The appeal is dismissed.

Costs of appeal shall be borne by the plaintiff.

The grounds of appeal are examined.

1. The reasoning of the lower judgment and the record reveal the following facts.

A. On March 4, 2016, the Defendant entered into the instant contract with C Co., Ltd. (hereinafter referred to as “C”) and Seosan-si, with respect to construction work for extending the “E” painting factory (hereinafter referred to as “instant construction work”), with respect to the construction work for which the Defendant’s “E” is located (hereinafter referred to as “E”), KRW 1.1 billion for construction cost (a separate value-added tax), March 7, 2016 for the commencement date, and May 15, 2016 for the scheduled completion date.

Article 40 of the General Conditions for the Contract of this case sets out construction works other than drawings in paragraphs (1) through (4).

On April 8, 2016, the Plaintiff entered into a first subcontract with respect to steel framed among the instant construction works, setting the construction cost of KRW 429 million from April 9, 2016 to May 31, 2016, and thereafter, increased the construction cost of KRW 495 million.

On June 20, 2016, the Plaintiff entered into a subcontract 2 with respect to metal structures and windows among the instant construction works, setting the construction cost of KRW 363 million and the construction period from June 20, 2016 to July 10, 2016.

The defendant applied for approval for the use of a factory extended on July 29, 2016 and obtained approval for use on August 8, 2016.

B. On March 31, 2016, the Plaintiff filed a claim with C for KRW 128.7 million on March 31, 2016, KRW 297 billion on May 27, 2016, KRW 69.3 million on July 1, 2016, and KRW 495 million on July 1, 2016, and received KRW 250 million.

On June 13, 2016, the Plaintiff claimed KRW 100,000,000 on June 13, 2016, KRW 1100,000 on July 1, 2016, KRW 1552,90,000 on July 26, 2016, and KRW 363,00,000 on KRW 11,10,000,00.

On July 29, 2016 and September 22, 2016, the Plaintiff demanded the Defendant to pay the subcontract price directly on October 6, 2016, as the Plaintiff requested the payment of KRW 579 million for the unpaid subcontract price to C but did not receive the payment.

(c)

Article 14 (1) 3 of the Fair Transactions in Subcontracting Act (hereinafter referred to as the "subcontract Act") against the defendant.