HYBE and ADOR dispute NYT report on NewJeans contracts

HYBE and ADOR are pushing back hard over leaked NewJeans contracts, and the dispute has put the K-pop industry's rules for young stars under fresh scrutiny. All five members were just 14 to 17 when they signed their deals.

The leaked papers have raised some grim questions. Key terms appear to lack the usual safeguards for school, sleep, breaks, and health. Other rules target poor work attitudes, romance that could spark public backlash, and even true claims that might hurt ADOR's name.

Then there's the AI issue. The terms appear to let ADOR keep using the group's names, faces, and voices after the deals expire in 2029. That could cover voice copies and chatbots. HYBE disputes that reading and says each artist must approve AI use.

Trainee beauty costs are another sticking point. The leaked terms put a large share of those bills on the members, though HYBE denies forcing anyone into surgery. Seoul lawyer Roh Jong-eon saw the terms as far more strict than most major label deals.

HYBE says each young trainee gets a separate state-backed deal that guards basic rights until adulthood. It claims the main contracts offer such rights as well. Fair point to check, but the public dispute still centers on what the leaked papers seem to allow.

And the claim that parents had little room to bargain has sparked its own row. HYBE says legal teams, parents, and artists went back and forth over terms. A judge also found that both sides had enough talks before signing, per case 2025라2421.

One parent sought a change to a rule on alerting ADOR about outside bids to lure an artist away. HYBE says ADOR declined that edit and the parent later accepted the reply. In a separate cost dispute, the label also rejected options that HYBE's lawyers had put forward.

Exit fees are where the stakes get very real. The math uses average sales from months that earned cash, then factors in how much of the deal remains. Critics say this can hike the bill. HYBE says it matches the state template in real cash terms.

Danielle Marsh faces a 33.1 billion won claim, about $25 million, alongside a relative and ex-ADOR boss, Min Hee-jin. ADOR cut its demand from 43.1 billion won, and much of it stems from exit charges. Danielle's lawyer, Jung Jong-chae, has also taken the dispute to South Korea's Fair Trade Commission.

HYBE says that fee only kicks in when a label has met its duties and an artist breaks the deal to leave. It cites a court review that found no flaw in the clause. The firm also says Korean law can punish harmful claims about a person, even when true, subject to a public interest defense.

The blame game over who wrote the deals is getting messy. HYBE points at Min and her staff as the key people in charge. Min's camp says HYBE's lawyers did the first drafts and edits, while its top bosses had to give final approval.

Min has a separate cash fight with HYBE. A court backed her claim for about 25.5 billion won, or $17.6 million, under a share sale right. Two other former ADOR bosses got a joint 3.1 billion won award. HYBE lost its bid to void the deal and has appealed.

Korea Popmusic Industry Association, led by Woo Seung-hyun, has sided with the labels on the broader issue. The trade group, whose ranks span HYBE, JYP Entertainment, SM Entertainment, and YG Entertainment, says the criticism leaves out Korean law and the costs of training artists.

The group also objects to the leak of private papers during a live court fight. It points to youth care staff, medical support, and rules meant to guard minors. Its view is that artist welfare and a label's legal rights both count, rather than one wiping out the other.

That trade body runs Circle Chart and used to go by KMCA. It has backed firm action on contract breaches, even raising the prospect of barring certain sales from the chart. It also warned that the NewJeans case could set a risky norm for the wider business.

On the group front, the courts have dealt ADOR some wins. Judges upheld the deals and blocked solo work without label consent. Haerin, Hyein, and Hanni have gone back. Minji is still in talks, while Danielle's deal has been cut off.

NewJeans remains offstage, though ADOR says work on fresh songs has begun. For the members, the legal fight still has very real effects on their careers, no matter which side wins the public argument.
 

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