Can Min Hee Jin Steal NewJeans

Can Min Hee Jin Steal NewJeans Away From HYBE? — Experts Weigh In

It was previously reported that Min Hee Jin planned to use NewJeans to win her war.

In the midst of the ongoing feud between ADOR CEO Min Hee Jin and HYBE, experts from MTN Korea weigh in on the possibilityof NewJeans terminating their contracts with HYBE.

On the first day that the news broke out, it was reported that Min Hee Jin was planning on using NewJeans as her trump card in the matter. Although the rumor was unverified, an alleged insider had claimed that she had planned on using her close relationship with the girls to pressure HYBE into selling their shares to her. It is widely known that NewJeans and her have a mother-daughterlike relationship.

Rumors circulated claiming that CEO Min Hee Jin was looking for investors to break away from HYBE. I believe she was planning on using her inseparable relationship with NewJeans to make HYBE sell their executive shares to her.

— Business Insider

Min Hee Jin Allegedly Planned On Using NewJeans In HYBE Betrayal

MTN experts have analyzed the case, and report that it is unlikely that Min Hee Jin can make use of NewJeans. First and foremost, NewJeans’ contract lies with ADOR, not HYBE. Due to the multi-label system, their exclusive management contract is under the jurisdiction of ADOR. This means that Min Hee Jin does indeed have the power to terminate NewJeans’ contract with ADOR (and by wider umbrella, HYBE) if she so wishes. This is what many insiders may refer to as her “trump card” using NewJeans. If she terminates the contract between ADOR and NewJeans, Min Hee Jin is free to contract them to any new company that she creates outside of HYBE, which is what many believe that she is trying to do.

However, experts claim that while she can do this legally, it would actually not serve her well to do so. While NewJeans is bound by contract to ADOR, Min Hee Jin is bound by contract to HYBE. Thus, while Min Hee Jin leads ADOR, she is an employee of HYBE. NewJeans’ termination of the contract means that HYBE will suffer great losses. If Min Hee Jin induces great losses for HYBE as their employee, they have all grounds to sue her and charge her for committing acts that result in company loss. This is a very common clause in employment contracts.

NewJeans_Hero
| HYBE

In addition to the accusations that she had consulted external financial consultants, investors, and more, she already has many alleged charges against her in this vein. However, they are not yet proven. The instant she terminates NewJeans’ contract using her authority, will give HYBE legal grounds to fire her immediately and launch charges against her.

Not only that, even in the case where she chooses to do so, NewJeans will not be able to use their current name or songs, as all rights still belong to HYBE. A heavy penalty fee for breaking the contract will also probably ensue, and HYBE can additionally file to void the termination after gaining back control of ADOR after ousting Min Hee Jin. Experts claim that there is no way Min Hee Jin is able to bring NewJeans out of the company with her, if she leaves, without both her and the girls facing grave consequences.

Thus, it is not in Min Hee Jin’s gain for her to use NewJeans as a trump card in her war.

Source: https://www.koreaboo.com/news/will-newjeans-terminate-contracts-hybe-experts-weigh-in/

Leave a Reply

Your email address will not be published. Required fields are marked *