1. The Defendant (Counterclaim Plaintiff) paid KRW 101,427,502 to the Plaintiff (Counterclaim Defendant) and its related amount from December 7, 2015 to November 9, 2018.

A principal lawsuit and a counterclaim shall be deemed simultaneously.

Facts of recognition

On June 25, 2014, the Plaintiff entered into a contract for construction works (hereinafter “instant contract for construction works”) with the Defendant, setting the contract amount of Cwork as KRW 3,235,026,680, and the contract term from June 25, 2014 to April 24, 2015.

After that, the term of completion of the instant construction contract was changed to November 20, 2015 on the ground of the extension of construction period according to the reflection of the design modification.

Article 38 of the Guidelines for the Execution of Government Tender Contracts incorporated into the instant construction contract (amended by the Rules of the Ministry of Strategy and Finance No. 156, Jan. 10, 2014; hereinafter referred to as the "Guidelines for Execution") is as follows.

Article 38 (Request for Return) (1) In any of the following cases after the advance payment is made, a public official in charge of contracts shall request the other party to the contract to return the balance without delay:

Provided, That where the balance of the relevant advance payment is returned due to a cause attributable to the other party, it shall be claimed by adding the amount equivalent to the agreed interest.

In such cases, the agreed interest rate shall be the time of payment of advance payment.

1. Where the contract is rescinded or terminated;

2. Where it has violated the terms and conditions of advance prohibition;

4. Where he/she fails to distribute the advance payment to the subcontractor within 15 days from the date of receipt of the advance payment without justifiable grounds;

5. Where the contract amount has been reduced due to changes in the contract, (2) the calculation method of the amount equivalent to the interest under paragraph (1) shall be based on the daily calculation of the balance of the advance payment, and the calculation period shall be until the return is made;

(3) Where the other party to a contract fails to appropriately distribute the advance payment to the subcontractor without justifiable grounds, the public official in charge of contracts may directly pay the advance payment returned pursuant to paragraph (1) to the subcontractor.

(4) Where there is any amount unpaid as at the time of a request for refund under paragraphs (1) and (2), the balance of the advance payment shall be preferentially appropriated for the unpaid amount.

(b).