Lee & Ko

Managing Partner:Sang Gon Kim

Number of partners: 330

Number of lawyers:690

Languages:Korean, English, Chinese, Japanese, German, French, Spanish, Russian and Vietnamese

Firm Overview:

Korea’s premier full-service law firm. Lee & Ko’s practice groups are consistently ranked among the top in each field of practice by leading Korean and international professional publications.

Practice Areas:

Anti-Corruption & Regulatory

Antitrust & Competition

Aviation

Banking & Finance

Bankruptcy, Insolvency & Corporate Restructuring

Capital Markets & Securities

Corporate & M&A

Corporate Governance

Customs

Energy

Environment

Foreign Direct Investment

Health Care & Life Science

Insurance

Intellectual Property

International Arbitration

International Trade

Labour & Employment

Litigation

Maritime & Shipping

Overseas Investment

Private Equity & Venture Capital

Privatisation

Product Liability

Real Estate & Construction

Regulatory & Compliance

Shipping & Transportation

Tax

Technology, Media & IT

White-Collar Crime

Main Areas of Practice:

Competition/Antitrust:

■ Successfully represented the Korean Bar Association and Seoul Bar Association in the appeal of the KFTC decision, which found that the bar associations had violated the laws on unfair trade practices and advertising for regulating the use of legal tech by attorneys, to result in the Seoul High Court’s landmark decision rejecting the KFTC decision and ruling in favor of the bar associations.

■ Successfully represented Novozymes in the merger control filing for Novozymes’ USD 12.3 billion merger with Chr. Hansen by persuading the KFTC to issue unconditional clearance despite its initial position that the transaction would result in multiple horizontal overlaps and/or vertical links worldwide in various market segments.

Contact: Hwan Jeong

Email:[email protected]

Banking & Finance:

■ Advise for a project financing transaction worth US$860,000,000 executed by ECOPRO HUNGARY ZRT, a Hungarian subsidiary of Eco Pro BM, to build an electric vehicle battery plant in Hungary.

■ Advised Galaxia Moneytree Co., Ltd, an affiliate of Hyosung Group, on the first designation in the market as an innovative financial service (Financial Regulatory Sandbox) under the Financial Services Commission’s guidelines on token securities announced in February 2023, involving a financial instrument structure enabling investors to make fractional investments in aircraft engine lease receivables via trust beneficiary certificates mirrored by blockchain tokens, which should mark as an epoch-making event in the history of Security Token Offerings in Korea.

■ Advised Ceragem Co., Ltd. (“Ceragem”) to successfully raise KRW 50 billion by securitizing its receivables from rental users, with which Ceragem was able to repay almost all of its existing borrowings raised through previous transactions and secured funds.

Contact: Hyunjoo Oh

Email:[email protected]

Capital Markets:

■ LG Chem, Ltd. USD2,000,000,000 Exchangeable Bonds in two tranches (due 2028 and due 2030)

■ The Republic of Korea Sovereign Bonds (US$1,000,000,000) due 2029

Contact: Hyunjoo Oh

Email:[email protected]

Corporate/M&A:

■ Representation in acquisition of Osstem Implant by MBK Partners through Public Offering (Deal Value: USD 1.8 billion)

■ Representation in establishment of joint venture between LG Energy Solution and Hyundai Motor Group (Deal Value: USD 4.3 billion)

Contact: Ho Joon Moon

Email:[email protected]

Dispute Resolution:

■ Representing Korean corporations in an arbitration against a US supplier of nuclear technology, wherein the US company alleges that the clients are not allowed to transfer the nuclear technology they intend to export abroad. This case holds significant importance for Korea’s nuclear industry.

■ Successful representation of the Republic of Korea in this investment treaty arbitration under the Korea-U.S. FTA and 1976 UNCITRAL Arbitration Rules brought by an U.S. hedge fund. This case was highly contentious from the outset, leading to two extensive hearings on jurisdiction and merits respectively.After more than five years since the case began, the Tribunal ultimately granted Mason only approximately 16% of its claimed damages of USD 200 million.

Contact: Sanghoon Han

Email: [email protected]

Employment & Labour:

■ Successfully represented one of the world’s largest automobile manufacturers in a groundbreaking Supreme Court case involving the termination of an executive-level employee for prolonged underperformance. The case, initially lost at the Regional and Central Labor Relations Commissions, as well as the Administrative and High Court levels, was overturned at the Supreme Court. Engaged at the final appeal stage, LEE&KO highlighted deficiencies in the lower courts' rulings and presented comprehensive arguments rooted in constitutional and civil law, supported by domestic and international precedents. The Supreme Court upheld the termination, recognizing the legitimacy of the client’s Performance Improvement Plan (PIP) and establishing clear criteria for performance-based dismissals. This decision not only reversed all prior judgments but also set a significant precedent, providing clarity and guidance on the validity of such terminations, enhancing personnel management practices across industries.

