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. Basic facts

A. The Plaintiff is a company that manufactures wood, combined plates, etc., and the Defendant is a contractor who is in charge of A (hereinafter “instant construction”) and is engaged in civil engineering and construction business.

B. On August 10, 2015, the Defendant subcontracted reinforced concrete construction among the instant construction works to B Co., Ltd. (hereinafter “B”), but the Plaintiff entered into a timber supply contract with B, and supplied timber and joint plates at the construction site of this case.

C. On June 30, 2016, the Plaintiff issued a detailed statement and electronic tax invoice to the Defendant regarding KRW 10,583,320 of the total amount of the timber and Gohap supplied on June 23, 2016.

[Ground of recognition] Facts without dispute, Gap evidence Nos. 1 and 2, the purport of the whole pleadings

2. The parties' assertion

A. The Plaintiff’s assertion that the Defendant agreed between B and B, at the time of suspending the subcontracted construction work, to pay the construction cost and the price for the goods to the subcontractor and the subcontractor in direct payment for the instant construction work. As such, the Defendant is obligated to pay the Plaintiff the amount of KRW 10,583,320 and delay damages that the Plaintiff supplied on June 23, 2016.

B. The Defendant’s assertion only supplied timber to B, a subcontractor, and entered into a direct material supply contract between the Plaintiff and the Defendant.

There is no direct payment agreement with respect to the price of timber supplied to B.

Furthermore, the defendant is not obligated to pay to the plaintiff in excess of the payment given to B, since the defendant has paid the construction cost in full.

3. Comprehensively taking account of the respective descriptions and arguments of Gap evidence Nos. 4, 5, and 7 (Evidence Nos. 4, 5, and 7) around May 2016, all accounts that have been incurred in relation to the construction site of this case (including materials, equipment, food, steel, etc.) collected in one place by the defendant C, the Director D and B, the Director E and F around May 2016.