[1] The legal nature of the apartment women's association established autonomously with the support of the council of occupants' representatives

[2] The case holding that the council of occupants' representatives cannot be deemed to have the authority to dissolve a female association, an independent self-employed organization, even though the female council failed to perform its duty such as the settlement of accounts on the disposal of certain profits upon the request of the council of occupants' representatives

[1] Women's association consisting of the main members residing in an apartment and having the rules and officers, and carrying out volunteer activities, etc. for the occupants in an apartment, has the substance of an association which is not a corporation. As long as the council of occupants' representatives is not established as a subordinate organization or subsidiary organization based on relevant laws and regulations or management rules, but is autonomously formed by the main members of an apartment, it shall be deemed that the self-employed local government has a legal status independent of the council of occupants' representatives, and the mere fact that the council of occupants' representatives supported its autonomous organization

[2] In a case where the female council failed to report the settlement of accounts on the disposal of certain profits at the request of the council of occupants' representatives to obtain approval or to comply with the inspection thereof, the case holding that the council of occupants' representatives cannot be deemed to have the authority to dissolve the female council, an independent self-employed organization, for the above reasons, unless there are any grounds for the dissolution of the female council, inasmuch as the relevant laws and regulations or the management rules of the council of occupants' representatives stipulate that the female council shall terminate the legal relationship with the female council similar to the delegation for such reasons, and if the female council consumess certain profits to be used for its own interest, it may seek compensation, etc. for such losses by applying mutatis mutandis Article 685 of the Civil Act.

[1] Article 31 of the Civil Act / [2] Articles 31, 683, and 685 of the Civil Act

Plaintiff

The defendant representative council

November 14, 2008

1. The defendant's decision to dissolve a female council at the temporary council of occupants' representatives on October 8, 2007 is invalid.

2. The costs of lawsuit shall be borne by the defendant.

The same shall apply to the order.

1. Basic facts

The following facts are not disputed between the parties, or can be acknowledged in full view of the purport of the whole pleadings in the statements in Gap evidence Nos. 2, 3, 4, 7 through 10, evidence No. 11-1 through 17, 22, 24, 26, 27, and 28.

A. The defendant is composed of 14 representatives of the Dong-dong 2 ○○○ apartment (hereinafter “the apartment of this case”) located in Busan Jin-gu, Busan. The plaintiff is a member of the Women’s Association of this case who was formed around November 11, 2002 at the Women’s Association of this case (hereinafter “the Women’s Association of this case”) and was in charge of the president from the formation to November 2004, and thereafter is an auditor.

B. The Women’s Association of this case is an organization established autonomously by 16 first participating persons from among those who reside in the apartment of this case for the purpose of volunteer activities, etc. for the occupants of the apartment of this case, and thereafter, 23 members have been active with its own rules and executive officers (the president, vice-chairperson, general secretary, and auditor).

C. On the other hand, the Defendant recommended several states, including the Plaintiff, etc. to lead the formation of the instant female conference, and provided a public notice to the effect that “The Defendant, on behalf of the Plaintiff, etc., applied for membership of the female conference on behalf of the Plaintiff, etc., and opened a special meeting with the applicants to form the female conference through the process of selecting the officers of the female conference.”

D. In addition, the Defendant: (a) held immediately after the establishment of the instant female conference, on November 29, 2002, entrusted proceeds from sales of recycled products to the instant female council through regular meetings of the council of occupants’ representatives; and (b) required the instant female council to report the details of its settlement of accounts.

E. Accordingly, in 2003, the Women’s Association of this case was punished by volunteer activities, such as the unit price tending and the settlement of accounts with the source of revenue from the sales of recyclable products, and reported the settlement of accounts to the Defendant at the end of that year, but did not report the settlement of accounts from January 2004 to June 2007.

F. Accordingly, from July 2007, the Defendant passed a resolution on the external audit of the instant female council from around several occasions, and requested the instant female council to submit its member names, accounting books, passbooks, etc. However, on the grounds that the instant female council failed to comply with it, the Defendant held a special meeting of the council of occupants' representatives on October 8, 2007 and passed a resolution on the dissolution of the instant female council (hereinafter “instant resolution”).

