As the conflict between the 3 members of TVXQ and SM heightens, many celebrities of the entertainment industry have all agreed on one thing, no matter who is right or who is wrong, this is a regrettable issue. Therefore, the comeback for TVXQ early next year is really impossible.
Regarding this, many celebrities have expressed, “It’s a pity for such a talented group ; Worried that this excellent group will be gone just because of this.” A person from a marketing department for entertainment has said, “No matter what, we are really worried that such talented group might disband.” Even a Japanese entertainment producer has said, “TVXQ’s popularity is really huge in Japan, and we would normally compare them with our top Japanese groups.”
“Having the potential to be the top group in Asia, it’s such a misfortune that this had to happened.” Some have said, “It’s not easy to have such a wonderful group, this is not a simple issue of disbanding or continuation of a group, but a group that represents Korea, generally it’s an issue regarding the group that represents Asia.”
Source: OSEN + TVXQ-Yard
Translation: sshutingg @ OneTVXQ.com
Special Thanks: 'Lovedust @ OneTVXQ.com
Credits: OneTVXQ.com

SM Entertainment CEO's Kim Young Min, who is involved in the ‘unfair contract’ dispute with his three members of TVXQ / DBSK / Tohoshinki, has recently announced a new contract policy, and that it will be put into action once it gets approved by the related authorities.
"Kim Young Min, who attended the press conference which was held on the 2nd of November 2009 at 63 Tower, has expressed, “We would collect all comments from music and entertainment industries, related government departments, cultural and tourism board, fair trade departments, educational circles and legislative bodies, based on the law to adjudicate a new contract policy. After the approval from the respective authorities, we would then put it into action. Then follow it (new contract policy) enthusiastically.”
Kim agreed, “If we are able to come out with a new exclusive contract policy based on the law, SM would like to re-contract with all current artistes based on it.”
Kim also expressed, “Under the new exclusive contract, from the moment it’s signed, it would be protected till the contract ended, if not the current situation would repeat over and over again in the future.”
“In order to prove what I have just said is nothing but the truth, we would first like to take the advice from the impartial committee,” he said.
But, everyone was not able to fully believe this announcement by SM Entertainment. Professor Lee from Korea Art University stated, “If SM do not wish to have what they have just said to turned into nothing, then they should assure them.” He continued, “Based on what SM have said, they do not wish to fully take on the advice from the impartial committee, but to forcefully come out with a new contract policy, which was questionable (their announcement).” Professor Lee ended, “If SM was really sincere about this, they should work on the new contract based on the advice and not vice versa, and then to get it approved by the representative authorities.”
We will have to see what the authorities in charge of the case do with this new contract. If the contract is fair in their judgment and if the boys will accept it, but this seems a bit promising.
credit: allkpop

Earlier today, TVXQ / DBSK / Tohoshinki got together on stage to hold a concert at the Hongkou Soccer Stadium in Shanghai, China. Despite the turmoil, rumors of breakup, and lawsuit with SM Entertainment, the boys got together and put on a great show for the more than 30,000 fans in attendance.
According to fan accounts, TVXQ's leader Yunho said: "The five of us will never part!" Even though the concert was held in China, this lead the crowd to chant "믿어요! 동방신기 사랑해" which translates to "Believe! We Love Dong Bang Shin Ki." Jaejoong, and Micky were both seen crying around this time as well. There's also reports that all 5 cried together at the end.
This reassured a lot of Cassiopeia who have always kept the faith and continue to do so.
news from allkpop
[TRANS] TVXQ Fans Plan To Report SME To The Fair Trade Committee For Violation Of The Law Of Fair Transaction

TVXQ fans are planning to report SM Entertainment to the Fair Trade Committee for the violation of the Law of Fair Transaction.
DNBN, a TVXQ fan site, announced these plans on their notice board on the 6th under the title 'Information such as the Date and Time of Submission along with Updates Regarding the Fair Trade Committee'.
DNBN's side stated that, "The second round of petition collection has successfully ended," and "We will be submitting the petitions from the second round along with our report of SME to the Fair Trade Committee for the violation of the Law of Fair Transaction on the 9th at 1:30 pm. After wards we will be submitting these additional petitions to the Seoul District Courts."
Following this statement, DNBN also posted, "As stated in the certification of contents sent to SM Entertainment, if the agency does not reply to us by the 8th, we will be submitting a compensation of losses request form to the Fair Trade Committee on Wednesday the 9th at 1:30 pm and will be submitting additional petitions to the Seoul District Courts on the same day."
DNBN also plans to publish a newspaper advertisement supporting TVXQ. It said on the website that, "On the 10th, we plan to publish an ad in a newspaper," and "So that everyone can see it, we ask the fans to buy the newspaper in the evening."
It can be seen that the fans are taking many legal actions against SM Entertainment, the agency that is currently in a dispute with members of the 5-member idol group TVXQ.
