Case Studies
Review of professional contract for conditional assignment and publishing contract of musical copyright works.
Law firm Veat has reviewed music publishing contracts for an intellectual property specialist company, examining the legal aspects. Law firm Veat’s TIP (Technology Intellectual Property) team successfully performed the complex contract review work of distributing musical works of domestic songwriters as publishers. In this process, the Law firm Veat TIP team comprehensively analyzed various legal aspects, including whether it falls under “work for hire” under copyright law, prepayment recovery clauses, and the applicability of the Usury Law, to enable the client to conduct publishing activities without legal risks. The Law firm Veat TIP team meticulously examined the comprehensive sublicense grant clauses and litigation authority within publishing contracts, identifying potential affiliation with “work for hire” and intellectual property agency businesses, and provided legal interpretation suitable for the client’s business model. Regarding the applicability of the Usury Law, the team deleted or modified relevant clauses in the publishing contracts that could be interpreted as usury and restructured the prepayment recovery clause to be favorable to the client. Furthermore, the team carefully examined copyright issues arising from distributing works entrusted to the Korea Music Authorship Association. The Law firm Veat TIP team drafted a copyright assignment agreement subject to conditions required for submission to the Korea Music Authorship Association and guided the client to comply with the relevant procedures. The team also meticulously examined compliance with relevant statutes, such as the Civil Procedure Act, regarding the publishing contracts to enable the client to effectively prepare for and mitigate legal risks and establish a stable foundation for business operations. TIP team with high expertise in copyright and intellectual property fields The Law firm Veat’s TIP team comprehensively examines legal aspects related to the client’s contract drafting and, through its expertise in copyright and intellectual property management, helps the client to operate its business without legal issues. The Law firm Veat’s TIP team handled a lawsuit against a publishing company that infringed the personality rights of a famous classical pianist, and this case is highly regarded as a case that emphasizes the independent rights of copyright holders and reaffirms important principles of the copyright law. The Law firm Veat’s TIP team, led by Partner Oh Seungjong, who served as Chairman of the Copyright Committee, is composed of experts with deep professional expertise and practical experience in the field of copyright and intellectual property. The TIP team plays a role as a reliable support for creators who need legal protection, protecting their rights and actively responding to infringements of copyright and intellectual property rights. In the complex and diversified copyright and intellectual property legal environment, the professional support of Law firm Veat proves its value as a trusted legal partner. If you need legal advice regarding publishing licenses, such as copyright assignment agreements subject to conditions, please contact Law firm Veat. Thank you. Law firm Veat
[Silentist] Selected for TIPS, a Technology Startup Support Program of the Ministry of SMEs and Startups
Law firm Veat provides virtual asset analysis and operational solutions. Silientist has been selected for the ‘TiPS (TIPS)’ program of the Ministry of SMEs and Startups’ technology startup support program. Silientist is developing groundbreaking analysis technology in the virtual asset market based on blockchain data and market data, and is optimizing the methods primarily used for investment analysis of regulated assets for virtual asset projects, providing data analysis at a new level. Law firm Veat is pleased to accompany Silientist on a successful path during the innovative blockchain technology development and business expansion process, and will continue to support the growth of innovative companies like Silientist through expert advice leveraging Veat's expertise to enable customer companies to grow through its technological advancement and business success. For more detailed information, please refer to the following article. (Reference Article: Even ordinary people can easily invest in virtual assets… Silientist selected for TiPS – Money Today (mt.co.kr)) Thank you. Law firm Veat.
