1.The judgment of the first instance shall be modified as follows:

On January 22, 2013, between the Plaintiff and the Defendant.

1. Basic facts

A. On December 15, 2012, Korea Co., Ltd. (hereinafter “Korea”) entered into a contract with the Defendant and Jeju-si Co., Ltd. for all construction works (hereinafter “original construction works”) with the exception of the portion ordered separately by Korea among the new construction works on the land of six parcels, including the part ordered separately (hereinafter “original construction”) from the Defendant and Jeju-si, and entered into a contract that sets the contract amount of KRW 53.35 billion from December 26, 2012 to June 18, 2014.

B. On January 22, 2013, the Defendant entered into a subcontract with respect to the construction of machinery and equipment (hereinafter “instant construction”) among the Plaintiff and the original construction works, with the construction period from January 22, 2013 to May 28, 2014, and the contract amount of KRW 3,520,000 (including value-added tax) was to be paid at the first time per month, and the said subcontract was determined that the Defendant may rescind or terminate the contract where the Plaintiff was insolvent.

(Article 18(6) of the Special Conditions

During the construction of the instant case, the Plaintiff defaulted on October 2, 2014, and submitted a written waiver of construction to the Defendant on October 7, 2014.

On October 7, 2014, the Defendant notified the Plaintiff that the instant subcontract was terminated.

On October 23, 2014, the Defendant entered into a subcontract with the construction period from October 23, 2014 to November 30, 2014, on which the contract amount was KRW 620,000,000, with respect to the remaining parts of the instant construction, etc.

E. Meanwhile, the Defendant paid KRW 3,375,900,000 to the Plaintiff out of the contract price.

[Ground of recognition] Facts without dispute, Gap evidence 1, 11, 12, Eul evidence 2 and 14 (including branch numbers; hereinafter the same shall apply), the purport of the whole pleadings

2. The plaintiff and the defendant alleged by the parties concerned shall perform the contract performance guarantee to secure the performance of their obligations under the above subcontract at the time of the conclusion of the subcontract.