■ Successfully represented one of Korea’s and the world’s largest steel manufacturers in a decade-long legal battle concerning layoffs due to managerial reasons, culminating in a pivotal Supreme Court decision. Facing decreased demand for its products amidst the 2015 petroleum price drop and U.S. energy sector downturn, the client implemented voluntary retirements and targeted layoffs. LEE&KO’s advocacy at the district court delivered a rare victory for employers in similar cases, with the court recognizing the company’s urgent financial needs. Though the high court reversed this ruling, the Supreme Court reinstated the finding, acknowledging that the client had satisfied the high threshold for “imminent necessity” based on objective financial analysis. This decision challenges the prevailing notion that layoffs are routinely unlawful and sets a significant precedent for companies undergoing financial distress. LEE&KO’s innovative use of advanced financial metrics and industry comparisons underscores its tenacity and strategic approach to reshaping layoff jurisprudence, providing a critical path forward for corporate restructuring in Korea.

Contact: Sang Hoon Lee, William Kim

Email:[email protected],[email protected]

Shipping & Transportation:

■ Advised numerous Korean LNG shipping companies participating in international bids hosted by major LNG traders or producers, including Vitol, Shell, and Qatar Gas. Thanks to Lee & Ko’s expert guidance, our clients secured multiple long-term charter-party contracts in each bidding, significantly enhancing their financial stability. These successes not only benefit our clients but also contribute to the overall strengthening of the LNG shipbuilding industry in Korea.

■ Advised a Korean cable production company called Taihan Cable & Solution (“Client”) intending to purchase and import a cable-laying vessel called MV Spirit (“Vessel”) from a Dutch owner called Boskalis. Lee & Ko has provided the client with comprehensive scope of advices relating to the purchase: deal structure, sale & purchase of the Vessel, inception of cargo insurance and hull insurance, registration of the Vessel in Korea, license issue under Korean Marine Transportation Act, bareboat charter and etc. Thanks to our expertise and experience, the Client successfully concluded this deal. This deal serves as a crucial stepping stone for the Client, providing a foundation upon which they can explore new business avenues, such as offshore cable laying projects or the development of offshore wind power plants.

Contact: Jin-Young Jung, Yang-Ho Yoon

Email:[email protected]; [email protected]

Tax & Customs:

■ Successfully represented McDonald’s Korea in a non-regular tax audit conducted by the Seoul Regional Tax Office (“SRTO”) regarding the taxpayer’s transfer pricing policy, implemented by McDonald's headquarters in Chicago. During the tax audit, SRTO argued that McDonald's Korea contributed significantly to the McDonald's Group's IP by employing DEMPE concept and proposed the Profit Split Method for transfer pricing. Initially, SRTO intended a significant TP adjustment of USD 115 million. But through meticulous analysis and innovative strategies, Lee & Ko persuaded SRTO to settle at a fraction (10%) of the initial proposed adjustment, amounting to less than USD 700K, with no adverse TP impact on future years. This case is highlighted due to its complexity and the strategic approach taken by the Lee & Ko Tax Group in navigating a high-stakes and hostile audit environment.

■ Lee & Ko achieved a significant victory representing POSCO, a leading Korean corporation operating in sectors subject to certified emission reduction, in defeating the tax authorities' attempt to impose approximately USD 145 million in corporate income tax assessment. The case stemmed from a spin-off and merger agreement between affiliated companies within the POSCO Group, namely POSCO Holdings and POSCO International, involving business units subject to carbon credit allocation. In defense of POSCO, Lee & Ko conducted a thorough analysis of spin-off succession laws, relevant Supreme Court precedents, and international legal frameworks. By presenting detailed legal interpretations and refuting opposing arguments, Lee &Ko successfully convinced the National Tax Service Advisory Committee that the transfer of free-allocated emission allowances should not be subject to taxation. This outcome underscored Lee & Ko's prowess in complex tax litigation and their ability to secure favorable results for their clients against formidable adversaries. This case holds significant implications, particularly in its ability to swiftly and efficiently resolve tax risks for companies. By obtaining a favorable determination at the tax audit stage, rather than engaging in prolonged litigation, Lee & Ko stopped unjustified taxation amounting to hundreds of millions of dollar against the taxpayer. This outcome underscores the importance of timely intervention to protect the rights of taxpayers, providing them with a precedent for a streamlined mechanism to address tax disputes in the future.

Contact: Tom Kwon, Ok Hyun Ma

Email:[email protected],[email protected]

Intellectual Property:

■ Successfully represented OCI, a Seoul-based leading specialty chemical manufacturer, in a patent dispute against a German competitor involving a patent directed to silicon manufacture method and obtaining a winning judgment whereby the Supreme Court rendered a precedent-setting ruling that elucidated the description requirement in the context of parameter inventions.

■ Successfully represented SK Trichem, an affiliate of SK Group specializing in materials, in a patent invalidation action before Intellectual Property Trial and Appeal Board and IP High Court whereby the market competitor claimed invalidity of SK Trichem’s precursor-related patent, which is essential in semiconductor business, and successfully obtaining a winning judgement before the IP High Court which was rendered final and conclusive.

Contact: Hwan Sung Park

Email:[email protected]

White Collar Crime:

■ Successfully defended Discovery Asset Management, including obtaining dismissal of arrest warrants on the representative two times for the alleged violation of the Financial Investment Services And Capital Markets Act.

■ Successfully mounted a defence for the nation’s largest K-pop management company in a case involving alleged manipulation of the share price in a M&A.

Contact:Changhee Suh, Dong Seong Nam

Email:[email protected], [email protected]