“Legal review for exemption from prior notification of overseas direct investment”
Law firm Veat undertook detailed reviews regarding foreign direct investment applications and third-party payment notifications, responding to a mandate from domestic company A regarding the establishment of overseas subsidiaries. The establishment of overseas subsidiaries is a principle that domestic companies must proactively undertake. However, investments of up to US$50,000 allow for the subsequent submission of notifications. Law firm Veat’s Overseas Investment Reporting Center provides detailed explanations of the relevant regulations alongside clear guidance and comprehensively explains the legal matters that must be considered during subsequent reporting. Furthermore, when transferring capital to overseas subsidiaries, the Center assesses whether the local establishment agents can prepay capital. Generally, consultation regarding compliance with these regulations is essential as payments to third parties require separate notification requirements. Law firm Veat’s Overseas Investment Reporting Center provides the most optimal solutions for clients, ensuring compliance with the “Foreign Exchange Transactions Act” and foreign exchange regulations, and supports smooth implementation of complex foreign exchange transactions. “Foreign Exchange Transactions Act” and foreign exchange regulations review for global market entry Many companies have established overseas subsidiaries as their first step to enter the global market. However, this process involves more than just investment; it encompasses a complex process that requires strict adherence to domestic and foreign laws. The “Foreign Exchange Transactions Act” is particularly important here. For participation in the management of a corporation established under foreign laws (including corporations under establishment, referred to as “foreign corporations” hereafter), the acquisition of shares or capital contributions will be subject to investment of more than 10% of the total issued shares or total capital of the foreign corporation (in cases where shares or capital contributions are jointly acquired, the total proportion of shares or capital contributions is referred to as “investment ratio” in this section). Individuals residing abroad who wish to make foreign direct investments (including capital increases) or who receive shares or capital contributions from residing foreign direct investors to conduct foreign direct investment must report to one of the branches of the foreign exchange banks designated under Article 8(1) of the “Foreign Exchange Transactions Act”. However, foreign corporations undertaking capital increases through internal retained earnings or capital surplus may report after the fact, and investments of up to US$500,000 can be reported within one month after the date of payment of funds. Law firm Veat is a trusted partner for domestic companies venturing into the international market, providing professional legal advice on overseas investments. Law firm Veat – Specialized Overseas Investment Reporting Center for Overseas Investment and Foreign Exchange Reporting For startups and various companies preparing for a serious overseas expansion, Law firm Veat’s Overseas Investment Reporting Center has played a key role as a critical support for their successful global expansion. Law firm Veat’s Overseas Investment Reporting Center experts provide tailored professional advice based on their deep understanding of foreign exchange regulations and support companies in strategically navigating their international ventures. Companies interested in preparing for foreign investment or with any questions, are welcome to contact Law firm Veat’s Overseas Investment Reporting Center.
Law firm Veat legal review of the full English contract for overseas artist's LOL Worlds Tournament Fan Fest (WORLDS Fan Fest) visit Korea performance.
Law firm Veat represented a domestic performance planning company to professionally support and draft the English performance contract necessary for the visit of a famous overseas artist’s LOL Worlds Rolldcup Fan Fest. Law firm Veat ensured that the contract included the technical requirements (Technical rider) and hospitality requirements to ensure the artist had the optimal conditions for the performance. In addition, carefully mediated to prevent disputes related to copyright and intellectual property. In particular, Law firm Veat clearly organized the complex relationship and rights and obligations between the performance organizer, the overseas artist, and the performance planning company, completing a performance contract that allows all parties to mutually benefit. This project was a large-scale event where the artist performed in front of thousands of domestic fans as well as tens of thousands of VOD viewers worldwide. Furthermore, Seoul City took the special measure of granting permission to use Gwanghwamun Square, which was previously unavailable, for esports events. What is a Rider in a Performance Contract? A critical part of a performance contract is a document called a ‘rider’. A rider is a document containing the artist's specific requirements, containing various requests that reflect the artist's tastes and preferences, and plays an important role in the successful progress of the performance.
An Il-woon Partner Attorney, interviewed by Outstanding, a IT-specialized news media, regarding the Pa Do-sa incident lawsuit.