On the 2nd, DNBN sent SM Entertainment a certification of contents containing 1222 names of fans who want compensation for the physical and mental damages acquired due to the cancellation of the SM Town Live '09 concert.
Also, TVXQ fans collected 121,073 signatures and submitted them on the 20th to the Seoul District Courts along with a petition that opposed the unfair exclusive contract between SM Entertainment and TVXQ, and submitted a petition to the National Human Rights Commission of Korea on the 28th.
Source: [newsen+DNBN]
Translation credits: jeeelim5@tohosomnia.net
Shared by: tohosomnia.net
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On the 22nd, TVXQ’s agency SM Entertainment said, “There is a high chance that Choikang Changmin will begin filming for the drama ‘Paradise Ranch’ in early September,” and “Choikang Changmin will be the lead role in this drama.”
This is the first time Choikang Changmin will be starring in a drama in five years since his debut in 2004.
This drama will be co-produced by Samhwa Networks and SM Entertainment, and is planned to begin ariting later this year.

◇ Exclusive contract .. “lifetime contract” vs “for overseas expansion”
DBSK side: “Other famous agencies only have 5-7 years contract with their artists, in coherence with Korea Fair Trade Commissions which allows maximum 7 years for exclusive contact period, not as many as SM which lasts until 13 years.”
“Most idol singers’ active period is during the prime of their life. Therefore 13 years contract can be viewed as a lifetime contract.”
“In addition, if they terminate the contract during half way period, the penalty of sum of total investment and loss will cost up to 100 billion won which is the long term contract device to not allowing the artist to escape.”
SM side: “We already made several times modifications at the contract, in each and every points FTC can not accept. Also, if the artist wants to go international, they can’t choose but to have a long term contract.”
“We already had plan in our hand to do S.E.S record expansion with Japanese famous label back then, but it’s failed since they couldn’t take SM exclusive contract.”
“BoA, Kang Ta, and other artists engaged in overseas activities have exclusive contract period for 15 years. In order to get a result for overseas activities, we need a long period of time, we cant help it.”
◇ Revenue distribution .. “it should be proportional to income” vs “They’re agreed facts”
DBSK side: “The three members think that they do not get distribution revenue fairly to their proportional income. We respect SM business secret, but we also demand an exact calculation data about the income.”
SM side: “We released settlement data about each member publicly every six month. In fact, last February, all 5 DBSK members’ parent had signed the settlement and made an agreement about the contract.”
DBSK side: “The three members are still young men and don’t even know the content of settlement they had just signed. When our lawyer asked for re-statement of accounts, with reasons that it’s secret, the company refused to provide the data. Later on, SM only invited the members without any legal companion to look and talk about the data.”
◇ Cosmetics business .. “a common example,” vs “the nature of the case”
The lawyers of DBSK’s 3 members refused to make further comment about cosmetic business which is believed by SM side to be the nature of the case. “They do not put big investment in the cosmetic business and it’s a common incidental income among artists to have. We did not feel that money was the problem in this lawsuit so we did not talk about it on its own.”
SM side: “But the 3 members who applied this case are all the owners of cosmetic business. It proves that this is the main reason of this case.”
“As cosmetic business owners, the members will expose their image in to any events held, as well as in the homepage. And it’s considered as violation to the exclusive contract. SM should ask them to self-control regarding such kind exploitation because it has possibility to decrease the shock (exclusivity) of DBSK overall images.”
◇ DBSK will continue….
SM side: “Through this lawsuit, we hope to resolve any misunderstandings with the applicants (3 DBSK members), to deepen trust therefore we can together lead the future 2nd Korean wave. The star and agency, we want to grow together as their companion.”
“We have unlimited affection to the applicants and right now we’re seeking a long-range plan vision to debut them in Hollywood, United States. We hope this case can be resolved.”
DBSK side: “If you look at Shinhwa, although each member is in a different agency, they still perform as one group and the three members, even if they move agencies, do not wish to disband. As TVXQ, they don’t want any separation among the members.”
“The three members have a deep feeling towards SM, but they’re ready to accept any possibilities this case might leads in the future.”
source: star.mt.co.kr
summarized trans: sharingyoochun@wordpress
Shared by : DBSKnights + Honey_KizZ + Sharingyoochun
Dong Bang Shin Ki gets 3rd golden album from Japan Record Association, “More curiosity about group’s Japanese promotions in the future”

With that, more attention are raised as in what will the next step be for Dong Bang Shin Ki 3 members Micky YooChun, Xiah JunSu and Hero JaeJoong’s contract discord with SM Entertainment.

SM Entertainment said on 7th August, “SM Town Live 09 to be aired on 16th August in Seoul Jamsil Stadium will be postponed.”
Especially since SMTown Live concert is said to be a stage where the SM Family will come together to present a variety of performances, with the 3 members Micky, Xiah and Hero of Dong Bang Shin Ki having a discord with SM, it is hard for this concert to go on as usual.
