South Korea's Constitutional Court on Thursday ruled that the shutdown of the inter-Korean Kaesong Industrial Complex in 2016 is constitutional.
The ruling comes about six years after then-Park Geun-hye administration decided to shut down the complex following North Korea's fourth nuclear test.
The court said that while there were damages, the measure was taken to protect South Koreans working at the complex and was in line with international economic sanctions to stop the North's nuclear development.
South Korean companies had filed an appeal for violation of property rights saying the suspension of operations came without any legal procedures.
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