Veat’s Anil Moon Partner Attorney has detailed the Padusaite, a company that successfully went public after raising a large investment and then saw its stock price and market capitalization suddenly decline, leading to a mass lawsuit, based on professional opinions regarding the company, through the content of the Outstanding interview with IT specialist news media. For more detailed interview content, please refer to the following article. Regarding investment, corporate advisory and legal advice related to this interview, please contact Veat Law Firm at any time. Besides the market situation, Padu successfully raised a large investment and went public, then saw its stock price and market capitalization suddenly decline, leading to a mass lawsuit, which has attracted considerable attention. An-il Moon Partner Attorney has detailed the Padusaite, a company that successfully went public after raising a large investment and then saw its stock price and market capitalization suddenly decline, leading to a mass lawsuit, which has attracted considerable attention. Through the content of the Outstanding interview with IT specialist news media. - How much did Padu not know about the second quarter performance before going public? – Easy and fun IT news, Outstanding! In a typical damage compensation lawsuit, the defendant must prove the cause of damages and the exact amount of damages incurred, and the victim must prove it. However, the Capital Markets Act stipulates that in cases of damage compensation lawsuits related to false or omitted information in the prospectus and investment explanation, if only the decline in stock prices is caused by false or omitted information, then the damage compensation amount is calculated by subtracting the stock market price at the end of litigation from the price at which the shares were acquired. (Capital Markets Act Article 126 Paragraph 1) Source: Outstanding (https://outstanding.kr/) Anil Moon Partner Attorney has a deep understanding of the mechanisms of companies as a former developer from a major corporation, and has accumulated abundant practical experience through the performance of various corporate advisory and legal counsel roles. As a legal mentor attorney for ICT startups of the Ministry of Science and ICT and a legal instructor for the ‘2020 Venture Startup Investment Academy’ of the Korea Bar Association, he combined theory and practice to provide deep legal advice for ‘startups’ and ‘companies’. Veat Law Firm has been recognized for its expertise in the investment sector, ranking second in M&A legal advisory transactions based on the total number of deals in the Bloomberg Q1 2023 league table, and was selected as a finalist in three categories – ‘Deal Firm of the Year’, ‘Boutique Law Firm of the Year’, and ‘Managing Partner of the Year’ – at the ‘ALB Korea Award 2023’ hosted by Asian Legal Business (ALB), highlighting its expertise as a leading player in the investment legal market. Thank you. Veat Law Firm Dream
Conditional Subscription Agreement (SAFE) and Refundable Convertible Preferred Stock (RCPS) Legal Review
Law firm Veat provided specific consultations, including due diligence, regarding investment methods in the initial investment stage, from investor A (hereinafter referred to as “Client”). Law firm Veat provides explanations of the Subordinated Equity Purchase Agreement (SAFE) and Redeemable Convertible Preferred Stock (RCPS) methods and provides sample contracts for angel round investment formats. Furthermore, Law firm Veat’s Investment Advisory team provided detailed analysis of the Significance, advantages and disadvantages of Subordinated Equity Purchase Agreement (SAFE) and differences from Redeemable Convertible Preferred Stock (RCPS). Key features of SAFE and RCPS in startup investments The key features of SAFE and RCPS in startup investments are as follows. Features and Advantages of Subordinated Equity Purchase Agreement (SAFE) SAFE is a useful investment-raising method for early-stage startups where the valuation of a company is difficult. Essentially, a SAFE gives the investor the right to acquire shares in the future, without complex valuation or stock issuance at the time of investment. This simplifies contract execution in the initial investment stage, and allows both the startup and the investor to manage liquidity and investment risk simultaneously. Features and Advantages of Redeemable Convertible Preferred Stock (RCPS) Redeemable Convertible Preferred Stock (RCPS) is a stock that combines redemption rights, conversion rights, and priority rights. First, the Redeemable Convertible Preferred Stock (RCPS) has a redemption right that can only be exercised within the company’s profit range. Furthermore, it has a conversion right to convert into common stock and holds priority rights in the event of the company’s liquidation or dividend distribution. Redeemable Convertible Preferred Stock (RCPS) is characterized by the addition of redemption rights, conversion rights, dividend and residual asset distribution priority rights while maintaining voting rights and subscription rights Particularly, From the perspective of early-stage startups with limited capital, a tendency to prefer Redeemable Convertible Preferred Stock (RCPS) exists due to the fixed principal and interest payment obligation of warrants Law firm Veat’s Investment Advisory team has provided legal advice to various startups and venture companies with its deep expertise in M&A and investment fields and extensive experience, and through this, the Investment Advisory team of Law firm Veat has accumulated experience and know-how in investment M&A advisory, and has grown together with the growth of numerous client companies such as venture companies and startups, creating synergy. Law firm Veat, Ranked 2nd in terms of transaction volume in the 2023 Q1 Bloomberg M&A League Table and was selected as a Finalist in the Koreal Deal Firm category for two consecutive years in the ALB Korea Award 2022, recognized its skills and expertise. Law firm Veat will be a strong partner to help your clients achieve stable growth. If you need legal advice on SAFE and RCPS, please contact Law firm Veat. Thank you. Law firm Veat.
Law firm Veat conducts a specialized review of the fair trade law regarding fee agreements between subsidiaries.
