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1. Revocation of the first instance judgment.
2. The plaintiff's claim is dismissed.
3. All costs of the lawsuit shall be borne by the Plaintiff.
Reasons
1. Basic facts
A. The Defendant is the representative director of C Co., Ltd. (hereinafter “C”) who is a franchisor that runs the business of selling instant case and carpets with the business mark “C,” and the Plaintiff is a franchisee who entered into a franchise agreement with C.
B. On May 17, 2012, the Plaintiff and C entered into a franchise agreement (hereinafter “instant franchise agreement”) with the Plaintiff on the following terms: (a) the Plaintiff: (b) granted the Plaintiff the right to operate the instant instant case in accordance with a certain quality standard or business method, and (c) provided support, education, and control for business activities; and (d) the Plaintiff entered into the instant franchise agreement with C to pay franchise fees in return for the instant payment of franchise fees.
Pursuant to the above franchise agreement, the Plaintiff paid KRW 75 million to C for investment, including franchise expenses, educational expenses, business bonds, and various facility expenses.
C. On May 25, 2012, the Plaintiff commenced the instant instant sales business.
However, C was unable to supply the goods to the Plaintiff from October 2012, and due to this, the Plaintiff was faced with difficulties in business due to the decline in sales.
Meanwhile, in the instant franchise agreement, C paid the settlement amount calculated by deducting the monthly expenses, such as department store fees, franchise expenses, and personnel expenses, from the monthly sales, on the 16th day of the following month.
However, C paid to the Plaintiff on October 16, 2012, KRW 1.5 million out of KRW 3,827,174 for the settlement of accounts on September 9, 2012, which ought to have been paid to the Plaintiff on November 9, 2012, and did not pay the remainder of KRW 2,327,174. On November 16, 2012, C did not pay KRW 2,696,707 for the settlement of accounts on October 2012 to the Plaintiff.
E. Of that, on November 26, 2012, C demanded the Plaintiff to collect the scrap from a store on the grounds of low sales volume, and notified the Plaintiff that the store will be closed by December 7, 2012.
Accordingly, the plaintiff on November 27, 2012 to C.