Boy Fantasy’s Yoo Jun-won Ordered to Pay 600 Million Won in Damages; Studio Immediately Appeals, Warns of “Irresponsible Contract Breach” [Star Issue]

*This content was translated by AI.View Original

Singer Yoo Jun-won, who has been embroiled in a conflict with his former agency over an unauthorized departure controversy, ultimately lost the lawsuit concerning his exclusive contract. Production company Funky Studio has filed an appeal against the ruling.

On the 23rd, Funky Studio submitted an appeal brief contesting the verdict in the damages claim suit for approximately 3 billion won that it had filed against Yoo Jun-won.

Through its litigation representative on the same day, Funky Studio stated, “We welcome the court’s clear recognition of Yoo Jun-won’s refusal to sign an exclusive contract without just cause and his liability for breach of debt.” However, the company added, “Compared to the substantial losses incurred by investors who invested hundreds of billions of won in production costs and the massive ripple effects caused by the departure of the audition program winner, the amount awarded in this first-instance trial is far below the claimed amount (3 billion won) and is grossly insufficient. Representing the investors, we have immediately filed an appeal brief and will significantly determine the scope of damages through the appellate proceedings.”

Subsequently, the litigation representative for the investors also stated, “During the appellate trial process, we will meticulously prove business losses and additional damages to ensure that the investors’ losses are fully compensated, and we will fight until the end.” The representative added, “We are also considering expanding lawsuits for creditor rights infringement and joint tortious acts against the new management company that facilitated or induced Yoo Jun-won’s unauthorized departure by signing an exclusive contract with him. In addition to compulsory execution on Yoo Jun-won’s personal deposits and settlement claims from broadcasting and music streaming, we will activate all possible legal measures, including listing him as a credit delinquent, to completely eradicate the precedent of irresponsible contract breaches within the entertainment and investment industries.”

Previously, the 31st Civil Division (Large) of the Seoul Central District Court held a verdict hearing on the 8th for the damages claim suit for approximately 3 billion won that Funky Studio had filed against Yoo Jun-won. The court ruled in favor of the plaintiff and stated, “Yoo Jun-won must compensate Pocket Doll Studio 685 million won.”

This lawsuit began in September 2024, one year after the case was filed in September 2023. It showed signs of prolonged proceedings due to seven changes in hearing dates and failed mediation attempts.

Yoo Jun-won secured his place in the debut group Fantasy Boys by winning first place on MBC’s audition program “Boy Fantasy: After School Crush Season 2” in 2023. However, conflicts arose over demands for an increase in revenue distribution rates and unauthorized departure from the team. In response, Yoo Jun-won filed a preliminary injunction application to suspend the effect of his exclusive contract against Funky Studio, but the court did not accept it.

Following this, Funky Studio pushed back, stating, “We will take strong legal action against Yoo Jun-won, who is secretly preparing a fan meeting in violation of the contract,” and announced that they would identify the production company behind Yoo Jun-won’s fan meeting. The studio added, “We plan to send certified letters and file preliminary injunction applications for performances to the planner and production company. Such actions are a form of having no conscience at all toward the members of Fantasy Boys.” Funky Studio stated, “Since Yoo Jun-won lost his preliminary injunction application to suspend the effect of the exclusive contract, proceeding with events such as fan meetings behind our backs is a clear breach of contract.” The studio also said, “We plan to submit petitions to the Korea Entertainment Management Association (KEMA) and the Korea Entertainment Producers Association (KEPA).”

Despite this, Pocket Doll Studio’s Kim Gwang-su (CEO) extended an olive branch to Yoo Jun-won until the end, stating, “If Yoo Jun-won returns, we will discuss it with the members and go together. Although there are legal issues, we will persuade production company Funky Studio.” However, Yoo Jun-won responded with no answer throughout. Judging that he had no intention of returning, Funky Studio filed a damages claim suit for 3 billion won against Yoo Jun-won.

Regarding this matter, Yoo Jun-won’s side emphasized, “Pocket Doll, Funky Studio, and Yoo Jun-won only signed a broadcasting appearance contract related to ‘Boy Fantasy: After School Crush Season 2’ and have never signed a formal exclusive contract since then.” They added, “The exclusive contract was not signed simply because mutual agreement could not be reached during negotiations for an exclusive contract after the broadcast ended.”

Subsequently, newly established agency Conti stated in June, “We signed an exclusive contract with Yoo Jun-won in March. Yoo Jun-won is scheduled to debut as a member of our boy group, which is currently being prepared for launch. We will spare no effort in providing full support so that he can focus solely on music and the stage.”

Conti stated, “Yoo Jun-won decided to join us because he trusted the direction and future potential of the boy group we proposed.” The agency introduced, “The rookie boy group Conti is set to unveil will be composed of skilled participants who have stood out in famous audition programs such as ‘Boys Planet,’ led by Yoo Jun-won.”

Yoo Jun-won also commented on this, saying, “There were many days over the past three years when I wanted to speak but could not. Now, I have found a company that will sincerely help me and members to run alongside.” He added, “I am grateful for the tremendous support you gave in response to the news I carefully shared last time. Thanks to your kindness, I feel gratitude every day and am devoted to practice. I want to share our team’s news with you as quickly as possible because you believed in me and waited. It seems that all the new images I will create from now on, the stories of our members, and the news of meeting fans directly soon will be shared through this account. I hope you will watch over our new steps together here, where we are no longer alone.”

Meanwhile, regarding issues related to Yoo Jun-won’s past activities, Conti emphasized, “Prior to signing a contract with Yoo Jun-won, we meticulously reviewed the ongoing legal disputes with our legal representatives. As a result, we clearly confirmed that there are no legal issues in proceeding with future entertainment activities.” The agency added, “We plan to actively support the artist regarding the current damages claim suit related to Yoo Jun-won. We will also respond strictly, including legal measures, against malicious defamation not based on facts and acts of obstruction of business that hinder the activities of our affiliated artists.”

However, with Yoo Jun-won losing this lawsuit, it is expected to impact his future activities.

Subsequently, Funky Studio released an official statement on the 8th, saying, “Regarding the first-instance verdict in the damages claim suit filed against Yoo Jun-won, we received a ruling that ‘Yoo Jun-won’s side must compensate 685 million won,’ but we plan to decide whether to appeal soon.” The studio added, “The court clearly recognized Yoo Jun-won’s liability for unauthorized departure and contract breach through this first-instance verdict. However, we judge that the first-instance award is insufficient compared to the actual damages incurred and the industrial impact. We are strongly reviewing and consulting on a plan to claim additional damages in addition to the original claimed amount of 3 billion won if we proceed with an appeal.”

The studio further stated, “We will continue legal action until the end under the justification of fulfilling responsibilities to investors and partner companies, blocking precedents of irresponsible departures, and protecting the rights and interests of the 11th members of Fantasy Boys who are sincerely active while keeping the team together.”

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*This content was translated by AI.View Original