Popular Korean boy group EXO’s subunit EXO-CBX members Baekhyun, Xiumin, and Chen’s management company INB100 has been in a contractual dispute with SM Entertainment this month. SM Entertainment filed a lawsuit against CBX on the 12th, accusing them of not fulfilling their contract, while INB100 released a statement today (14th) indicating their preparedness to sue SM Entertainment over salary settlement issues.
In the statement released by INB100 today, they wrote: “On the 12th, SM Entertainment filed a lawsuit against us. During the press conference on the 10th, we pointed out SM Entertainment’s failure to fulfill the 5.5% circulation fee, but SM Entertainment questioned the propriety of our 10% sales revenue claim. We have once again asked SM Entertainment for their position on our allegations.”
The statement mentioned, “Furthermore, during that press conference, we actively proposed a proposal to substitute SM Entertainment’s music assets for the payment of 10% sales revenue and name usage fees, but SM Entertainment ignored this proposal. Ultimately, SM Entertainment did not respond to our negotiations and immediately resorted to legal measures, which we find concerning.” Thus, INB100 decided to publicly disclose all contents, including last year’s negotiation process, to actively address this matter.
Given the previous mention by EXO-CBX about opaque salary settlement issues upon leaving SM Entertainment, INB100 also stated in this current statement: “Regarding the settlement issues that have always raised questions for us, we will file a lawsuit against SM Entertainment to request settlement payment. Through this legal procedure, we will demand the accounting and settlement documents as stipulated in the legal and exclusive contract to assert our legitimate rights. The issue of SM Entertainment’s settlement methods will also be clarified in court.”
Regarding INB100’s previous discussions about the unfair content of the exclusive contract, they stated in this new statement: “Regarding the unfairness of the exclusive contract, we will file a lawsuit with the Fair Trade Commission (against SM Entertainment) to receive a fair legal judgment.”
Finally, INB100 apologized to the fans of CBX who have continuously shown love and support, stating: “We should have always been providing happiness to the fans, but due to issues similar to last year, which have caused anxiety and disappointment, we are truly sorry. We will strive to minimize official statements in the future and work quickly to resolve this situation. We promise to always be with CHEN, Baekhyun, and Xiumin to create precious memories together.”