Law firm Veat undertakes a legal review to determine whether acts of unfair trading and improper concerted actions violate the “Act on Distribution and Fair Trade” (hereinafter “Fair Trade Act”) regarding fees paid to subsidiaries in transactions with its subsidiaries. The client requested a review of all issues related to fees paid to subsidiaries, and the Veat Startup Advisory Team provided guidance on how to minimize future legal risks by comprehensively reviewing this matter. Regarding whether the payment of fees constitutes unfair trading, the Veat Startup Advisory Team has detailed the fact that the Fair Trade Act prohibits support of assets, products, etc., or adding unreasonable additional trading stages in transactions with special relationships or other companies, and specifically prohibits paying excessive amounts to subsidiaries or paying higher amounts at trading stages in proportion to their roles. Furthermore, the Veat Startup Advisory Team thoroughly reviewed whether this matter meets the conditions of unfair concerted action under the Fair Trade Act. Regarding reviews of unlawful provisions in subsidiary fee contracts, etc., it is advisable to receive a comprehensive legal review through legal experts with abundant experience in corporate advisory to receive a comprehensive legal review to address issues that may arise in companies. When acts of unfair concerted action or unfair trade violate the Fair Trade Act Many companies worry about legal risks due to issues related to the Fair Trade Act during their business activities. In particular, whether there is a violation of the Fair Trade Act in contract formation in transactions with subsidiaries or external partners is one of the key items to be checked. The Fair Trade Act aims to prevent abuse of dominant market positions of businesses, concentration of excessive economic power, and regulate unfair trading and unfair concerted actions to promote fair and free competition, foster creative business activities, protect consumers, and promote balanced development of the national economy. The Fair Trade Commission can require the cessation of the violation act, and can impose measures necessary for correction, such as disclosing the fact of receiving a correction order. It is recommended to obtain a thorough review through a Fair Trade lawyer, considering not only the provisions on fines and penalties, but also various systems under the Fair Trade Act. Veat Startup Team provides consultations and solutions for various legal issues related to its transactions based on professional knowledge of the Fair Trade Act and extensive experience. If you need to review unfair trading and unfair concerted actions under the Fair Trade Act or require regular legal advice, please contact Law Firm Veat. Thank you. Veat Law Firm
An Il-woon Partner Attorney, "Veat" Law Firm interview on Outstanding TV, a IT specialized media channel.
The Veat Law Firm’s partner attorney, An Il-won, discussed the legality of virtual currencies through an interview with Outstanding TV, a specialized IT news media, and explained the legal scope of virtual currency businesses, specifically the legality of virtual currencies, through detailed explanations. For more detailed interview content, please refer to the video below. If you need legal advice regarding virtual currency legality reviews, or regarding virtual currency and blockchain businesses, please contact Veat Law Firm. As interest in virtual currencies has increased, the importance of judging virtual currency legality has become more critical. Partner attorney An Il-won explained in this interview that virtual currencies have some regulatory restrictions and how developed countries view virtual currencies, and up to what extent they can be considered legal or illegal, in a fun and easy-to-understand way. - Virtual Currency, How Legal is it and How Illegal is it? [AshShow 78 with Veat Law Firm’s An Il-won Attorney] Some classifications of virtual currencies resemble stocks. Simply, if you were asked to choose commonalities between stocks and shares, you can profit from buying low and selling high. In addition, there are virtual currencies that exist in the form of rights or ownership rights of shareholders, similar to stocks. In this case, it should be treated similarly to securities and receive similar regulations. That is the view of regulatory agencies in developed countries. Source: Outstanding TV (https://www.youtube.com/@outstandcrew) Partner attorney An Il-won, based on extensive understanding of blockchain, actively contributes to key business areas including ‘startup’, ‘IT’, and ‘blockchain’ and is appointed as a special committee member of the Korean Bar Association’s IT Blockchain Committee, enhancing his expertise in virtual currencies, NFTs and the ‘blockchain’ area. Veat Law Firm is a legal advisor for various blockchain business industries, including virtual currency exchanges, virtual currency project developers, and virtual currency issuers, and provides optimal legal advice by building on its experience, allowing each company to establish appropriate legal strategies in uncertain blockchain business environments, such as virtual currencies and NFTs. Thank you. Veat Law Firm.
Law firm Veat receives "2023 Republic of Korea Digital Innovation Award" Commendation from the Minister of Science and ICT.
