Kim Yong-dae, a lawyer at Hanbyol Law LLC, explained that legal fees for simple loans can be included in the list of creditors when applying for personal rehabilitation, which means that legal fees, such as attorneys' fees that are determined in the first trial, can be treated as general debts in the rehabilitation/bankruptcy process.

However, he also pointed out that there may be reasons for excluding discharge, such as tort claims, so the nature of the lawsuit must be examined first. The strategy of reducing claims through appeals and initiating rehabilitation proceedings in advance, even during litigation, each has its own advantages and disadvantages, so it is necessary to make a case-by-case choice.

As a practical matter, Mr. Kim emphasized that the most important step to take is to include the court and case number of the ongoing litigation in the list of creditors in personal rehabilitation, as well as the estimated litigation costs. According to the relevant law (Debtor Rehabilitation and Bankruptcy Act), debts that are not listed on the list are not discharged, so litigation costs will remain a burden if omitted.