NewJeans can’t go away HYBE-owned label ADOR, guidelines South Korea courtroom
A South Korean courtroom has ordered Ok-pop woman group NewJeans to halt their impartial actions and return to working with label ADOR.
In an order on Friday (March 21), the Seoul Central District Court docket granted HYBE-owned ADOR’s request for an injunction stopping NewJeans – who’ve rebranded themselves NJZ – from finishing up business actions outdoors of their contract with ADOR.
NewJeans unilaterally declared final November that their contract with ADOR was null and void, alleging mistreatment and bullying by the hands of ADOR workers amid an ongoing battle between the label and its former CEO and NewJeans supervisor Min Hee-jin.
ADOR rejected NewJeans’ declaration and insisted that its contract with NewJeans members continues to be “in full impact.”
In December, the label went to courtroom looking for to verify the validity of its unique contracts with NewJeans members, and in January, ADOR requested the courtroom for a preliminary injunction to stop NewJeans from working outdoors ADOR.
The courtroom granted that request on Friday, saying that there’s “inadequate proof to assist the claims made by the NewJeans members,” per Korea JoongAng Each day.
In an announcement emailed to MBW, ADOR stated: “We specific our honest gratitude for the courtroom’s considered choice to grant the preliminary injunction. With our standing as NewJeans’ unique company now legally affirmed, we’re totally dedicated to supporting the artists going ahead.
“We might be totally current at ComplexCon this weekend to ensure the efficiency is introduced below the NewJeans identify. We eagerly anticipate assembly with the artists for a heartfelt dialog on the earliest alternative.
“We sincerely request your ongoing assist and encouragement for NewJeans as they proceed to develop along with ADOR.”
“With our standing as NewJeans’ unique company now legally affirmed, we’re totally dedicated to supporting the artists going ahead.”
ADOR
In a put up on Instagram, NewJeans/NJZ stated they plan to enchantment the courtroom’s choice.
“We at NJZ respect the courtroom’s choice. Nonetheless, we consider that the choice didn’t sufficiently bear in mind the truth that the belief of the members in ADOR was fully destroyed,” the group acknowledged.
NewJeans steered they misplaced the combat over the injunction as a result of they weren’t given sufficient time to put out their case.
“There are additionally many people who find themselves unable to cooperate because of the stress and retaliation of being concerned within the lawsuit,” the group added.
NewJeans’ severing of its relationship with ADOR despatched shockwaves via the Ok-pop business.
“We consider that the choice didn’t sufficiently bear in mind the truth that the belief of the members in ADOR was fully destroyed.”
NewJeans/NJZ
In February, 5 commerce teams concerned with Ok-pop firms issued an announcement warning that if NewJeans’ unilateral transfer to depart ADOR turned precedent, it may severely harm Ok-pop.
They linked NewJeans’ actions to “tampering” – the follow of labels and managers making an attempt to lure artists away from their legally binding contracts.
“If tampering makes an attempt succeed, Korea’s leisure administration business will collapse,” the teams stated.
“This concern extends past home disputes — overseas capital may step in and take over the Ok-pop business totally.”
The ruling represents a major authorized victory for HYBE and ADOR of their ongoing dispute with the Ok-pop group.
The authorized battle has escalated dramatically over latest months, with ADOR taking authorized motion to dam NewJeans from looking for impartial offers along with requesting a whole ban on the group’s leisure actions following their rebranding announcement.
Throughout a courtroom listening to on March 7, ADOR’s legal professionals revealed that HYBE had invested KRW 21 billion ($14.4 million) into growing NewJeans, and claimed every member had obtained settlement funds of roughly KRW 5 billion ($3.4 million) amid the authorized dispute.
“HYBE invested KRW 21 billion gained into ADOR, and NewJeans has been producing vital income since 2023. It defies logic to recommend {that a} profit-driven firm would sabotage considered one of its greatest earners,” ADOR’s authorized crew argued on the time.
The group members had beforehand expressed their place in December 2024, stating that persevering with their relationship with ADOR would expose them to “additional harm.”
NewJeans held a press convention in November 2024 to announce they’d left ADOR, however the label maintained their contracts stay legitimate till July 31, 2029.
NewJeans’ authorized crew has positioned the dispute as centered on an alleged breach of belief, accusing HYBE of orchestrating a media marketing campaign towards them and planning to exchange them with one other act.
The battle has raised vital issues inside South Korea’s music business. Final month, 5 commerce teams representing the Ok-pop sector issued a warning in regards to the ongoing dispute, saying the case may destabilize the business if it units a precedent.
“If tampering makes an attempt succeed, Korea’s leisure administration business will collapse,” the teams stated in an announcement. “This concern extends past home disputes — overseas capital may step in and take over the Ok-pop business totally.”
The roots of the dispute hint again to April 2024 when HYBE alleged that Min Hee-jin, then CEO of ADOR and the particular person credited with creating NewJeans, had tried unlawfully to sever the label from HYBE, which owns a majority stake in ADOR. Min was changed as CEO final summer season.
The NewJeans controversy comes at a difficult time for HYBE. The Ok-pop big not too long ago reported that it swung to a web loss of KRW 3.38 billion ($2.48 million) in 2024, versus a web revenue of KRW 183.45 billion in 2023, amid rising prices and weak spot in its recorded music section.
HYBE has attributed this decline in profitability partly to BTS’s momentary break, because the group as soon as accounted for lower than 20% of the corporate’s revenues in 2024, down from 95% at their peak.
A separate trial addressing the validity of NewJeans’ contract termination is scheduled for April 3, which is able to decide the long-term way forward for the connection between the Ok-pop group and ADOR.
Of their Instagram put up commenting on the continuing authorized case over the validity of their contract with ADOR, the group stated: “Not like the injunction process, the principle lawsuit can extra freely make the most of the civil process regulation system to safe needed proof, so we anticipate that it will significantly strengthen the proof supporting the members’ claims.”Music Enterprise Worldwide
