This study seeks to find out the major legal issues from litigations challenging the designation of urban redevelopment district. To do so, it selected and examined six litigation cases that were decided between 2008 through 2010. As a result, the legal issues can be summarized into 1) ultra vires and 2) the legal standards to designate a urban redevelopment district. As to ultra vires, although the Urban and Residential Environment Improvement Act delegates the authority to adopt the detailed guidelines for designating a urban redevelopment district to the enforcement ordinance and local law, the scope and definition of the authority is so vague that the interpretation can be questioned. In addition, the legal standards that are not clear have resulted in many disputes. Thus, this study concludes that the scope of the delegation from the Act through the local law needs to be systematically restructured and the clearer physical standards to designate a urban redevelopment district should be provided. It also suggests that a local government needs to improve its entire system including the administrative procedure, as well as the law.