The civil law requires action of establishment, permission of the competent authority and establishment registration of the court to establish a nonprofit corporation. The permission system to determine the establishment of a corporation at the discretion of the competent authority does not allow administrative trial or administrative proceeding against the non-permission. Therefore, there is no proper measure of getting relief. This restricts freedom of association and rights to equality which are guaranteed at the constitutional act. Therefore, there have been continual requests to establish the corporation without restriction. Regarding this, the government prepared the revision of the civil law which focused on the transfer to authorization from permission by reviewing the corporation system which is currently pending after submission to the national assembly on October 24, 2014. It is expected that it will finally be converted to authorization regardless of time consuming. If the establishment of the corporation is made freely, corporations would be flooded by abusing the corporation system, which in turn, would infringe the benefit of the counterpart that makes transaction in reliability and would deteriorate legal stability. Thus, it needs to prepare an institutional device to regulate profitable activities of nonprofit corporations.
This study reviewed general theories on the establishment of the corporation to solve such problems, and examined problems of the establishment of the corporation. And, the study clarified the concept of nonprofit corporation through legal regulation on the profit, meaning of profit and examples of legislation of other countries. Finally, the study reviewed the profit of medical institutions and social welfare corporations among nonprofit corporations in order to find solution on the problems of profit of the nonprofit corporations.