Sky72 'Countdown to Forced Execution'... 'Tense Standoff'

Incheon International Airport Corporation Can Enforce from the 29th
KMH Shilla Leisure "Guarantees Existing Contracts for Small Business Owners"
Small Business Council "Will Fight to the Death"

[Asia Economy Reporter No Woo-rae] A tense standoff is unfolding ahead of the forced eviction of Sky72 Golf Course on Yeongjongdo Island, Incheon.

Incheon International Airport Corporation recently announced through a newspaper advertisement that "Sky72 Golf Course lost its rights to use the facilities and land as of the Supreme Court's final ruling on the 1st," adding, "From the 29th onward, forced eviction by the court may be carried out without prior notice." Since the court's grace period ends on the 29th, forced eviction can take place after midnight.

The KMH Shilla Leisure Consortium, the successor operator of Sky72 Golf Course, has decided to continue employment for about 1,000 workers to ensure a smooth takeover. They also plan to actively cooperate with tenant businesses and partner companies. On the 28th, the KMH Shilla Leisure Consortium reiterated, "We will honor existing contracts with small business owners related to Sky72 Golf Course so that they can operate normally."

On the other hand, as Incheon International Airport Corporation announced the forced eviction, the current operator and small business owners strongly opposed it. The representative of the legal team for the Incheon International Airport Corporation's affected small business owners' council said, "Forced eviction of dozens of small businesses within the golf course is legally impossible," and added, "We will fight to protect our livelihoods and lives."

Incheon International Airport Corporation and Sky72 Golf Course have been engaged in legal battles for the past two years. Sky72 Golf Course leased land located in Jung-gu, Incheon, designated for the construction of the 5th runway, from Incheon International Airport Corporation in 2002 and developed and operated the golf course and clubhouse. At the time of the implementation agreement, both parties set the contract termination date as December 31, 2020, when the 5th runway would be constructed.

The problem arose as the construction of the 5th runway was delayed beyond the scheduled time. Incheon International Airport Corporation claimed that the contract period ended on December 31, 2020, and demanded that Sky72 Golf Course vacate the premises and hand over all golf course facilities, including the turf and clubhouse. The KMH Shilla Leisure Consortium was selected as the new operator of the golf course.

Sky72 Golf Course argued that the contract expiration was based on the premise of the 5th runway construction, so the contract period had not yet ended. They also claimed that transferring the facilities to another company was unfair as it was not part of the original contract. In January last year, Incheon International Airport Corporation filed a lawsuit against the operator demanding the return of the land and transfer of ownership, and three months later, cut off electricity and water supply to the golf course. Sky72 Golf Course filed a counterclaim seeking reimbursement for the costs invested in the facilities during their lease of the golf course land.

The first and second trials accepted Incheon International Airport Corporation's claims. They ruled that it was reasonable to consider the land use period of Sky72 Golf Course ended according to the original agreement between the parties. Sky72 Golf Course's claim for reimbursement of beneficial expenses was dismissed, stating that "if recognized, it would allow recovery of costs far exceeding the original investment." The Supreme Court upheld the rulings of the lower courts and confirmed the victory of Incheon International Airport Corporation.