The fifth hearing on the confirmation of the non-existence of debt lawsuit filed by Hook Entertainment against Lee Seung-gi was held on the 19th at the 20th Civil Division of the Seoul Central District Court. Representatives from both parties’ legal teams were present at the hearing.
The court clarified that it was necessary to confirm the validity of the settlement information provided in the preparatory documents. Furthermore, it emphasized the importance of verifying the original settlement information, which is the central issue of this lawsuit, in order to assess the claims of both parties.
Lee Seung-gi’s attorney countered, stating, “According to objective data, Hook’s side is the only party in possession of the necessary information.”The attorney also addressed Hook’s assertion that any data predating a specific date was beyond the statute of limitations and therefore not kept, explaining, “They have not provided sufficient justification for their failure to retain the data. We will present evidence supporting our arguments using the fundamental data we possess.”
Lee Seung-gi’s representatives also argued that the settlement of concert revenue was not handled correctly. They stated, “As per the terms of the contract, the distribution of concert revenue and expenses should be done in accordance with the agreed proportion. However, Hook failed to provide supporting documents for the amounts they claimed and did not properly break down the stated costs.”
In reply, Hook’s representatives contended that the concert settlements were a distinct matter. The court observed that Hook had seemingly provided 80 million won without sharing any profits, implying that Lee Seung-gi’s team should inquire about the appropriate information.
According to Lee Seung-gi’s team, the settlement documents they received were a result of Hook’s deceit, and were given by a staff member responsible for accounting at Hook after the disagreement began. They also asserted that Hook had failed to submit any documents regarding music royalties.
In November 2022, Lee Seung-gi submitted a certification of contents to Hook, stating that he had not received any payment for music usage fees in the past 18 years. He demanded that the unpaid revenues be settled. In December 2022, Hook paid Lee Seung-gi 5.4 billion won for the unpaid settlement and delayed interest. However, Lee Seung-gi refused to accept the payment and decided to take the matter to court.
According to Hook, the plaintiff in the lawsuit, they are alleging that they paid Lee Seung-gi 900 million won more than necessary for his advertising activities and are now requesting reimbursement. At first, Hook’s claim was for a declaration stating that they did not owe any money to Lee Seung-gi, but they later revised their demand. On the other hand, Lee Seung-gi argues that Hook actually owes him an additional 3 billion won.
During the second hearing, Lee Seung-gi was present and personally read a petition, revealing his emotional distress over the lack of proper compensation for his music royalties for almost twenty years. He also referenced hurtful remarks made by Hook’s CEO, Kwon Jin-young, and emphasized his determination to prevent similar injustices from occurring to other artists in the future.
Hook admitted to not complying with the Popular Culture and Arts Industry Development Act, which was established in 2014 and requires separate accounting records for each artist. The court has requested Hook to provide all settlement data related to Lee Seung-gi from 2004 onwards in a USB to both Lee Seung-gi’s representatives and the court.
Lee Seung-gi’s side, at the conclusion of the hearing, urged for a prompt resolution on the grounds of the dispute lasting for 20 years. The court stressed the necessity of the original settlement documents and stated that Lee Seung-gi’s side must provide evidence to support their settlements.
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