Chairman Yoon Hong-geun's 'Gapjil Report' BBQ and Franchisees' Appeals All Dismissed

Yoon Hong-geun, Chairman of Genesis BBQ / Photo by Moon Ho-nam munonam@

[Asia Economy Reporter Kim Daehyun] BBQ (Genesis BBQ) Chairman Yoon Hong-geun and BBQ filed a damages lawsuit against franchisees who reported being subjected to verbal abuse and foul language by Chairman Yoon, but lost in both the first and second trials.

According to the legal community on the 22nd, the Seoul High Court Civil Division 13 (Presiding Judges Kang Mingu, Jung Munkyung, Lee Junhyun) ruled against the plaintiffs, BBQ and Chairman Yoon, in the appeal trial of the damages claim lawsuit filed against former franchisee Mr. A and franchise employees, maintaining the first trial's decision.

Earlier, a broadcasting station news report on November 14, 2017, covered the report from Mr. A's side claiming that they were subjected to verbal abuse and foul language by Chairman Yoon. The report stated that Chairman Yoon suddenly visited Mr. A's franchise with his entourage, forcibly entered the kitchen, and when an employee tried to stop him citing safety concerns, he threatened to close the franchise while verbally abusing and verbally assaulting the staff.

Following Mr. A's accusation, Chairman Yoon was investigated by prosecutors on charges including obstruction of business and violation of the Franchise Business Act but was ultimately cleared of charges. During this process, it was revealed that a man interviewed as a witness at the time of the incident was merely an acquaintance of Mr. A and was not present at the scene.

Subsequently, BBQ and Chairman Yoon filed a damages claim lawsuit worth approximately 1.3 billion KRW against Mr. A and franchise employees, alleging defamation due to false reports by Mr. A.

However, the first trial ruled against Chairman Yoon. The court noted, "It is difficult to conclude that the report claiming Chairman Yoon suddenly visited the franchise and verbally abused and assaulted staff is false." The court pointed out that Mr. A's claims about Chairman Yoon's statements were specific and that Mr. A consistently demanded an apology from Chairman Yoon, whereas BBQ appeared to try to calm Mr. A's anger rather than refute his claims.

The appellate court upheld the first trial's judgment. The appellate court ruled that the false interview by Mr. A's acquaintance could not be considered an illegal act causing defamation and causal relationship with Chairman Yoon. It stated, "The defamation damage claimed by the plaintiffs is not caused by Mr. A's reporting itself but by the coverage following the investigation of the report."

Mr. A's countersuit against BBQ and Chairman Yoon, claiming damages due to violations of the Franchise Business Act such as supplying underweight fresh meat, was dismissed in both the first and second trials.

Meanwhile, it is reported that BBQ won the lawsuit against Mr. A's acquaintance who gave the false interview. The first trial recognized Mr. A's liability for damages and ordered him to pay a total of 800 million KRW to BBQ and Chairman Yoon, and this ruling was finalized.