SM said, “We are very sorry for customers who had bought the tickets to the concert, which was sold the immediately ticket sales were open, to bring such an undesirable news. We promise to present SM Town Live concert better for fans and family.”
Meanwhile the site for refund to the concert is available at GMarket. (http://ticket.gmarket.co.kr/) (Phone number:1566-5702).
Source: Sookyeong

Dong Bang Shin Ki members Micky YooChun and Hero JaeJoong will be participating in Japanese famous hiphop duo m-flo’s 10th anniversary album.
Currently the 2 together with member Xiah JunSu are entangled in a discord and lawsuit with their management SM Entertainment. And with this album participation, it cast different interests on this case.
Dong Bang Shin Ki revealed through their Japanese official site on 4th August, “There will be many artistes participating in m-flo’s 10th year anniversary album. And of them are Dong Bang Shin Ki Micky YooChun and Hero JaeJoong.”
It has been known that the 2 will be participating in the song ‘Been So long’ according to the homepage. The album is set to be released on 16th September.
Meanwhile, here’s another news translation about the case between DBSK and SM Entertainment thanks to Felix for the headsup
[TRANS] 090802 TVXQ’s Japanese Contract Speculation
It has been confirmed
that three members of TVXQ, YoungWoong Jaejoong, Micky Yoochun and Xiah Junsu,
have filed for a Exclusive Contract Validity Suspension and Provisional
Disposition Request against SM Entertainment and have also filed for a
Preservation of Evidence Request.The Preservation of Evidence Request refers
to, “Any account books, contracts, receipts, transfer slips or any other
documents that will aid in calculating the exact income and expenditure of the
requester,” and this was done to calculate the exact amount of money TVXQ
earns.There is more controversey to come as a statement was released that
the members of TVXQ, till now, have never received information about the
contents of their Japanese contract.In 2005, TVXQ signed a contract with
Avex Entertainment, one of the largest agencies in Japan, through SM
Entertainment and have been working with both entertainment agencies ever
since.However, till now, the members of TVXQ have no idea what kind of
contract the two agencies formed, and how their income is being divided in
Japan.A representative of the law firm that is helping the three members had
a phone conversation with this reporter and stated, “Ever since TVXQ started
their activities in Japan, they have never been given any information about how
their income is divided or what their contract consists of.”He also said,
“We have tried numerous times to tell the agencies that what they are doing is
unlawful and tried to convince them to show TVXQ the contract, but both agencies
have been ignoring us,” and “The members have been diligently working for this
company without even knowing exactly what kind of contract they are
under.”
The Sejong law firm lawyer who is in charge of this lawsuit informed
reporters in an interview of the problems regarding unfair division of income
and complete honesty with the members and also stated that “We have not
discarded the notion of filing for compensation later on.”
Avex
Entertainment, who is in charge of all of TVXQ’s Japanese activities, wrote on
their ofiicial website on August 1st and stated that TVXQ will continue on with
their activities regardless of the current lawsuit.
Source: oh my news +
DNBNTranslation: jeeelim5 @ iscreamshinki.net Shared by: iscreamshinki.netcredit: sookyeong brought to you by icecoffeeprinces

Fans from all over the world are showing their worry and support for TVXQ. They are sending letters that all say one thing: regardless of the current dispute between SM and the three members, the fans will support TVXQ no matter what and a disbandment is not something they want.
On the international UCC site 'Youtube', the video that lasts around 5 minutes showing hundreds and hundreds of letters addressed to TVXQ was uploaded on the 4th.
They expressd their feelings with shaky Korean penmanship, but also confessed their thoughts through their native tongues or English. They all had the same message of 'Forever as 5' and 'Always keep the faith.'
TVXQ's influence in the world could be seen from the people's names and the stated countries. Singapore, Malaysia, Indonesia, Thailand, Vietnam, Philippines, India, Spain, Sweden, Norway, Denmark, Germany, Australia, Finland, Japan, UK, USA, Peru, Brunei, France, Sri Lanka...
The multicultural fans called TVXQ various names such as 'DBSK', 'TVXQ', 'TBXQ'
Janice, a Mexican fan stated, "Whatever happens, we will always be by your side. We pray for you." Tiffany, a Peruvian fan said, "We have always been proud of you," to express the pain she was feeling over this situation. Other than this, Dara, an Indonesian fan, hoped for a always-together TVXQ by writing "5-1=0 and 5-2=0" Liana of Germany said, "Don't give up."
On Korean internet sites as well, voices of encouragement and support have been pouring out like a flood. On Agora, a "Against TVXQ's Disbandment"
petition has gained around 21,700 signatures. Fan sites are filled with posts about the fans' feelings of worry.
There have been a couple of extreme cases though. One of which read, "Maybe if we all just committ suicide, they won't disband."
