Barely a week before a Seoul court ruled in favor of ADOR in its high-profile dispute with NewJeans, Min Hee-jin — the girl group’s controversial architect and former ADOR CEO — launched a new label, ooak.

The timing was impossible to ignore. Many saw it as a contingency plan in case NewJeans broke free from ADOR’s grip. But with the court siding against the quintet and NewJeans immediately appealing the decision, that scenario appears unlikely for now.

The question now, therefore, is what Min can — and will — do with her new company.


Will she create another project, or perhaps a new group? But more importantly, what is she even legally allowed to do?

Observers online have been doing a double-take on how Min managed to make her latest move after she previously denounced her noncompete clause as a "slave contract." Is it legal for her to launch a new K-pop business venture now? The short answer is: yes. The longer story of how it came to be is more complicated, as the matter is still tied up in a pending court case.


What happened to the ‘slave contract’?

Those following the web of lawsuits may remember that during a bombshell press conference in April of last year, Min argued that she was “bound by a shareholders’ agreement similar to a slave contract,” which effectively barred her from working in the industry without HYBE’s consent through a noncompete clause.

Then, last November, Min had argued in a lawsuit filed against HYBE — separate from the one involving ADOR and NewJeans — that the company’s July declaration to dissolve that very same agreement was invalid, saying that the agreement remained in effect at that time.

Both sides now agree on one thing: The shareholders’ agreement is no longer valid. But they fiercely disagree on when and how that agreement expired, which became the key point in their ongoing legal battle.

HYBE argues that the agreement ended in July last year when it declared the contract null after accusing Min of plotting to make NewJeans leave ADOR. Min, however, maintains that HYBE’s unilateral termination was invalid, arguing that “no contract can be dissolved by a one-sided notice alone.”

Later that November, Min sought to exercise her put option — an investor's right to sell their shares to the company upon demand, which was included in the shareholders’ agreement — on ADOR shares, on the grounds that the contract remained valid up to that point, while also declaring the contract’s dissolution. She resigned from ADOR’s board shortly afterward.

The lawsuit is ongoing. If the court sides with Min, HYBE could be required to pay about 26 billion won ($18 million) for her stake.

Min appeared in court on Sept. 11, with an additional hearing scheduled for Nov. 27. A ruling is expected to come around January of next year.

Whatever the outcome, the contract’s invalidation means its noncompete clause is no longer enforceable, clearing Min to pursue new ventures in K-pop.


Will NewJeans ever join ooak?

While Min works to build a new foothold, NewJeans remains in an extended hiatus.

On Thursday, the Seoul Central District Court’s Civil Division ruled that “the exclusive contracts signed on April 21, 2022, between the plaintiff [ADOR] and the defendants [NewJeans] are valid.” The court concluded that the label's actions did not constitute a breach of trust serious enough to justify the group’s termination of its contracts.

NewJeans immediately appealed, maintaining that “it is impossible to continue activities under the current circumstances as the trust with ADOR has completely collapsed.”

The group has been inactive since March, when an injunction barred the members from independent activities pending the court’s decision.

Meanwhile, Min registered ooak in southern Seoul as a K-pop agency on Oct. 16, which was revealed to the public on Oct. 24. The company has capital assets of 30 million won — a figure that can easily expand in the future.

Its name stands for “only one always known,” according to sketches of potential logo designs Min posted on her social media account on Oct. 24. This marked her first public business move since her ADOR departure.

Legal experts say that while launching a new project is a viable option for Min, bringing NewJeans under ooak’s wing appears increasingly unlikely.

“If Min and HYBE both indeed agree that the noncompete clause expired, there’s no legal obstacle preventing Min from launching a new K-pop group,” said Song Hye-mi, entertainment lawyer at law firm OPES.

On the other hand, NewJeans’ hiatus will likely stretch well into next year, given the new appeal.

“The appellate trial will likely not begin until next year after the court is assigned, and if the trial proceeds like that, the result may come about after a year,” suggested entertainment lawyer Kang Jin-seok, a representative lawyer of the law firm Ent Lawoffice.

“If there are no other additional points of legal dispute, it may take less than a year,” Song also said.

Leaving ADOR unilaterally could carry a hefty financial cost for NewJeans, as penalties could reach hundreds of billions of won if the girl group decided to just leave the company for Min’s ooak.

For now, the industry watches closely whether ooak becomes Min’s next creative lab or merely a placeholder during the ongoing court battle.

“My cautious view is that unless NewJeans can present compelling new evidence that its trust with ADOR has irreparably collapsed, making further group activities completely unfeasible, it wouldn’t be easy to reverse the decision,” Song noted.


BY SHIN HA-NEE [shin.hanee@joongang.co.kr]