The scope of guarantee liability of joint and several sureties of credit card members who have determined the monthly use limit;

In concluding a credit card use contract, if the monthly credit card use limit of the member is determined, it shall be deemed that the credit transaction limit is determined in consideration of the member's ability to pay the price based on his/her financial status, such as monthly income. Therefore, it is reasonable to view that a credit card joint and several surety guarantees the repayment of the price liability within the credit transaction limit of the principal guarantor, unless otherwise stipulated in the scope of liability for guarantee.

Article 429 of the Civil Act

Korean Bank, Inc.

Defendant

Seoul Civil District Court Decision 85Na62 delivered on June 28, 1985

The judgment of the court below is reversed, and the case is remanded to the Panel Division of the Seoul Civil Procedure District Court.

1. We examine the defendant's ground of appeal No. 1.

According to the testimony of the non-party witness of the court below employed by the court below, Gap evidence No. 1 and all the arguments, the non-party entered into a credit card use contract with the plaintiff bank on or around March 1984 and joined the National Credit Card Member, the defendant is sufficiently recognized as a joint and several surety of the non-party's obligation for the payment of goods and services to the plaintiff of the above non-party, and even after examining the contents of the evidence preparation, there is no evidence of violation of the rules of evidence, such as the argument of the court below, and there

2. We examine the grounds of appeal Nos. 2 and 3.

According to the reasoning of the judgment below, the court below rejected the defendant's defense on the ground that the non-party agreed with the plaintiff bank that the monthly limit of use under the above card would be 500,000 won, and the defendant bears the liability for guarantee only within the above limit of use. The court below rejected the defendant's defense on the ground that there is no evidence suggesting that the non-party agreed that the monthly limit of use was 50,000 won, or that the defendant limited the scope of the defendant's joint and several liability to the above limit of use.

However, as in the case of this case, if the credit card use limit of the member's monthly card was determined, it shall be deemed that the credit transaction limit is determined in consideration of the member's ability to pay the monthly credit card based on his/her financial status such as monthly income. Thus, unless otherwise stipulated in the scope of guarantee liability, it is reasonable to view that a credit card joint guarantor guarantees the performance of his/her obligation within the above credit transaction limit of the guarantor, and the credit card use exceeding the above credit transaction limit should be regulated under the risks of the card issuer, and it does not extend the scope of the guarantor's liability.

According to the records, if a member violates this contract, the joint guarantor is deemed to be jointly and severally liable with the member, but this provision does not mean to guarantee the performance of the transaction price exceeding the monthly use limit.

Ultimately, although the scope of the Defendant’s guarantee liability, which is a credit card guarantor, is limited to the scope of the monthly use limit of the Nonparty, who is the guarantor, the lower court determined otherwise by misapprehending the legal doctrine on the scope of the liability of the credit card guarantor, thereby adversely affecting the conclusion of the judgment. This constitutes a ground for reversal under Article 12(2) of the Act on Special Cases Concerning the Promotion, etc. of Legal Proceedings, and thus,

3. Therefore, the judgment of the court below is reversed, and the case is remanded to the court below. It is so decided as per Disposition by the assent of all participating Justices.

Justices Park Jong-soo (Presiding Justice)