K-pop: EXO-CBX calls urgent press conference over SM Entertainment conflict
EXO-CBX, the sub-unit of popular K-pop group EXO, comprising members Chen, Baekhyun, and Xiumin, has reportedly announced a press conference to address their ongoing dispute with former agency, SM Entertainment. The conference is organized by their agency INB100 and is scheduled for 4:00pm KST on Monday to "expose" what they perceive as "unfair treatment" by SME. Attendees will include p_Arc Group chairwoman Cha Ga-won, INB100 CEO Kim Dong-joon, and attorney Lee Jae-hak.
Background of EXO-CBX's dispute with SM Entertainment
The disagreement between EXO-CBX and SM Entertainment began in June last year, culminating in a joint statement announcing the resolution of a legal dispute. The conflict involved the termination of exclusive contracts and a complaint filed with the Korea Fair Trade Commission (KFTC). The complaint raised concerns about issues like the lack of settlement data and questioned "slave contracts." It called for corrective measures to address SME's unfair practices and requested a thorough investigation of all contracts.
Alleged breach of agreement by SM Entertainment
As part of the resolution last year, INB100 was established to manage both the individual activities of the artists and those under EXO-CBX. However, INB100 alleges that SME has since violated these negotiated terms. An INB100 representative stated, "SM demands 10% of the artists' individual activity revenue from INB100, ignoring the negotiation contents that formed the basis of the agreement," adding, "INB100 provided evidence of unfairness, but SM Entertainment has not responded for over two months."
SM Entertainment defended contract legitimacy
SME countered the complaint by stating, "The duration of exclusive contracts being challenged with the KFTC has already been recognized as legitimate by the Supreme Court in 2018," and refuted claims of "slave contracts" as misrepresentations of the facts. They emphasized that EXO members, including the three from CBX, had mutually agreed to sign new exclusive contracts. However, they claimed that CBX later sought to undermine the effectiveness of these contracts by abruptly reversing their position.
More about INB100 and SME dynamics
In January, EXO's Baekhyun, Xiumin, and Chen embarked on a new chapter under Baekhyun's independent label, INB100. Reports soon followed that INB100 would collaborate with SME, with INB100 managing the individual activities of the members, while SME would oversee their group activities. At the year's start, a source from INB100 revealed that the CBX members—now in their 13th year as idols—have been contemplating their future paths. Now, the sudden announcement of a press conference has sent shockwaves through the fanbase.
