1. As to KRW 45,173,713 among the Plaintiff-Counterclaim Defendant and KRW 32,272,00 among the Plaintiff-Counterclaim Defendant, the Defendant-Counterclaim Plaintiff (Counterclaim Defendant) shall have on October 5, 2016.

A principal lawsuit and a counterclaim shall be deemed simultaneously.

1. Basic facts

A. On June 30, 2016, the Plaintiff entered into a contract for construction works (the instant contract) with the Defendant on the following terms: (a) a business operator engaged in building design and remodeling works, etc. in the name of “C”; and (b) a business operator entered into a contract for construction works (the instant construction works) with the Defendant, Seodaemun-gu Seoul (Seoul).

The completion date of the project on July 1, 2016 - the contract amount of KRW 152,700,000 (excluding value-added tax) on September 30, 2016 - the advance payment of KRW 70,000,000 before the commencement date of the project on June 28, 2016 - the intermediate payment of KRW 50,000,000 on July 31, 2016 - the remainder of KRW 32,70,000 and the special agreement on the delay rate of KRW 3/100,000 within a week after the completion date of the project, shall not be included in the scope of the project, and the external gas pipe facilities, electricity pressure, and obstacles theory shall be separately calculated.

[General Conditions of the Standard Contract for Private Construction Works] Construction Period (Article 9) (1) The date of commencement and completion of construction work shall be the date specified in the contract.

(3) The date of completion means the date the plaintiff completes construction works and requests the defendant to undergo a completion inspection in writing.

However, it shall be limited to the cases of passing a completion inspection under Article 24.

A completion inspection (Article 24) (1) Upon completion of construction, the plaintiff shall notify the defendant, who shall conduct the inspection without delay in the presence of the plaintiff after receiving notice, and if the defendant fails to notify the result of the inspection within ten days after receiving notice of the plaintiff, the inspection shall be deemed to have passed at the expiration of ten days.

The penalty for delay (Article 24) (1) When the plaintiff fails to complete construction within the deadline for completion, he/she shall pay to the defendant the amount calculated by multiplying the contract amount by the rate of the penalty for delay under the contract by the number of days delayed.

However, where a completion inspection has been delayed due to a cause attributable to the defendant and where construction has been delayed due to any of the following causes, the penalty for delay equivalent to the number of relevant days shall not be paid: