1. The Defendant’s KRW 37,500,000 as well as 5% per annum from December 12, 2019 to April 24, 2020 to the Plaintiff.

1. Basic facts

A. On July 25, 2019, the Plaintiff decided to purchase 358,000,000 Won from the Defendant Kimhae-si Co., Ltd., and paid 25,000,000 won on the day the down payment to the Defendant.

(B) The agreement to pay the remaining 33,000,000 won on November 29, 2019 (hereinafter “instant sales contract”). (B)

At the time of the instant sales contract, the Plaintiff and the Defendant agreed that the Defendant repaid the down payment, the Plaintiff may waive the down payment and cancel the said contract, the other party shall have the right to cancel the contract in case both parties fail to fulfill the instant sales contract, and may claim damages against the rescission of the contract, and the compensation for damages shall be deemed as the basis for compensation for damages, unless otherwise agreed.

(Articles 5 and 6). (C)

However, on August 1, 2019, the Defendant unilaterally sent to the Plaintiff a letter stating that the instant sales contract will be unilaterally rescinded, and did not perform the said contract.

[Ground of recognition] Unsatisfy, Gap evidence Nos. 1 and 2, the purport of the whole pleadings

2. According to the facts of the above recognition, the sales contract of this case was cancelled by service of a copy of the complaint of this case at least due to the Defendant’s nonperformance of obligation.

Therefore, the defendant is obligated to return the down payment and penalty of the sales contract of this case to the plaintiff.

Since the Defendant seeks to reduce the penalty for breach of contract of this case, Article 398(2) of the Civil Act provides that the court may reduce the amount of compensation for breach of contract of this case where the estimated amount of compensation for breach of contract is unreasonably excessive.

Here, the term "unfairly excessive cases" is fair by imposing unfair pressure on the debtor in light of the general social norms, taking into account all circumstances, such as the status of the creditor and the debtor, purpose and content of the contract, motives of liquidated damages, the ratio of estimated amount of damages to the debt, expected amount of damages, transaction practices and economic conditions.