ENTERTAINMENT
Tensions Escalate Between HYBE and Min Hee-jin Amid Legal Dispute
HYBE and former ADOR CEO Min Hee-jin continue to clash, showing no signs of reconciliation after more than six months of conflict. The Seoul Central District Court's Civil Division 50 (Chief Judge Kim Sang-hoon) held a hearing on the 11th regarding Min Hee-jin's injunction against HYBE concerning voting rights and other issues.
During the hearing, both parties debated the legality of Min Hee-jin's dismissal as CEO, the validity of the shareholder agreement, allegations of NewJeans' concept copying, and claims of HYBE's neglect of NewJeans.
Min Hee-jin's side argued that "HYBE has publicly humiliated and restrained Min Hee-jin, engaging in reverse viral activities against NewJeans." They also raised concerns about the unauthorized release of information obtained from a laptop belonging to a former ADOR deputy representative.
Min Hee-jin demanded the reinstatement of her CEO position and insisted that the shareholder agreement with HYBE remains valid. Her representatives stated, "There was no plan to privatize ADOR. The breakdown of trust cannot justify terminating the shareholder agreement. It was HYBE that first undermined the trust." They emphasized, "The existence of a put option clause means that a simple breakdown of trust without fault cannot lead to termination, and a special agreement limits mutual termination rights for five years, preventing termination based on trust issues."
HYBE's stance differed. They claimed that Min Hee-jin's dismissal was conducted with legitimate reasons and procedures, raising concerns about her alleged attempts to seize management control. HYBE stated, "For example, An Sung-il, CEO of The Givers, who faced tampering allegations, managed to persuade three out of four members to leave the team despite having no shares. Min Hee-jin could have achieved independence and had meticulously prepared for it." They argued, "While it may seem difficult to seize ADOR with only 20% of the shares, in the entertainment industry, where intangible assets and IP are everything, shares matter less. The plan was detailed and thorough."
Additionally, HYBE criticized Min Hee-jin for making derogatory remarks and using abusive language towards a former employee, A, who was a victim of sexual harassment. HYBE stated, "This issue has resurfaced recently, causing significant negative impact on ADOR. The board saw the need to separate ADOR and its creditors by replacing the CEO."
HYBE confirmed plans to reappoint Min Hee-jin as an internal director and grant her discretion and authority as a producer until the expiration of NewJeans' exclusive contract in 2029.
Previously, on August 27, ADOR's board dismissed Min Hee-jin from her CEO position and appointed Kim Joo-young as the new CEO. They requested Min Hee-jin to continue producing for NewJeans until the contract expires in five years. However, Min Hee-jin's side opposed the decision, citing unfair contract terms. Subsequently, NewJeans members supported Min Hee-jin, stating in an emergency live broadcast on September 11, "We want Min Hee-jin to return as CEO, integrating management and production in the original ADOR."
Despite this, HYBE rejected NewJeans' request for Min Hee-jin's reinstatement, stating, "It is currently unacceptable." In response, Min Hee-jin filed an injunction with the Seoul Central District Court to convene an ADOR extraordinary shareholders' meeting and reappoint her as an internal director.
Reporter Choi Ji-ye, TenAsia wisdomart@tenasia.co.kr
During the hearing, both parties debated the legality of Min Hee-jin's dismissal as CEO, the validity of the shareholder agreement, allegations of NewJeans' concept copying, and claims of HYBE's neglect of NewJeans.
Min Hee-jin's side argued that "HYBE has publicly humiliated and restrained Min Hee-jin, engaging in reverse viral activities against NewJeans." They also raised concerns about the unauthorized release of information obtained from a laptop belonging to a former ADOR deputy representative.
Min Hee-jin demanded the reinstatement of her CEO position and insisted that the shareholder agreement with HYBE remains valid. Her representatives stated, "There was no plan to privatize ADOR. The breakdown of trust cannot justify terminating the shareholder agreement. It was HYBE that first undermined the trust." They emphasized, "The existence of a put option clause means that a simple breakdown of trust without fault cannot lead to termination, and a special agreement limits mutual termination rights for five years, preventing termination based on trust issues."
HYBE's stance differed. They claimed that Min Hee-jin's dismissal was conducted with legitimate reasons and procedures, raising concerns about her alleged attempts to seize management control. HYBE stated, "For example, An Sung-il, CEO of The Givers, who faced tampering allegations, managed to persuade three out of four members to leave the team despite having no shares. Min Hee-jin could have achieved independence and had meticulously prepared for it." They argued, "While it may seem difficult to seize ADOR with only 20% of the shares, in the entertainment industry, where intangible assets and IP are everything, shares matter less. The plan was detailed and thorough."
Additionally, HYBE criticized Min Hee-jin for making derogatory remarks and using abusive language towards a former employee, A, who was a victim of sexual harassment. HYBE stated, "This issue has resurfaced recently, causing significant negative impact on ADOR. The board saw the need to separate ADOR and its creditors by replacing the CEO."
HYBE confirmed plans to reappoint Min Hee-jin as an internal director and grant her discretion and authority as a producer until the expiration of NewJeans' exclusive contract in 2029.
Previously, on August 27, ADOR's board dismissed Min Hee-jin from her CEO position and appointed Kim Joo-young as the new CEO. They requested Min Hee-jin to continue producing for NewJeans until the contract expires in five years. However, Min Hee-jin's side opposed the decision, citing unfair contract terms. Subsequently, NewJeans members supported Min Hee-jin, stating in an emergency live broadcast on September 11, "We want Min Hee-jin to return as CEO, integrating management and production in the original ADOR."
Despite this, HYBE rejected NewJeans' request for Min Hee-jin's reinstatement, stating, "It is currently unacceptable." In response, Min Hee-jin filed an injunction with the Seoul Central District Court to convene an ADOR extraordinary shareholders' meeting and reappoint her as an internal director.
Reporter Choi Ji-ye, TenAsia wisdomart@tenasia.co.kr