The Seoul Central District Court has confirmed that Ador’s termination of its former CEO, Min Hee-jin, does not violate the exclusive contract with the popular girl group NewJeans. The court concluded that the dismissal of Min Hee-jin cannot be seen as a breach of the agreement.
Court Findings on Exclusive Contract
The ruling emphasized that it was challenging to determine any infringement of the exclusive contract solely based on Min Hee-jin’s dismissal. The judge stated that the former CEO’s public criticism of Ador did not serve to protect NewJeans.
Background of the Conflict
- Date of Conflict: November 2024
- Event: NewJeans held an unexpected press conference to announce the termination of their contract with Ador.
- Agency Response: In December, Ador filed a lawsuit to affirm the contract’s validity.
Ador also sought injunctions to stop NewJeans members from engaging in independent activities or signing advertisement contracts without the agency’s permission until the lawsuit was resolved.
Injunction and Consequences
In February, NewJeans revealed plans to operate under a new name, NJZ. However, the court upheld Ador’s request for injunctions, which led to a suspension of the rebranding initiative. All subsequent appeals made by the NewJeans members were dismissed by the court.
Financial Penalties Imposed
The court’s decision included approval of indirect compulsory execution. As a result, if any member of NewJeans pursues entertainment activities without Ador’s consent, they will be liable to pay 1 billion won (approximately $702,000) for each violation.
With their activities on hold due to the court ruling, NewJeans has remained inactive during this period. The decision solidifies Ador’s control over the group and their contractual obligations.
