SM Refutes EXO CBX’s Reconciliation Claim, Says Trust Broken After “Excessive Disputes”
SM Entertainment has denied CBX’s claim that both sides were close to finalizing an agreement for EXO’s full-group activities, expressing regret and stressing that trust between the two parties has been “severely damaged.”
On October 29, SM Entertainment released a statement titled “Response to the Statement by Byun Baekhyun, Kim Jongdae, and Kim Minseok.”
The company said it had already clarified to CBX that resolving their disputes and participating in team activities were “separate matters.”
SM stated that it had prevailed in all previous legal proceedings and that the only request made to CBX was to pay “10% of their individual activity revenue,” as stipulated in the existing agreement signed on June 18, 2023 — a payment which remains unfulfilled.
“Due to numerous excessive disputes, mutual trust between both sides has been severely damaged,” SM said.
“These conflicts caused significant harm to EXO as a team and emotional pain to the members and fans. Therefore, it was only natural that the trio first fulfill the existing agreement and demonstrate sincere efforts to restore trust.”
The company also pushed back against CBX’s earlier claim that they had accepted all of SM’s conditions following a mediation session on October 2.
“Contrary to their statement, they actually filed an objection first on the 16th,” SM said. “We cannot help but express deep regret over today’s announcement, which distorts these facts. Nevertheless, SM will fully support EXO’s upcoming activities starting in December.”
Earlier that day, CBX’s agency INB100 released a separate statement asserting that the members “made every effort as part of EXO to keep their promise to fans of returning as a full group.”
The agency said that CBX met directly with SM on July 9 to confirm a shared intent for reconciliation, and later exchanged specific terms on September 10. Following the second mediation session on October 2, EXO CBX members claimed to have accepted all of SM’s conditions to prepare for a year-end EXO comeback.
However, EXO CBX members said they later found out about SM’s announcement of an EXO fan meeting and album release that excluded them.
“We value the sincerity of our fans above all else and earnestly wish to reunite as a full group,” the agency said. “We have chosen the path of reconciliation and aim to finalize an agreement as soon as possible.”
The two sides have been in a prolonged legal battle since CBX demanded access to 13 years’ worth of EXO’s financial settlement records. The Seoul Eastern District Court sided with SM, ordering the company to disclose only records after the contract renewal, while dismissing all other claims, including their request to review accounting books.
Their subsequent appeals were also rejected.
Furthermore, EXO CBX members’ complaints filed with the Ministry of Culture, Sports and Tourism and the Fair Trade Commission were both dismissed, with authorities finding no evidence of unfair practices or legal violations by SM.
Official Statement from SM Entertainment (Full Text)
Hello, this is SM Entertainment.
We would like to respond to the statement issued by Byun Baekhyun, Kim Jongdae, and Kim Minseok (hereinafter referred to as “the trio”).
We have clearly informed the trio that the settlement of disputes and team activities are separate matters.
Regarding the settlement, SM has prevailed in all disputes to date. The only request made to the trio was to pay 10% of their individual activity revenues as stipulated in the agreement dated June 18, 2023. However, this has not yet been fulfilled.
As for participation in team activities, numerous excessive disputes have severely damaged the mutual trust between both sides. These conflicts have also caused harm to EXO as a team and emotional distress to its members and fans. Therefore, it is only natural that the trio first fulfill the existing agreement and demonstrate sincere efforts to restore trust.
However, contrary to the trio’s claim that they accepted all of SM’s conditions and clearly expressed their intention to reach an agreement after the second mediation session on October 2, they actually filed an objection first on the 16th. We cannot help but express deep regret over today’s announcement, which distorts these facts.
We will continue to provide our fullest support and efforts for EXO’s activities starting in December.
Thank you.
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