On October 17, an exclusive report from News1 revealed that the Seoul Central District Court ruled in favor of WM Entertainment, the agency representing Arin, in a legal dispute against mobile gaming firm A and advertising production company B. The court mandated these companies to make a partial payment concerning the fees that had been claimed.
The ruling orders both A and B to collectively pay Arin a total of 198 million won (approximately 148,000 USD) for modeling fees, in addition to late interest accrued.
Back in June, company A entered into an agreement with company B for the advertisement of a mobile game, which included a payment of 198 million won for modeling services and covering half of the production costs for a television commercial that amounted to 115.5 million won (around 86,333 USD).
Arin, who had contracts with both parties, featured in the advertisement that debuted in August of the previous year.
According to the terms of the contract, the modeling fees were supposed to be paid no later than 30 days following the advertisement’s first airing. However, as it stands, Arin’s agency has yet to receive these payments.
During court proceedings, Company A contended that the contract specified payment would be made through company B and that they had already forwarded the fees to them. Nonetheless, the court held company A accountable for the outstanding fees.
The court elaborated, stating, “The agreement clearly delineates A’s responsibility to remit the modeling fees,” stressing that “Even if A has compensated B, A is not absolved from their duties unless the fees are deposited directly into Arin’s agency account.”
Additionally, the court remarked that any financial detriment faced by company A due to B’s failure to remit the payment should be dealt with between the two companies as per their advertising contract.
Source: Wikitree
Leave a Reply