NewJeans Lawsuit Explained: Court Ruling, $30M Suit, and Settlement

The NewJeans lawsuit is a Korean entertainment contract dispute in which the five members of the K-pop group tried to terminate their exclusive contracts with ADOR, a HYBE subsidiary, in late 2024. On October 30, 2025, the Seoul Central District Court ruled the contracts remain valid through 2029, rejecting all ten of the members’ grounds for termination. Four members have since returned to ADOR, one has been expelled and sued for roughly $30 million, and several related cases are still moving through the Korean and U.S. courts.¹

What Triggered the Dispute

The conflict began as a corporate fight between HYBE and Min Hee-jin, who founded ADOR in 2021 and produced NewJeans. HYBE owns 80% of ADOR; Min held 18%.² In April 2024, HYBE audited ADOR, accused Min of plotting to take the subsidiary independent, filed a police report alleging breach of trust, and demanded her resignation.³ Min denied the takeover claim, saying the real dispute was her internal complaint that another HYBE group, ILLIT, had copied NewJeans’ styling.⁴ A court initially blocked her removal in May, but she stepped down as CEO in August 2024 and was replaced by Kim Ju-young.⁵

The members treated Min as central to their artistic direction. On September 11, 2024, they held a YouTube livestream demanding her reinstatement and describing a toxic work environment.⁵

How the Members Tried to Leave

On November 13, 2024, the members sent ADOR a formal “Certification of Contents” warning that they would terminate their contracts if specific breaches were not addressed within 14 days.⁶ Their grievances included:

Min Hee-jin’s removal and the resulting production vacuum.
Workplace harassment, including Hanni’s account of being told to be ignored by a manager of another HYBE group.
Alleged hidden cameras in practice rooms and unauthorized access to members’ phones.
ADOR’s alleged failure to act on the ILLIT plagiarism claims.
Alleged discrimination by HYBE in favor of other groups.

On November 28, 2024, NewJeans declared their contracts terminated effective the next day, arguing they owed no penalty because ADOR had breached first.⁷ ADOR sued at the Seoul Central District Court within days to confirm the contracts were still valid.⁸

What the Courts Decided

The members tried to keep working independently. In February 2025 they rebranded as “NJZ” and booked a performance at ComplexCon Hong Kong. ADOR sought an injunction, and on March 21, 2025, the Seoul Central District Court granted it, confirming ADOR as the group’s exclusive management agency and barring independent activities.⁹ The group announced a hiatus during the ComplexCon show. On April 16, 2025, the Seoul High Court upheld the injunction, finding the members had not sufficiently shown ADOR breached its obligations.¹⁰

The main ruling came on October 30, 2025. The Seoul Central District Court sided with ADOR and rejected all ten of the members’ claimed grounds for termination.¹ The court found that Min Hee-jin’s removal did not create a managerial vacuum, that guaranteeing her role as CEO was not a fundamental obligation of the contract, and that the members’ personal trust in her did not change that analysis.¹¹ It also dismissed the allegations concerning leaked trainee videos, bullying of Hanni, the ILLIT plagiarism claim, and discrimination by HYBE as insufficient grounds for termination.¹²

The court articulated a broader rule: entertainers whose success is built on an agency’s investment of time, money, and personnel cannot arbitrarily walk away mid-term, because doing so would produce unfair outcomes for agencies that bear the upfront risk.¹ To enforce the ruling, the court approved a penalty of 1 billion won (roughly $700,000) per instance of any unauthorized entertainment activity by a member.¹¹

Where Each Member Stands Now

Within two weeks of the ruling, the members reversed their vow to appeal. On November 12, 2025, ADOR announced that Haerin and Hyein would resume activities, saying they had chosen to respect the court’s decision.¹³ Later the same day, Minji, Hanni, and Danielle said through their lawyers that they would also return after careful discussion.¹⁴ The split communication, with two members going through ADOR and three notifying separately through counsel, signaled a rift inside the group.¹⁵

As of mid-2026, Hanni, Haerin, and Hyein have returned and were spotted in Copenhagen in April 2026 doing preproduction on new music, though no comeback date has been set. Minji’s status is unresolved; ADOR has said discussions are moving in a positive direction but she has not formally resumed activities.¹⁶ Danielle has been expelled and is now the target of a separate lawsuit. Financial analysts have said full-scale NewJeans activity is unlikely before the second half of 2026.¹⁷

The $30 Million Lawsuit Against Danielle

On December 29, 2025, ADOR terminated Danielle Marsh’s exclusive contract, saying it had been “determined that it would be difficult for her to continue” as an ADOR artist.¹⁸ The label alleged she had committed “serious violations carried out independently,” including discussing a collaboration with a U.S. band and doing a brand photo shoot without ADOR’s involvement.¹⁹

The same day, ADOR filed a civil suit at the Seoul Central District Court seeking 43.1 billion won (about $30 million) in damages and contract break penalties from three defendants: Danielle, an unnamed family member, and Min Hee-jin. ADOR alleged they bore significant responsibility for the dispute and for the group’s delayed return.²⁰ The case sits in Civil Division 31.²¹

Danielle’s lawyers say she explored outside activities on the understanding that her contract would be lawfully terminated, that the photo shoot was reported to ADOR in writing, and that no revenue actually resulted. They have characterized the suit as an effort to make her untouchable to other agencies.¹⁹ ADOR has since revised its claim down to 33.1 billion won after a review by new counsel. A second hearing was held on June 11, 2026, with another set for July 2.²²

