The Korea Herald

피터빈트

Industry group sides with Ador in NewJeans saga

By Moon Ki-hoon

Published : Dec. 3, 2024 - 14:31

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NewJeans member Hanni (second from right) speaks during a press conference held in Seoul, Thursday. (Newsis) NewJeans member Hanni (second from right) speaks during a press conference held in Seoul, Thursday. (Newsis)

An organization representing road managers and entertainment agency officials has stepped into K-pop's latest industry-shaking drama, calling chart-topping group NewJeans' attempt to terminate their agency contract "preposterous" in a statement released Tuesday.

The statement from the Korea Management Association comes days after the quintet announced they were pulling out of their contract with Hybe subsidiary Ador in a late-night press conference Thursday. Group members cited repeated mistreatment and breach of trust by company officials in their decision – allegations that have become central to an ongoing feud between former NewJeans producer Min Hee-Jin and Hybe chairman Bang Si-hyuk.

"We hope NewJeans reconsiders their position and enters into dialogue with the firm," the association wrote in their statement. "The arts and entertainment industry runs on decades of mutual trust between artists and management agencies. The mere existence of a dispute doesn't automatically justify unilateral contract termination."

The organization's stance echoes the corporate perspective on standard industry practice: long-term contracts are built on substantial upfront investment, with agencies expecting to recoup costs before artists turn profitable. "If artists could break contracts on a whim, who would ever risk making such investments?" the statement notes.

While contract details remain private, Ador officials told local media that the group's contract runs through 2029. Early termination could be costly – industry insiders estimate anywhere from 300 billion won ($213 million) to 600 billion won in breach fees, though group members denied any liability during Thursday's press conference.

This isn't the first time the association has spoken out on artist-agency conflicts. In October, it backed management company Attrakt when three former members of girl group Fifty Fifty signed with a new agency after an unsuccessful lawsuit to terminate their original contract.

The organization, founded in 2016, represents 350 managers and companies across the industry. According to its website, the group's director and committee members include officials from major entertainment agencies like Cube, SM and Starship Entertainment.