Associations & cooperatives

Disposal of Clan (Jongjung) Real Estate by General Meeting Resolution — Notice of Convocation, Minutes, and Property Tax Liability

Real estate owned by a clan (jongjung) is held in collective ownership by all clan members, so disposals such as sale, exchange, or provision as collateral are made by resolution of the clan members' general meeting unless the bylaws provide otherwise (Civil Act, Articles 275 and 276(1)). For clan property registered in an individual's name, the person listed in the public register is liable for property tax unless clan ownership is reported, and this report must be made within 15 days from June 1, the tax base date (Local Tax Act, Articles 107(2)3, 114, and 120(1)3).

Procedure

Procedure type
  • Drafting Difficulty Low

    Work completed by drafting documents such as contracts, certified letters or statements of fact, without review by a government authority.

  1. 1. Check the disposal provisions in the clan bylaws

    Collective ownership is governed by the association's articles or other agreements and, beyond those, by Articles 276 and 277 of the Civil Act, so if the bylaws set the resolving body, quorum, and convocation method for disposals, those provisions apply (Civil Act, Article 275(2)). If the bylaws are silent, disposal of collectively owned property must be made by resolution of the clan members' general meeting, and the representative cannot decide on a disposal alone without a resolution (same Act, Article 276(1)).

  2. 2. Prepare the member roster and send the convocation notice

    Compile a roster of the clan members to be notified with their names, addresses, and contact details, and send a convocation notice stating as the agenda the location, lot number, and area of the property to be disposed of and the method of disposal. If the bylaws do not set a convocation method, the notice is prepared with reference to the general meeting rule for incorporated associations in Article 71 of the Civil Act (notice stating the agenda sent one week in advance), and Article 72 of the same Act provides that resolutions may be made only on matters included in the notice.

  3. 3. Hold the meeting and draft the resolution and minutes

    At the meeting, the number of members present and the votes for and against are confirmed, and resolutions are made on the property to be disposed of, the method and price basis, the clan-name account to receive the sale proceeds, and the representative who will sign the contract. If the bylaws set no quorum, Article 75(1) of the Civil Act (attendance of a majority of members and a majority of votes of those present) is used as a reference, and members who vote in writing or by proxy are documented with written resolutions and powers of authorized agent (same Act, Articles 73(2) and 75(2)).

  4. 4. Check the representative appointment documents and the unique number certificate

    Registration of clan real estate is applied for in the clan's name by its representative (Registration of Real Estate Act, Article 26), and when the clan is the registration obligor, the bylaws, information proving the representative's status, and information proving the resolution under Article 276(1) of the Civil Act must be provided to the registry office (Rules on Registration of Real Estate, Article 48). If the minutes appointing the representative or the unique number certificate are not yet in place, they are prepared together with the disposal resolution, and registration proceeds as a separate procedure.

  5. 5. Check property tax on clan property held in an individual's name

    If clan property is registered in the name of an individual member, the person listed in the public register is liable for property tax unless clan ownership is reported (Local Tax Act, Article 107(2)3). The registered owner must report to the city, county, or district where the property is located within 15 days from June 1, the tax base date, with evidence showing the facts (same Act, Articles 114 and 120(1)3), so the history of the title is also recorded in the meeting minutes and property list.

Required documents

  • No prescribed form (an internal clan resolution procedure for which no statutory application form exists)
  • Clan bylaws (including provisions on the resolving body, quorum, and convocation method for disposals)
  • Roster of clan members to be notified (names, addresses, contact details)
  • Convocation notice and record of dispatch (agenda stating the property to be disposed of)
  • Minutes of the general meeting resolving the disposal, with written resolutions and powers of authorized agent
  • Minutes of the general meeting appointing the representative and a copy of the representative's ID
  • Copy of the clan's unique number certificate
  • Certified copy of the real estate register and land ledger for the property to be disposed of

Fees

Administrative service fee
  • Basic scope from KRW 800,000
All administrative service fees exclude 10% VAT.