Min Hee-jin’s Put Option Win and Settlement Offer

Min pursued a parallel case to exercise a “put option” allowing her to sell her 18% ADOR stake back to HYBE. HYBE argued the option was invalid because the shareholders’ agreement had ended. On February 12, 2026, the Seoul Central District Court ruled for Min and ordered HYBE to pay about 25.6 billion won ($17.9 million). The court found that although Min had explored plans for ADOR’s independence, those plans “assumed HYBE’s consent” and did not amount to a serious breach, and it called HYBE’s “management rights usurpation” framing an “illusion.”²³

HYBE appealed and secured a stay on the payout.²⁴ On February 25, 2026, Min publicly offered to give up the entire payout if HYBE dropped every civil and criminal action against NewJeans members, their families, external partners, former ADOR employees, and fans. “I’m here because there are values I desperately want more than a large sum of money,” she said, adding that her goal was to stop NewJeans from being “torn apart.”²⁵ HYBE has not publicly responded, and no settlement has been announced.²⁶

Min has also set up a new agency, Ooak Records, registered in October 2025. As of early 2026 it had no signed artists, and Min has said she has no plans to build a NewJeans rival, suggesting a boy group would be a more natural next project.²⁷

Criminal Complaints and the “How Sweet” Copyright Case

The criminal side of the dispute has largely collapsed. In July 2025, police dismissed HYBE’s breach-of-trust complaint against Min without referring it to prosecutors, citing “no evidence of wrongdoing,” and they also dismissed Min’s counter-complaints against HYBE executives.²⁸ On May 27, 2026, the Seoul Western District Prosecutors’ Office formally dismissed the remaining charges Min had filed against HYBE and BELIFT LAB executives, finding insufficient evidence that HYBE’s public statements were false and concluding that access to ADOR’s internal communications was conducted under legitimate audit authority.²⁹ Civil defamation suits by Source Music (500 million won) and BELIFT LAB (2 billion won) against Min are still active.

A separate case is unfolding in the United States. On May 7, 2026, songwriters Audrey Armacost, Aidan Rodriguez, Adam Gokcebay, and Michael Campanelli filed a copyright infringement suit (case 2:26-cv-04931) alleging that NewJeans’ 2024 single “How Sweet” copied elements of their demo “One of a Kind.” The complaint names the NewJeans members, ADOR, and HYBE as defendants.³⁰ The songwriters say they submitted their demo to ADOR in January 2024 during song selection, and they allege the first verse of “How Sweet” shares a 31-note melodic sequence over roughly eight measures, the same 4/4 time signature, and the key of B-flat minor with their track.³¹ ADOR has denied the allegations, saying it consulted with BANA, the production entity that oversaw the song, and was told “no form of copying or infringement took place.” The label and the members have said they will contest the case.³²

1
Chosun Ilbo. NewJeans Court Ruling Contract Termination Rejected
2
Forbes. NewJeans Label Controversy: What to Know About Dispute Between Major K-Pop Company HYBE and Subsidiary ADOR
3
Billboard. HYBE Reports NewJeans Label CEO to Police
4
Variety. K-Pop: HYBE Alleged Breakaway NewJeans ADOR
5
Billboard. HYBE ADOR CEO Min Hee-Jin NewJeans Feud Timeline
6
Forbes. Why Is Danielle Leaving NewJeans: A Complete Timeline of ADOR Dispute
7
Teen Vogue. NewJeans ADOR Contract Termination Timeline Explained
8
BBC News. NewJeans ADOR Contract Termination
9
Musically. HYBE’s ADOR Wins Preliminary Injunction in Battle With NewJeans/NJZ
10
The Fader. NewJeans ADOR Injunction Appeal Denied
11
Korea Herald. Seoul Court Rules ADOR Dismissal of Min Hee-Jin Did Not Violate NewJeans Contract
12
Music Business Worldwide. NewJeans Loses Contract Dispute as Seoul Court Rules in Favor of HYBE’s ADOR
13
Forbes. All NewJeans Members to Return to ADOR After High-Profile Lawsuit
14
NBC News. K-Pop Band NewJeans Set to Resume With Record Label After Court Loss
15
Korea Herald. NewJeans Members Announce Return to ADOR
16
Korea Herald. ADOR Confirms NewJeans Preproduction Discussions
17
KED Global. NewJeans Recovery Projections
18
The Guardian. NewJeans Member Danielle Sued for Millions After Bitter Feud With K-Pop Record Label
19
Maeil Kyungjae (MK). Danielle Marsh Contract Termination Details
20
Rolling Stone. NewJeans Label ADOR Sues Danielle, Min Hee-Jin
21
KED Global. ADOR Files Lawsuit Against Danielle and Min Hee-Jin
22
Maeil Kyungjae (MK). ADOR Danielle Lawsuit Hearing Update
23
Chosun Ilbo. Min Hee-Jin Put Option Court Ruling
24
UPI. ADOR NewJeans Min Hee-Jin HYBE Lawsuit Waive Payout Offer
25
Forbes. Min Hee-Jin Offers to Forgo $17.9M if HYBE Drops NewJeans Lawsuits
26
Music Business Worldwide. Min Hee-Jin Offers to Forgo $18M Payout if HYBE Drops All Lawsuits
27
Korea Herald. Min Hee-Jin Establishes New Agency Ooak Records
28
Korea Herald. Police Dismiss Criminal Complaints Between HYBE and Min Hee-Jin
29
Aju Press. Prosecutors Dismiss Min Hee-Jin Charges Against HYBE Executives
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Digital Music News. HYBE NewJeans Copyright Infringement Lawsuit How Sweet
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Billboard. NewJeans Members HYBE Copyright Lawsuit How Sweet
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Korea Herald. NewJeans How Sweet Copyright Lawsuit