The part against the defendant in the judgment of the first instance shall be revoked.

The plaintiff's claim against the defendant is dismissed.

The plaintiff.

1. Basic facts

A. D is a corporation whose purpose is to manufacture and sell health functional foods, cosmetics, and E (hereinafter “E”) is a multi-level distribution company established to sell health functional foods produced by D.

The defendant is the representative director of F corporation and the head of E Busan branch office.

B. On August 2016, the Plaintiff: (a) heard the publicity lecture for Codefendant C in the first instance trial; and (b) joined as E’s multi-stage salesman; and (c) paid KRW 300,000 to E on August 12, 2016.

C. A public prosecution was instituted against the Defendant (hereinafter “related criminal case”) at the Seoul Central District Court. The main contents of the charges are as follows: (a) the Defendant conspired with other accomplices, and (b) the Defendant purchased goods equivalent to KRW 10.84,693,100, such as female goods in excess of KRW 50,000,00,000, including the Plaintiff, on condition of payment of co-ownership of the co-ownership allowance; and (c) thereby having a prospective multi-stage salesman or multi-stage salesman bear the burden exceeding KRW 50,000 per year under the condition that the payment criteria for support allowances are applied to registration, qualification, maintenance, or favorable support allowances; and (d) the Defendant violated Article 22(1) of the Door-to-Door Sales Act (hereinafter “Door Sales Act”) and committed a crime under Article 21(1) of the Door-to-Door Sales Act by providing false or exaggerated information about support allowances to the Defendant and by deceiving KRW 538,000 from the victims including the Plaintiff.

On October 25, 2019, the Defendant was convicted of the violation of Article 22(1) of the Door-to-Door Sales Act, the violation of Article 21(1) of the Door-to-Door Sales Act, and the fraud at the first instance court of the relevant criminal case.

Seoul Central District Court Decision 2018Da7074 Decided October 25, 2019 (Seoul Central District Court Decision 2018Ma7074). (e)

The defendant appealed against the first instance court of the relevant criminal case, and the appellate court of the appellate court against the violation of Article 22 (1) of the Door-to-Door Sales Act on June 10, 2020.