NewJeans declared their intent to terminate their contract with ADOR, sparking a major contract dispute with ADOR and HYBE. The group accused ADOR of failing to address third-party interference, citing Belift Lab’s alleged imitation and workplace harassment. Public reactions remain divided, with supporters backing NewJeans and critics questioning their legal grounds.
NewJeans and Contract Dispute: Declaration of Termination
On the 29th, NewJeans announced their decision to unilaterally terminate their exclusive contract with ADOR. During a press conference held on the 28th in Gangnam, member Haerin explained their reasoning. She stated, “We have not breached the contract and have consistently done our best. Therefore, there is no reason for us to pay penalties. In fact, it is ADOR and HYBE that violated the contract, which caused this situation.”
Haerin referred to specific terms in the contract disclosed by former ADOR CEO Min Heejin. The contract stated that ADOR must take necessary actions to prevent interference by third parties in NewJeans’ activities. If ADOR failed to fulfill this duty, the members had the right to terminate the agreement.
Allegations Against HYBE and ADOR in the Contract Dispute
NewJeans alleged that HYBE allowed Belift Lab’s girl group, ILLIT, to imitate their concept, thus neglecting their obligations. Hanni shared an incident at HYBE’s Yongsan headquarters where she greeted ILLIT and their manager but was told to “ignore them” by the manager. Fans labeled this as workplace harassment.
On the 13th, NewJeans sent ADOR a notice demanding HYBE resolve these issues and reinstate Min Heejin as ADOR’s CEO. In response, ADOR issued a public statement supporting Hanni’s claims and urging Belift Lab to demonstrate mutual respect. Despite this, NewJeans argued that ADOR’s actions were insufficient to fulfill their contractual obligations.
ADOR and Contract Dispute with NewJeans: Immediate Rejection
ADOR dismissed NewJeans’ claims, stating in a press release that they had not violated the contract. They expressed regret over the press conference, which occurred before ADOR had a chance to respond to the notice. ADOR emphasized that a unilateral breakdown in trust cannot justify terminating the contract.
NewJeans and ADOR remain at odds. The members declared their intent to continue activities independently, while ADOR insisted that all scheduled activities should proceed under its management. Industry experts estimate the potential penalty for contract termination could range from 3 to 6 billion KRW.
Public Reaction and Community Debates
The announcement has ignited heated debates on Korean online forums. On theqoo, where many NewJeans fans gather, the response heavily supported the group. Most users there accepted NewJeans’ claims without critical analysis, focusing on defending the members.
Conversely, MLBPARK saw intense discussions, with many users skeptical of NewJeans’ stance. They argued that the group’s reasoning for contract termination seemed insufficient and suggested this might be why they had yet to file an injunction. Some also pointed out that Belift Lab operates as a separate entity, making it difficult to accept NewJeans’ claims about concept imitation.
Legal Challenges and Speculations
Critics in MLBPARK warned that if NewJeans attempts to operate independently, advertisers, broadcasters, and event organizers might hesitate to collaborate with them due to legal uncertainties. On the other hand, supporters believe the court may grant NewJeans the right to terminate the contract, allowing them to continue using their name and brand.
However, even these supporters acknowledged that the group might eventually face financial penalties. Critics suggested that the group’s approach appeared legally unprepared, summarizing NewJeans’ stance as wanting to avoid penalties, keep their name, and continue business as usual.
Here’s a link to MLBPARK.I appreciate you taking the time to read this post. Please share your thoughts in the comments!
Just ‘cuz they say they’re breaking the contract doesn’t mean it’s that easy, lol. Looks like they forgot to read the fine print on that signed contract. They should’ve been like ‘we’re talking to a lawyer to see if we can dip without paying penalties.’ 😒 RIP to all the food, clothes, shelter, and random stuff their parents were living off from NewJeans’ income. Which company’s gonna snatch them up now? Might need to start an indie label fr. 🤔 And what about the fans? Will the fanbase even back this move? These girls def didn’t think this through. 💀