The K-pop group NewJeans has lost its legal battle against its agency, ADOR, over an exclusive contract dispute.
On the morning of the 30th, the Seoul Central District Court's Civil Agreement Division 41, presided over by Judge Jeong Hoe-il, ruled in favor of ADOR in the lawsuit confirming the validity of the exclusive contracts with the five members of NewJeans. The court stated, "The exclusive contracts signed on April 21 between the plaintiff and defendants are confirmed to be valid," and ordered the defendants to bear the litigation costs.
The court dismissed all claims made by NewJeans regarding breaches of the exclusive contract. The court emphasized that the dismissal of Min Hee-jin as a representative was not a reason for the breakdown of trust between the parties.
The court noted, "Considering whether the removal of Min Hee-jin from her position as a representative constitutes a significant breach, the mere fact that she was dismissed from her position as CEO does not imply a management vacuum or inability to perform duties." Furthermore, "The role of Min Hee-jin is not specified as a core element in the management duties within the exclusive contract," the court added.
The court particularly stressed, "The fact that NewJeans holds high trust in Min Hee-jin does not make it significant enough to guarantee her position as a representative under the exclusive contract."
In response to the ruling, NewJeans immediately filed an appeal. Their legal representative, Sejong, stated, "While the members respect the court's decision, they believe it is impossible to return to ADOR and continue normal entertainment activities due to the complete breakdown of trust." They announced plans to appeal the first-instance judgment.
NewJeans also expressed hope that the appellate court would comprehensively review the facts and legal principles regarding the termination of the exclusive contract to deliver a wise judgment.
Previously, the court attempted mediation twice in August and September, but both parties failed to reach an agreement, leading to the final ruling.
The lawsuit began when NewJeans claimed last year that the contract had already been terminated due to ADOR's "breach of the exclusive contract," and announced plans for independent activities. In response, ADOR filed a lawsuit in December to confirm the validity of the contract and requested an injunction to prohibit the members from engaging in independent activities until the final ruling.
The court sided with ADOR, and NewJeans' objections and appeals were dismissed. As a result, the members could not pursue independent activities without ADOR's approval until the final ruling.
Additionally, in May, the court accepted ADOR's request for indirect enforcement, ordering NewJeans to pay 1 billion won per member for each violation if they engaged in independent activities.
Reporter: Ji-ye Choi, TenAsia wisdomart@tenasia.co.kr