On February 12, 2026, the Seoul Central District Court delivered a landmark ruling in the high-profile legal battle between Min Hee-jin, the former CEO of ADORE (now CEO of OK Records), and entertainment giant HYBE. The court sided decisively with Min, ordering HYBE to pay her approximately 25.5 billion KRW (about $19 million USD) as part of a put option settlement, while rejecting HYBE’s claims that Min had breached their shareholder agreement. The verdict has sent ripples through South Korea’s entertainment industry, raising questions about corporate governance, artist management, and the future of K-pop’s business landscape.
The legal dispute stemmed from a complex web of contracts and personal rivalries that began in 2021, when HYBE and Min Hee-jin joined forces to launch ADORE, a HYBE subsidiary. Their collaboration soon bore fruit with the debut of the girl group NewJeans in 2022, propelling ADORE to commercial and critical success. By March 2023, buoyed by NewJeans’ achievements, Min negotiated a new shareholder agreement with HYBE, which included a lucrative put option allowing her to sell her shares back to HYBE under specific financial terms.
Tensions, however, began to simmer beneath the surface. According to reports from Money Today and JoongAng Ilbo, the partnership soured in 2024 as allegations of managerial overreach, plagiarism, and unfair treatment surfaced. HYBE accused Min of damaging both NewJeans and ADORE, claiming she had attempted to orchestrate the group’s departure from the company—an accusation that would later become a central point of contention in court.
HYBE’s official position was that Min’s actions constituted a serious breach of contract, justifying the termination of their shareholder agreement in July 2024. The company argued that this termination nullified Min’s right to exercise her put option—a contractual mechanism that, based on ADORE’s financial performance, entitled her to a substantial payout. Min, for her part, flatly denied any wrongdoing, insisting that the contract remained valid and that she was owed the full amount stipulated by the put option.
The court’s decision, delivered by Judge Nam In-soo of the Civil Division 31, was unequivocal. "We find it difficult to conclude that the defendant, Min Hee-jin, caused damage to ADORE or its affiliates through intentional or grossly negligent acts, or that she violated any serious obligations under the shareholder agreement," the court stated, according to News1. As a result, HYBE’s claim to terminate the agreement was dismissed, and the company was ordered to bear the costs of the litigation.
Central to the court’s reasoning was its assessment of evidence, including messenger conversations between Min and her associates. HYBE had pointed to these chats as proof of Min’s alleged plan to "steal" NewJeans and orchestrate ADORE’s independence. But the court found otherwise, stating, "While it is acknowledged that the defendant sought ways for ADORE’s independence, this alone does not constitute a serious breach of the shareholder agreement." The court further clarified that any plans Min explored were contingent upon HYBE’s consent, undermining the argument that she had acted unilaterally or in bad faith.
One particularly contentious issue revolved around the interpretation of the phrase "empty shell," which appeared in several of Min’s internal communications. HYBE argued that this was a coded reference to an ADORE without NewJeans, implying an intent to take the group away. However, the court sided with Min’s interpretation, noting that the term referred instead to ADORE without Min herself. "The remarks about an ‘empty shell’ mean that if Min Hee-jin leaves after exercising the put option, ADORE becomes an empty shell," the court explained. "Therefore, HYBE’s claim that Min planned to take NewJeans is unfounded."
Beyond these headline disputes, the court also addressed allegations of plagiarism and unfair business practices. Min had previously accused HYBE and its subsidiary, Belift Lab, of copying NewJeans’ concept for the girl group ILLIT, and of engaging in so-called "album pushing" to disadvantage NewJeans. The court acknowledged that NewJeans’ concept may have influenced ILLIT’s planning, stating, "It cannot be ruled out that NewJeans’ concept was reflected in ILLIT’s planning documents." Nevertheless, the court concluded that Min’s complaints in this regard were legitimate and fell within the scope of managerial discretion, not constituting a breach of contract.
Similarly, the court found merit in Min’s criticisms regarding album promotion. Media coverage and internal records suggested that there were reasonable grounds to suspect unfair practices, but these did not rise to the level of a contract violation that would justify termination. "There is evidence to suspect unfair album promotion, but this falls within the realm of management judgment and is not a serious breach," the court ruled.
The financial mechanics of the case were also closely scrutinized. Under the terms of the 2023 shareholder agreement, Min’s put option entitled her to a payout calculated as 13 times the average operating profit of ADORE’s previous two years, multiplied by her 75% shareholding. Despite ADORE recording a 40 billion KRW loss in 2022, the company rebounded with a 335 billion KRW profit in 2023, resulting in a put option value of approximately 25.5 billion KRW for Min. Two former ADORE executives, who exercised similar rights, were also awarded payouts of 1.7 billion KRW and 1.4 billion KRW, respectively.
The verdict has broader implications for the K-pop industry, where disputes over intellectual property, artist management, and executive compensation are becoming increasingly common. HYBE, which has positioned itself as a global entertainment powerhouse, now faces the prospect of an expensive payout and a potential appeal, as industry observers await the company’s next move. The court’s decision to uphold Min’s rights—and to dismiss the most damaging allegations against her—sets a precedent that could influence future contract negotiations and legal strategies across the sector.
As for Min Hee-jin, the ruling marks a significant personal and professional victory. It not only vindicates her management of ADORE and NewJeans but also affirms her right to substantial compensation for her contributions. The court’s recognition of her managerial judgment and its rejection of HYBE’s most serious claims provide a measure of closure to a saga that has captivated fans and executives alike.
With both sides considering their options, the legal drama may not be over just yet. But for now, Min Hee-jin stands as a rare example of an executive who took on a corporate titan—and won.