1. On November 6, 2013, the Plaintiff (Counterclaim Defendant) filed against the Defendant (Counterclaim Plaintiff) for KRW 921,259,534 and KRW 180,000 among them.

A principal lawsuit and a counterclaim shall be deemed simultaneously.

1. Basic facts

A. The Plaintiff is a company that manufactures and sells food processing machinery, and the Defendant is a company that manufactures, processes and sells food.

B. On August 29, 2013, the Plaintiff entered into a contract with the Defendant to install and supply the Simice producer (hereinafter “instant production facilities”) at KRW 660,00,000 (including value-added tax) (hereinafter “instant contract”). The main contents of the contract are as follows.

The contract of this case

1. Contract items and amount (including value added tax on all the items);

2. The terms and conditions of the contract under Article 2(1) of the Terms and Conditions of the Contract are 120 days after the order of the contract, and the validity of the contract is the deposit date of the down payment, and the cash settlement terms. ① 30% of the down payment (time of the contract) ② the intermediate payment of 40% (time of the contract) ③ the remainder of 30% (time of delivery) costs of UTIITY as follows, other than the basic specifications of the goods, are the Defendant’s burden. The Defendant’s burden is the Defendant’s liability for the test materials necessary for the installation and operation of the equipment such as electric power supply (electric construction), pipe equipment, gas equipment, etc. (other than the basic specifications of the equipment).

(2) The defendant shall actively participate in the trial operation, tallying, confirmation, and equipment itself to install and operate equipment to ensure that there is no problem in the operation, and the plaintiff shall educate the person in charge of equipment designated by the defendant to take care of the operating method and cautions.

Article 7 (Period of Defect Guarantee) The period of warranty shall be one year.

(1) Guarantee shall be provided for all cases other than damage due to natural disasters, damage by the consumer's care due to negligence, damage by the principle of power resource supply, replacement of expendable parts, and the plaintiff shall not claim the price of parts in cases corresponding thereto.

(2) The plaintiff is not responsible for any defect caused by a domestic business trip, and the guarantee period shall be extended to the defendant's causes attributable to him/her, the lodging for use, and other reasons.