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
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English-speaking Korean lawyers and International Lawyers at International Law Firm in Korea discussing issues of Korean Law
IPG Legal is a leading client-focused international law firm with offices in Korea that is, often, selected over the ubiquitous Korean Law Firms when success is essential and success depends on nuanced street-smart advice, proactive and unconflicted representation. Our attorneys are, intentionally. different from the crowd. From our retired judge partners to our junior associates, we are all trained with an intense focus on client success, lawyer proactivity, and to understand the nexus between your commercial and legal needs. Our attorneys shall never push to you useless memos,
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Korean Bankruptcy Court in Seoul, Korea Established
Korea, in March 2017, established the Seoul Bankruptcy Court. The Seoul Bankruptcy Court replaces the Seoul Central District Court’s Bankruptcy Division. The establishment of the Seoul Bankruptcy Court is welcome news for most Seoul-based practitioners. Seoul Bankruptcy Court The Seoul Bankruptcy Court is the first separate bankruptcy court in Korea. The Seoul Bankruptcy Court was established because of a drastic increase in bankruptcy/insolvency filings over the last few years and a perceived need to have more efficient handling of bankruptcy cases. The major law governing bankruptcies, in
Continue readingRestructuring of Korean SMEs a Potential Lucrative Business in Korea
Bloomberg has an interesting article on “Zombie” companies in Korea. Many of these companies have decent cash flow, but because of Korean corporate realities many have been less than capable of controlling costs. The Bloomberg article, in part, notes: “One of the biggest concerns is so-called “marginal” or “zombie” companies, usually defined in Korea as businesses that haven’t been able to make payments on interest from operating profit for three years. A prolonged period of low interest rates has led to an increase in marginal companies and
Continue readingKorea New Exchange (KONEX) Basics
The Korean Exchange (KRX) established, on July 1, 2013, an SME only-listed securities market with the, facial, purpose of providing a new avenue for SMEs in obtaining assets for investments. A KONEX-listed firm with capabilities to list, at a later date, on the KOSDAQ or KOSPI may, also, benefit from a stream-lined procedure to list on the KOSDAQ or KOSPI. Korea’s capital markets have been, strongly, criticized for not providing adequate funding sources for small companies. Most funding for companies either comes from the banks or via
Continue readingMerger/Acquisition Opportunities in Korea: Lotte Korea Buys KT Car Rental from KT Corp.
In a sign of changing times in Korea, KT Corp., a company best known for its telecom business, has sold its car rental business to the unlisted Hotel Lotte Co. Ltd., a company controlled by Lotte Group. The publicly reported acquisition price is over US$900 million. Lotte is a leading Korean-Japanese hotel company with its hands into about everything imaginable including construction, retail, textile, food products, beverages, oil & gas and entertainment. However, it competitive advantage is in retail shopping and the hotel business. KT is the
Continue readingCorporate Bankruptcy/Restructuring in Korea: The Line Begins Here (Korea’s Chapter 7 & 11 Bankruptcy)
Corporate bankruptcy/insolvency procedure in Korea is similar, in many respects, to the U.S. Chapter 7 & Chapter 11 bankruptcy procedures with some significant differences. Korean corporate insolvency structure is legislated via the Korean Debtor Rehabilitation and Bankruptcy Law (“KDBRB”). The KDBRB replaced a convoluted and often conflicting myriad of laws in the form of the Corporate Rehabilitation, Composition, and Bankruptcy Act. On April 1, 2006 this new law became effective. Numerous revisions were implemented over the last few years. See: Closing a Company in Korea for an
Continue readingCollecting a Debt in Korea: Payment Orders are your Friends
We receive many emails concerning our Korean debt collection services and this answer is an answer that I give for most debt collection matters, in Korea, involving debts with debtors that appear solvent. 1. Obtain a Payment Order and send a Demand Letter (지급명령) A Payment Order Complaint is filed to the court in Korea and this complaint, if accepted by the Korean court, is served on the debtor-defendant. If the complaint is not answered in 14 days by the defendant the case is finalized and this
Continue readingWeekly Korean Legal News From International Law Firm – IPG Legal for the Week of July 28, 2014
Weekly Korean Legal News From International Law Firm – IPG Legal for the Week of July 28, 2014Korean Legal News Reported by the Media on the Week of July 28, 2014 IMC may blacklist Korean builders over collusion Prosecutors continue probe into ferry owner’s driver Foreign workers upset by severance pay formula Restructuring urgent for big Korean companies Relocation of USFK Headquarters to Go Ahead Most Recent Posts from the Korean Law Blog This slot is reserved for the new article Korean Franchise Law Basics for Franchisors
Continue readingWeekly Korean Legal News From International Law Firm – IPG Legal for the Week of July 21, 2014
Weekly Korean Legal News From International Law Firm – IPG Legal for the Week of July 21, 2014Korean Legal News Reported by the Media on the Week of July 21, 2014 South Korea Plans $40 Billion Stimulus to Tackle Weakening Growth Seoul to push tax on corporate cash reserves U.S. Chamber of Commerce chief urges FTA implemantation Workers in Their 60s Outnumber 20-Somethings Mortgage deregulation raises concerns Most Recent Posts from the Korean Law Blog Debt Collection in Korea: Foreign Creditor vs. Bankrupt Korea Debtor Opportunities in
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