EXO-CBX Fury Unleashed as SM Fails Promised Music Fees

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On June 10 at 4 PM KST, EXO’s Chen, Baekhyun, and Xiumin (collectively known as EXO-CBX) held an emergency press conference at the Shilla Hotel, through their agency INB100, to address claims of unfair treatment by SM Entertainment.

During the press conference, EXO-CBX’s legal representative, Lee Jae Hak, disclosed the details of SM Entertainment’s failure to honor a verbal promise made to the group.


 

According to Lee, SM’s COO, Lee Sung Soo, guaranteed the three members a 5% music distribution fee, a promise that was never formally included in their contract.

Lee explained, “There is a clause that 10% of profits generated from all entertainment activities (excluding producing activities) in the new company would go to SM. Although SM did not fulfill the agreement’s terms, they insisted on receiving 10% of the sales.”

Lee warned that if SM Entertainment continues to demand 10% of EXO-CBX’s personal activities, the group would consider canceling or terminating their agreement with the company.

EXO-CBX
EXO-CBX
(Photo : pannchoa)

“If SM continues to request 10% of personal activities, we will cancel or terminate the agreement and respond by reviewing the criminal complaint regarding the agreement, reviewing the complaint made to the FTC, and pointing out the legal issues from last year,” Lee stated.

During the press conference, EXO-CBX also revealed the reasons behind their decision to renew their contracts with SM Entertainment, despite the ongoing disputes. However, the specific motivations were not detailed in the conference.

In recent news, SM Entertainment staff member’s public statement against EXO-CBX has ignited a contentious debate online. The employee’s message addresses various issues including contract terms, financial transparency, and the agency’s treatment of artists.

While some netizens support the staff member’s claims, others accuse SM of manipulating the narrative to discredit the artists.