Hybe Co. has won a legal battle to control K-pop group NewJeans, reinforcing the status quo for a Korean entertainment group that managed every aspect of its stars’ activities.
The Seoul Central District Court yesterday ruled in favour of Hybe, meaning the agency best known for handling BTS gets to remain NewJeans’ sole management company. Hybe’s shares were up 1.8% by 2.25pm local time, after rising as much as 4.4% on the ruling.
The decision comes two weeks after the start of the trial, when the five women that comprise NewJeans unilaterally terminated their contract, renamed themselves NJZ and began organising their shows and appearances.
That uprising transfixed South Korea and weighed on Hybe’s stock, while captivating the entertainment industry and fans.
To many industry watchers, it marked a bold and unusual move against an agency model that invests tens of millions of dollars to produce popular music, while controlling every aspect of performers from production to concerts and luxury brand endorsements.
The women’s battle with the K-pop giant began a year ago. Min Hee-jin, the group’s producer, argued that Hybe discriminated against her band.
After months of disputes and a s campaign mounted by both sides, Min left the company. That’s when NewJeans declared their contract with Hybe void. — Bloomberg
