(2nd LD) Court says exclusive contract between NewJeans and ADOR valid

▲ Girl group NewJeans is seen in this photo provided by ADOR. (PHOTO NOT FOR SALE) (Yonhap)

▲ Girl group NewJeans (Yonhap)

(2nd LD) NewJeans-court

(2nd LD) Court says exclusive contract between NewJeans and ADOR valid

(ATTN: UPDATES with statement from ADOR in paras 6-7; ADDS photo)

SEOUL, Oct. 30 (Yonhap) -- A court ruled on Thursday that the exclusive contract between popular girl group NewJeans and its K-pop label ADOR is valid.

The Seoul Central District Court made the ruling in a lawsuit filed by ADOR last year to confirm the validity of its exclusive contract with NewJeans, resulting in a complete defeat for the girl group.

The court did not accept NewJeans' argument that the dismissal of former ADOR CEO Min Hee-jin was a violation of the exclusive contract, and the breakdown of bilateral trust was also a reason for the termination of the contract.

Following the verdict, NewJeans said it would immediately appeal the decision.

"The members respect the court's ruling, but they are of the position that it is impossible to return to ADOR or resume normal activities under the current circumstances, where trust with the company has completely collapsed," the group's legal representative said in a statement.

ADOR welcomed the ruling and expressed hope for the group's early return.

"We sincerely hope today's decision will serve as an opportunity for the artists to reflect on the matter calmly," the agency said, adding that it was awaiting their return after completing preparations for a new full-length album."

The lawsuit came after NewJeans announced the termination of its contract with ADOR in November last year, arguing that trust between the two sides had been broken, allegedly due to the agency's failure to fulfill its obligations.

ADOR filed the lawsuit the following month, saying the group's attempt to pursue an independent career in the entertainment industry constitutes a serious breach of their contract.

The court said it is difficult to conclude that the dismissal of Min from ADOR alone created a management vacuum for NewJeans and ADOR lacked the planning or ability to carry out its duties for the girl group.

"There is no clause in the exclusive contract that requires Min to take charge of ADOR," the court said. "Even though Min was removed from the CEO post, she was able to participate in the production work as an outside director."

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