Seoul High Court Dismisses NewJeans’ Appeal to Terminate Exclusive Contract
The Background
In June, K-pop sensation NewJeans filed for termination of their exclusive management contract with ADOR, citing a breakdown of trust after the dismissal of former ADOR CEO Min Hee-jin. The group argued that Min’s pivotal role in their formation and career made her removal a breach of their agreement.
Summary of the Court Ruling
The Seoul High Court rejected NewJeans’ appeal, finding that Min Hee-jin was not legally central to the contract. Evidence showed most members were recruited before Min joined HYBE, and no clause tied the contract exclusively to her involvement. Judges concluded her departure did not justify nullification.
The court also held that the exclusive contract was negotiated fairly, contained clear termination conditions, and safeguarded substantial investments by HYBE and ADOR—including a dedicated management team and over 21 billion KRW in funding.
Subjective Claims and Legal Standards
NewJeans claimed “major harm” from a potential hiatus, infringement on artistic freedom, and reduced trust. The court deemed these concerns largely subjective and insufficient to meet legal standards for contract termination. Disagreement with agency direction or staffing changes alone does not warrant dissolution.
ILLIT Controversy and Video Footage
The members referenced tensions with fellow girl group ILLIT, alleging impolite behavior. However, CCTV footage disproved claims of being ignored, and the court found no intentional misconduct by ILLIT or its staff. Trainee-era video leaks were ruled irrelevant after ADOR’s prompt deletion efforts.
Enforcement of the Exclusive Contract
To protect its interests, ADOR’s request for indirect enforcement was upheld. Any unauthorized individual activity by a NewJeans member will incur a penalty of 1 billion KRW (approx. $720,000 USD) per incident. The court warned that independent performances—such as the Hong Kong show—could mislead the public and harm the brand.
Conclusion
The Seoul High Court concluded that NewJeans must honor their contractual obligations and cannot operate independently of ADOR until all legal disputes are resolved. The ruling underscored that the group’s success was built on the agency’s efforts and resources, affirming ADOR’s rightful management authority.
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