SM Entertainment has the best production and marketing team


…says DBSK leader Yunho. And I agree with him.

DBSK Yunho and Changmin finally airs their side on the lawsuit filed by its three members Xiah Junsu, Hero Jaejoong and Micky Yoochun against SM Entertainment.

Here’s what they have to say:

“We five members of DBSK signed the same contract with the same clauses for the past five years, and have worked together under same conditions with utmost trust in the company, each other and our dreams. We intend to share our dream and future with the company and keep the promises we made in the contract. DBSK was made by SME and we intend to work as DBSK with SME.

No other company can create DBSK, as only SME can provide the best production and management team available. The three members should know better than anyone else that SME is the one who knows DBSK the best and made us the best. We intend to keep trust and promise and thus intend to stay. DBSK’s grand future will be with SME.

We believe that our Korean promotion, planned for next spring, should be prepared at least 6 months in advance before our future as one becomes unclear. If the other three members truly want to stay as one DBSK, they must make a decision before it’s too late.”

Yunho’s and Changmin’s father also has a piece of their mind to share: Here goes:

From Yunho’s father-Mr. Chung:

“The two members who did not involve themselves in this legal dispute are the real victims here. They suffered from financial loss, psychological suffering and most importantly they lost their reputation. Who is to compensate them for their losses? I intend to ask the other three members this: Whatever the reason, why do you intend to cause such great controversy and drive DBSK, an international brand name, into a break-up? Do you care at all about the other two members and their suffering?

The beauty product business wasn’t something that was supervised by SME. On top of that, the beauty product company itself wasn’t very trustworthy. When it was started, I felt that DBSK’s reputation could potentially suffer from involvement with that company and advised my son of the issue. He shared my concerns as well, and that is why he did not involve himself in the business. SME later asked the three members to withdraw from the business but their parents resisted unreasonably. Mr. Shim (Changmin’s father) and I tried to convince them as well but they simply refused to change their minds. I later learned that the three members took up legal actions against SME without consulting me nor Mr. Shim. DBSK is not owned by those three members only. They ignored not only the controversy that would rise but also the rights of other two members.”

From Changmin’s father -Mr. Shim:

“Simply put, the other three members took legal actions against SM because of the beauty product business matter and other reasons which involve their financial gains. What they claim as their reasons, reasons such as unfair contract and unclear profit division are merely excuses to hide the true reason behind their actions. After the three members started the beauty product business, one of the parents called me and told me shenanigans like “This business can be worth millions or even billions in the future. When we tell the media that DBSK has started a business, share price of our company will hit the roof – we will tell you in advance so you can profit from the information.”

Three members claim that the contract is unfair and calculations are unclear, but my son and I have read over the contract with SM clearly and agreed to all clauses, from the very first contract through all five revisions that have been made. For every income my son has received I reviewed all of the the numbers. I feel sorry for the three members and their parents as they must know of the truth but they continue to make false claims.”

And here’s what SM Entertainment’s CEO Mr. Kim Young Min has to say:

Back when we first advanced to Japanese market with S.E.S., major entertainment companies in Japan normally asked for contracts in length from 5 to 7 years. As long as the entertainer stayed with the company for the stated amount of time, the company would not cease investment into the entertainer. When we first planned for BoA to work in Japan, we set the length of the contract at 10 years to allow for long-term investment and a partnership with a major Japanese entertainment company. This resulted in SME working with AVEX, the largest entertainment company in Japan. BoA’s great success in Japan was a product of such planning.

When we first planned for DBSK, we wanted to make them the number one artist in Asia. Five members and their parents shared such vision and agreed to add 3 years to initial 10 year contract. The members and their parents agreed to the contract because they found the vision as the number one artist in Asia, constant support from SM, plans to go abroad and continuous investment into the group very appealing. Everyone thoroughly reviewed the contract and agreed to all clauses. To keep the promise of advancement into Japan, SME invested over $4 mil into DBSK despite poor financial condition that the company was in. After 5 years in Japan, we can finally say that we are successful. It is unfair to focus merely on the number 13 without any background knowledge of how the contract was made and the goals and visions shared between SME and DBSK.

Kim Young Min then revealed some startling events that had occurred earlier this year.

On January 6, 2009, the three members told SM that they were going to China for a vacation; but in fact, they attended a meeting with the beauty product company’s Chinese subsidiary to talk about investment into the company. We only realized of the deal after photos of them promoting the company surfaced online. We then learned that the three members are board members of the Chinese subsidiary and that they even carry business cards of the company with their name and position engraved.

The three members demanded an increase in their share in profit and we accepted their demands. In April, we had a dinner party after our concert in China. The three members told members of other groups about how much they trusted in SM. Shortly after in May, a Japanese fan asked AVEX’s customer service department regarding an event by the beauty product company which claimed that the winner would have dinner with DBSK. SME feared that losses resulting from matters related to the beauty product business would be impossible to recover from. We wanted to review the members’ contracts with the beauty product company to protect the members from potential dangers but they refused to share the contract with SME and did not take any actions to relieve SME from our concerns regarding their investment into that company. In June, a major beauty product company contacted us and said that they wanted to use DBSK in their commercials but the three members refused due to their own interest in beauty product business. Shortly after they took legal actions against SME.

The truth face of their action is a fraud. A fraud which fooled the entire nation with words such as “human rights” and “slavery”.

Regarding the recent court ruling; three members are now free to pursue personal projects, however all DBSK-related work must be done through SME. Yunho and Changmin intend to promote DBSK in Korea next spring, and we feel that it should be planned at least six months in advance. SME asks the three members to respond to this by November 12th.

Credit allkpop.


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