DR&AJU

Restructuring/Insolvency

Overview

DR&AJU has the best bankruptcy/insolvency team in Korea. Since the dawn of bankruptcy proceedings in Korea, we served as the bankruptcy trustee in various bankruptcy cases which became major social issues, including Service Bank Co., Ltd., Good Morning City Co., Ltd., Korea Real Estate Trust, Woosung E&C, Tiger Pools International, Hyunjin Everville, etc. We have also recently handled multiple rehabilitation cases stemming from insolvent construction companies thereby being a beacon in the relevant legal sector. In particular, in 2017 Mr. Jin Han Kim was appointed as the bankruptcy trustee for Hanjin Shipping, the 7th largest shipping company in the world at that time. Due to the size of the company there were various complex issues involved in the bankruptcy proceedings of Hanjin; however, with the knowledge and expertise of our bankruptcy team, DR&AJU successfully performed its services as the bankruptcy trustee for Hanjin’s bankruptcy proceedings such as disposal of assets and dispute resolutions, and fairly distributed Hanjin’s assets to numerous creditors which the claim amount totaled more than KRW 4.3 trillion while defending against frivolous claims and successfully claiming Hanjin’s claims at the same time.
A corporate rehabilitation/bankruptcy procedure is the standard procedure to re-stabilize a company in peril. The bankruptcy trustee has to consider various different interests simultaneously including interests of employees, tax office, other creditors and so forth. Such diverse interests from different sectors inevitably force the bankruptcy trustee to be concerned with public interests as well; therefore, the trustee must have a strong sense of public duty in addition to the required legal knowledge. Furthermore, simply having the required legal knowledge is not enough for a successful performance of the associated tasks. The person must have a comprehensive understanding of the system of the company and different aspects of the business. Based on its professional knowledge and experience DR&AJU serves clients throughout the full restructuring process, including planning for corporate restructuring, filing various applications, reorganization process such as disposal of assets, business transfer, division of business, etc., and all other aspects of insolvency. Furthermore, DR&AJU is the only law firm in Korea that has three attorneys approved as court-appointed trustees for corporate restructuring by the Seoul District Court. We advise both creditors and corporations undergoing restructuring and liquidation under the Korean Corporate Restructuring Promotion Act on a regular basis.


Track Records

Acted as the bankruptcy trustee of Woo Sung Construction, Woo Sung General Construction, Hankook Real Estate Trust, Service Bank, Jinro Bestore, Joowha Industrial, Young-il Technology & Industry, Eun-a Housing, Keonyang Concrete Industries, Alps Resort, Poong Yun, Fits Communication, Dongshin, Tiger Pools International, Sewon E&C, Buam Tech, Wooto General Construction, Edge Tek, Bosco Industries, Pyoungchang C&E, Hanyoung Remicon, Seo Won Industrial Development, Woori E&C, BU Com, Ssamzie, South Korea Paper, Hyunjin Everville, Jump Milano, Jinmyung Industrial Education Center, Uno Steel, Seowoo Ace, MJ Planning, Sekyung Development, Donghae E&M, Anam Motors, Asiana Development, Kookil E&C, FI Tour, Woori Platech, Infranet, IM Design, Marencio, Noryangjin Train Constuction Corp., Changdai, Hwakyong n Top, Mankyung Steel, etc.

Acted as Court-appointed conservator and receiver for Good Morning City.

Advised on the rehabilitation and/or bankruptcy procedures for multiple construction companies and manufacturers, including Hanjin Shipping, Dongbu Construction, Byuksan Construction, Dongyang Cement, Dongyang Networks, Heungin Engineering, Skin Food, Ipeeres, Nexg, Sewon Construction, Daeah Leisure Corp., Woorim Construction, Ever Techno, Mtek Vision, DID design, KMS Pharmaceutical, Hwain Tech, SR Construction, Woori Development, Hanwool General Construction, Sinchang Construction, Prism Technology, Neo Semi-tech, Woorim MEC, Jaeil General Construction, Jaeil Development, CA construction, Jump Milano World

Advised on the rehabilitation, M&A disposal/purchase procedures for golf courses, including Ocean View CC, Mudeungsan CC, Kwangneung CC, Royal Fore CC, Lake Hills Kyungnam CC, Art Valley CC, Lake Hills Suncheon CC, Gaya CC, etc.

Advised Resom Resort (rehabilitating company) on its M&A disposal

Advised Poonglim Industrial, etc. on its corporate restructuring

Advised and represented Hanjin Shipping in various lawsuits and arbitration as the bankruptcy trustee

Advised a foreign company regarding a domestic rehabilitating company

Advised ISC on the liquidation and dissolution of its Mexican subsidiary

Advised Korea Midland Power Co., Ltd. on the liquidation of the Malaysian company EBE

News

Key Services

    - Analyze potential legal and financial risks for the company and suggest possible restructuring options
    - Advise on rehabilitation, bankruptcy, restructuring, liquidation, etc. and file relevant applications
    - Represent clients in bankruptcy lawsuits
    - Advise on the sale and purchase of a bankrupt entity (M&As related to rehabilitation procedure)
    - Appeal the decision by the bankruptcy court
    - Advise creditors on the collection of debts against a bankrupt entity
    - Advise creditors on the potential options against a bankrupt entity
    - Advise on other bankruptcy related issues