It seems that it is up to the courts to decide the fate of TVXQ, no matter what the fans say. On the 4th, the three members' representative, Sejong, stated a rebuttal that attacked SM's previous statements and that said that the truth would be revealed in court and they were willing to fight for that truth. SM Entertainment has begun silencing the people in their agency from answering questions from reporters and they seem to be busy preparing their side for the case.
The video "Always Keep The Faith - Message from International Fans" you can see here
Source: [kyung hyang + DNBN]
Translation credits: jeeelim5@iscreamshinki.net
Shared by: iscreamshinki.net
credit: 2uangels
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Amidst the chaos that has ensued after TVXQ members YoungWoong Jaejoong, Micky Yoochun and Xiah Junsu filed a lawsuit against their agency, the rift between the two sides is getting deeper as SM Entertainment revealed it’s rebuttal.
There is a lot of talk about SM’s official statement and many are skeptical about SM’s statement that the amount given to TVXQ was ‘a substantial income division.’
On the 3rd, SM released that, “TVXQ, till now (July 2009), have received 11 billion Won (9.2 billion Won given during the activities+1.77 billion Won given beforehand) and have also been given luxury foreign cars (bonuses that don’t have any connection to the contract).” SM also said that, “The other side has focused solely on album sales even though TVXQ receive their fair share through events, CFs and other performances.”
However, since the exact amount of TVXQ’s income till now has not been revealed by SME, SME’s statement has been met with skepticism and doubt.
Fans stated, “Even if SM did give TVXQ 11 billion Won, that is still less than 400 million Won per person each year,” and “It is not plausible to say that this is enough when the group’s immense popularity or influence is calculated,” to show their reluctance to accept SM’s statement.
In fact,TVXQ’s album sales started off with their debut single ‘HUG’ selling around 195K copies and after eight singles and four albums, they have sold a total of 2,68 million copies in Korea alone.
In Japan, they have released 27 singles and four albums and sold a total of 2.34 million copies. According to the Japanese Record Committee, eight albums, ‘Summer Dream’, ‘T’, ‘Beautiful You/Thousand Year Love Song’, ‘Why Did I come to like you? (Doushite)’, ‘Spell-MIROTIC-’, ‘Survivor’, ‘Bolero’, and ‘Share the World’ have received the Gold Ranking (100K or more) and ‘The Secret Code’ has received the Platinum Ranking (250K or more).
Even when China, Thailand and Hong Kong is not considered, TVXQ has sold more than 5 million copies in Korea and Japan alone. Oricon Magazine, the official album chart for Japan, stated that in the first half of this year, TVXQ took eighth place in total album sales that earned them a total of 2.5 billion Yen (approximately 33 billion Won).
TVXQ’s concerts also boast the best ticketing power and the income their live concerts bring in is probably a massive amount. Around 390K people attended TVXQ’s Asia Tours, 530K attended their Japanese Tours and 120K attended their showcases. In their concerts alone, they attracted over 1 million fans around the world.
One fan wrote on their blog, “The most recent concert was their Japan Tour that ended at the Tokyo Dome which attracted 300K people. Even when using the average seat cost of 8000 yen (1 yen=1300 Won), that is still 2.4 billion Yen, in Won that would be 31.2 billion Won.“
They also stated, “This is only taking the ticket fee into consideration. When you add up all the souvenirs sold during the concert and add this to the ticket cost, they must have earned at least 50 billion won.“
After the Tokyo Dome concert, many Japanese news agencies estimated that, “If you add up all the money TVXQ earns in China, Southern Eastern countries, Korea, etc, TVXQ must earn around 100 billion Won every year.”
There are other sources of income such as musical income sources of streaming, background music for homepages, downloads and ringtones, and commercials, performances, DVDs and photobooks, as well as a cartoon character venture, the amount that TVXQ has earned till now is almost out of this world. That is why SM’s statement regarding money has become an issue.
In reference to SM’s statement that “From their debut till now, we have paid TVXQ 11 billion Won,” many fans are saying that, “It’s not about the actual amount of money given to them, but the percentage of total income given to them,” and “SM is putting forth a large number of 11 billion Won to make it look like they have been giving the members proper treatment pay-wise.”
Fans also stated, “If the agency is so convinced that they are being fair and just, why is it that they aren’t revealing the exact income of TVXQ? There are too many unclear parts in this contract that even the members did not know the contents of.” They also criticized SM Entertainment by stating, “Because of SM’s poor attempts at making TVXQ the scapegoat, more questions are arising and they are causing confusion.”
Source: [oh my news + DNBN]Translation credits: jeeelim5@iscreamshinki.net
Shared by: iscreamshinki.net credit: sharingyoochun@wp
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DBSK is an idol group popular not only in Korea but in all of Asia. DBSK has continued to show their outstanding relationship with SM. The three members have thanked Lee Soo Man, the president of SM, multiple times when they received awards.
There are two very different opinions looking onto this situation, ‘The DBSK affairs.’ The 2 opinions are from producers and from fans.
