Summary A tenant running a restaurant in Gangnam, Seoul, kept missing rent until the arrears exceeded the deposit. While pursuing an eviction lawsuit, we provisionally attached the tenant’s card sales receivables. When the tenant switched to a card terminal registered under a different business number, we attached again — three times in total — until the landlord’s rent claim was recovered.
Background
Our client owned a commercial unit in Gangnam, Seoul, leased to a tenant who operated a Korean barbecue restaurant. The tenant repeatedly failed to pay monthly rent, and the unpaid amount grew larger than the security deposit the landlord held. Simply deducting arrears from the deposit was no longer enough.
What we did
1) Eviction lawsuit: filed a claim to recover the premises.
2) Provisional attachment of card sales: at the same time, we applied to the Seoul Central District Court to provisionally attach the restaurant’s card sales receivables held by the card companies (Case No. 2020KaDan3****).
3) Following the money: the tenant began processing payments through a card terminal registered under a different business registration number to get around the attachment. We identified this and applied for further provisional attachments — three in total.
Result
With its card revenue repeatedly frozen from different directions, the tenant could no longer avoid payment, and the landlord’s rent claim was realised.
Key takeaways
1) For a business debtor such as a restaurant or shop, card sales receivables are often the most effective target, because they cut off daily cash flow.
2) A debtor may try to divert revenue through another business number or terminal. Enforcement needs to follow where the money actually goes.
3) An eviction claim and attachment of revenue can run in parallel.
Names are pseudonyms and some details have been changed to protect client confidentiality. Every case is different, and past results do not guarantee a similar outcome.
Related guides
• Provisional Attachment in Korea
• Debt Collection in Korea
Tenant not paying rent?
We handle eviction claims, provisional attachment and enforcement in Korea, with advice in English.
Request a consultation ➔
Summary A tenant running a restaurant in Gangnam, Seoul, kept missing rent until the arrears exceeded the deposit. While pursuing an eviction lawsuit, we provisionally attached the tenant’s card sales receivables. When the tenant switched to a card terminal registered under a different business number, we attached again — three times in total — until the landlord’s rent claim was recovered.
Background
Our client owned a commercial unit in Gangnam, Seoul, leased to a tenant who operated a Korean barbecue restaurant. The tenant repeatedly failed to pay monthly rent, and the unpaid amount grew larger than the security deposit the landlord held. Simply deducting arrears from the deposit was no longer enough.
What we did
1) Eviction lawsuit: filed a claim to recover the premises.
2) Provisional attachment of card sales: at the same time, we applied to the Seoul Central District Court to provisionally attach the restaurant’s card sales receivables held by the card companies (Case No. 2020KaDan3****).
3) Following the money: the tenant began processing payments through a card terminal registered under a different business registration number to get around the attachment. We identified this and applied for further provisional attachments — three in total.
Result
With its card revenue repeatedly frozen from different directions, the tenant could no longer avoid payment, and the landlord’s rent claim was realised.
Key takeaways
1) For a business debtor such as a restaurant or shop, card sales receivables are often the most effective target, because they cut off daily cash flow.
2) A debtor may try to divert revenue through another business number or terminal. Enforcement needs to follow where the money actually goes.
3) An eviction claim and attachment of revenue can run in parallel.
Names are pseudonyms and some details have been changed to protect client confidentiality. Every case is different, and past results do not guarantee a similar outcome.
Related guides
• Provisional Attachment in Korea
• Debt Collection in Korea
Tenant not paying rent?
We handle eviction claims, provisional attachment and enforcement in Korea, with advice in English.
Request a consultation ➔