The South Korean Ministry of Justice announced on December 15th that the government won a complete victory in the international investment dispute with the Swiss elevator company Schindler. The arbitral tribunal dismissed Schindler's claims for damages amounting to 325 billion won, which had been adjusted down from an initial claim of 2.59 billion Swiss francs (approximately 490 billion won). Consequently, the South Korean government will also be reimbursed for legal costs amounting to 9.6 billion won following the decision. The victory is framed as a significant triumph over a major global corporation, enhancing the government's standing in international legal circles.

This case began in 2018 when Schindler raised allegations that the Korean government agencies, including the Fair Trade Commission and the Financial Supervisory Service, had failed to properly exercise their investigatory and supervisory powers, leading to a substantial loss in the stock value of Hyundai Elevator, in which Schindler had invested. The arbitration panel accepted the government's argument that Schindler's claims stemmed from a 'shareholder management rights dispute' and reaffirmed that the South Korean government had acted within its legal authority, conducting sufficient investigations and fulfilling its 'investor protection obligations.'

The Ministry of Justice stated that this victory, achieved through meticulous legal development and evidence gathering, represents a significant defense against the aggressive actions of global corporations and sets an important precedent for future similar disputes. Remarkably, this win follows a series of recent successes for the South Korean government in international investment litigation, including victories against U.S. hedge fund Lone Star and American private equity firm Elliott, highlighting a robust approach to defending national interests in the realm of international trade and investment disputes.