The Seoul Bankruptcy Court located in Seocho-dong is pushing for a transfer to a building owned by the Korea Asset Management Corporation (KAMCO) in Yangjae-dong. This marks the first time since its opening in 2017 that the court is preparing to move outside of its current premises. An expense of 16.9 billion won for this plan has reportedly been included in next year's government budget.
The transfer of the Seoul Bankruptcy Court was initiated to address the shortage of courtrooms at the Seoul High Court and the Seoul Central District Court. Recently, as the number of corporate and personal rehabilitation cases surged, the Seoul Bankruptcy Court has also experienced space shortages. The Seoul Administrative Court and the Seoul Family Court are located in Yangjae-dong. If the transfer of the Bankruptcy Court is confirmed, there is speculation that Yangjae-dong could emerge as a new legal town following Seocho-dong.
According to a report by ChosunBiz on the 30th, the remodeling expenses and rent amounting to 16.9 billion won for the Seoul Bankruptcy Court's transfer to KAMCO's Yangjae Tower have been reflected in next year's government budget approved at the Cabinet meeting the previous day. Once confirmed through parliamentary review, the Seoul Bankruptcy Court will begin preparations for the transfer in earnest. The transfer could be possible as early as August or September next year.
Currently, the Seoul High Court, the Seoul Central District Court, and the Seoul Bankruptcy Court are all located near Gyodae Station. Most of the buildings were constructed in the 1980s and 1990s. Over the past 30 years, the number of cases filed at the court has increased, as has the number of judges, but the court facilities have remained unchanged. As a result, judges are sharing days to conduct trials due to a lack of courtrooms.
To address these issues, the Court Administration Office is promoting the construction of a second courthouse and has decided to utilize the existing Seoul Bankruptcy Court building until the construction officially begins. The Seoul Bankruptcy Court will move out, allowing the Seoul High Court and the Seoul Central District Court to use that space.
The Seoul Bankruptcy Court was also facing a shortage of space due to the recent surge in rehabilitation cases. The number of personal rehabilitation cases filed has increased from about 15,000 in 2017, the year the Seoul Bankruptcy Court was established, to 25,411 last year. Corporations file approximately 300 to 400 rehabilitation cases each year, and recently there have been a series of rehabilitation applications from well-known companies such as TMON and WeMakePrice, which have garnered significant public interest.
The building to be leased by the Seoul Bankruptcy Court was deemed more suitable for security aspects as a public institution-owned building rather than a private building. Additionally, KAMCO's Yangjae Tower is just a three-minute walk from Yangjae Station, making it easier for both individuals and corporations to access compared to the current location, where it takes around 10 minutes to walk from Gyodae Station.
Meanwhile, if the transfer of the Seoul Bankruptcy Court is confirmed, three courts will establish themselves in Yangjae-dong. Previously, the Seoul Family Court and the Seoul Administrative Court moved to Yangjae-dong in 2012. KAMCO's Yangjae Tower and the Seoul Family Court and Seoul Administrative Court are roughly a 13-minute walk apart, diagonally facing each other.