CONTENTS
- 1. The Client Seeking to File an Action to Confirm Non-Existence of Debt
- 2. What Is an Action to Confirm Non-Existence of Debt?
- 3. The Attorney's Assistance in the Action to Confirm Non-Existence of Debt
- - The Attorney's Assistance ① The Credit Card Company's Duty to Verify Identity
- - The Attorney's Assistance ② The Credit Card Company's Change of the Card Delivery Address
- 4. The Result of the Action to Confirm Non-Existence of Debt
1. The Client Seeking to File an Action to Confirm Non-Existence of Debt
The client seeking to file an action to confirm the non-existence of debt was the head of a business.
The client explained that employee A, who worked at the client's company, had a poor credit record.
Because A worked diligently at the company, the client trusted A and even activated a work mobile phone under the client's name.
The client explained that A then used this work mobile phone to download a credit card application, issued a card under the client's name, and incurred debt through cash advances and the like.
A also used the corporate card, which had been provided for work purposes, for personal expenses, and the total amount reportedly reached approximately 40 million won.
The client therefore sought to file the action to confirm the non-existence of debt, contending that the credit card company had caused the client great suffering by issuing the card without properly verifying the client's identity.
2. What Is an Action to Confirm Non-Existence of Debt?
The client sought to file an 🔗action to confirm non-existence of debt.
An action to confirm the non-existence of debt is a lawsuit in which a person who asserts that a debt does not exist asks the court, in a judgment, to confirm the non-existence of the debt against a person who asserts that the debt does exist.
A debtor generally files an action to confirm the non-existence of debt against a creditor in the following cases.
2. When the debt arose as a result of harm caused by a crime
3. When the extinctive prescription has been completed and the debt relationship has been extinguished
4. When the matter has been concluded by settlement yet additional money is demanded
In this case, the client sought to file an action to confirm the non-existence of debt because a debt of 40 million won had arisen as a result of A's embezzlement and the credit card company's carelessness.
3. The Attorney's Assistance in the Action to Confirm Non-Existence of Debt
For the client seeking to file the action to confirm the non-existence of debt, the attorney provided assistance as follows.
The Attorney's Assistance ① The Credit Card Company's Duty to Verify Identity
In filing the action to confirm the non-existence of debt, the attorney argued that the credit card company had neglected its duty to verify the cardholder's identity.
The credit card company claimed that it had verified the client's identity by calling the client, but the person on that call was A, who had impersonated the client.
Accordingly, the issuance of the credit card was entirely the responsibility of the credit card company, so no debt exists on the part of the client.
The Attorney's Assistance ② The Credit Card Company's Change of the Card Delivery Address
In filing the action to confirm the non-existence of debt, the attorney argued that the credit card company had readily changed the delivery address to A's address, which was not even the client's address.
The credit card company changed the card delivery address to A's address at the request of A, with whom it spoke believing A to be the client.
The client was not even aware that the credit card had been issued, so the credit card company bears responsibility for the card being given to A.
4. The Result of the Action to Confirm Non-Existence of Debt
As a result of the action to confirm the non-existence of debt, the court issued the following judgment.
2. The costs of the litigation shall be borne by the defendant.
The client came to bear an absurd amount of debt as a result of the criminal conduct of employee A, whom the client had trusted.
With the attorney's assistance, the client filed the action to confirm the non-existence of debt and was able to obtain a favorable judgment.
The client was nearly made to repay a debt that had arisen as a result of harm caused by a crime. If you are in a situation similar to that of this client and seek a 🔗attorney referral to file an action to confirm the non-existence of debt, please feel free to request a consultation at any time.
This content is based on actual case studies of Daeryun Law LLC with some adaptations, and the copyright belongs to our firm.
Unauthorized reproduction, duplication, or distribution and other copyright infringements may result in legal action under applicable laws.
