Litigation in Korea for Foreign Clients

Why Foreign Clients Need a Specialist

When something goes wrong with a Korean business partner — an unpaid debt, a breached contract, a frozen payment on Coupang or another platform — you face challenges that Korean litigants simply don't encounter.

The language barrier begins at the first letter of demand and runs through every court filing. Korean legal procedure differs substantially from most civil-law and common-law systems. And finding a Korean attorney who genuinely understands international practice — rather than one who simply reads English — has historically meant hiring one of Korea's large law firms at prices designed for corporate clients.

Yeohae Law Firm was built to change that. We provide litigation and dispute resolution services to foreign clients at fees that reflect the actual scale of your dispute, not the overhead of a 500-lawyer firm.

Is a Korean Lawsuit the Right Option?

Before filing, three questions determine whether litigation in Korea is worth pursuing.

1. Is there enforceable property in Korea?

Korea does not imprison debtors for failing to pay civil judgments. A judgment is only valuable if the defendant has assets in Korea that can be seized — bank accounts, real estate, receivables, inventory. We investigate the counterparty's Korean assets before you commit to litigation. If nothing is there to enforce against, we will tell you so before you spend money on a lawsuit.

2. Is the statute of limitations still running?

• Commercial transaction claims: 5 years

• Subcontracting, design, and construction claims: 3 years

• Personal loans between individuals: 10 years

3. Is litigation the best available method?

Korean courts are faster and more predictable than courts in many jurisdictions — a contested first-instance judgment typically takes around ten months from filing. But depending on your contract terms, mediation or arbitration may be available and faster still. Beyond formal alternatives, our office has developed case-specific informal resolution approaches that have recovered funds for clients without the cost or time of full litigation. We assess all options before recommending a path.

Cases We Handle for Foreign Clients

Contract & payment disputes

Breach of contract, non-payment, and warranty claims against Korean companies or individuals.

Debt collection from Korean debtors

Structured recovery process: asset investigation → demand → provisional attachment → litigation. We move quickly to preserve assets before a debtor can transfer them.

Korean e-commerce platform disputes

Payment freezes, account suspensions, and IP-related disputes on Coupang, 11번가 (11Street), Naver SmartStore, and other Korean platforms. Korean e-commerce operators cannot lawfully withhold settled payments as leverage in unrelated disputes — we enforce that boundary.

IP and trademark infringement defense

Responding to infringement claims in Korean courts or before the Korean Intellectual Property Office (KIPO). We also handle cases where platform operators have acted on disputed or overbroad IP claims.

Real estate and construction disputes

Contract claims, defect liability, and deposit recovery involving Korean property.

Recognition and enforcement of foreign judgments

If you have already won a judgment in your home country and need to enforce it against assets in Korea, we handle the Korean recognition proceedings under Article 217 of the Korean Civil Procedure Act.

Our Advantages for Foreign Clients

Languages

We serve clients in English, Chinese (Mandarin), Japanese, Russian, and Vietnamese — with in-house interpreters, not outsourced translation.

International case experience

Our cross-border practice — spanning family law, criminal defense of foreign nationals, and international commercial disputes — has given us extensive experience investigating assets across multiple jurisdictions (using FATCA, MCAA, and other international financial information frameworks), navigating international service of process, and resolving questions of applicable law. These skills translate directly to commercial disputes involving foreign parties.

Proportionate fees

Korea's large law firms (Kim & Chang, Lee & Ko, Bae Kim & Lee, Yulchon, Shin & Kim) are the right choice for disputes above approximately USD 10 million where their institutional resources are warranted. For disputes below that threshold — which represents the majority of cases brought by individual foreign clients and small to mid-sized foreign businesses — our office provides equivalent substantive quality at substantially lower cost.

Track record

Our representative attorney has been recognized by the Korean Bar Association's Young Lawyers Award and Outstanding Lawyer designation, has successfully handled cases covered by Korean national media, and receives referrals from fellow attorneys for their clients' matters. Our practice is built on thorough pre-case legal analysis and a high win rate.

Litigation Costs in Korea

Korean litigation costs have two components: court fees and attorney fees.

Court fees

• Government revenue stamp (인지대): approximately USD 500 per USD 100,000 in claimed value

• Postal/service fees: approximately USD 100–200

Attorney fees

Fees are structured either as a time-charge or as a flat retainer plus contingency. Under the flat-rate structure, a retainer is paid at the outset and a success fee is paid on winning. The specific amounts depend on the complexity and value of the case.

If you win, the losing party is ordered to reimburse the government revenue stamp in full, postal costs in full, and attorneys' fees up to the amount set in the Korean Bar Association fee schedule (which typically represents a partial reimbursement of actual fees).

Litigation Timeline

From filing to first-instance judgment, a typical Korean civil case proceeds as follows:

• Filing to first hearing: approximately 3 months

• Between hearings: approximately 1 month (cases average 3 hearings)

• External data inquiry (if needed): approximately 2 months additional

• Witness examination (if needed): approximately 1 month additional

• Last hearing to judgment: approximately 3 weeks

In practice, contested civil cases typically take approximately 10 months from filing to first-instance judgment. Cases that proceed through the Supreme Court average approximately 20 months total. Cases involving foreign parties typically run several months longer than the domestic average due to international service of process requirements.

Recognition of Foreign Judgments in Korea

To enforce a foreign court judgment against Korean assets, you must first obtain a Korean recognition judgment. Under Article 217 of the Korean Civil Procedure Act, a foreign judgment is recognized if:

1. The foreign court had jurisdiction under Korean law or applicable treaties;

2. The losing defendant was properly served with notice of the proceedings (not merely by publication) or appeared in the case;

3. The judgment does not violate Korean public policy or social order;

4. The foreign country grants reciprocal recognition to Korean judgments (or the recognition requirements are not substantially more burdensome than Korea's).

We handle recognition proceedings on behalf of foreign judgment creditors. If you need assistance, please request a consultation.

Parties to the litigation we conducted

Certifications and Awards