1. The plaintiff's appeal is dismissed.

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

Purport of claim and appeal

1...

1. Basic facts

A. The Plaintiff is a company established on October 22, 2013 for the purpose of seeds and seedlings production and breeding business necessary for farming, and B (the trade name before the alteration is “stock company G”; hereinafter “B”) is a company established on March 5, 2014 for various distribution business including construction equipment and construction materials distribution business, and for the purpose of manufacturing business. The Defendant is a inside director of B.

B. On May 30, 2015, the Plaintiff and B entered into a contract on the total sales of domestic products, such as supplementary feed produced by the Plaintiff, with a contract term of ten years with respect to the sales of domestic products, including supplementary feed, etc. (exclusive supply).

C. On November 23, 2015, the Plaintiff and B concluded a new domestic sales contract (exclusive supply) with the content that the contract period shall, in principle, be ten years, and shall be automatically extended every ten years, except in extenuating circumstances, and that B shall pay one billion won of the down payment and five million won of the research expenses from February 25, 2016.

(D) In the contract of May 30, 2015, there was no provision on down payment and research expenses.

After the conclusion of the above contract, B paid a total of KRW 220 million to the Plaintiff from December 2, 2015 to January 12, 2016.

E. On December 6, 2015, the Plaintiff purchased equipment, such as D (the E, identification number, F, hereinafter “D”) from E, a company, to purchase KRW 60 million (the above D shall be KRW 23 million).

F. On April 7, 2016, the Plaintiff and B concluded a contract for the total sales monopoly supply contract for auxiliary feed, fertilizer, health functional food, seizure agents and other products produced by the Plaintiff with respect to all matters pertaining to the Plaintiff’s domestic and overseas business sales and production (hereinafter “instant total sales contract”), and extended the contract term, and the main contents are as follows.

Article 4 (Obligation of the Plaintiff) - Manufacturing and supply of high quality products - complying with the supply price of the products (consultations at the time of increase of raw materials) - Exclusive rights of business monopoly in B.