KRW 669 Million Provisional Attachment Granted in Korea

When a debtor may dispose of assets before a final judgment, winning the underlying lawsuit may not be enough. Kang & Shin successfully secured a KRW 669 million provisional attachment in Korea for a real estate sales company in a dispute involving unpaid service fees.

Our firm, Kang & Shin | English Speaking Lawyers in Korea, recently represented a client in a high-stakes provisional attachment case. We are proud to share that the Seoul district court ruled entirely in our favor, granting the requested provisional attachment for the full claimed amount of KRW 669 million against the adversary’s assets, including both real estate and receivables.

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The Seoul Central District Court granted provisional attachment over the debtor’s receivables and related claims for KRW 669,301,661.

The Seoul Central District Court also granted provisional attachment over the debtor’s real estate for KRW 669,301,661.

Case Background: Protecting a Sales Company in Seoul

• Our client, a real estate sales company, entered into a business contract in Korea in January 2022 with a developer.

• In August 2024, the parties signed a termination and settlement agreement requiring the developer to pay KRW 617 million in service fees.

• Despite repeated requests, the developer refused to pay, forcing our client to seek legal recourse.

Legal Action and Strategy

As Business & Corporate Lawyers in Korea, we applied the Subcontracting Act, which provides powerful protections for small and medium-sized enterprises. Under this law:

• Settlement fees owed to subcontractors are considered protected payments.

• Overdue payments can accrue interest up to 15.5% annually.

• By July 2025, our client’s total claim, including interest, amounted to KRW 669 million.

We petitioned the court for provisional attachment against the developer’s trust beneficiary rights, presenting evidence of the debtor’s lack of payment plan, heavily encumbered properties, and misleading excuses.

The Court’s Ruling

The Seoul court recognized the urgency and validity of our client’s claim. The court granted a provisional attachment for the full amount of KRW 669 million, ensuring our client’s right to recovery was fully protected.

This victory demonstrates how an English speaking lawyer in Korea can effectively represent foreign and domestic businesses in complex disputes.

Why This Matters for Foreign Businesses in Korea

1. Enforcement is as important as winning. A favorable judgment has no value if the debtor has no assets left. Asset preservation guarantees enforceability.
2. Legal protections for subcontractors are strong. Many foreign businesses are unaware that Korean law provides statutory safeguards under the Subcontracting Act.
3. Act fast to protect your rights. In Korea’s fast-moving business environment, delays can result in the debtor’s assets being dissipated or lost.

Conclusion: Why You Need a Business & Corporate Lawyer in Korea

This case highlights why securing assets early is critical when doing business in Korea.

If you are facing unpaid invoices, contract disputes, or debt collection issues in Korea, our team of English speaking lawyers in Korea can help. As experienced lawyers in Korea, we provide clear bilingual legal support and effective strategies to protect your interests.

Contact Kang & Shin today to discuss how we can help safeguard your rights in Korea.

About the Author: Won Sang Kang is a dual-qualified attorney licensed in Korea and California, USA. He holds a law degree from Northwestern Pritzker School of Law and a Master’s degree from KAIST. His experience includes serving as Court-Appointed Defense Counsel for the Supreme Court of Korea and the Seoul Central District Court, as well as managing cross-border matters at an international law firm. Focusing on the unique legal needs of the international community in Korea, he advises foreign clients in Korea on criminal defense, family law, inheritance, and contract disputes.