On July 31st, the three members filed a provisional disposition to stop the effects of their contract with SM. DBSK fans immediately responded that this was SM’s fault. These assertions became stronger when the three members revealed official reports. The 3 members used expressions such as ’13 years contract,’ ‘album sales 0.4%-1% earnings division,’ ‘SM’s tools for profit’ in order to express their wishes to get away from SM’s restraint. In response, the complaints by the fans increased. Some fans even posted the situation when HOT disbanded in 2001 to criticize SM.
However, most of the staffs in the music industry are presenting very different opinions.
A high-ranking staff in an entertainment company refuted the assertions made by the 3 members, stating that these actions were too haste and is an act of betrayal to SM.
This staff stated on the 4th, opened with his opinion about the 13 years contract. “For people who are not in the entertainment industry, they will say that a 13 years contract is a slave contract. But it is because they don’t know the realities of the entertainment business.”

He stated, “the group DBSK that made its debut in 2004 is in this position because they were extremely successful for their 5 years after debut. If they were not able to attract the attentions of the fans, they would have been thankful that SM would be in charge of them for 13 years. The 3 members of DBSK must have not been 100% sure about their future success, so they probably agreed to sign for 13 years as a way of insurance.”
He also stated, “SM stated on the 3rd that DBSK was paid 11 billion won for the last 5 years in addition to foreign cars as bonus. Following this, DBSK were not ill-treated. There is probably not one SM staff who gets paid 100 million won every year for taking part into making DBSK a great success.
On the other hand in the midst of all this, DBSK fans and the majority of the music industry agree that they are against DBSK disbandment. DBSK is a big influence to not only Korean teenagers but is an important part of the Korean Wave.
Therefore, it is important that the 3 members of DBSK and SM settle their differences. Because SM holds some rights for DBSK as a team, continuation of DBSK will be difficult unless the 3 members reconcile their differences with SM. In addition to this problem, the two other members of DBSK, have not participated in the current lawsuit, and have expressed that they would stay with SM.
This situation requires SM and DBSK’s 3 members to make wise decisions in order to have a ‘win-win’ situation,considering many aspects.
Original Article can be found Here.
Article Credits: Gil Hye Sung reporter @ Real Time Entertainment News
Translation Credits: j.adore @ Soompi
Shared by: DBSKnights
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The future of idol group DBSK is uncertain. DBSK’s 3 members (Micky YooChun, Xiah Junsu, Youngwoong Jaejoong) and SM’s trouble is too deep. Although they state that there will be no disbandment, in reality, disbandment is more than likely. Even if they avoid the worst case scenario, disbandment, it feels like their departure of SM is set.
On the third, a acquaintance of the 3 members said, “settlement with SM has been tried multiple times. But their differences couldn’t be settled. The reason this went to court is because they couldn’t find a point to settle.” Thus, they concluded that more attempts for negotiations was useless.
The acquaintance that the reporter met is someone who has watched over DBSK very closely. He has experienced all ups and downs since debut until now. According to him, DBSK advocated for only one thing. They wanted conditions of the contract to be eased. However, it has gotten to a point where the conversations between the two parties have gone nowhere.
He stated, “they asked for the contract term and earnings distribution to be revised because everyone could tell it was irrational. They attempted to negotiate until the end but they felt that SM was avoiding them. Therefore, things got emotional for both parties and the 3 members are even more angry with SM’s response.”
“The truth about the 3 things that SM distorted.”
After the initial reports about this incident, SM sent documents on the 1st and the 3rd. On the first, they reported that this problem was due to the makeup company investment and they will work it out. After the contract conditions were reported, they responded that members were paid 11 billion Won and were given foreign cars as presents.
In response to this, he stated, “the nature of this instance is the unfair contract, not the make up company. However, SM has not mentioned the contract conditions and have continued to use make up company issues to play with the media.”
Additionally, he discussed about the 11 billion Won. He said, “let’s say SM is right and that they were paid 11 billion won for the 6 years of work. This is the pre-tax profit. After taxes were paid, and this amount is divided by 6 years, and 5 members, this is less than 200 million won per member. For the first half of this year, the profits from album sales in Japan is 2.5 billion Yen (33 billion won). However, DBSK doesn’t even receive 200 million won per year.”
The total number of albums released in and outside of Korea is 48. Out of these, including singles and full albums, 1.96 million copies were sold in Korea. In Japan for 4 full albums and 27 singles, 8 of those sold over 100,000 copies, and one sold over 250,000 copies. Including south-east Asia, at least 4 million albums were sold.
He also criticized abnormal methods of calculating methods. According to him, “SM requested money for back dancers and food. Basically, almost all of the expenses were paid for by DBSK.” He added, “besides this, SM created a local subsidiary and divided the earnings of DBSK into pieces. For example, SM Japan and Avex divided earnings, and this was also divided with Korean SM. With complex divisions, the money for the members were reduced.
