[ad_1]
During a press conference on June 10th, officials from CBX’s management company INB100 laid out allegations of deceptive practices by SM Entertainment. INB100 chairman Cha Ga-won, CEO Kim Dong-jun, and the legal representative for both INB100 and CBX, Attorney Lee Jae-hak of Lin Law Firm, were present to detail the grievances.
Attorney Lee discussed the renegotiation process that CBX members Chen, Baekhyun, and Xiumin underwent with SM Entertainment in late 2022. He stated, “SM wanted our artists to re-sign and thus extend their initial exclusive contracts by another five years at the end of the current ones. They originally signed their exclusive contracts between June 2010 and May 2011. This meant that they were in their 12th to 13th contract years, with SM requesting an extension to make it 17~18 years in total.”
Lee highlighted Baekhyun’s struggle, mentioning, “Despite requesting adjustments to the contract terms eight separate times, SM accepted very few changes. They applied pressure on Baekhyun, suggesting other members would receive better contract deals upon his signing and assured him that the re-signing could be annulled any time before activation, despite Baekhyun being enlisted in military service at the time.”
He continued, “Baekhyun had the well-being of EXO and its fanbase at heart. Despite more than a year remaining on his current contract and the re-signing agreement including an unjust automatic extension clause based on album releases, he signed out of obligation to both EXO and its fans.”
In a statement earlier the same day, INB100 called for the press conference, asserting, “SM disregarded the negotiated terms at the core of our agreement, demanding 10% of the revenue from the personal activities of the artists managed by INB100, which represents CBX. We’ve sent a content certification detailing the injustice and have been awaiting SM Entertainment’s response for over two months.”
[ad_2]
FAQ Section:
- What are the main allegations made by INB100 against SM Entertainment?
INB100 has accused SM Entertainment of using deceptive practices during re-signing negotiations, particularly with regards to contract term adjustments requested by Baekhigh, which were largely unaccepted. - How long have CBX members been under contract with SM Entertainment?
CBX members signed their original contracts between June 2010 and May 2011, making it 12-13 years at the time of the alleged re-signing negotiations for an additional five years. - What are the specifics of Baekhyun’s concerns during the contract negotiations?
Baekhyun requested adjustments to the contract terms eight times, which SM hardly accepted. He was reportedly pressured into signing by being told other members would benefit, and that the agreement could be canceled at any time before it became active, despite being in military service at that time. - What clause was included in the re-signing agreement that Baekhyun felt compelled to sign?
The re-signing agreement contained a clause that allowed for an automatic extension of the contract if a specified number of albums were not released. - Has SM Entertainment responded to the claims made by INB100?
According to INB100, as of the time of their announcement, SM Entertainment had not responded to the content certification regarding the dispute for over two months.
