1. The Seoul Central District Court rendered a decision of denial on April 27, 2016 with respect to the claim for denial against the Seoul Central District Court Decision 2015Da82.

1. Basic facts

A. On July 9, 2008, the Plaintiff entered into the first transfer contract between the Plaintiff and the debtor B (hereinafter “debtor”) with a loan of KRW 300,000,000 as an advance payment for content production, and the debtor entered into a contract for the transfer of the right to claim distribution as a repayment and security for the above loan (hereinafter “first transfer contract”), and the main contents are as follows.

(1) The debtor transferred the right to claim the distribution of the royalty to the Korea Music Copyright Association, an incorporated association (hereinafter “Korea Copyright Association”), to the plaintiff and delegate all the right to manage the copyrighted works to the plaintiff.

(2) In return, the Plaintiff shall pay the obligor an advance payment of KRW 300 million.

(3) The term of the contract is 39 months ( October 31, 201).

However, the contract term may be modified pursuant to the following (4), but this contract shall not exceed 60 months (Article 6). In such cases, if the plaintiff has unredeemed out of the advance payment received from the debtor, the debtor shall pay the plaintiff in cash.

(4) The contract shall be automatically terminated if the accumulated total sum of the amounts equivalent to 70% of the royalties that the Plaintiff received from the Copyright Association (hereinafter “amount appropriated in advance”) reaches advance payment.

In such cases, the plaintiff loses his/her right to claim distribution, and the debtor obtains the above right again.

In the event that the advance payment does not reach the advance payment during the contract period, the contract is automatically extended until the advance payment is made (Article 9(b). The Plaintiff paid KRW 300 million to the obligor on July 9, 2008, the obligor requested the Copyright Association to approve the transfer of the right to claim distribution, and thereafter the Plaintiff received the instant fee from the Copyright Association. 2) The Plaintiff and the obligor on October 1, 201.