Also, he stated that the foreign cars were given to them under the company’s name. “They received cars from SM after an award ceremony. However, the cars were registered in SM’s name and is not owned by DBSK.”
“The three members are as tired as they can get.”
According to this acquaintance, the three members of DBSK are tired of SM’s play with the press. They have no intention to solve this with mere words, and are extremely upset that SM is exaggerating only one side of the story, distorting the truth. He said, “they expected SM to twist words with the press but didn’t realize it would be to this extent. If SM continues this method, I think it would be nearly impossible to work together with SM again. I suspect that they will part with SM and try to find a different solution to settle this.
Their departure from SM does not bean the disbandment of DBSK. He asserts that there is no problems in relationships between all the members. They are still like family and agree that in any situations, they must work together. He said, “Truthfully, all five had the same intentions. But in the process of negotiations, there was differences between the members. That is why only 3 members decided to fight with their company. They all agree that the contract conditions are irrational, it is just that their way of handling it is different.”
“DBSK will continue even after departure with SM”
Micky YooChun, Xiah Junsu, Youngwoong Jaejoong’s will is stronger than ever. The acquittance reported that, “the 3 members are showing stronger wills than before debut. The three members are determined to stick together no matter what hardships come their way.”
They are also determined to get back together as 5 members under the name DBSK. He revealed, “even if the 3 members leave SM through lawsuit, this only means departure from SM. This does NOT mean the disbandment of DBSK. It may be after the 2 remaining members leave, or if they perform from 2 different companies; the 5 want to continue with DBSK.”
Well then, if 3 members leave SM, would they still be able to use the name ‘DBSK.’ Upon researching in the Industrial Property Office, the group name ‘DBSK’ is not registered. SM registered for DBSK trademark in 2004 but was denied. In other words, SM does NOT have the right to the name ‘DBSK.’
According to a ‘Mansung’ Patent Law Firm Office, the patent attorney Hwang Sung Pil said, “Dong Bang means East and one cannot assert exclusive right to use it. Most likely, this was probably the reason why the application was denied 2004. SM cannot assert any trademark rights to the name. If the 5 members are together even away from SM, they will have no problems using the name.”
More than anything, DBSK feels extremely sorry to their fans. This is why they want to go through with performances that were already scheduled. The acquaintance reported, “if they lose the lawsuit, they may have to pay an extreme amount of money for penalty. More than that, they are going through hard times thinking that they will have to be away from their fans while the lawsuit is in process.”

Source: Sports Seoul
Translations: j.adore @ soompi
credit: ♥ KPOP JJANG 짱
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TVXQ’s agency SM Entertainment has put forth another official statement to refute the one given by YoungWoong Jaejoong, Micky Yoochun and Xiah Junsu’s side today.
SM sent their statement to various reporters at 8 o’clock on August 3rd and the content was full of points that refuted what Sejong had stated.
SM began off by responding to Sejong’s statement that there was a clause in the contract that stated that unless TVXQ sold 500K copies, they would not receive a single Won from the album sales. SME stated, “TVXQ has received, from when they debuted till now, a total of 11 billion Won (9.2 billion won given during the time + 1.77 billion won given beforehand) , luxury foreign cars (bonuses with no relevance to the contract). In contrast, SM Entertainment was in a deficit for four years after TVXQ’s debut. The opposition (Sejong) has disregarded the fact that income divisions from CFs, events, and other income sources differs depending on the overall economic situation. They are only focusing on one bad side of this contract instead of looking at it as a whole.“
On Sejong’s statements about the 13-year ‘lifetime contracts,’ SM stated that, “The Fair Trade Committee’s seven year contract urge does not apply to singers. Also, it states that for singers who are working overseas, there is no limit to how long the contract can be.”
SM stated that, “We have been through five changes already in the contract with the members of TVXQ. And of those two, the clause regarding compensation if TVXQ were to cancel the contract was revised by the Fair Trade Committee,” and “The other three times concerned the divisions of income and the first revision was January 2004 when they debuted. The next two times were in February of 2007 and 2009.”
Also, in regard to Sejong’s statement that, “We (Sejong) have tried numerous times to talk with SME about a compromise,” SME stated, “They have only started asking for a suspension of their exclusive contract after the three members sent us a certification of contents through the firm Sejong in June 2009.”
In reference to the members’ statements that they were only sleeping 3~4 hours per day which resulted in bad health, SM said, “We have always compromised schedules for their health.” And in regards to the cosmetic company, which Sejong stated was not the main cause of this lawsuit, SM stated, “This (the cosmetic company) is the real reason why they filed this lawsuit. This statement can be solidified by the fact that only the three members who have ties to the cosmetic company are filing the lawsuit.”
Regarding TVXQ’s future, SM said, “We would like to solve this problem quickly with the three members who filed this lawsuit.”
