The lawsuit involving one of the largest entertainment agencies in South Korea against K-pop actors and former EXO members Tao, Luhan and Kris has come to an end, with the final verdict in favor of SM Entertainment.
In 2014, the two former members of EXO - Luhan and Kris - initiated a lawsuit against their agency seeking to invalidate their contracts, alleging among others that they were treated unjustly and unfairly. In the words of Kris himself, "S.M. treated me as a commodity or someone to control." As for Tao, he left the agency in 2015 thus the latter filed a charge against him for breaching their contracts and for not repaying the company as consequence of leaving.
Aside from the two, the agencies which handled activities of the three were also sued by SM Entertainment, claiming that the three remain part of the agency until decision on the nullification of their contracts are put to rest, as such, activities not organized by the agency are considered illegal.
The recent decision of the court however seems unfavorable for the actors, as it was decided that Kris and Luhan's contract with the agency is enforceable until 2022. Accordingly, the two were actually persuaded to settle dispute with SM Entertainment.
As repercussion of the verdict, the two will have to share their profits with the company, although quickly clarified beforehand that they will not be promoted as EXO members again. Soompi released an excerpt of the official statement by the company after the verdict was given. It seems that SM Entertainment decided to accept the two as part of the agency for another company, but their activities outside Korea will be handled by other agencies
Following the reports of the settlement of the case, legal representatives of the two spoke on their behalf. According to the statement of Kris' representative, the singer agreed to sign a contract with the agency, but his activities outside Korea and China will be handled by other agencies. Consequently, he can work with other recording agencies outside the two countries mentioned.
On the other hand, Luhan also renewed his contract, granting him liberality to pursue career in China without having to do with the agency.