There is no government fee prescribed by law for drafting the convocation notice, resolution, and minutes of the clan members' general meeting, but actual costs such as postage for the convocation notices apply. Our office fee starts from the amount shown above and may vary depending on the number of clan members, the scope of the convocation notice, and whether the bylaws need to be revised; we will give you an exact quote after reviewing your documents.

Legal basis and review date

  • Civil Act, Article 71
  • Civil Act, Article 72
  • Civil Act, Article 73
  • Civil Act, Article 75
  • Civil Act, Article 275
  • Civil Act, Article 276
  • Registration of Real Estate Act, Article 26
  • Rules on Registration of Real Estate, Article 48
  • Local Tax Act, Article 107
  • Local Tax Act, Article 114
  • Local Tax Act, Article 120

Checked against the statutes on

Statutes and public notices change, so each case needs to be checked individually. Statute titles are given in English for reference. The Korean statutes are the authoritative text.

Check these first

  • If clan real estate is disposed of without a resolution of the clan members' general meeting where the bylaws are silent, the validity of the disposal may be questioned as not conforming to Article 276(1) of the Civil Act, so the resolution must be completed before the sale contract (Civil Act, Articles 275 and 276).
  • For clan property registered in an individual's name, property tax is imposed on the registered owner unless clan ownership is reported within 15 days from June 1 (Local Tax Act, Articles 107(2)3, 114, and 120(1)3).

Frequently asked questions

Can the clan representative sell clan land alone?
No, unless the bylaws provide otherwise. Disposal of collectively owned property is made by resolution of the members' general meeting, so disposing of clan real estate requires a resolution of the clan members' general meeting (Civil Act, Article 276(1)). If the bylaws separately set the disposal authority or resolving body, the bylaws apply (same Act, Article 275(2)).
What is the quorum for a clan general meeting to sell clan land?
If the bylaws set a quorum, that standard applies (Civil Act, Article 275(2)). If the bylaws are silent, the meeting is prepared with reference to Article 75(1) of the Civil Act, the general meeting rule for incorporated associations (attendance of a majority of members and a majority of votes of those present), and members who vote in writing or by proxy are deemed present (same Act, Articles 73(2) and 75(2)).
How many days in advance must notice of a clan general meeting be given?
The period and method set in the bylaws apply. If the bylaws are silent, the notice is prepared based on Article 71 of the Civil Act, which requires notice stating the agenda one week in advance, and since Article 72 of the same Act provides that, unless the articles provide otherwise, resolutions may be made only on matters included in the notice, the property to be disposed of must be stated specifically in the agenda.
Who pays property tax on clan land registered in an individual's name?
Unless clan ownership is reported, the registered owner pays (Local Tax Act, Article 107(2)3). The registered owner must report to the city, county, or district where the property is located within 15 days from June 1, the tax base date, with supporting evidence (same Act, Articles 114 and 120(1)3), and if no report is made, the local government may investigate ex officio and enter the property in the tax roll (same Act, Article 120(3)).
Are general meeting minutes needed to register the sale of clan land?
Yes. When a clan applies for registration as the registration obligor, information proving the resolution under Article 276(1) of the Civil Act must be provided to the registry office together with the bylaws and information proving the representative's status (Rules on Registration of Real Estate, Article 48). Registration is a separate procedure applied for in the clan's name by its representative (Registration of Real Estate Act, Article 26).
Can I entrust the preparation of clan general meeting documents to an administrative agent?
Yes. Hwang Yunsang Administrative Office reviews the disposal provisions of the clan bylaws, organizes the member roster, and drafts the convocation notice, disposal resolution, written resolutions, minutes, and representative appointment documents, and also drafts the bylaws and minutes needed for issuing the unique number certificate. Registration and property taxation are handled by the registry office and the city, county, or district in accordance with the law.

Contact us

Hwang Yunsang Administrative Office in Songdo, Incheon prepares and submits administrative documents and explains the procedure. If your situation is similar, send us a message.

📍 2697, 26F POSCO Tower-Songdo, 165 Convensia-daero, Yeonsu-gu, Incheon, Republic of Korea · 📞 010-3374-2687 · 🌐 hwangadmin.com

This guide is general information based on public sources. Requirements, documents and deadlines differ by case and by the competent agency, so please confirm them before you proceed.