Note: 11 billion won = approx US$9 million
Source: [joy news + DNBN]
Translations: jeeelim5 @ iscreamshinki
credit: ♥ KPOP JJANG 짱
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DO NOT REMOVE WITHOUT FULL CREDIT!
Two days Situation:
At 9:06 am yesterday, SM stock is worth for 3,715 won fell about 11.02%.
Yesterday Situation (as drawn in the graph):
Stock fell until -10.1%, a loss of 5% on the current value. It’s increase a bit from yesterday, but not much.
Kim Chang-won, an analyst from Daewoo Securities on the August 3rd said, “BoA, TVXQ, Girls Generation, Super Junior, and SHINee are non arguably most important asset of SM. If there’s something happened to one of these 5 main stars, the negative impact to stock price is expected.”
Financial Health of SM
Growth trend
Blue spot > Total assets (ressources/funds)
Purple stick > Total Liabilities (hindrance/puts)
Yellow stick > Total shareholders’ equity
Blue stars > Sales
If you look at the 2008 growth curve and if you do the ratio, we can see that Mirotic album was a breath of air fresh for SM.
Revenue Structure (the most interesting part)
Blue line > Sales
Purple line > Operating profit (EBIT, Earnings Before Interest and Taxes)
Yellow line > Net income (profit)
Can you see the incomes and sales’ increase at the end of 2008? The main artists that were promoted at that time were TVXQ. Don’t you remember all the performances at all end’s year ceremonies? If you were wondering why the members didn’t claim for their rights earlier, now you know.
note:
EBIT (Earning Before Interest and Taxes): company’s earning (sales minus all expenses) excluding effects from interest income/expense and tax.
Net Income: EBIT with the effects of interest and tax.
Source: SYC
There is a fair amount of personal opinion from the source. So please don't misunderstand.
Aug. 3, 2009 (Seoul)
**S.M. ENTERTAINMENT SLIDES ON NEWS OF LEGAL FEUD**
S.M. Entertainment Co fell after several media reported on Saturday that members of Tong Bang Shin Gi (TVXQ), a South Korean boy band, filed an injunction in a Seoul court to terminate their contract with the talent agency.
'For investors, it's reasonable to worry over the news, since Tong Bang Shin Gi is one of the major sources of revenue for SM Entertainment,' said Kim Chang-kwon, an analyst at Daewoo Securities.
S.M. Entertainment could not be reached for a comment.
S.M. Entertainment shares fell 10.06 percent to 3,755 won as of 0141 GMT, while the junior Kosdaq rose 0.82 percent.
0141 GMT
Source: Forbes
Shared by: DBSKnights
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SM Entertainment, with which Dong Bang Shin Ki member Hero JaeJoong, Micky YooChun and Xiah JunSu has have a dispute with, came out to reveal their official stand.
SM Entertainment said on 3rd August, “Dong Bang Shin Ki has earn 11billion KRW from after their debut till 2009 July (dividend payout 9.2 billion KRW + beforehand provision 1.77 billion KRW). Also they also received many high-end foreign products in the process even though SM Entertainment was suffering from a business deficit in the 4 years after the group’s debut. And even though there is a distributive ratio, they would have raised it with proftis from their endorsement in CFs, doing events and also photoshoots.”
And about how the 3 members have said that they were given unjust treatment, SM Entertainment said, “About their health and schedule, we have discussed them before they were put through it.”
And about the cosmetic enterprise, SM said, “Looking at this case, this holds substantial reasons to it. It is evident since there is only 3 members involved in this case. They wanted to reduce the loss of image and harm to them as soon as possible with this plan as they will be used for the enterprise in terms of having their images used as part of marketing and also to participate in events for the enterprise.”
Also, “According to the Fair Trade commission, there is no provision saying that singers cannot be signed for beyond a period of 7 years, and there is no exceptional provision limiting the contract of singers promoting overseas. We did amendments to the exclusive rights clause for 5 times after the contract was contracted, 2 times were to address the compensation of loss, and after checking and confirmation by the Fair Trade Commission. The rest of the 3 times were to address the profits distribution ratio and for renewal – in 2004 January, then in 2007 February and 2009 February.”
SM “We will solve this case with the 3 members regarding the application for retractile in the contract and the lawsuit confrontation as soon as possible.”
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Idol group Dong Bang Shin Ki’s members Micky YooChun, Hero JaeJoong and Xiah JunSu finally revealed their stand about their problems with SM Entertainment.
Their representative revealed through news media on 3rd August, “The 5 years period after they debuted, the 3 of them felt that their minds and their bodies are tired having to follow the tight schedule that the company put up unilaterally.”
They continued, “Kim JunSu, Kim JaeJoong and Park YooChun has been following SM’s instruments from beginning of 2004 till now, going back and forth promoting in Korea, Japan, China etc, and in a year except for 1 week they get only 3-4 hours of sleep a day to do our schedule.”
