KCC 70/2002

This case involved a claim for the transfer of ownership of a property and a confirmation of the claimant's right to register it. The key point was that the sale of this property had violated a loan agreement with a bank which stated the mortgaged property could not be sold without bank permission.

Background

A claimant filed a case against two defendants and requested the court to transfer ownership of some real estate to him.

The court ruled that the claimant had the right to register the real estate.

The defendants appealed the ruling before the court of appeal. The court upheld the appealed ruling.

Decision

The defendants appealed the ruling before the court of cassation and stated in their grounds of appeal that the ruling had erred in the application of law and that the sale of the real estate by the debtor violated the conditions of the loan.

The court stated this argument was valid because the loan contract stipulated that the debtor (claimant) had no right to take any actions towards the mortgaged property unless with the approval of the bank.

The court repealed the ruling.