1. The plaintiff's appeal is dismissed.

2. The costs of appeal shall be borne by the Plaintiff.

Purport of claim and appeal

The first instance court.

1. The reasoning of the court’s explanation concerning this case is as follows, except for the Plaintiff’s new dispute as to the grounds for appeal, and as such, the reasoning of the judgment of the court of first instance is as stated in the main sentence of Article 420 of the Civil Procedure Act.

2. Judgment on the ground for appeal by the plaintiff

A. On July 20, 2017, F, the contractor of the instant construction project, revoked the registration of construction business, and failed to pay the Plaintiff, the subcontractor, the payment of the construction cost of KRW 38.34,00 to the Plaintiff. On January 30, 2018, the Plaintiff claimed a direct payment to the Defendant, the ordering person of the instant construction project, who is the contractor.

Therefore, pursuant to Article 35(2)4 of the Framework Act on the Construction Industry, the Defendant is obligated to pay the Plaintiff KRW 3,834,00 and damages for delay.

B. According to Article 35(2)4 of the Framework Act on the Construction Industry, where a contractor becomes unable to pay the subcontract price due to the suspension of payment, bankruptcy, or other similar causes, or cancellation of the contractor’s registration, the project owner is obligated to directly pay the subcontract price corresponding to the part that the subcontractor performed if the subcontractor requests a direct payment of the subcontract price to the project owner. Such direct payment obligation is premised on the fact that the subcontractor is liable to pay the subcontract price to the project owner at the time that the subcontractor requests the direct payment of the subcontract price.

As alleged by the Plaintiff, the Plaintiff asserted that part of the instant construction work was subcontracted by H Co., Ltd. on January 30, 2018 and requested the Defendant to pay the price thereof, and even if it is directly demanded under Article 35(2)4 of the Framework Act on the Construction Industry, it is reasonable to recognize the existence of the Defendant’s obligation to pay the construction price to F at the time of January 30, 2018.