ADOR Releases Official Statement on Filing Lawsuit to Confirm Validity of Exclusive Contract

Hello, this is ADOR.

On December 3, we filed a lawsuit with the Seoul Central District Court to confirm the validity of the exclusive contract, seeking legal clarification that the exclusive contract with our artist NewJeans remains valid and in effect.

We did not want the issue with our artists to be resolved through legal judgment, but we made this unavoidable decision based on the judgment that it is necessary to confirm to the artists as well as various stakeholders that an exclusive contract between a company and artists cannot be lightly terminated based solely on one party’s claims. Above all, we seek a clear judgment from the court to protect the foundation of the K-pop industry, and furthermore, the Korean popular culture industry, which has grown based on healthy trust relationships between artists and companies.

It is with a heavy heart that we deliver this news, but this is to prevent the artists from misunderstanding that the exclusive contract has been lawfully terminated and engaging in entertainment activities in ways that violate the currently existing exclusive contract, thereby causing unexpected damage and confusion to domestic and international industry stakeholders.

Today’s K-pop has developed through the synergy of two things: the talent and tireless efforts of artists, and the full investment and trust of companies with expertise. It is an indispensable characteristic of the popular culture industry, especially the K-pop industry, that a company’s support must precede for a long period in an uncertain situation where success or failure is difficult to predict in advance. A company’s preceding support is based on the expectation and belief that the company and the artist can grow together for a certain period, and the exclusive contract is what was mutually agreed upon with this as a premise.

If this basic agreement is not upheld, the efforts of companies that have endured uncertainty for a long time and extended complete trust in the name of investment will be rendered powerless and cannot be recovered anywhere. In other words, systematic support, investment, and system advancement can no longer be expected in this industry, and what we are most concerned about is that the virtuous cycle of growth in the K-pop industry, which has rapidly developed through the sweat and dreams of countless people, will be broken.

ADOR’s position to be with NewJeans remains unchanged even now. Separate from seeking the judiciary’s judgment on the validity of the exclusive contract, we believe that sufficient and sincere discussions with the artists are absolutely necessary. Despite repeated earnest requests from ADOR executives and employees, we have not yet had the opportunity to communicate with the artists, but we will make unceasing efforts to resolve the unnecessary misunderstandings that have accumulated between the artists and our company. We will do our best to repay those who love NewJeans’ music with better activities. We ask for your support and encouragement so that both ADOR and the NewJeans members can wisely overcome the current situation.