to pay to the Plaintiff the amount of KRW 146,768,069 as well as damages for delay calculated at the rate of 15% per annum under the Act on Special Cases Concerning Expedition, etc. of Legal Proceedings from March 10, 2017, and from March 9, 2017 to the date of full payment. The Plaintiff’s claims against the Defendants are with merit.

Judges Choi Yong-ho

1) Amount calculated by multiplying the monthly rent of KRW 9,929,00 and the monthly management fee of KRW 2,442,00 by 22/31 days, which is an amount equivalent to twice the monthly management fee of KRW 24,742,00;

(ii) the amount equivalent to twice the monthly rent of KRW 9,929,00 and the monthly management fee of KRW 2,442,00;

c) (Monthly rent of KRW 9,929,00 + Monthly management expenses of KRW 2,442,00) x 6 months