SEOUL -- A ruling in the South Korean lawsuit where former requisitioned workers from the Korean Peninsula sought compensation from Nippon Steel Corp. -- formerly Nippon Steel & Sumitomo Metal Corp. -- has been finalized. The "service by publication" against Nippon Steel, which opposed the ruling, became effective at midnight on Monday. The "service by publication" is a court procedure that permits the seizure of part of a company's assets, whether actually received by the company or not, through a written court order.
The focus of attention now shifts to when a Korean court will issue a "sales order" to sell the seized assets as compensation.
On Monday, the South Korean Foreign Ministry said it will explore solutions on the premise of "respect for judicial decisions" and "Korea-Japan relations." The statement apparently stressed importance on respecting the 2018 South Korean Supreme Court ruling that ordered Nippon Steel to pay compensation.
The Japanese government stands firm that the issue of compensation has already been settled under the 1965 Agreement on the Settlement of Problems concerning Property and Claims, and on Economic Cooperation between the two countries.
"The gap between the two countries hasn't closed," said a diplomatic source knowledgeable on Japan-South Korea relations.
Following the decision for assets to be seized, the Japanese government refused to deliver related documents to Nippon Steel, but the South Korean court started procedures for the "service by publication" in June.
In South Korea some say the sales order will be issued in the coming months, but since Nippon Steel has announced they will file an immediate appeal on Tuesday, and auctions will have to be carried out, so there will be some time before the assets are converted into cash.
Read more from The Japan News at https://japannews.yomiuri.co.jp/
