Background
In September 2021 our client leased part of a building in Seoul (about 18㎡) for a deposit of KRW 200,000,000 with no monthly rent. KRW 160,000,000 of the balance was funded by a jeonse loan.
In October 2023 the parties extended the lease to October 2025, cutting the deposit by KRW 50,000,000 in exchange for monthly rent of KRW 100,000. The landlord promised in writing to repay the reduction within six months, but returned only KRW 25,000,000 in four installments between February and June 2024.
In September 2025 the landlord asked for more time to find a new tenant, and our client agreed to extend until the end of April 2026. The landlord still did not pay and then became unreachable.
What Was at Stake
Meanwhile, another creditor had started a compulsory auction of the building, which also carried a senior mortgage. With the landlord out of contact, even serving the lawsuit was a hurdle.
How Changchun Helped
Law Firm Changchun made the following arguments, which the court accepted in full:
Proof of payment. Bank transfer and loan records showed that the full KRW 200,000,000 had been paid.
The exact balance. Tracing the reduction agreement and the four partial refunds, KRW 200,000,000 minus KRW 25,000,000 left KRW 175,000,000 outstanding.
Protecting priority early. Our client had obtained a lease registration order, which preserves a tenant's rights after moving out.
Outcome
Because the papers could not be delivered, the case proceeded by service by publication. In August 2026 the first-instance court ordered the landlord to pay KRW 175,000,000 upon our client's return of the leased space, to bear the litigation costs, and declared the judgment provisionally enforceable.
Even when a landlord disappears, well-organized payment and refund records can secure a judgment for the full deposit. (Outcomes depend on the facts of each case.)