Is Time on Min Heejin’s Side? HYBE Losing Ground on ‘Justification’

It’s been a week since the conflict between HYBE and CEO Min Heejin surfaced. With CEO Min Heejin’s refusal to hold a board meeting as requested by HYBE, it might take another month before HYBE holds the board meeting as planned. It is expected that the battle will escalate to CEO Min Heejin’s final dismissal. 

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Meanwhile, public opinions are changing. As public sentiment now shifts towards CEO min Heejin’s side after the press conference, suspicions against HYBE are growing. During this process, there are worries regarding the decline of HYBE’s multi-label system and the competitiveness of its intellectual property. Moreover, many also worried that HYBE’s effort to to stop others from taking control of management may ultimately lead to their own downfall.

According to sources, the Seoul Western District Court will conduct a meeting regarding the shareholders’ meeting as requested by HYBE at 4.35 PM today (30th).

Since HYBE’s request to hold a board meeting with ADOR was refused by CEO Min Heejin on the 22nd, it will take about 3 weeks for the court to schedule investigation and reach a final decision. After making their decision, the court will issue a notice of shareholder meeting, and it will take another 15 days for the actual meeting to be held. It is expected that the meeting will not take place until early June, at the earliest. Considering there are many holidays in May and June, there’s also a possibility the meeting will be delayed until mid-June or even later. 

Even if HYBE dismisses CEO Min Heejin after the meeting, it seems like the legal dispute will still continue. According to Article 385-1 of the Commercial Act, if a director is dismissed before the expiration of their contract without justifiable reason, they can claim damages against the company. Justifiable reasons mentioned here include violations of laws, difficulties in handling duties due to mental or physical incapacity, and loss of fundamental trust in management capabilities due to failure in business planning and execution. However, court interpretation is required in these cases. 

Another matter of concern is CEO Min Heejin’s 18% stake in ADOR after dismissal. There might be future revisions regarding HYBE’s call options on CEO Min Heejin’s stake and CEO Min Heejin’s put option authority. Attorney Lee Sookyun, representing CEO Min Heejin, noted in the press conference, “There were unreasonable aspects in the shareholders’ agreement that was made last year between HYBE and CEO Min Heejin. Therefore, we have been negotiating for a re-negotiation this year.” Hence, it is anticipated that legal disputes related to stake management will escalate in the future. 

Analysis suggests that as the dispute continues, it seems like HYBE has more to lose. First of all, there are concerns about the failure of their multi-label system. This system could ironically lead to a decline in their competitiveness. As an investment banking industry insider remarked, “The essence of management disputes ultimately boils down to a battle of legitimacy; it’s about who has the better reasons. It’s a battle to see who’s more justified: HYBE, who is concerned about losing control of their management, or CEO Min Heejin, who has raised allegations of internal whistleblowing and unfair contracts.”


-By now, HYBE must be regretting it, right? Or are they getting even angrier?

-Does HYBE even have their own color? It’s just a company that has expanded its size without any substance.

-Let’s just admit HYBE is a flop.

-HYBE, please consider public opinion for once.

-Min Heejin has to win.

-HYBE has already lost the game.

-In the end, Cinderella always wins. (NB: This refers to Min Heejin’s remarks on the press conference -> ‘Even though her stepmother and sisters always harass her, in the end, Cinderella always wins.’)

-Cutting off the person who does their job the best is ridiculous.

-Cinderella, let’s win. We can do it, be strong!

-Cinderella must win. Isn’t society too corrupt? Let Min Heejin win.

-HYBE, go bankrupt.

-HYBE has already lost if you look at public opinion.

-Well, I also hope Min’s side wins, but it’s not easy because they’re going through legal procedures…

-HYBE, go bankrupt because in the end, Cinderella always wins.

-Fighting, Min Heejin ㅜㅜ

-Min Heejin is the one who created the image of HYBE’s girl group, but they’re trying to kick her out lol. Just go bankrupt, HYBE.

-No, they should just apologize now and end it. It’s absurd that the entertainment company, which receives the most public attention, disregards public opinion and stubbornly sticks to its pride without doing anything.

-HYBE might as well go bankrupt. They’re doing things that are really disgusting. They brought in a brilliant woman, and now that she’s doing so well, they’re trying to kick her out because they don’t like her. What a disgraceful act. 

-I don’t really know, but I support Min Hee-jin.