Three members of the popular K-pop group EXO, Chen, Baekhyun, and Xiumin, accused their agency SM Entertainment of making an unjust demand regarding the revenue from their individual activities. They claimed that the agency is asking for a 10 percent royalty from their personal earnings, contrary to the terms of a previous agreement that guaranteed a 5.5 percent commission rate. This conflict has reignited their dispute with SM Entertainment after a year of temporary resolution. During a press conference, the trio's lawyer, Lee Jae-hak, stated that SM Entertainment is violating the terms of the agreement by demanding 10 percent of the artists' revenue from their personal activities, albums, concerts, and commercials, instead of upholding the 5.5 percent commission rate. The EXO members had previously renewed their contracts with SM but later expressed their intention to terminate the contracts, citing reasons such as the failure to provide proper accounting data. The lawyer emphasized that if SM fails to acknowledge the breach and refrain from demanding 10 percent of personal revenue, they will consider canceling the agreement on the grounds of fraud or terminating it due to nonfulfillment of obligations. Additionally, they may also file complaints with the police and the state antitrust body regarding the agreement process.
Three members of the popular K-pop group EXO, Chen, Baekhyun, and Xiumin, accused their agency SM Entertainment of making an unjust demand regarding the revenue from their individual activities. They claimed that the agency is asking for a 10 percent royalty from their personal earnings, contrary to the terms of a previous agreement that guaranteed a 5.5 percent commission rate. This conflict has reignited their dispute with SM Entertainment after a year of temporary resolution. During a press conference, the trio's lawyer, Lee Jae-hak, stated that SM Entertainment is violating the terms of the agreement by demanding 10 percent of the artists' revenue from their personal activities, albums, concerts, and commercials, instead of upholding the 5.5 percent commission rate. The EXO members had previously renewed their contracts with SM but later expressed their intention to terminate the contracts, citing reasons such as the failure to provide proper accounting data. The lawyer emphasized that if SM fails to acknowledge the breach and refrain from demanding 10 percent of personal revenue, they will consider canceling the agreement on the grounds of fraud or terminating it due to nonfulfillment of obligations. Additionally, they may also file complaints with the police and the state antitrust body regarding the agreement process.