Min Hee-jin, then CEO of ADOR, holds a press conference on ADOR's shareholders' agreement in Jung-gu, Seoul, May 31. Yonhap
A court on Thursday dismissed K-pop powerhouse Hybe's lawsuit seeking to confirm the termination of its shareholders' agreement with Min Hee-jin, the former CEO of a Hybe subsidiary named ADOR.
The Seoul Central District Court also ruled that Hybe has to pay 25.5 billion won ($17.7 million) worth of put options to Min because of the validity of the shareholders' agreement.
Hybe was also ordered by the court to pay 1.7 billion won and 1.4 billion won, respectively, to two former ADOR executives for the same reasons.
Hybe has argued that the termination of the shareholders' contract is valid because Min violated it by seeking to end girl group NewJeans' agency contract with ADOR and pushing for an IPO for ADOR.
The court ruled that Min probably sought ways to make ADOR independent from Hybe but the circumstances cannot be considered a serious breach of the shareholders' agreement.
Min expressed "deep respect" for the decision and said she would "humbly accept" it.
"I will focus all my capabilities on building a stable management environment, maximizing the value of the artist, and nurturing new talent to lead the K-pop industry," added Min, who now leads Ooak Records, an independent label.
Hybe said it will appeal the ruling, stating, "It is regrettable that our arguments were not fully accepted."
The conflict between Hybe and Min began in April 2024 and Min was dismissed as CEO of ADOR in August of that year.
Source: Korea Times News
