1. The Defendant shall pay to the Plaintiff KRW 235,721,91 and a rate of KRW 20% per annum from June 2, 2015 to the day of complete payment.

The summary of the case is the case that the plaintiff seeks additional payment of the project cost on the ground that it is improper for the plaintiff to deduct value-added tax on the expenses that the plaintiff provided to a third party without directly performing entrusted duties when settling the project cost entrusted to the plaintiff.

On the premise that the Defendant entered into an entrustment agreement on December 21, 2012, the Defendant determined the period of entrustment from the date of the contract to December 31, 2013, and publicly announced the recruitment of an institution entrusted with the operation of the Seoul Fransh Project (including value-added tax) in 2013, by determining the entrustment cost as KRW 3.1 billion per annum. The Plaintiff submitted a business plan on January 10, 2013, and was selected as a priority negotiation subject, and drafted the “Agreement on Entrustment of the Seoul Fransh Project to the Private Sector” between the Defendant and the Defendant on February 20, 2013.

The contents of the Convention are as follows:

Article 1 (Purpose) The purpose of this Convention is to provide for the matters necessary for the Defendant to entrust the management and operation thereof to the Plaintiff for the efficient management of affairs necessary for the successful holding and operation of the Seoul FIC project.

Article 2 (Entrustment Affairs) (1) The affairs to be entrusted by the defendant to the plaintiff are as follows:

1. Overall control over holding twice a year of the Seoul Fitch;

(a) Formulation of detailed program implementation plans;

(b) Operation of domestic and foreign presses, and the invitation and administration programs of related agencies;

(c) Establishment of a domestic and foreign fashion network and DB management (specific categories, such as affiliated, human resources, and duties).

(d) Establishing and implementing annual domestic and overseas publicity and marketing strategies;

(e) Performance management by brand of a participant;

(f) Recruitment of brand participation in Korea and overseas and development of evaluation indices, operation of and support for domestic and overseas examination groups;

2. Support for the operation of the Seoul Development Committee and various committees, holding meetings, etc.;

3. Providing domestic and foreign consulting and evaluation services with respect to the operation of the Seoul Fashion C;

4. Operation, etc. of sponsoring by private enterprises.

5. Other operation, management, and administration of the Seoul Fashion C.