A situation often arises when a plaintiff is suing a Korean debtor in a foreign court and the non-Korean plaintiff wishes to attach the Korean-based assets of the Korean defendant in Korea. Typically, the plaintiff found no assets of the defendant abroad and fears the disposal of the assets in Korea. Thus, typically, the plaintiff wishes to file to a Korean court a request for a provisional attachment of the assets of the prospective defendant. While, provisional attachments of assets of Korean defendants in lawsuits pending in Korea courts is common – this situation is not common and few courts, or Korean law firms, have handled these type matters.
Thus, the question is, in short, does a Korean court have the power to issue provisional/preliminary attachment of Korean-based assets based on a claim stemming from a pending or future foreign lawsuit against the owner of these Korean-based assets?
Yes. Korean courts may grant a provisional attachment of assets based on a potential judgment in a court outside the Republic of Korea. Korean Courts, also, have not demanded the meeting of the requirements, at this point, for the recognition and enforcement of foreign judgments in Korea.
While, few courts have ruled on this matter, some courts including a Family Court a few years back ruled that a provisional attachment may be granted based on the potential for a judgment in a foreign court.
- Provisional Attachments of Assets in Pending Litigation in Korea Courts
- Civil Court Proceedings in Korean Courts: Korean Civil Litigation Basics
- Korean Civil Litigation Pre-Judgment & Post-Judgment Interest Awarded by Korean Courts
- Execution/Enforcement of American, European & other Nation Court Judgments in Korean Courts
- Enforcement of Arbitral Awards in Korean Courts: Arbitration Law Basics
- Is a Bankruptcy in the U.S. “Effective” on Assets in Korea?: Korean Bankruptcy Law Basics
- Enforcing Punitive & Liquidated Damages Awards against Korean Companies via Contracts with Foreign Subsidiaries of Korean Companies
- Arrest/Attachment of Ships at Korean Ports: Maritime Liens in Korea
- U.S. Court Refuses to Enforce Taiwan Arbitral Award: Lesson for Drafting Arbitration Clauses in Korea
- Release of an Arrested Vessel in Korea: Maritime Liens in Korea