[Law Firm Now] Growing Interest in Overseas Construction... Yulchon Overseas Construction Team "Order Increase Must Lead to Profit Increase"

After Bin Salman’s Visit to Korea, Companies Show Interest in Overseas Construction Projects like 'NEOM City'
Yulchon’s 'Overseas Construction Team' Provides Support and Advice on Related Disputes
Led by Attorney Lee Kyung-jun, with Participation of Over 15 Experts

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Yulchon LLC Overseas Construction Team. (From left) Attorney Woo-seok Jeong, Advisor Hyo-won Kim, Advisor Ho-in Kang, Attorney Won-young Park, Attorney Jae-hyung Woo, Attorney Kyung-joon Lee, Foreign Attorney Ki-jung Park, Attorney Hyun-kyu Kang, Foreign Attorney Jun-gyu Jeon, Attorney Hyung-won Nam
[Photo by Yulchon]

[Asia Economy Reporter Kim Hyung-min] November 17-18 last year. Saudi Arabia's Crown Prince Mohammed bin Salman visited South Korea and proposed cooperation plans for the 'NEOM City' construction project, amplifying the interest of Korean companies in overseas construction. Many have already begun planning related projects.

The overseas construction 'rush' by companies has naturally emerged as a 'blue ocean' that law firms must seize. The legal community advises that companies should receive meticulous legal support for safe overseas construction. Overseas construction carries greater risks than domestic projects. Many projects are on the scale of trillions of won, and legal liabilities arising from accidents can lead to significant compensation losses. NEOM City is known as a large-scale construction project with a total investment of $500 billion (approximately 670 trillion won).

Amid this, there are those accelerating at the forefront of legal support in overseas construction. The 'Overseas Construction Team' of Law Firm Yulchon. This team consists of about 15 veterans including lawyers and advisors. They are tightly united with extensive experience in overseas construction sites and broad knowledge in international construction law. With in-depth understanding of construction work content and mechanisms, they support negotiations with clients, advise on site issues, and handle cases in the event of disputes to lead to favorable outcomes. Additionally, through close collaboration with domestic construction companies, they proactively eliminate legal risks in overseas construction and secure advantageous positions in disputes with clients.

Attorney Lee Kyung-joon (Judicial Research and Training Institute class 33) leads the team. He has advised major construction companies on various cases at sites such as the UAE Barakah Nuclear Power Plant, Algeria Thermal Power Plant, and Vietnam Thermal Power Plant. Attorney Baek Yoon-jae (class 14) is a tremendous networker in international arbitration. He has handled numerous arbitration cases and secured favorable rulings. Attorney Woo Jae-hyung (class 39) worked at the renowned UK law firm Pinsent Masons in the construction field and has rich experience not only in advising and arbitrating overseas construction projects but also in various economic sanctions.

Attorney Jung Woo-seok (class 41), who was in charge of international legal affairs for the Korean government at the Ministry of Justice and currently participates in many major overseas construction projects; Attorney Kang Hyun-gyu (class 42), who worked as a lawyer in charge of overseas projects at Samsung C&T Construction Division and handled the Algeria Thermal Power Plant project based on his fluent French skills; British lawyer Park Ki-jung, who has 20 years of experience including serving as the head of the Vietnam branch of a leading domestic construction company and working at 'Corbett & Co International Construction Lawyers,' a London-based international construction dispute and arbitration specialist law firm; American lawyer Jeon Jun-gyu, who served as a prosecutor in Illinois; and Advisor Kim Hyo-won, who worked for 30 years at the Overseas Construction Association serving as head of the Information Planning Headquarters and executive director, are also part of this team. Advisor Kang Ho-in, who served as Minister of Land, Infrastructure and Transport and led the overseas export of Korean-style smart cities, and Advisor Noh Baek-sik, who worked for about 20 years at Korea Hydro & Nuclear Power and was responsible for the construction, operation, and overseas export of nuclear power plants, are also included.

Recently, the team has been advising on a case where an overseas thermal power plant project experienced slow progress for a long time due to the client's lack of funds, resulting in claims for construction payments and extensions of construction periods. This case is expected to lead to disputes due to differences between the defect liability period provided by the supplier of the power generation equipment and the defect liability period that the client must bear toward the client under the contract. The team is carefully considering preemptive measures the client can take. They also handled a case advising a Korean construction team preparing for bidding on an overseas nuclear power plant, carefully reviewing contract terms from the perspective of the Korean construction team to assess advantages and disadvantages and provide advice.

Yulchon Overseas Construction Team emphasizes that "an increase in orders must translate into increased profits." The boom period for the construction industry is now over. As the domestic real estate market cools and overseas construction orders increase, companies must strive to clearly secure profits and reduce losses to survive. Systematic preparation is necessary for this. Yulchon Overseas Construction Team focuses on efficiently supporting the preparation process and providing advice and consultation at critical decision-making stages to help companies realize actual profits.

Last year on August 5, Yulchon held a seminar at Lotte Hotel Hanoi, Vietnam, titled 'Management and Response to Vietnam Construction Sites Amid Global Economic Crisis.' Attorney Lee Kyung-joon of the Overseas Construction Team moderated, and British lawyer Park Ki-jung presented on 'Common Construction Disputes in Vietnam and Their Responses and Solutions,' delivering key issues and perspectives to about 100 representatives of Korean construction companies.