In Korean legal literature, a distinction is drawn between initial impossibility and subsequent impossibility. However, the Korean Civil Code (CC) lacks an express statutory definition of either term. Instead, the CC addresses the legal consequences o...
In Korean legal literature, a distinction is drawn between initial impossibility and subsequent impossibility. However, the Korean Civil Code (CC) lacks an express statutory definition of either term. Instead, the CC addresses the legal consequences of such impossibility through a fragmented framework: Article 535 CC stipulates compensation for negative interest regarding contracts plagued by initial impossibility; Article 390 CC governs compensation for damages arising from subsequent impossibility attributable to the debtor’s fault; and Article 546 CC provides the creditor with a statutory right of rescission in cases where performance becomes subsequent impossible due to the debtor’s fault. The absence of a statutory definition of impossibility within the CC has necessitated that the precise contours and parameters of the doctrine be delineated through academic commentary and legal practice.
In 2024, the Civil Code Revision Committee of the Ministry of Justice released an explanatory memorandum for the amendment of contract law. The proposed amendment of Article 535 CC is predicated on the principle that a contract directed toward an initially impossible performance remains legally valid, notwithstanding that the primary obligation to perform does not accrue. This proposed amendment comprehensively revises the previous effects of initial impossibility and is in alignment with recent amendments in the German Civil Code (Section 275) and the Japanese Civil Code (Article 412-2). The proposed amendment preserves the validity of the contract despite initial impossibility, but gives no right to claim performance, and considers compensation for positive interest rather than compensation for negative interest.
Several significant studies on impossibility have already been published in Germany and Korea. A comprehensive reformation of the system of impossibility in Korean civil law requires a thorough review of its legal-historical foundations. The modern doctrine of impossibility is rooted in Roman law and the Pandectist jurisprudence. To facilitate a revision of the CC, it is imperative to analyze the provenance and essential nature of impossibility as originally conceived. Accordingly, this article seeks to scrutinize the theory of impossibility through the lens of its Roman and Pandectist origins, ultimately elucidating its relevance to the Korean civil law.