First Trial Verdict: Complete Victory for Former CEO Min Hee-jin
The 31st Civil Division of Seoul Central District Court handed down a verdict on the 12th that dismissed all lawsuits filed by HYBE. The court determined that former CEO Min Hee-jin's exercise of rights was legitimate and ordered HYBE to pay approximately 25.5 billion won in put option exercise fees.
The court ruled that HYBE's claimed grounds for contract termination were invalid and decided that the company must bear all legal costs. This first trial verdict resulted in a complete victory for former CEO Min Hee-jin in court, dealing HYBE significant damage both financially and in terms of credibility.
HYBE's Shocking Reaction and Expression of Dismay
Immediately after the verdict, HYBE expressed deep regret through an official statement. The company stated, "We deeply regret that our arguments were not sufficiently accepted by the court," reflecting strong opposition to the fact that their claims were not reflected in the court's judgment.
HYBE has argued for the termination of the shareholder agreement based on Min Hee-jin's alleged breach of duty, but the court's rejection of this argument prompted strong complaints from the company. HYBE emphasized that this loss is not final and announced it would prepare to re-dispute the legal interpretation through necessary legal procedures.
Legal Battle Moves to Higher Court; Appeal Planned
A HYBE representative clearly stated, "After reviewing the verdict, we plan to proceed with necessary legal procedures including an appeal." The company maintains a firm stance of preparing for legal proceedings in a higher court after careful examination of the verdict, suggesting that new legal issues may be raised in the appellate court.
While Min Hee-jin secured a favorable position in the first trial, new legal disputes regarding the interpretation of the shareholder agreement may emerge in the appellate proceedings. Industry insiders anticipate that the final verdict will take considerable time given the opposing stances of both sides.
Entertainment Industry Attention Intensifies
This case represents a major contract dispute between a large entertainment agency and a subsidiary label CEO, becoming a notable legal precedent within the entertainment industry. The court's judgment on the interpretation of shareholder agreements and the legitimacy of exercising rights could influence similar disputes in the entertainment sector going forward.
HYBE's stock price movements are expected to show significant reactions to this verdict, and attention will continue on how the appellate process unfolds until a final conclusion is reached.
This content is general information compiled based on publicly available materials. Please check official announcements from relevant institutions for accurate details.
