GTT-KFTC update: Supreme Court rejects GTT’s December appeal

The Supreme Court of Korea has rejected GTT’s appeal filed in December 2022 against the decision of the Seoul High Court, confirming the company’s obligation to separate, in whole or in part, the technology license and the technical assistance if requested by the Korean shipyards.

GTT acknowledged the decision, expressing it was surprised by it.

It stated that its provision of technical assistance and engineering services are essential to ensure the safety and performance of its solutions and that its unique expertise is crucial to the safety of LNG maritime transport.

It noted that it is still committed to defending its interests and those of the entire LNG industry, and is considering the ‘most appropriate actions to be taken in order to maintain its rights.’

GTT also said it does not anticipate any significant financial impact in the short or medium term.

To remind, in December 2020, the Korea Fair Trade Commission (KFTC) ordered GTT to allow the Korean shipyards, upon their request, to perform all or part of the technical assistance services currently included in the technology license as well as to pay an administrative fine of €9.5 million.

GTT made an appeal before the Seoul High Court, and since, the two sides have faced multiple court decisions, the latest one occurring three months ago. At the time, the Supreme Court suspended the effects of the decision of the Seoul High Court, which revoked the administrative fine paid by GTT in early 2021 but confirmed the company’s obligation to separate the technology license from the technical assistance.