Chey Tae-won and Noh So-young Fail to Reach Settlement in First Mediation; 'Share Price' Emerges as Key Variable

Only Noh So-young Attends First Mediation Session

Chey Tae-won, Chairman of SK Group, and Noh So-young, Director of Art Center Nabi, have been unable to narrow their differences over the division of assets following their divorce. While both parties continue to clash over whether SK shares should be included in the division, legal experts believe that even if Chairman Chey leaves room for a possible settlement, the recent sharp rise in SK’s share price will become the most significant variable in determining the final amount.

The Family Division 1 of the Seoul High Court (Presiding Judge Lee Sang-joo) held the first closed mediation session for the remanded divorce trial between Chairman Chey and Director Noh on the morning of the 13th. This mediation, held four months after the initial hearing in January, was intended to seek a compromise between the two sides, but ended without any significant conclusion around 11 a.m. after about an hour. Director Noh appeared in court in person to express her position, while Chairman Chey was represented only by his attorneys. It is reported that both parties reaffirmed their existing differences regarding the scope of the assets to be divided and their respective contributions. The court plans to schedule an additional session soon to continue the mediation process.

The main issue is whether the SK shares owned by Chairman Chey should be subject to division. Chairman Chey maintains that these shares are his "special property" inherited through succession, whereas Director Noh argues that, given her contributions to the household and child-rearing, the shares should be considered marital property. Previously, the appellate court cited the fact that slush funds from former President Roh Tae-woo became seed money for SK’s growth and ruled for a division of assets totaling 1.3808 trillion won. However, the Supreme Court overturned and remanded the case, stating that the inflow of slush funds could not be considered as Director Noh’s contribution.

Legal experts note that rather than fiercely contesting the inclusion of SK shares in the division, Chairman Chey’s side may pursue a strategy of fixing the reference date for the valuation to defend the actual division amount.

Undoubtedly, the biggest variable is the skyrocketing SK share price. Director Noh’s side is expected to argue that, since this remanded trial is also the final factual review (“fact-finding trial”), the share price at the time when arguments in the current proceedings are concluded should be used as the basis for evaluating the assets. Given that SK shares have recently soared to around 550,000 won, if Director Noh’s argument is accepted, the division amount would inevitably increase arithmetically. On the other hand, Chairman Chey’s side may insist that the reference point should be the conclusion date of the arguments in the second trial (April 16, 2024), when the substantive asset formation and contribution review had effectively ended. At that time, SK shares were valued at only around 160,000 won.

If these significant differences persist, it appears that mediation will fail and a formal hearing will be scheduled.

This content was produced with the assistance of AI translation services.