BREAKING: NewJeans Loses Lawsuit To Nullify Contract With ADOR, Judge Says Contract Is Valid + Must Pay All Legal Fees
The group NewJeans has lost its exclusive contract dispute against its agency, ADOR. Their exclusive contract will remain valid until July 31, 2029.
On the morning of the 30th of October, the Seoul Central District Court’s Civil Division 41 (Chief Judge Jung Hoeil) held a ruling session for the exclusive contract validity confirmation lawsuit filed by ADOR against the five members of NewJeans.
The court stated, “ADOR’s dismissal of former CEO Min Heejin cannot be viewed as a violation of the exclusive contract,” and ruled that ADOR had not breached the agreement. The court also pointed out that “Min Heejin engaged in a public campaign to promote NewJeans’ independence, and it was not for the purpose of protecting the group.”
They added, “It is difficult to view that the defendants (NewJeans) being engaged in entertainment activities with the plaintiff (ADOR) goes against their free will or that their exclusive contract forces them to do so. the exclusive contract remains valid, and ADOR retains its position as the group’s management agency under the contract.”
The court further added, “The exclusive contract signed between NewJeans and ADOR on April 21, 2022, is valid. The litigation costs shall be borne by the defendants.”
NewJeans remains under an exclusive contract with ADOR until July 31, 2029. However, considering the hiatus caused by the ongoing legal dispute, there is a possibility that the contract period may be extended by about one year.
Previously, the court attempted to mediate between the two sides twice, in August and September, but no agreement was reached, leading to today’s final ruling.
This legal dispute began when NewJeans claimed last year that the contract had already been terminated due to ADOR’s alleged breach and hinted at pursuing independent activities. In response, ADOR asserted that the contract was still valid and filed a lawsuit in December seeking confirmation of its validity. ADOR also filed for an injunction to prevent the members from engaging in independent activities until the court reached a final decision.
The court sided with ADOR, and when NewJeans appealed the decision, both their objection and appeal were dismissed. As a result, the members were unable to carry out independent activities without ADOR’s approval before the final ruling.
Additionally, in May, the court accepted ADOR’s request for indirect compulsory enforcement, ordering that if NewJeans engaged in independent activities, each member would be required to pay 1 billion won per violation.
Source: (A)
