On October 16, 2015, the plaintiff's obligation of the principal debtor B against the Co., Ltd.

Facts of recognition

The Defendants and three loan companies (hereinafter “Defendant, etc.”) agreed to lend total of KRW 60,000,000 to B, and concluded a joint and several guarantee contract with the Plaintiff (hereinafter “joint and several guarantee contract of this case”).

In this regard, around October 16, 2015, Defendant Nexexpact Loan Co., Ltd. (hereinafter “Nexpexpact Loan”) requested the Plaintiff to send a new contract for the guarantor, stating the terms and conditions of the joint and several guarantee, after phoneing to the Plaintiff on October 16, 2015.

Plaintiff

Upon the submission of the provisional contract signed in the name (hereinafter referred to as the “instant provisional contract”), Defendant Nexmangy loan sent by phone call to the Plaintiff to verify the authenticity of the provisional contract, and the Plaintiff stated to the effect that the said signature was made by himself.

Defendant et al. paid the loan to B, and thereafter the Defendants requested the Plaintiff to prepare the original loan contract.

[Ground of recognition] The plaintiff's assertion of facts without dispute, Gap 1, 2, Eul 1 through 5, Eul 1, and Eul 2 (including branch numbers), and the purport of the whole pleading, and the purport of the whole pleading before being amended by Act No. 13125, Feb. 3, 2015.

The Act on the Protection of Guarantor (hereinafter referred to as the “Surety Protection Act”).

As prescribed in this section, there is no indication of the intent of guarantee in writing with the name and seal or signature of the Defendants as to the Defendants, and thus, joint and several liability obligations shall not be borne.

Article 3 (1) of the relevant Act provides that "a guarantee shall take effect only when the intention thereof shall be expressed in writing with the name and seal or signature of the guarantor."

As such, demanding a document stating the guarantor’s name and seal or signature on the guarantee’s expression of intent to do so would be more on the existence and content of the guarantee, while clearly indicating the intent.