South Korea

The seller isn't fulfilling the contract.

3 years
Limitation period
Article 563
Breach remedy
Article 548
Contract cancellation
Article 390
Damages claim
The Short Answer

If a seller in South Korea fails to fulfill a sales contract, the buyer may demand performance, cancel the contract, or claim damages under the Korean Civil Act.

What the Law Says

South Korean law provides clear remedies when a seller fails to perform under a sales contract. The Civil Act sets out the buyer’s rights to demand performance, cancel the contract, or seek compensation.

Under Article 563 of the Civil Act, if a seller does not deliver the goods or deliver defective goods, the buyer may demand specific performance, repair, replacement, or reduction of price.

If the breach is material — for example, non-delivery without just cause — the buyer may cancel the contract under Article 548, provided they give notice to the seller and allow a reasonable time for performance unless the delay is fundamental.

The buyer may also claim damages for losses caused by the seller’s non-performance under Article 390, which allows compensation for foreseeable harm arising from breach.

Claims for breach of contract are subject to a general limitation period of three years from the time the right to claim arises, as stipulated in Article 162 of the Civil Act.

Statutory Text

If one party to a contract fails to perform his obligation, the other party may demand performance thereof, or may claim damages for non-performance.

Civil Act, s. 563 — Remedies for Non-performance
Statutory Text

A party may cancel a contract if the other party fails to perform his obligation and such failure is material to the purpose of the contract.

Civil Act, s. 548 — Cancellation of Contract
Statutory Text

A person who fails to perform an obligation shall compensate the other party for damages arising therefrom.

Civil Act, s. 390 — Liability for Damages
Statutory Text

A claim for damages arising from non-performance of a contract shall be extinguished by prescription after three years from the time the claimant becomes aware of the damage and the obligor.

Civil Act, s. 162 — Limitation Period

What to Do

1

Send a written notice to the seller demanding performance or stating intent to cancel.

2

Allow a reasonable time for cure unless the breach is fundamental (e.g., no delivery by agreed date).

3

If unresolved, file a claim for damages or cancellation with the competent court within 3 years.

4

Keep all evidence: contract, payment records, correspondence, and delivery attempts.

Sources

Not legal advice. This article is general information based on publicly available sources, written for educational purposes. Laws change and individual situations vary. Consult a licensed attorney in your jurisdiction before acting on anything you read here. Last reviewed: 2026-06-08.