SOUTH KOREA Law and Practice Contributed by: Jin Yeong Chung, Inhak Lee and Seung Hyeon Lee, Kim & Chang
However, when appealing to the Supreme Court, if the appellant has not stated the grounds for appeal in the petition, they must submit a written statement of grounds of appeal within 20 days of receiving a notice from the Supreme Court that the case records have been transferred to the Supreme Court. If the appellant fails to comply with this deadline, the appeal will be immediately dismissed by the Supreme Court without further hearing the case. 10.4 Issues Considered by the Appeal Court at an Appeal An appeal to the appellate court can be made on both points of law and fact. The appellate court conducts the proceedings de novo and both parties may pre- sent new arguments and submit new evidence. How- ever, the appellate court can only hear the case to the extent that it is appealed by either of the parties. An appeal to the Supreme Court is limited to legal matters only. Thus, in principle, the facts of the case will not be re-examined by the Supreme Court. Excep- tionally, facts relevant in determining legal issues may be revisited by the Supreme Court to the extent nec- essary. 10.5 Court-Imposed Conditions on Granting an Appeal There are no statutory provisions that empower a Korean court to impose any particular conditions on granting an appeal. 10.6 Powers of the Appellate Court After an Appeal Hearing The appellate court may uphold or overturn the lower court’s judgment at its own discretion. 11. Costs 11.1 Responsibility for Paying the Costs of Litigation In Korea, the court will order the allocation of litiga- tion costs in the judgment. In principle, such costs are borne by the losing party. In a case where a party has only partially succeeded, the court may allocate the costs at its discretion between both parties. In prac- tice, these costs are often apportioned to each party
in proportion to the success achieved by each party, but the court is not required to do so. Court costs generally consist of stamp taxes (filing fees), service of process fees, and other out-of-pocket expenses (per diem fees for witnesses, photocopies, etc) and attorneys’ fees. It should be noted that the entire amount of the actual legal fees incurred by the parties is not recognised as a litigation cost, but only a fixed amount calculated according to a formula speci- fied in the court regulations. This amount is typically nominal compared to the actual incurred legal costs. 11.2 Factors Considered When Awarding Costs In a case where a party has only partially succeed- ed, the court may allocate the costs at its discretion between both parties. In practice, these costs are often apportioned to each party in proportion to the success achieved by each party, but the court is not required to allocate costs in such manner and may choose to allocate as it deems appropriate. 11.3 Interest Awarded on Costs The Korean court does not award interest on the liti- gation costs. 12. Alternative Dispute Resolution (ADR) 12.1 Views of ADR Within the Country The statistics in Korea show a remarkable increase in the use of alternative dispute resolution (ADR) as a method for resolving disputes, including media- tion and arbitration. The increased use of arbitration in Korea is based on several factors, including an increase in Korean companies’ involvement in inter- national transactions and the general tendency of the South Korean courts to enforce arbitral awards. 12.2 ADR Within the Legal System The court tends to encourage resolving disputes which are brought to the court through judicial con- ciliation. This can be conducted by a judge presiding over the litigation, by a different judge (solely for the purpose of the conciliation), or by a conciliation com- mittee comprising one judge and two or more private
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