Case Overview:

SK Group Chairman Chey Tae-won and Noh So-young, director of Art Center Nabi and daughter of former President Roh Tae-woo, have been in a high-profile divorce battle since 2017.

The Seoul High Court had ordered Chey to pay Noh ₩1.38 trillion (approx. USD 1 billion) in property division — the largest in Korean divorce history — and ₩2 billion in compensation.


Supreme Court Decision (Oct 16, 2025):

The Supreme Court overturned the property division portion of the lower court ruling and sent the case back to the Seoul High Court for recalculation.

However, it upheld the ₩2 billion alimony award and confirmed that Chey’s SK Group shares are subject to division.


Key Legal Points:

The Court ruled that ₩30 billion allegedly provided by ex-President Roh Tae-woo to his daughter and son-in-law came from illegal slush funds (bribes) during his presidency.

Such money constitutes “Performance for Illegal Cause” (불법원인급여) under Civil Act Article 746 and cannot be recognized as Noh’s contribution to asset formation or company growth.

The illegality cannot be nullified by arguing that it indirectly contributed to SK’s success.

Assets Chey gifted or transferred before the marital breakdown — such as shares donated to foundations or relatives — cannot be included in the marital property division.


Outcome:

Property division recalculation ordered.

Illegal slush fund excluded from Noh’s contribution.

Corporate shares remain divisible marital property.

Alimony (₩2 billion) confirmed.


Significance:

The ruling reinforces that courts will not recognize contributions based on illegal or unethical acts, reaffirming the principle that law does not protect unlawful conduct.

The new round in the Seoul High Court is expected to reduce the total division amount and Noh’s share ratio (35% → likely lower).

Article: https://www.lawtimes.co.kr/Case-curation/212292