CONTENTS
- 1. The Client Who Requested a Down Payment Refund Lawsuit
- - What Is a Down Payment Refund Lawsuit?
- 2. Assistance for the Down Payment Refund Lawsuit
- - Down Payment Refund Lawsuit Strategy: Arguing That the Contract Was Not Performed
- - Down Payment Refund Lawsuit Strategy: Arguing That the Defendant Took No Responsibility
- 3. Result of the Down Payment Refund Lawsuit Assistance: Full Refund Secured
1. The Client Who Requested a Down Payment Refund Lawsuit
This is the account of a client who requested help with a down payment refund lawsuit.
The client had long been interested in fitness and met the defendant while considering opening a gym.
The defendant was the chief executive of a gym headquarters operating about seven franchise outlets nationwide, and the client and the defendant entered into a contract to open a gym.
The defendant first demanded a down payment of about 100 million won for goods such as exercise equipment, and the client paid that amount.
However, even after the agreed date had passed, the defendant did not deliver the exercise equipment, offering one excuse after another.
The client, unable to wait any longer, eventually went to see the defendant, but the defendant changed the attitude he had shown when making the agreement and stated, ‘I should return the down payment, but I have no money. The company has no remaining assets, so I have no means to return the down payment, and the company's situation is poor, so it will soon be declared insolvent.’
The client wished to recover at least the down payment he had paid, and came to Daeryun for a down payment refund lawsuit.
What Is a Down Payment Refund Lawsuit?
If a 🔗contract has been rescinded or terminated but the down payment has not been returned, the down payment must be recovered through a down payment refund lawsuit.
A lawsuit relating to the return of a down payment has the nature of a kind of 🔗claim for return of unjust enrichment, and the contracting party bears an obligation to make restitution for the other party's loss.
The right of rescission includes the contractual right of rescission and the statutory right of rescission.
The contractual right of rescission is a right of rescission that arises under the contract where the contracting parties have made a special agreement regarding the reservation of a right of rescission.
The statutory right of rescission refers to a right of rescission that arises as a matter of course by operation of law, and the Civil Act provides for two grounds: delay in performance and impossibility of performance.
1. In the case of delay in performance:
If one party fails to perform its obligation, the other party may fix a reasonable period and demand performance, and if performance is not made within that period, may rescind the contract. However, if the obligor has indicated in advance an intention not to perform, no such demand is required.
Where, by the nature of the contract or by the parties' declaration of intent, the purpose of the contract cannot be achieved unless performance is made within a fixed date or period, and one party fails to perform at that time, the other party may rescind the contract without fixing a reasonable period and demanding performance.
2. In the case of impossibility of performance:
If performance has become impossible due to a cause attributable to the obligor, the obligee may rescind the contract.
2. Assistance for the Down Payment Refund Lawsuit
The attorney set out to assist with the down payment refund lawsuit.
🔗See more resolved cases relating to down payment refund lawsuits (click)
Down Payment Refund Lawsuit Strategy: Arguing That the Contract Was Not Performed
For the down payment refund lawsuit, the client's attorney argued that the defendant had not performed the terms set out in the contract.
The attorney emphasized that the contract had been rescinded due to the defendant's delay in performance, and that an obligation to return the down payment had therefore arisen.
The contract clearly specified the date on which the exercise equipment was to be delivered, yet the defendant had still not delivered the equipment.
The attorney handling the down payment refund lawsuit argued that the contract had been rescinded due to the defendant's delay in performance, and requested the return of the down payment.
Down Payment Refund Lawsuit Strategy: Arguing That the Defendant Took No Responsibility
The client's attorney pointed out the defendant's irresponsible attitude.
When the client requested the return of the down payment following the non-performance of the contract, the defendant instead argued that the fault lay with the client on the ground that the client had not paid the remaining balance of the down payment.
The client's attorney pointed out that it was only natural that the client could not pay the remaining balance to the defendant, who had shown no progress whatsoever over the three years that had passed since the contractual performance date, and that the defendant's attitude in instead shifting the fault onto the client was highly irresponsible.
3. Result of the Down Payment Refund Lawsuit Assistance: Full Refund Secured
As a result of the assistance with the down payment refund lawsuit, the client was able to obtain a judgment ordering the return of the full down payment he had paid.
A down payment refund lawsuit of this kind requires identifying the various legal issues that may arise in litigation and gathering evidence in a professional manner.
At Daeryun Law Firm, an attorney is involved from the consultation stage onward, supporting a straightforward and prompt resolution even in complex litigation.
If you need a down payment refund lawsuit for a situation like the one above, we recommend obtaining an 🔗attorney recommendation from Daeryun Law Firm.
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.
