HYBE vs. Min Hee-jin: Escalating Legal Battle Over ₩26 Billion Stock Conflict

The legal conflict between HYBE and former ADOR CEO Min Hee-jin has intensified, focusing on a contentious put option valued at ₩26 billion (approximately USD $18.8 million) and the contested termination of a shareholder agreement.

On June 12, the Seoul Central District Court convened for its initial hearing, where both parties put forth conflicting views regarding the timeline for terminating the contract and its implications on share redemption rights.

Disputed Timeline: The Termination Issue

At the core of this legal battle is the timing of HYBE’s termination of its shareholder agreement with Min. While HYBE asserts that a formal termination notice was issued on July 8, 2024 due to alleged violations by Min, she maintains that she never accepted the termination and had formally exercised her put option in November, just before her resignation from ADOR.

The contractual terms permit Min to request HYBE to repurchase 75% of her shares, calculated at a price equivalent to thirteen times the average operating profit of ADOR for 2022 and 2023, totaling ₩26 billion.

Serious Allegations: Tampering and Breach of Contract

HYBE’s legal representatives leveled accusations against Min for alleged “tampering” and conspiring to withdraw NewJeans, ADOR’s leading girl group, from their label. They allege that Min’s actions, including contacting the families of NewJeans members and directing staff to impersonate them in protest communications to HYBE, represented a significant breach of contract.

“She directed messages to be written in the voice of Hyein’s father and using the name of Danielle’s mother, ” HYBE stated.“Such deception and manipulation amount to betrayal and provide just cause for termination.”

In defense, Min’s legal team disputed the legitimacy of HYBE’s termination, arguing that the accusation of tampering is invalid since she reportedly resigned and exercised her put option only after the alleged events.“This termination occurred after the fact, ” her representatives contended, “thus the tampering accusation is unfounded.”

Disputes Over Evidence and Confidentiality

In court, HYBE introduced evidence including a PT defense and KakaoTalk messages, claiming they reveal discussions between Min and a former deputy director concerning plans for the “extraction of NewJeans.”

However, Min’s legal team raised objections against the public sharing of these materials, citing concerns regarding privacy and the potential illegality of how the evidence was obtained, particularly if it were to be leaked to external media.

hybe min hee-jin stock dispute text message

“PT files are not typically distributed to the media immediately after court, ” Min’s legal team argued.“We are also concerned about the potential impact on public perception.”

In response, HYBE maintained that the KakaoTalk messages were acquired lawfully and noted that Min had previously leaked sensitive material to media outlets, which included the full names of HYBE employees.

The next hearing is set for September 11 at 3:00 PM KST, during which HYBE is expected to present its detailed PPT arguments, alongside witness testimonials.

As the situation evolves, the case continues to attract considerable public and industry attention, given not only its financial ramifications but also its potential impact on NewJeans, one of the most rapidly ascending groups in K-pop.

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