Advisory Case on Reviewing Termination of a Factory Lease and Procedures for a Paid Capital Reduction

1. The Client's Situation

The client company sought to identify legal issues in the course of reviewing the tenant's follow-up measures after termination of a factory lease agreement, the handling of unpaid rent, and the procedure for a capital reduction with consideration (paid-in capital reduction). In particular, it needed legal advice on response measures in the event the tenant continued to occupy the premises, methods of securing unpaid rent, and the lawful procedure for and points of caution regarding the capital reduction with consideration.

After closely reviewing the matter, Your Legal Team presented the following legal solutions.

(1) Termination of the factory lease agreement and follow-up measures

(2) Measures to secure unpaid rent

(3) Procedure for the capital reduction with consideration and legal points of caution

Through Your Legal Team's advice, the client was able to devise an optimal plan that allowed it to operate CCTV in practice while complying with the law. Through this, the client prevented legal disputes with workers and secured a practical solution that balances personal information protection with corporate operations.