1. The Defendant (Counterclaim Plaintiff) shall pay to the Plaintiff (Counterclaim Defendant) KRW 378,00,000 as well as the full payment from June 15, 2017.

A principal lawsuit and a counterclaim shall be deemed simultaneously.

1. Basic facts

A. The Plaintiff is a stock company that runs the business of manufacturing cosmetics and beauty art products, and the Defendant is a stock company that runs the business of importing and exporting clothes and beauty art products.

The Plaintiff manufactured and supplied cosmetics to the Defendant from March 2016, and the Defendant exported and sold them to the Chinese market.

B. While the above cosmetics supply transaction was conducted without preparing a separate contract, on August 1, 2016, the Plaintiff and the Defendant and the high-scale company in 2016 are the Chinese legal entity controlled by the Defendant, a Korean legal entity. The supply contract (BRC/L4) was prepared (hereinafter “instant supply contract”).

The main contents are as follows:

Article 1.1 of the instant supply contract: AMI Co., Ltd., Ltd. (hereinafter omitted): YONG Co., Ltd., Ltd. (hereinafter omitted) 1.3 B promises to provide BRC/CL4 brand products (hereinafter “products”) sold to B only through the sales channels agreed upon by both parties; and A sells products to B on this premise.

Article 3.1 Product Names: all brand products of BTRC/CL4 brand products, including, but not limited to, all products that A has developed and develop in a subsequent manner, and Party A is entitled to intermediate and sell the products through online channels, and the channel areas in which A is authorized to do so are as follows:

A In the event that a BD E sells in another channel, both parties shall make a decision by friendly negotiations.

Upon entering into this contract, A agrees to issue a letter of authorization to move into the above platform to B.

The way of Gap's authorized intermediary sale to Eul is the exclusive exclusive intermediary sale as follows:

In other words, A cannot allow a third party other than B to arrange and sell Gap's brand products in the above channel.

The authorization period shall be the same as this Agreement.