Members of the South Korean band EXO, namely Chen, Xiumin, and Baekhyun, have announced their intent to terminate their exclusive contracts with their agency, SM Entertainment.
On June 1, a legal representative from Lin Law Firm, Lee Jae Hak, confirmed that the three band members have filed multiple contract termination notices.
Hak stated, "From March 21 to date, the trio has dispatched seven certification of contents. They demanded a transparent and justifiable foundation for the contract settlements."
The three EXO members officially communicated their intent to SM Entertainment to terminate their active contracts on June 1. In light of this, SM Entertainment intends to extend the exclusivity contracts for its artists.
SM Entertainment has been pressuring artists to extend their contracts by a substantial 17 to 18 years, a move Hak describes as the agency's "excessive unfair treatment of its artists."
Hak argued that asking for a transparent settlement basis is the least the artists can demand. Despite its obligations, SM Entertainment has not provided the requested data copy, maintaining that it "cannot supply copies of such data."
Hak followed with, "We're compelled to take legal recourse due to our conflicting stance with SM, but we will strive for a prudent resolution that minimizes fan distress."
Meanwhile, the EXO fan community, EXO-Ls, voiced their disillusionment with SM Entertainment on an online forum.
SM Entertainment, responding to the developments, issued a full statement:
"Earlier this year, we pledged our commitment to evolve as a global entertainment leader through our SM 3.0 strategy, continuously enhancing corporate governance to meet our fans' expectations.
However, as we prepare for the next phase, we've discovered external entities encouraging our artists to disregard their exclusive contracts with us and sign with them instead, misinforming them with inaccurate legal assessments. These entities have committed illegal acts, enticed our artists to breach their exclusive contracts, spread rumors and false praises, all while showing no genuine concern for the artists.
These actions not only disrupt the bond between us and our artists but also aim to destabilize existing teams and fan relationships. These unacceptable attempts and clear illegal acts should not be condoned for the sound future of the K-pop industry.
We are committed to protect the interests of our artists and the future of emerging artists from those driven by their own selfish motives. We will take firm legal actions against such malicious activities.
We promise to meet the high expectations of fans by taking a steadfast stance against these unscrupulous actions.
Thank you."
