South Korean billionaire Chey Tae-won to pay $1bn in record divorce ruling

Chey Tae-won, chairman of SK Group, and his ex-wife, Roh So-young, recently finalized their high-profile divorce settlement. The Seoul High Court’s decision on May 30, 2024, brought an end to a lengthy legal battle that has been ongoing since 2015 when Chey first admitted to an extramarital affair and fathering a child outside of marriage.

Chey and Roh married in 1988 and have three children. Their marital issues became public in 2015, leading to Chey filing for divorce in 2017. Roh initially resisted the divorce but eventually filed suit in 2019, seeking significant alimony and a share of Chey’s SK Group stock holdings.

The Seoul Family Court had previously ruled in December 2022 that Chey must pay Roh 66.5 billion won ($50 million) in property settlement and 100 million won ($75,870) in alimony. This ruling, however, did not include a share of Chey’s stocks in SK Inc., which Roh had originally demanded. She argued that the stocks were purchased during their marriage and that she contributed to their value increase through her support.

Roh appealed the decision, asserting her claim to 50% of Chey’s shares in SK Inc., valued at approximately 1.36 trillion won. The court had excluded these shares from the division, considering them Chey’s personal property acquired before marriage.

On May 30, 2024, the Seoul High Court reaffirmed the previous settlement but ordered additional detailed reviews and income expenditure details from both parties during their marriage. The court maintained its stance that Roh’s contributions did not justify a claim to Chey’s stocks in SK Inc. but recognized her contribution to the overall property, hence the substantial cash settlement.