HYBE vs Min Heejin: What’s Really Happening with the Shareholder Agreement and Put Option Lawsuits?
The legal battle between HYBE and former ADOR CEO Min Heejin is heating up, with both sides now fighting over whether their shareholder agreement is still valid—and who owes what as a result. The Seoul Central District Court has decided to handle both the shareholder agreement termination lawsuit and the massive “put option” lawsuit together, aiming to sort out all the issues at once.
What’s This All About?
HYBE and Min Heejin originally signed a shareholder agreement when Min became a key figure in launching NewJeans under ADOR. This agreement included a “put option,” which basically means Min could ask HYBE to buy back her shares at a set price if certain conditions were met. Last year, HYBE announced it was ending this agreement with Min, claiming she broke the contract. Min fired back, saying she never broke any rules and that HYBE can’t just end the agreement on their own.
Why Two Lawsuits?
- HYBE’s Lawsuit: HYBE is asking the court to confirm that their termination of the shareholder agreement is valid. Their argument is that Min’s actions broke the contract, so they don’t have to honor any more promises—including the put option.
- Min Heejin’s Lawsuit: Min, on the other hand, is suing HYBE for about 26 billion won (roughly $19 million), saying she used her put option before the agreement was actually terminated, so HYBE still owes her that money.
Both sides agree that the contract can’t be ended for no reason, but they disagree on whether there was a real breach. Min Heejin’s side says the contract is still valid and so is her right to the put option. HYBE says the contract is already over, so the put option is meaningless.
What Did the Court Decide?
On April 17, the court decided to hear both cases together since they’re so closely linked. This means one judge will look at all the facts and decide:
- Was the contract really broken?
- If not, does Min get her put option money?
- If yes, does HYBE owe her nothing?
Both sides agreed to this combined trial. The next hearing is scheduled for June 12.
Why Does This Matter for NewJeans?
This legal fight is happening at the same time as other disputes involving NewJeans and ADOR. Just this week, a court upheld a ban on NewJeans doing activities outside ADOR, and the group immediately appealed. The outcome of the HYBE vs. Min Heejin lawsuits could affect who controls ADOR, NewJeans’ activities, and a lot of money.
In Summary: HYBE and Min Hee-jin are locked in a complex legal fight over whether their business agreement is still valid and who owes what. The court will now look at everything together, with the next big update expected in June.
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