Cha & Kwon Law Offices won the second trial following the first trial claiming the return of the lent virtual asset on the behalf of plaintiff A.

Plaintiff A received an e-wallet address, “Upper-level Support Code” (USC) containing a specific type and number of required virtual assets, from the operating company to join a virtual currency-related group. The plaintiff lent the virtual assets by transferring the e-wallet address to other defendants in the group and entered into a loan agreement to transfer back the USC in case the defendants fail to repay.

The defendants argued that the contents of the agreement were to return the e-wallet address USC, which is just a member identification number, and that virtual assets are not required to be transferred. However, Cha & Kwon Law Offices argued that the transfer of the USC presupposes that the wallet address contains a certain type and number of virtual assets, fundamentally requiring the virtual assets to be transferred. The court accepted Cha & Kwon Law Offices’ argument, siding with the plaintiff.

It is important to draft the contract meticulously from the beginning. However, if a legal dispute inevitably arises due to an already written contract, the context and hidden meanings of and in the contract can play a crucial role in making a legal decision. As there are not enough precedents or laws related to virtual assets, a guide from an expert with a good understanding of the matter’s fundamentals is essential.

Consult with Cha & Kwon Law Offices to better address and resolve virtual asset-related issues in the event of legal disputes.