G. Article 23(1)9(b) of the Management Rules of the apartment complex of this case provides for “matters concerning the establishment and operation of operating standards or criteria for use of self-living organizations, etc. (senior citizens’ association, girls’ association, mother’s association, youth association, entice club, etc.) related to the management of multi-family housing within the complex” and Article 23(1)9(b) of the Management Rules of the apartment complex of this case provides for “approval and inspection of the consent and commercial activities of the self-living organization within the complex and of profit-making business, and

2. The assertion and judgment

A. The parties' assertion

The plaintiff asserts that the resolution of this case is null and void since there is no ground provision for the defendant to dissolve the female council of this case in the relevant laws and regulations or the management rules of the apartment of this case as an independent self-living organization whose nature and duties are different from the defendant.

In regard to this, the Defendant asserts that the instant female association uses the proceeds from sales of recycled products, which are common property of the residents of the instant apartment, so that it refuses to report the settlement details to the Defendant pursuant to Article 23 (1) 9-b and 16 of the instant apartment management rules, and to obtain approval and audit. Therefore, the instant resolution is justifiable.

(b) Markets:

According to the above facts, the Women's Association of this case consists of the main members residing in the apartment of this case and has the rules and officers, and has been engaged in volunteer activities for the occupants in the apartment of this case. Thus, as long as the defendant is not established as a subordinate organization or subsidiary organization based on the relevant laws and regulations or management rules, it is not established as a non-corporate association, but as long as it is autonomously formed by the main parts of the apartment of this case, it is a self-employed local government having a legal status independent from the defendant, and as seen above, it cannot be viewed differently solely for the reason that the defendant supported its autonomous formation.

Furthermore, according to the facts acknowledged as above, the Women's Association of this case was established for the purpose of volunteer activities for the occupants of the apartment complex of this case, and mainly engaged in activities related to the defendant's original duties, such as management of the apartment complex and welfare of the residents entering the association. The defendant entrusted the women's association of this case with the sales proceeds of recycled products, which are the common property of the residents, to use them as the financial resources for the above activities and reported the settlement details. Thus, it is reasonable to view that the defendant and the Women's Association of this case constituted a legal relationship similar to delegation of the contract between the defendant and the Women's Association of this case to use the sales proceeds of recycled products to the women association of this case for the management of the apartment complex and the welfare of the occupants of the apartment complex of this case. Thus, unless otherwise expressly stipulated in the apartment management rules of this case, the above provisions concerning delegation of legal relations between the defendant and the Women's Association of this case are applicable mutatis mutandis to the above affairs of the management rules of the apartment of this case.

However, Article 23 (1) 16 of the Management Rules provides that the defendant may approve and audit the disposal and use of earnings of self-employed organizations, such as women's association, and Article 683 of the Civil Act on delegation also provides that the mandatory shall report the status of the entrusted affairs upon the request of the delegating person. Thus, the Women's Association of this case is obligated to report the settlement of accounts on the disposal of profits from the sale of recycled products at the request of the defendant and to respond to the inspection thereof.

However, in the event that the Women's Association of this case does not fulfill such obligations, the defendant shall terminate the legal relationship with the Women's Association of this case similar to the delegation on its ground, and if the Women's Association of this case consumes for its own interest the proceeds from the sale of recycled products to be used for the defendant's interest, it shall not be deemed that the Women's Association of this case has the authority to dissolve the Women's Association of this case, which is an independent self-employed organization for the above ground, unless there is any provision on the dissolution of the Women's Association in the relevant laws and regulations or the defendant's management rules.

Therefore, the Defendant’s resolution to dissolve the instant female association is null and void since it was made without any authority. The Defendant’s resolution to dissolve the instant female association is deemed null and void, and as a result, there is a legal interest in seeking confirmation of its invalidation as a member of the instant female association and its auditor.

3. Conclusion

Therefore, the plaintiff's claim of this case seeking confirmation of invalidity of the resolution of this case is justified and it is so decided as per Disposition.

The chief of the Supreme Court Decision 201Hun-Ba