“NewJeans’s Mom” Min Hee-jin vs HYBE: 28.7 Billion KRW Put Option Lawsuit Begins
On June 12, the Seoul Central District Court’s 31st Civil Division held the first hearing in former CEO of ADOR Min Hee-jin‘s lawsuit against HYBE, in which she demands payment for exercising a shareholder put option.
The dispute revolves around a clause in the shareholder agreement that allows Min to receive an amount calculated by multiplying ADOR’s average operating profit over the past two years by 13, then applying her 75% stake. Holding 573,160 shares (18% of ADOR shares), Min is expected to receive around 26 billion KRW (approx. 19 million USD), according to publicly available financial reports.
However, in July 2024, HYBE informed Min that it was terminating the shareholder agreement, citing alleged breaches of trust. In response, Min argued the termination was invalid and insisted her put option remains enforceable.
In a public statement, Min accused HYBE of persistent wrongdoing and declared her intent to pursue legal accountability. She said, “HYBE’s unlawful audit and actions in 2024 will be remembered as an unprecedented scandal in K-pop history. One person’s malicious actions should never tarnish the essence of this industry.”
During the trial, both parties agreed to merge the put option lawsuit with another ongoing case, in which HYBE seeks judicial confirmation of the contract’s termination. Min’s legal team emphasized that her lawsuit assumes the contract is still valid and requests compensation accordingly.
HYBE argued the termination was legally justified and criticized Min’s side for not yet filing a detailed rebuttal. The court will now proceed with parallel hearings for both cases.
This high-stakes legal battle sheds light on deeper tensions in K-pop between creative leaders and corporate giants, with potential long-term implications for the industry’s governance and legal precedents.
