beta
Cases
2015Da255463 Construction Price
Plaintiff, Appellee
A’s receiver of the rehabilitation company A, the receiver of the H
A Stock Company
Law Firm LLC (LLC) LLC, Counsel for the defendant-appellant
Attorney Park Jae-sik, Justice Park Jong-sik, Justice Park Jong-chul, Justice Park Jong-chul, Counsel for the plaintiff-appellant
The Intervenor succeeding to the Plaintiff (Appointed Party), Appellee
N
Law Firm LLC (LLC) LLC, Counsel for the defendant-appellant
Attorney Park Jae-sik, Justice Park Jong-sik, Justice Park Jong-chul, Justice Park Jong-chul, Counsel for the plaintiff-appellant
Law Firm Transver
Attorney Noh Young-young, and Shin Young-chul
Defendant Appellant
Korea Rail Network Authority
Government Legal Service Corporation (Law Firm LLC)
Attorney Park Si-si, Lee Jong-tae, Lee Tae-tae, Lee Tae-tae, Park Tae-tae, Park Tae-tae
The judgment below
Seoul High Court Decision 2014Na2033107 Decided November 27, 2015
Imposition of Judgment
December 27, 2018
Text
The judgment below is reversed and the case is remanded to Seoul High Court.
Reasons
The grounds of appeal are examined.
1. Regarding ground of appeal No. 1
A. A. The overall contract for a long-term continuing construction contract is not based on a conclusive agreement on the total construction price or total construction period, but rather linked to the conclusion of each annual contract. Generally, the parties to a long-term continuing construction contract appear to have an intent to utilize the total construction price and total construction period of each annual contract as a provisional standard in concluding each annual contract. The total construction price and total construction period stated in each annual contract themselves cannot be deemed to have an intent to generate conclusive rights and duties or to have binding force on the construction price and construction period. In short, it is difficult to deem that the so-called total continuing construction contract has an intention to create conclusive rights and duties or to have binding force on the construction price and construction period on the basis of the total construction price and total construction period stated in each annual contract. In short, it should be deemed that the parties to a long-term continuing construction contract are in the position of executing each annual contract with regard to the overall scale, construction price, construction period, etc. of each annual contract, and the total scale of the contract should be deemed to have been determined based on the overall contract.
B. Nevertheless, under the premise that the overall contract concluded with respect to the total construction period and the total construction price is binding separately between the parties to the contract, and the total construction price under the overall contract is the total construction cost including indirect construction cost during the total construction period, etc., the contracting party may apply for adjustment of the total construction price by reason of the extension of the total construction period in the long-term continuous construction contract, and the Defendant is obliged to pay the Plaintiff indirect construction cost and damages for delay incurred by the extension of the total construction period of 45 months.
In so determining, the lower court erred by misapprehending the legal doctrine regarding the relationship between the overall contract and the annual contract and the validity of the total construction period stipulated in the overall contract, thereby adversely affecting the conclusion of the judgment. The Defendant’s ground of appeal assigning this error is with merit.
Conclusion
Therefore, without further proceeding to decide on the remaining grounds of appeal, the lower judgment is reversed, and the case is remanded to the lower court for further proceedings consistent with this Opinion. It is so decided as per Disposition by the assent of all participating Justices on the bench
Judges
Justices Noh Jeong-hee
Justices Park Sang-ok
Attached Form
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.
A person shall be appointed.