Open Decision Ledger · Constitutional, administrative & state liability
Whether a Notification of the Occurrence of Short-Swing Trading Profits Under the Financial Investment Services and Capital Markets Act May Be Recognized as a Disposition Subject to Appeal Litigation
Translated from the Korean original. Read the Korean
Supreme Court, Aug. 19, 2022, 2020Du44930 (judgment)
No holding summary · checked against points at issue. The official text publishes no summary of the holding for this decision. The quotation and factors in this record are copied verbatim from the points at issue; the evidence for each axis is taken from the points at issue, the order and the reasons.
Case name: 단기매매차익취득사실통보처분취소의소
Official text on the National Law Information Center
Question
Is a notification given by the competent authority to a listed company under Article 172, paragraph (3) of the Financial Investment Services and Capital Markets Act a disposition that is subject to appeal litigation?
Holding
Although the notification has no effect of creating or fixing a claim for restitution, it gives rise to a disclosure obligation of the corporation, thereby directly affecting its legal status, and no other means of relief exists by which to contest it; accordingly, it constitutes a disposition. However, the court below held that this action was improper as filed after the period for filing an action had elapsed, and because that conclusion was justifiable, the final appeal was dismissed.
Points at issue, verbatim
자본시장과 금융투자업에 관한 법률 제172조 제3항에 따라 관할관청이 주권상장법인에 한 단기매매차익 발생사실 통보가 항고소송의 대상이 되는 처분에 해당하는지 여부(적극)
Unofficial English translation
Whether a notification of the occurrence of short-term trading profit given by the competent authority to a listed company pursuant to Article 172(3) of the Financial Investment Services and Capital Markets Act constitutes a disposition subject to appeal litigation (affirmative)
Disposition
Dismissed Stated in the decision
상고를 기각한다.
Unofficial English translation
The appeal is dismissed.
Form of the test
Existing test applied Read from the decision
단기매매차익 발생사실 통보는 항고소송의 대상이 되는 처분에 해당한다고 봄이 타당하다
Unofficial English translation
It is reasonable to regard a notification of the occurrence of short-term trading profit as constituting a disposition subject to appeal litigation
Factors
- 행정청의 행위가 항고소송의 대상이 될 수 있는지 결정하는 방법
- 관할관청이 주권상장법인에 한 단기매매차익 발생사실 통보
- 항고소송의 대상이 되는 처분에 해당하는지 여부
Unofficial English translation
• The method for determining whether an act of an administrative agency may become the subject of appeal litigation
• A notification of the occurrence of short-term trading profit given by the competent authority to a listed company
• Whether it constitutes a disposition subject to appeal litigation
Relation to precedent
Follows earlier decisions Stated in the decision
대법원 2010. 11. 18. 선고 2008두167 전원합의체 판결
Unofficial English translation
Supreme Court en banc judgment 2008Du167 decided November 18, 2010
Decisions referred to
[1] 대법원 2010. 11. 18. 선고 2008두167 전원합의체 판결(공2010하, 2279), 대법원 2022. 3. 17. 선고 2021두53894 판결(공2022상, 721)
Burden of proof
Not addressed Not in the decision
Open question and revisit condition
Do persons identified as having acquired short-swing trading profits, such as officers and employees or major shareholders, rather than the listed company that is the recipient of the notification, also have standing to sue to contest this notification?
If the notification and disclosure structure of Article 172, paragraph (3) of the Financial Investment Services and Capital Markets Act is amended, or if the objection procedure under the Regulations on Capital Market Investigation Operations is reorganized as a special administrative appeal, this reading will be re-examined.
Cross-family AI independent reading & axis check
7 of 8 axes matched GPT-6 Astra (OpenAI, codex CLI) · 2026-10-16
When compared with an independent reading by another AI (GPT-6 Astra), which read only the original text without seeing the first reading, 7 of the 8 axes matched, and the readings diverged on axis 4 (Form of the test).
Axis 4 (Form of the test): Primary “Existing test applied” vs Independent “Circumstances weighed”
Because the Holdings address both the general method of determining whether an act is a disposition and the disposition status of the notification at issue, the first reading emphasized concrete application, while the independent reading may be seen as emphasizing the weighing of the various circumstances.
행정청의 행위가 항고소송의 대상이 될 수 있는지 결정하는 방법Raw responses and comparison record: Protocol · Blind readings (JSONL) · Axis comparison (JSONL) · SHA-256 (JSON)
Lower-court contrast & scope of application
Lower-court reading vs. Supreme Court holding
Lower-court context: The court below held that the notification of the occurrence of short-swing trading profits given by the defendant to ○○○ Co., Ltd. was not an object of appeal litigation, and further held that the objection procedure under Article 39 of the Regulations on Capital Market Investigation Operations was not a special administrative appeal procedure, so that the period for filing an action began to run from the date on which the existence of the disposition became known; because the action was filed after that period had elapsed, the action was improper.
Supreme Court standard: The Supreme Court pointed out that, because the notification gives rise to a disclosure obligation, directly affects legal status, and affords no other means of relief by which to contest it, it constitutes a disposition, and that the court below's determination on its status as a disposition was a misunderstanding of legal principle. However, since the court below's conclusion that the action was improper because the period for filing an action had elapsed was justifiable, the Court found that this error did not affect the outcome of the judgment and dismissed the final appeal.
Distinguishing conditions
- Where the act of the competent authority does not give rise to legal obligations such as a disclosure obligation on the part of the recipient and is limited to the mere provision of materials or information
- Where separate civil or administrative means of relief are available to contest the illegality of the act in question
- Where the period for filing an action has already expired, or where the objection procedure is not recognized as a special administrative appeal procedure, so that the proviso to Article 20, paragraph (1) of the Administrative Litigation Act does not apply
Record verification notes
x
From the official text
Points at issue
[1] 행정청의 행위가 항고소송의 대상이 될 수 있는지 결정하는 방법 [2] 자본시장과 금융투자업에 관한 법률 제172조 제3항에 따라 관할관청이 주권상장법인에 한 단기매매차익 발생사실 통보가 항고소송의 대상이 되는 처분에 해당하는지 여부(적극)
Unofficial English translation
[1] The method for determining whether an act of an administrative agency may become the subject of appeal litigation [2] Whether a notification of the occurrence of short-term trading profit given by the competent authority to a listed company pursuant to Article 172(3) of the Financial Investment Services and Capital Markets Act constitutes a disposition subject to appeal litigation (affirmative)
Summary of the holding
The official text publishes no summary of the holding for this decision. The quotation and factors in this record are copied verbatim from the points at issue; the evidence for each axis is taken from the points at issue, the order and the reasons.
Order
상고를 기각한다. 상고비용은 원고가 부담한다.
Unofficial English translation
The appeal is dismissed. The plaintiff shall bear the costs of the appeal.
Provisions referred to
[1] 행정소송법 제2조 제1항 제1호 [2] 자본시장과 금융투자업에 관한 법률 제172조 제1항, 제2항, 제3항, 행정소송법 제2조 제1항 제1호
Read 2026-10-16 · Cross-read 2026-10-16. All quotes matched against the official text. The Chinese-character placeholders the court used for anonymised parties are given in their Korean readings, and parenthetical Chinese-character glosses are omitted.
Every entry is published only after all quotes have been matched character by character against the official text, and audited by an independent second reading from a different model family across all eight axes. Both agreed axes and text-grounded interpretive divergences are recorded openly. The ledger is a research record, not an assessment of the court or advice on any matter.
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