1. The defendant's appeal is dismissed.

2. The costs of appeal shall be borne by the Defendant.

Purport of claim and appeal

1..

1. Facts of recognition;

A. On August 31, 2011, the Plaintiff concluded a “in-Do Distribution Agency Contract” with the Defendant.

(hereinafter “instant contract”). The main contents are as follows:

(A) “A”, “B,” refers to the Defendant. Article 2 (Basic Requirements) of the Distribution Agency Agreement in the Do, as a person who distributes Party A’s products on behalf of Party A, shall comply with the relevant laws, regulations, and commercial order in carrying out the business.

Article 7 (Conditions of Transaction) (1) The place of delivery of products shall be the place designated by A.

(2) B shall verify the quantity and quality of a product at the time of accepting the product.

(3) The price of products shall be the ex-factory price determined by A.

(4) The credit account receivable limit shall be operated based on the security provided to Eul pursuant to Article 9, and where Eul intends to be supplied with a product in excess of the security provided to Eul, the price of the relevant product shall be paid in advance.

(5) Eul shall keep and maintain an account book for all transactions related to this contract, and where Gap requests Eul to inspect and submit relevant data, Eul shall comply with such request.

Article 9 (Offer of Security) B shall provide a security to A to secure any obligation which may arise in the transaction, and the scope thereof shall be determined by the additional agreement between both parties.

Article 18 (Term of Validity) The term of validity of this Agreement shall be four years from the date of conclusion of the contract.

Provided, That where there is no ground for disqualification during the contract period, the contract period may be extended only for one year.

B. In accordance with Article 9 of the instant contract, the Defendant provided the Plaintiff with a cash security of KRW 10 million on December 28, 201, and around February 2013, the Defendant set up a collateral security right of KRW 200 million on the real estate owned by the Defendant Representative E and F (E husband) with the maximum debt amount.

C. On July 28, 2015, the Plaintiff entered into an settlement agreement with the Defendant (hereinafter “instant settlement agreement”) and its main contents are as follows.