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National Health Insurance Service (NHIS) to Pay 18 Million Won in Legal Fees to Former President Yoon Suk Yeol's Mother-in-Law

[비즈한국] Following the cancellation of the 2.3 billion won nursing care benefit recoupment order imposed on Choi, the mother-in-law of former President Yoon Suk Yeol, the National Health Insurance Service (NHIS) is now required to pay approximately 18 million won in legal fees incurred by her. This follows a recent partial approval of Choi's application to fix the litigation costs filed against the NHIS last September.

On November 17, the Seoul Administrative Court ruled on the application for the determination of litigation costs filed by Choi against the NHIS, stating, "It is determined that the litigation costs to be reimbursed by the respondent (NHIS) to the applicant (Choi) amount to 18,270,805 won."

Previously, in 2020, Choi was indicted on charges of opening and operating a nursing hospital by borrowing a medical license despite not being a medical professional, and illicitly receiving approximately 2.3 billion won in nursing care benefits. Subsequently, the NHIS issued a recoupment order for unjust enrichment of approximately 3.1 billion won against Choi in 2021, which was later reduced to approximately 2.5 billion won. Opposing this, Choi filed a lawsuit in April 2021 against the NHIS to cancel the unjust enrichment recoupment order.

While the administrative lawsuit was underway, the outcome of the criminal trial was overturned. Choi, who was initially sentenced to three years in prison in the first trial, was finally acquitted by the Supreme Court in December 2022.

As the basis for the recoupment order disappeared, the NHIS canceled the recoupment decision against Choi ex officio and lifted the property seizure. Since the recoupment order itself ceased to exist, the Seoul Administrative Court dismissed the lawsuit filed by Choi last June, reasoning that there is no legal interest in a lawsuit targeting a non-existent administrative action.

The court ruled that the litigation costs for this case should be borne by the defendant, the NHIS. It concluded that the cause of the lawsuit—the administrative action—was voluntarily canceled by the agency, thereby placing the liability on the NHIS.

Accordingly, Choi filed an application with the administrative court last September to fix the litigation costs. An application to fix litigation costs is made by a party when the specific amount of costs has not been calculated.

Last November, the court determined the amount the NHIS must pay to Choi to be 18,270,805 won. This amount includes approximately 15 million won in attorney's fees, as well as stamp duties and service fees. As neither party filed an appeal, this decision has been finalized. Consequently, the NHIS must reimburse Choi approximately 18 million won.