‘Slanted playing field’ Korea vs. ‘Forcing evidence’ USA… The direction of the Coupang lawsuit

[Interview] Son Dong-hu, SJKP American lawyer, "American court evidence can be used in Korea as well."
 

Victims of Coupang's recent personal information leak incident have filed a lawsuit against the U.S. headquarters (Coupang Inc.), drawing industry attention. The legal community considers the 'discovery' (evidence discovery) system, which does not exist in Korea, as the key to victory or defeat, and believes that Coupang's internal reporting system and concealment circumstances, which were shrouded in mystery, may be revealed. There are also predictions that the evidence secured during this process could determine the direction of lawsuits and investigations underway in Korea.

In an interview with Money S on the 6th, American lawyer Son Dong-hoo of SJKP, who leads Coupang's U.S. lawsuit, suggested that proceeding with Coupang's lawsuit in U.S. courts rather than in Korea could increase the success rate. The background to Attorney Son’s suggestion is the compulsion to ‘secure evidence.’

Attorney Son said, “Korean litigation is like a ‘tilted playing field,’” and pointed out, “The victim has to prove the company’s wrongdoing, but in many cases, the company does not release important server records or internal reports.”

On the other hand, the situation is different in the United States. This is because there is a discovery system that obligates both sides to disclose evidence before the trial begins. Attorney Son explained, "In the United States, companies can be forced to release all data related to a case, including internal emails, messenger conversations, and server access records. It is this system that Korean companies are most afraid of."

He explains that although Korea also has a system called 'document submission order', it is not comparable to the United States in terms of effectiveness. In Korea, the plaintiff must specifically prove that “document A is over there” and ask for it to be pointed out. However, the reality is that it is difficult for victims who do not know the internal circumstances of the company to know what to ask for.

Attorney Son added, "US Discovery can request the entire information that may be related to this case," and added, "It is virtually impossible for a company to hide data simply because it is a trade secret or is disadvantageous."
 

“Even if the server is in Korea… if there is ‘dominance’ at the head office, it is subject to force”

Some raise questions about whether it would be difficult for U.S. courts to enforce the data because it belongs to a Korean corporation (Coupang). In response to this, Attorney Son explained, "The standard for U.S. courts is not physical location, but 'who controls it?'" and "If the U.S. headquarters has the power (control) to instruct the Korean corporation to submit data, the U.S. court can issue a disclosure order even if the server is on the other side of the world."

What happens if a company deletes or does not submit unfavorable data? Attorney Son emphasized, “In an American court, destroying evidence is tantamount to suicide.” He said, “If you hide the data, the court will consider it as a de facto admission of the fact, saying, ‘How much of a sting would it take to hide it?’” and “It is even so strict that it will rule on your loss right after the trial is over.”

Attorney Son predicted that the impact of this lawsuit would not stop at the United States. He added, “Internal materials legally obtained in U.S. lawsuits can be used as decisive evidence in trials or investigations in progress in Korea,” adding, “There have been quite a few cases in the past where internal documents revealed through U.S. discovery turned the tables on Korean lawsuits.”

Lastly, Attorney Son emphasized to victims who are hesitant to participate in the lawsuit, "The class action and discovery system in the United States exists to reveal the internal truth of a company that individuals cannot access," and added, "It is not easy to file a lawsuit against a large company, but this is a process that goes beyond simple compensation and establishes the correct standards of responsibility for the company."
 

Reporter Hwang Jeong-won (jwhwang@mt.co.kr)

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'Slanted playing field' Korea vs. 'Forcing evidence' America... The direction of the Coupang lawsuit (link)