In 2023, the Ministry of Science and ICT awarded the ‘2023 Digital Innovation Award’ at an event hosted by Pangyo Techno Valley Startup Campus, and Law Firm Veat received the Minister of Science and ICT Commendation Award for its contributions in the field of digital innovation. This award was held to discover and disseminate excellent cases contributed to overall industrial competitiveness through digital integration. Law Firm Veat was evaluated as making significant contributions to digital economy and social development through successful operation of the ICT Regulatory Sandbox and regulatory innovation. Partner Attorney Songdo Young explained, “From 2019, when the Korean Regulatory Sandbox began, we have advised and reviewed over 500 regulatory sandbox application tasks from startups to large companies, working with the Korea Startup Forum and local governments and public institutions to address regulatory improvement needs in local areas. We have received gratitude for our contributions to the development of new industries through the successful operation of the ICT Regulatory Sandbox and regulatory innovation. Law Firm Veat provides professional advisory services in all areas utilizing digital technologies and data, including Artificial Intelligence (AI), Metaverse, Cloud Computing, Big Data, Blockchain, Fintech, E-commerce, and Mobility. Led by Partner Attorney Songdo Young, and with Partner Attorneys Bae Eunbyeol and Baek Seungcheol, the Regulatory Sandbox and Legislation Consulting Team is actively playing a leading role in regulatory innovation sandbox, smart city and mobility regulatory sandbox, and regional special economic zones in various fields. We receive professional recognition from central government agencies, local governments, and companies, providing a wide range of advice. Furthermore, Law Firm Veat has attorneys and senior advisors with high expertise in diverse areas, including IT, regulations, personal information, IP (intellectual property), and M&A (Mergers and Acquisitions). Based on digital technologies and data, we offer legal support and innovative approaches for a wide range of services and disputes. We have recruited Professor Kai-suh Yang of KAIST as a technical advisor, specializing in LLM (Large Language Models) and AI, and Professor Oh Seungjong, a leading expert in copyright and IP. Looking ahead, Law Firm Veat will continue to contribute to digital innovation based on our expertise and experience. Thank you.
Legal review of copyright legitimacy of SNS platform services
Law firm Veat provides legal review for SNS platforms related to copyright infringement issues that may arise due to videos uploaded by customer companies. It offers a strong>legal review of the possibility of copyright infringement issues regarding videos and related content uploaded by users, considering that various types of works are combined in a composite nature. The customer company requested a legal review regarding copyright infringement legal issues related to videos and related content uploaded by users. Law firm Veat confirmed that the user’s uploaded videos and content are composite works with multiple types of copyrights and, based on this, conducted a copyright review, including relevant regulations. Based on the comprehensive review of the customer company’s SNS platform and the videos and content uploaded by users, it provided guidance on whether the video or content infringed copyright and took appropriate actions. Furthermore, Law firm Veat advised that online service providers have a duty to delete infringing content, block similar content from being posted in the same internet space, and to prevent the user’s copyright infringement. Specifically, if this duty is violated, a joint illegal act liability arises, and it explained that this liability arises when the online service provider facilitates the user's copyright infringement. It provided detailed guidance to the customer company on the actions it should take regarding videos or content suspected of copyright infringement to operate the SNS platform safely. Composite Works: Reasons for Specialized Review For a work to qualify for copyright protection, it requires creativity in expression, and the criteria for assessing creativity include 1) originality and 2) creative individuality. In cases where these criteria are required, the work often has a composite nature, rather than a single type, and it is more appropriate to seek confirmation from a legal expert with extensive experience in this area. Specifically, in the case of game copyrights, composite works are created by combining copyrights of various types such as literary copyrights, music copyrights, artistic copyrights, video copyrights, and computer program copyrights. In the case of computer games and mobile games, characters, items, backgrounds, and computer programs that operate according to a defined scenario and game rules in response to user actions, as well as video and background music organically combined. The creative elements, such as the creator's design and scenario, are technically implemented through a combination of various components, which can result in distinct features or individuality that distinguishes the game from other games. (Supreme Court, 2019. 6. 27. Case No. 2017da212095) Copyright Infringement: Duty of Online Service Providers Online service providers have a duty to delete infringing content and block similar content from being posted in the same internet space, and if this duty is violated, it constitutes a joint illegal act liability because the online service provider facilitates the user’s copyright infringement. (Supreme Court, 2010. 3. 11. Case No. 2009da4343) Law Firm Veat Startup Advisory Team and TIP (Technology. Intellectual Property) Team Law firm Veat’s Startup Advisory Team assists startups in resolving various legal risks that arise during their growth and operation, and Law firm Veat’s TIP (Technology. Intellectual Property) team, led by Partner Oh Seungjong, a former Chairman of the Copyright Committee, and staffed with experienced attorneys specializing in copyright and intellectual property, provides legal advice based on the team’s expertise accumulated through numerous client consultations. Thank you. Law firm Veat Dream