1. The Defendants are jointly and severally liable to the Plaintiff for payment of KRW 194,123,080 and the period from May 20, 2016 to September 18, 2019.

1. Basic facts

A. On July 11, 2014, in order to be supplied with parts of military non-electric power, D affiliated with Defendant B, Inc. (hereinafter “Defendant B”) announced the following contents through the National Electronic Procurement System on July 11, 2014. Item name: PCR-99K volume of items 124: Total amount of items: 62,144 method: Goods qualification examination method: (a) Defendant B Co., Ltd. (hereinafter “Defendant B”) participated in the said bidding and entered into an insurance contract as to the supply of goods from August 14, 2014 by submitting a contract price of KRW 3,012,000,000, contract bond of KRW 301,20,000,000, and liquidated damages rate of KRW 0.15%, and from December 13, 2014 to December 25, 2015 (hereinafter “instant goods supply guarantee contract”).

3) The General Conditions and Special Conditions of the instant goods supply contract and the Act on Contracts to Which the State is a Party (hereinafter “State Contract Act”).

(1) A contracting officer may rescind or terminate a contract, in whole or in part, if the other party to the contract falls under any of the following subparagraphs, if the other party to the contract fails to perform his/her contractual obligations without justifiable grounds:

Provided, That in cases falling under subparagraph 3, where it is deemed necessary to maintain the contract due to the possibility of performing the contract by a malicious person, and the other party to the contract additionally pays the contract bond equivalent to the portion of which contract is not completed.