Also, “In the process the health of the 3 members are very much deteriorated, they are also suffering from mental fatigue, and as time went SM continue to established on their own decision for Dong Bang Shin Ki to advance into other countries. In the end the 3 members felt that as compared to be fulfilling their dreams to be singers, they are used more as a tool by the compared to earn profits, and they wish to use each of the members to also go into other entertainers’ activities.”
The 3 members’ representative also added, “It is a 13 years contract but in reality it is a lifetime contract. With the exclusive rights clause in the contract, the 13 years also include the time the members are serving their military service, hence it will go for more than 15 years. And now it has not even been near to 10 years since the group’s debut, hence it seems like the contract will last until the members’ retirement from the entertainment zone. The penalty for retracting the exclusive right clause is 3 times the investment cost and 2 times the lost in earnings. They also asked about the penalty of cancelling the whole contract but it will involve several hundred billions KRW of penalty, hence in reality there is no way out but to be tied down to SM because of the contract.”
Also, “The members did not receive the right treatment even from SM. Without getting any contract fees, the initial contract was that if their album sells more than 500K copies, each member will get about 10 million KRW during the next album release. If they sell less than 500K copies of album, they will get nothing.”
credit : Sookyeong
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The law firm SEJONG on the 2nd to Star News said, “Today (August 2nd) in the evening, lawyer of the company and several officials involved will have a meeting.”
“and tomorrow (August 3rd) through press conference, we’ll hold an official press release regarding this matter.”
About the statement they made related to press release on August 1st (T/N: I guess the statement from phone call interview saying that so far they have no plan to hold presscon), “Originally, we didn’t make plan to reveal anything yet since we want the case to be done in steps. However, as there are so many misinformation about the truth fact being rolled up, therefore we decided to hold an official press release.”
Jaejoong, Junsu, and Yoochun represented by SEJONG on July 31st submitted an injuction application at Seoul Central Dis rict Court to remove the exclusive clause effect in their contract against SM Entertainment. In addition, to verify information related to income, a preservation of evidence application have been an additional submission as well.
trans: sharingyoochun@wordpress
shared by: DBSKnights
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[A/N] I'm not sure if this has been posted already, but please disregard articles stating that the lawyer said that the 3 members are going to form their own group together after the lawsuit has been settled. a fan emailed the lawyer and the lawyer replied back saying:
"Thank you for the mail.
The contents of the article by Daily Sports have been extremely exaggerated, and I myself am also currently discussing this issue with the reporter.
I, especially, never stated that the only three of the members will be active together. In contrast, there does not exist any ill feelings between the members, and the members wish that the 5 will always remain together.
I will be careful with my words from now. I hope that the fans will continue to support the members.
Sincereley, SangHyuk Im"
Credits: xgoody2shoes15x @ soompi
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_____________________________________
I also hope they will always be "DBSK" which has 5 members!!!
once become DBSK, forever will always be DBSK!

It seems that the Chinese fans have also joined in the fan panic with the news of danger that Dong Bang Shin Ki will disband.
On Chinese Sina.com and other media, there were reports about Dong Bang Shin Ki members Xiah JunSu, Micky YooChun and Hero JaeJoong has went up to Seoul Central District Court to apply for provisional retractile of their exclusive rights effect from their contract with SM Entertainment.
The reports also went, “With this news of a lawsuit by the Dong Bang Shin Ki members, many of Dong Bang Shin Ki’s fans have been taken aback, especially for their official fanclub Cassiopeia, they are in a panic state.”
With these reports, Chinese fans said, “If this is the route they choose, we will support them”, “But still this is the company that groomed them to be top stars, isn’t that a little too much?” with various responses.
Meanwhile, it has been known that members UKnow YunHo and Max ChangMin has decided not to join the rest of the members in this pending lawsuit.
With these news, there have much speculations that the chance of the group disbanding is high since it has been more than 5 years since they debuted in 2005.
But with that, SM Entertainment released official statements:
- They said on 1st August morning, “It is true that Xiah, Hero and Micky made the application for provisional disposition to terminate the exclusive rights effects from their contract on 31st July at the district court. With that the company is very taken back by the action, we are trying to get confirm all the truth from them currently. “
- They continued, “But as a representative group to the country and to Asia, our stand is that activities for Dong Bang Shin Ki have to continue even with this disposition application. And about the problems arising from the discussion to do a cosmetic entreprise, we plan to talk over them and sort out the problems as soon as possible.”
- SM Entertainment’s representative added about rumours to the band’s disbandment, “On SM’s side, we still have much love for Dong Bang Shin Ki. We do not want them to disband. Let’s resolve this peacefully seeing the long time we have worked together since their debut till now.”
Read the full followup Korean news report here: [Updated] Dong Bang Shin Ki Xiah, Micky and Hero for a lawsuit against SM? Worries for group disband
I want to take this chance to also clarify, whatever that is reported on KBites about this case are only from Korean news sites. I don’t care what other sites or forums post, I’m going to stick with just the Korean news article on this case.
credit: Sookyeong
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