K-pop industry groups back agencies, stress contract validity amid NJZ dispute

Fan community urges fair representation of stakeholders

By Pyo Kyung-min

As tensions between NJZ, formerly NewJeans, and its agency Ador continue to drag on, five major organizations from the Korean music industry have doubled down on their stance regarding "tampering" attempts and the importance of exclusive contracts.

The Korea Management Federation, the Korea Entertainment Producer's Association, the Record Label Industry Association of Korea, the Recording Industry Association of Korea and the Korea Music Content Association (KMCA) gathered at a hotel in Seoul's Seocho District on Thursday to discuss various industry issues that have emerged in the wake of the NJZ dispute.

Their stance largely reiterated the perspective of record labels and entertainment agencies, aligning with their previously released statement from Feb. 19.

KMCA Secretary General Steve Choi stressed the importance of maintaining trust between agencies and artists in his keynote speech.

"Our industry thrives on promises. If promises are kept, we can build a sustainable industry," he said.

Choi introduced the guiding principle of "3ECT" — Connect, Respect and Protect — as an ethical framework for the industry.

He warned that the value of exclusive contracts is being threatened, citing cases where external parties, including rival agencies and powerful financial backers, allegedly encourage artists to break ties with their management. He also pointed to fans advocating for artists to leave their agencies, further weakening the position of entertainment companies.

"The common perception that agencies hold all the power is a misconception," Choi claimed, adding that up-and-coming agencies often fear that the success of an artist might lead to unilateral contract terminations.

The discussion then shifted to directly mentioning NJZ's fight with Ador under HYBE Labels over allegations of workplace harassment and the termination of their exclusive contract.

Addressing claims by NJZ member Hanni that she had been mistreated by a manager from Belift Lab, another HYBE subsidiary, Choi stated, "We don't know the full truth behind this case, nor do we wish to take sides."

However, his subsequent remarks were seemingly in favor of the accused agency.

"There's a saying, 'Fame grants innocence, obscurity brings guilt,'" Choi said. "If we are to listen to the famous artist's perspective, shouldn't we also hear out the lesser-known manager's side?"

Choi also emphasized that while conflicts are inevitable in any given industry, adhering to preestablished legal agreements is the sole way to resolve disputes.

"The National Assembly and the government must work toward fair policy improvements and in cases of conflict, legal processes must be respected," he said. "No one should be able to unilaterally terminate a contract before a legal ruling is made. Accepting judicial decisions is the only way to protect the industry."

Despite Choi's repeated comments of neutrality during the event, the timing of the statement and press conference — just ahead of NJZ's scheduled court hearing on March 7 regarding their contract termination with Ador — led to perceptions that the event directly targeted NJZ.

During the panel discussion, F&F Entertainment CEO Choi Jae-woo expressed concerns over biases in policymaking.

"While contracts may define parties as 'superior' and 'subordinate,' I have never felt like I was in a superior position. Instead of arguing over hierarchies, we should focus on fostering an industry based on mutual respect."

Lee Nam-kyung, secretary general of the Korea Entertainment Management Association, highlighted concerns over exclusive contracts in the entertainment industry.

"These contracts initially placed all responsibilities on agencies. However, the relationship between artists and agencies should now be seen as a partnership rather than a hierarchical one. We need contracts that reflect this shift."

Notably absent from the discussion were the perspectives of artists and their fan communities.

Following the Feb. 19 statement from the industry groups, NJZ's parents took to social media to express their stance, highlighting its one-sided nature.

Seemingly aware of the lopsided narrative, NJZ's fan group, Team Bunnies, released a statement Thursday, urging the organizations to halt what they describe as "a biased PR campaign."

"The organizations claim they are not taking sides in specific disputes, yet they only represent the views of HYBE and Ador," the statement read. "They say that public opinion battles should be avoided, yet they released a statement and held a press conference right before a court hearing. This is nothing more than a proxy PR campaign for a particular agency."

The fan group also accused the organizations of selectively advocating for entertainment companies rather than the entire K-pop industry. They argued that the ongoing dispute is not about tampering but about a parent company’s unreasonable contract violations against its subsidiary.

They called on the associations to represent all stakeholders and mediate the situation fairly instead of aggravating the conflict.