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[Reporter’s Notebook] Construction Companies Choosing Money Over Repairs

[Reporter’s Notebook] Construction Companies Choosing Money Over Repairs


"This is not about suing to get money. We just want the construction company to do what they are supposed to do so we can live without inconvenience."


This is the complaint of a resident of ‘Andong Kolon Haneulchae’ in Susang-dong, Andong-si, Gyeongbuk, who filed a lawsuit against the construction company last month over apartment defects. Residents of this complex have been suffering from leaks in the underground parking lot since they moved in four years ago. Despite repair work by the construction company, the leaks have continued. According to the residents, instead of finding and fixing the root cause, the company applied temporary patchwork each time to save costs. The number of leak spots has now reached about 60. Leaks have occurred not only in the underground parking lot but also in individual bedrooms, increasing residents’ dissatisfaction. The damage is widespread enough that 95% (398 out of 421 households) have agreed to join the lawsuit.


The construction company’s attitude toward repair requests further aggravated residents’ dissatisfaction. Kolon Global sent a letter stating, "There will be no additional repair work, and we will pay compensation in lieu of defect repairs." They want to resolve the issue with money. The problem is that even if the residents win the lawsuit, the defect issues will not disappear. The repair costs are estimated to be tens of billions of won, making the compensation amount far from sufficient. Residents only hope that the construction company will carry out proper repairs soon to eliminate their inconvenience.


Defect disputes between construction companies and residents are not limited to this complex. At ‘Kumho Licensia Prestige’ in Suwon-si, Gyeonggi-do, move-in has been delayed for nearly two months due to defect issues. Kumho Construction barely obtained usage approval from the city, but buyers are protesting, demanding the cancellation of the approval?a situation that is hard to believe. Despite consumers’ increasing awareness of apartment quality, construction companies have failed to meet their expectations, leading to repeated similar conflicts.


If an apartment you bought at a high price by ‘youngkkeun’ (pulling together all your resources) leaks water or has cracked floors, it is only natural to feel upset. Especially since most domestic apartments are supplied through a pre-sale system where buyers are decided before completion, it is very important to continuously repair defects that occur or are discovered after move-in. If residents cannot hold the construction company that directly built the apartment responsible for defects, where can they get repairs? In fact, when apartment defect issues escalate into lawsuits, both residents and construction companies end up losing. Residents have to endure inconvenience until the lawsuit ends and bear huge legal costs. Construction companies also face increased losses due to repair and litigation expenses.


The role of a construction company does not end with building apartments. They must faithfully carry out defect repairs after move-in. Construction companies that ignore residents’ damages caused by construction problems will inevitably be shunned by consumers in the end.


© The Asia Business Daily(www.asiae.co.kr). All rights reserved.

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