Seoul High Court Family Division 1, presided by Judge Lee Sang-joo, will announce its ruling on the remanded divorce asset division case between SK Group Chairman Choi Tae-won and Art Center Nabi Director Roh So-young at 2 PM on the 24th. The Supreme Court overturned the second trial's asset division amount of KRW 1.3808 trillion in October last year, approximately 9 months ago. The key disputes center on whether Chairman Choi's SK Inc. shares should be included in the asset division and which valuation date should be used to calculate the share value. The couple married in September 1988 and have three children, but began legal proceedings in 2017 when Chairman Choi filed for divorce mediation, leading to a 9-year legal battle. The ruling follows failed mediation attempts last month, where both parties could not reconcile their positions on the scope and scale of asset division.
Supreme Court Overturned KRW 1.3808 Trillion Second Trial Ruling in October Last Year
The first trial court ruled in December 2022 that Chairman Choi should pay Director Roh KRW 100 million in alimony and KRW 66.5 billion in asset division. The court excluded SK shares from the division, classifying them as separate property formed through inheritance and gifts. The second trial in May 2024 significantly increased the amounts to KRW 2 billion in alimony and KRW 1.3808 trillion in asset division. The court included Chairman Choi's SK shares in the division, considering Director Roh's contributions to SK Group's growth through household management and support. The Supreme Court on October 16 last year overturned the asset division portion and remanded the case to Seoul High Court. The Supreme Court determined that the KRW 30 billion allegedly transferred from former President Roh Tae-woo to former SK Group Chairman Choi Jong-hyun appeared to be illegal funds such as bribes received during the presidential term, and could not be considered Director Roh's contribution in the asset division process. The court confirmed the divorce and the KRW 2 billion alimony payment.
SK Stock Division Eligibility Remains Central Dispute
Chairman Choi's side maintains that SK shares are separate property formed based on assets inherited and gifted from predecessors, and therefore are not subject to asset division in principle. Director Roh's side argues that the shares should be considered joint property, claiming she contributed to maintaining and increasing the value of SK shares through child-rearing, household labor, and supporting Chairman Choi's management activities during the marriage of over 30 years. Chairman Choi holds 12,975,472 SK shares.
Stock Valuation Date Dispute Creates KRW 8 Trillion Gap
If SK shares are included in the asset division, the valuation date for the shares becomes a critical variable determining the division scale. Chairman Choi's side reportedly argues that assets should be evaluated based on April 16, 2024, the date of the appellate trial's final arguments, which is the fact-finding trial of the divorce lawsuit. Director Roh's side maintains that since the remanded trial also constitutes a fact-finding trial, the valuation should be based on the 26th of last month, the date of the remanded trial's final arguments. SK's stock price was KRW 160,000 on the appellate trial's final argument date but rose to KRW 815,000 on the remanded trial's final argument date, more than five times higher. Applying KRW 160,000 per share to Chairman Choi's holdings values the stake at approximately KRW 2.076 trillion. Applying KRW 815,000 per share increases the value to approximately KRW 10.575 trillion. The final division amount can vary significantly depending on the division ratio and valuation date.
Court Concluded Final Arguments on the 26th of Last Month
The remanded trial court conducted the first hearing on January 9, then referred the case to mediation to explore the possibility of settlement between both parties. However, mediation held last month failed as the parties could not narrow their differences regarding the eligibility of SK shares for division and the scale of asset division. The remanded trial court conducted final arguments on the 26th of last month with both Chairman Choi and Director Roh present, and concluded the proceedings. Both sides reportedly presented their positions on the subject, scale, and method of asset division. If the remanded trial excludes SK shares from the asset division, the division amount could be significantly reduced from the KRW 1.3808 trillion recognized by the appellate trial. Conversely, if the shares are included in the division and the recently increased stock price is reflected, the division amount could reach a substantial scale even excluding the contribution of former President Roh's illegal funds. Both parties can appeal to the Supreme Court again if they object to the remanded trial ruling on this day.
FAQ
What is the Seoul High Court ruling on the Choi Tae-won and Roh So-young divorce case on the 24th?
Seoul High Court Family Division 1 will announce its ruling on the remanded divorce asset division case between SK Group Chairman Choi Tae-won and Art Center Nabi Director Roh So-young at 2 PM on the 24th. The ruling comes approximately 9 months after the Supreme Court overturned the second trial's asset division amount of KRW 1.3808 trillion in October last year.
Why did the Supreme Court overturn the previous divorce asset division ruling?
The Supreme Court on October 16 last year determined that the KRW 30 billion allegedly transferred from former President Roh Tae-woo appeared to be illegal funds such as bribes received during the presidential term, and could not be considered Director Roh's contribution in the asset division process. The court remanded the asset division portion to Seoul High Court while confirming the divorce and KRW 2 billion alimony payment.
How does the stock valuation date affect the Choi Tae-won divorce asset division amount?
The valuation date creates a significant financial difference. Chairman Choi holds 12,975,472 SK shares. Using the April 16, 2024 appellate trial date (KRW 160,000 per share) values the stake at approximately KRW 2.076 trillion, while using the remanded trial's final argument date from last month (KRW 815,000 per share) values it at approximately KRW 10.575 trillion, creating a gap of over KRW 8 trillion.
