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Court Upholds LG Inheritance Deal, Bolstering Koo Kwang-mo’s Control

The ruling reduces uncertainty over LG’s ownership structure with an appeal still planned.

Overview

  • On Feb. 12, the Seoul Western District Court dismissed a lawsuit by the late Koo Bon-moo’s widow, Kim Young-sik, and daughters seeking to void the 2018 inheritance settlement.
  • Judges found the agreement was lawfully executed with no evidence of fraud or deception, citing a memorandum of the late chairman’s intent and the family’s participation in negotiations.
  • Under the 2018 settlement, Koo Kwang-mo inherited 8.76 percentage points of his adoptive father’s 11.28 percent LG Corp. stake, reinforcing his control of the holding company.
  • The plaintiffs received a combined 2.52 percent of LG Corp. and other assets worth about 500 billion won, including financial investments, real estate and artwork.
  • The family said they deeply regret the decision and will appeal, leaving the case open even as the first round of litigation concludes and a major ownership overhang eases.