[Koreaboo] Jessica Jung Ordered To Pay ₩2 Billion KRW To Chinese Entertainment Companies

[Whisky23]

Jessica Jung, formerly of Girls’ Generation and now a soloist and fashion designer, was ordered to pay over ₩2 billion KRW ($1,655,210 USD) to her former Chinese entertainment agencies.

Jessica Jung lost both her first and second trials against the Beijing Arbitration Commission. These trials were conducted in Korea, and the reason the companies took her to court and wanted her to pay were for violating the exclusive authority of the contract, consultation fees, a penalty for breach of contract, and undivided profits.

Jessica’s Chinese agencies had control over managing her until February 28, 2019. One agency obtained the rights to manage Jessica’s entertainment activities in the China back on February 2016, through an agreement with her Korean agency, Coridel Entertainment. The second Chinese agency stepped into the picture due to a transfer of the rights of her management.

Nearly 2 years ago, on November 27, 2017, the Beijing Arbitration Commission ruled in favor of the agencies, who were seeking payment to cover the costs of exclusive licensing, return of her consultation fees, penalties, and other profits that were paid out to Jessica. They did this because they stated she did not carry out the duties of her contract.

Jessica argued that she did not violate any terms of the contract and did not agree to the arbitration’s decision. However, the Seoul Central District Court ruled in favor of the Beijing Arbitration Commission, stating that she was bound to the arbitration decision because the acceptance letter was issued de facto, or automatically. They also denied her appeal she filed on July 23, 2019.

Due to losing her appeal, she has been ordered to pay ₩2 billion KRW ($1,655,210 USD) to her former Chinese entertainment agencies to cover the damages and legal fees. Jessica has since submitted another appeal, this time to the Supreme Court.

source

Ouch! Didn't even know this was going on. That's quite a hefty payout if her appeal is rejected by the Supreme Court.

 

[pastelcake]

What with these companies keep transfer contract nowadays...

 

[anh]

oh dear

 

[vitaminplus]

Damn i hope she will be alright

 

[DramaDramaDrama]

C entertainment banned k celebs but k celebs should be pay their contract.
Crazy.

 

[fromisEJel]

That such a huge amount...

Hopefully this time, her appeal to the Supreme Court work

 

[No.1]

Damn i hope she will be alright

It's no small amount of money, but last I heard, she is worth about 16 million, so I think she'll be fine. It's the part about not fulfilling the contract duties that makes me hmm a bit. Some of these contracts are pretty seedy, so I hope that's not the case.

 

[Whisky23]

It's no small amount of money, but last I heard, she is worth about 16 million, so I think she'll be fine. It's the part about not fulfilling the contract duties that makes me hmm a bit. Some of these contracts are pretty seedy, so I hope that's not the case.

Yeah. I'm not exactly sure what transpired that would be considered a breach of contract, but it's not a small unnoticeable thing. I'm surprised that they managed to keep this off the press for several years.

 

[asdfg]

tayeon won!

 

[Sunny]

 

[Mirae Is The Future]

Luckily she doesn't have to pay it if she loses, Coridel does since the lawsuit is against them

What happened is, before she went solo and was active in China (Feb 2016) she signed with a Chinese agency
Later in the year, they transferred her contract. Then THAAD happened and Jessica's Chinese promotions were effectively over but the contract was never bought out or terminated. Hence the "breach of contract"

I'm so pissed that fansites are having to explain what's going on and Coridel isn't saying shit

 

[Whisky23]

Luckily she doesn't have to pay it if she loses, Coridel does since the lawsuit is against them

What happened is, before she went solo and was active in China (Feb 2016) she signed with a Chinese agency
Later in the year, they transferred her contract. Then THAAD happened and Jessica's Chinese promotions were effectively over but the contract was never bought out or terminated. Hence the "breach of contract"

I'm so pissed that fansites are having to explain what's going on and Coridel isn't saying shit

Ahh...so that's what happened. But how can she be held responsible for political edicts beyond her control? I guess at the very least, Coridel should have had proper lawyers to make sure the agreement had clauses to protect against these types of external factors - god knows you need it when dealing within China. Still, the Coridel head is (was?) her boyfriend, so you'd expect Coridel to do better to protect their own artist.

 

[Misa]

Woow