South Korean court orders Hybe to pay $22.3m to former Ador CEO Min Hee-jin

SEOUL – The Seoul Central District Court on Feb 12 sided with former Ador chief executive Min Hee-jin in her put option dispute with Hybe, ordering the South Korean entertainment giant to fork out over 25.5 billion won (S$22.3 million).

Ador is a subsidiary under Hybe and the label of K-pop girl group NewJeans.

The ruling, which validates Ms Min’s contractual right to sell a portion of her Ador shares back to Hybe, also ordered the company to pay a combined 3.1 billion won to two other former Ador executives, surnamed Shin and Kim, who, like Ms Min, exercised put options.

Hybe, in an official statement released shortly after the ruling was delivered, said it regretted that its arguments had “not been sufficiently accepted”. It would “consider filing an appeal after reviewing the court’s decision”, it added.

Ms Min and Hybe have been locked in a protracted dispute since 2024 over management control of Ador and issues related to NewJeans’ contracts.

Hybe notified Ms Min in July 2024 that it was terminating her shareholder agreement, claiming she had caused damage to Ador and attempted to undermine the company’s management structure. The company subsequently removed her as Ador’s chief executive in August 2024.

Under a shareholder agreement signed in March 2023, Ms Min held the right to sell roughly 13 per cent of her Ador shares back to Hybe at around 26 billion won.

The price was calculated in accordance with the contract, which stipulated that she is entitled to receive from Hybe an amount equal to 75 per cent of Ador’s average operating profit over the previous two fiscal years, multiplied by 13, according to Ms Min.

Hybe argued that Ms Min had already breached the agreement in July 2024 by attempting to separate NewJeans from Ador and causing reputational damage to the company. On that basis, Hybe said it was justified in terminating the contract, which in turn invalidated her right to exercise the put option.

Ms Min countered that the shareholders’ agreement remained in effect when she notified Hybe in November 2024 of her intent to exercise the put option.

She said Hybe had no legal grounds to unilaterally terminate the contract. She stepped down as an internal director in November 2024, prior to exercising her put option.

Later that month, NewJeans – comprising Minji, Hanni, Danielle, Haerin and Hyein – unilaterally terminated their contract, leading to a year-long legal stand-off. In October 2025, the Seoul Central District Court ruled that Ador retains exclusive rights to manage the girl group.

The court acknowledged on Feb 12 that Ms Min had explored ways to weaken Hybe’s control over Ador to pursue greater independence for the affiliated label, but it ruled that that alone did not constitute a serious enough breach to justify her contract termination.

“The fact that Min discussed Ador’s potential independence with outside investors appears to have been premised on Hybe’s consent,” the court stated. “Without Hybe’s approval, such plans would have had no legal effect.”

Despite ongoing tensions between Ms Min and Hybe throughout 2024, the court recognised that she had continued to fulfil her duties as chief executive, including album releases in South Korea and Japan.

It dismissed allegations that she breached the contract by raising concerns about similarities between Illit, a K-pop girl group formed by Hybe’s subsidiary label Belift Lab, and NewJeans.

Citing the significant financial losses Ms Min would face if the contract were to be nullified, the court concluded that Hybe failed to demonstrate sufficient grounds for termination.

In a separate statement, Ms Min’s agency Ooak Records said it respected the court’s ruling and expressed the hope that the lawsuit would serve as a turning point to address unfair practices in the K-pop industry.

The agency added that Ms Min plans to focus on her work as a creator and CEO, while Ooak Records will continue building a stable business environment and nurturing new talent in its own distinctive way.

Meanwhile, the same court is reviewing a separate 43 billion won damages suit filed by Ador against Ms Min, Danielle and a member of her family for allegedly causing delays to NewJeans’ activities and damages resulting from the attempted separation.

Danielle’s exclusive contract with Ador was terminated in December 2025. Hanni, Haerin and Hyein have returned to Ador, while Minji is still in talks. THE KOREA HERALD/ASIA NEWS NETWORK