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Commercial Act — Article 497 (Grounds for Non-Authorization of Resolutions)

상법 제497조

This English translation is based on the Korean text effective 2018-12-19. The Korean law has since been amended (current version effective 2026-09-10) — check the Korean original.

(1) A court shall not authorize a resolution of a meeting of bondholders in the following cases:

1. If procedures for convening the meeting of bondholders or the manner of adopting the resolution are in contravention of any statute or of any statement contained in the prospectus for offering of bonds;

2. If the resolution is adopted in an improper manner;

3. If the resolution is considerably unfair;

4. If the resolution is contrary to the general interests of the bondholders.

(2) In cases falling under subparagraph 1 or 2 of the preceding paragraph, the court may authorize such a resolution by taking into account the details of the resolution and all other circumstances.

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