South Korea's largest-ever divorce resumed on June 25, 2026, when SK Group Chairman Chey Tae-won and ex-wife Roh Soh-yeong faced each other for the first time in two years after mediation failed. A 2024 ruling ordered a record 1.38 trillion won ($972 million) property split, but the Supreme Court overturned it, forcing a retrial over inherited family funds — a dispute New York courts resolve under separate-property rules.
Key Facts
| Detail | Information |
|---|---|
| What happened | Korea's largest divorce returned to trial after mediation failed; the parties met face-to-face for the first time in two years |
| When | Resumed June 25, 2026; original High Court ruling May 2024; Supreme Court reversal later in 2024 |
| Where | Seoul, South Korea (Seoul High Court / Korean Supreme Court) |
| Who's affected | SK Group Chairman Chey Tae-won and Roh Soh-yeong, daughter of late President Roh Tae-woo |
| Key issue | Whether SK Hynix shares and Roh family funds count as divisible marital property |
| Impact | 1.38 trillion won ($972M) property award vacated; ~2 billion won alimony portion at issue; control of the conglomerate in play |
Why this ruling matters legally
The Korean Supreme Court reversed the record award because it questioned whether funds traceable to Roh's family should be treated as marital property subject to division. That single classification question — separate versus marital property — is the central fault line in nearly every high-net-worth divorce worldwide, including in New York. When a nine-figure award turns on the origin of specific assets, the case stops being about generosity and becomes about tracing: proving where money came from, whether it was commingled, and whether the non-owner spouse contributed to its growth.
The reported figures are staggering. A 1.38 trillion won ($972 million) property split plus roughly 2 billion won in alimony would have been the largest wealth division in South Korean history. A surge in SK Hynix shares — driven by artificial-intelligence chip demand — is now central to whether Chey retains control of the SK conglomerate, according to Bloomberg. When a divisible asset is also a controlling stake in a public company, the divorce becomes a corporate-governance event, not just a family matter.
How New York law handles inherited wealth and business stakes
New York would resolve the core dispute in this case — the origin of Roh's family funds — under its separate-property statute. Under N.Y. Dom. Rel. Law § 236, property acquired by inheritance or gift from a third party during the marriage is separate property and is not subject to division, regardless of the marriage's length. New York is an equitable distribution state, meaning marital property is divided fairly rather than automatically 50/50, but separate property stays with the spouse who owns it — the same principle the Korean Supreme Court invoked when it vacated the award.
The complication in New York, as in Korea, is appreciation and commingling. Under DRL § 236(B)(1)(d), the increase in value of separate property is itself separate unless the other spouse's contributions helped produce that increase. So if inherited stock simply rose in value from market forces, it remains separate; but if a spouse's active management or marital funds fueled the growth, part of the appreciation can become marital and divisible. This is precisely the SK Hynix problem: was the share surge passive market appreciation, or the product of the owner-spouse's business labor during the marriage? New York courts answer that question with detailed tracing evidence, and the burden falls on the spouse claiming an asset is separate. Understanding no-fault divorce matters here too, because since 2010 New York does not require proof of wrongdoing to dissolve a marriage or to reach the property-division stage.
New York also recognizes that a business or controlling stake requires valuation, not just classification. Courts routinely appoint neutral forensic experts to value closely held companies and to separate the passive from the active components of appreciation. For readers navigating the broader sequence of steps, our overview of the divorce process explains how discovery and valuation fit into the timeline. A billionaire's controlling share is an extreme example, but the same rules govern a family business, a professional practice, or a startup equity grant in an ordinary New York case.
Practical takeaways for New York residents
-
Document the origin of every inherited or gifted asset. Keep the will, gift letter, or transfer record. Under N.Y. Dom. Rel. Law § 236, separate property stays yours only if you can prove where it came from — the spouse claiming separate status carries the burden of tracing.
-
Keep inherited money in a separate account. Depositing an inheritance into a joint account, or using it to buy a jointly titled home, can convert separate property into marital property through commingling. The Korean case turned on exactly this kind of origin-of-funds dispute.
-
Understand that appreciation can be split even when the asset is not. If your spouse's active efforts or marital funds increased the value of your separate business or stock, part of that increase may be divisible under DRL § 236(B)(1)(d). Passive market gains generally are not.
-
Get a professional valuation early for any business or concentrated stock position. A neutral forensic appraisal often prevents the years-long appellate cycle now playing out in Seoul, where a $972 million award was vacated and sent back for retrial.
-
Estimate your exposure before you negotiate. Our New York divorce cost estimator and divorce timeline tool help you gauge the financial and time commitment of a contested property case, and a personalized divorce roadmap can map your next steps based on your specific assets.
High-net-worth divorces settle far more often than they go to trial, precisely because the alternative — appeals, retrials, and public scrutiny of a company's ownership — is expensive and unpredictable. The SK Group litigation shows what happens when the classification of a single pool of assets is left unresolved: a record settlement collapses, and both parties return to court years later. Whether you are dividing an inheritance, a family business, or a modest retirement account, the same New York rules on separate property, commingling, and appreciation will govern the outcome. If you are facing a divorce involving a business, inherited wealth, or complex assets, consider speaking with a qualified New York family law attorney who can trace your assets correctly before you negotiate. You can find a divorce attorney serving your county through our directory.
This article discusses recent news and provides general legal commentary. It does not constitute legal advice. Every case is unique. Consult a qualified family law attorney for advice specific to your situation.