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Home TOP STORIES

EXO-CBX Files Lawsuit Against SM Entertainment Executives for Fraud

Rowhaan by Rowhaan
26 June 2024
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EXO-CBX (Chen, Baekhyun, and Xiumin) and SM Entertainment previously filed lawsuits against each other for non-compliance with the contract.

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On June 26, entertainment and legal sources revealed the members of EXO-CBX and their agency INB100 filed a complaint with the Seongdong Police Station in Seoul on June 25. 

They accused SM Entertainment’s CAO Lee Sung Soo and co-CEO Tak Young Jun of fraud, in violation of the Act on the Aggravated Punishment of Specific Economic Crimes.

On June 10z EXO-CBX’s representatives held a press conference claiming SM Entertainment had backed out of a previous agreement, in which SM promised a 5.5% distribution fee for music and album sales. Instead, the agency is now reportedly demanding a 10% fee generated from their solo activities. 

SM Entertainment claimed their earlier promise was meant to support EXO-CBX in negotiations with the distributor. Two days after the press conference on June 12, the dispute escalated when SM Entertainment filed a lawsuit at the Seoul Eastern District Court against EXO-CBX members, seeking to enforce the contract.

EXO-CBX had a contract dispute with SM Entertainment last June, leading to a compromise where they’d continue EXO activities with SM and pursue individual projects with INB100. Baekhyun established INB100 with Chen and Xiumin joining him. More recently, INB100 became a subsidiary of ONE HUNDRED.

Netizens are awaiting official confirmation from INB100 and how SM Entertainment will respond to the new lawsuit.

Tags: BaekhyunEXO ChenEXO-CBXSM EntertainmentXiumin
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