This study examines the operational procedures of private equity funds and the implications of activist intervention through the corporate control contest between KCGI and Hanjin KAL. The paper traces the activist fund and the major governance issues that emerged during its corporate control contest with the target firm. A comparative financial analysis evaluates changes in firm performance and governance before and after activist fund intervention. The study examines how the disputes that emerged during the corporate control contest were incorporated into the amendment to the Commercial Act, focusing on the independence of the board, audit committee, and on the exercise of shareholders’ rights. The findings provide a comprehensive perspective on the institutional and policy implications of activist funds in Korea.