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In continuation with Seungri and YG Entertainment investigations, the later has also suffered huge consequences. First because of stock losses they suffered during the last weeks. According to Yonhap report, their stocks, as well as other companies decreased 17.5 percent because investors are uncertain about all the scandals.

But why it happens? Explaining briefly, it’s important to mention the inclusion of compliance techniques inside companies. But what is compliance? Basically, it’s a mix of legal measures that, if well implemented by a company, can avoid issues in a lot of areas: laboral, tributary and even ethical practices.

That’s why there were some news about organizations wanting to sue YG for "lack of ethics and morality".

A representative from the committee said, "As a public figure who exerts great influence in society they shouldn't be protected when they lack ethics and morality.  It will be a huge social impact to pass on this case. CEOs of small companies are only seeking profits, and they have been consistent with the trick and responsibility of "declining the contract" in the event of inappropriate remarks and deviant acts by celebrities. We need to make it clear that the company is also jointly responsible." "In particular, the higher the popularity of celebrities and the greater their influence in society, the proportion of profits and responsibilities is proportional," he said. "We need a strict standard for entertainers and their agencies that have forgotten about this fact." (source kr)

And a lawsuit in those terms could be, in thesis, possible. YG Entertainment and other companies need to think about a good compliance techinique urgently, making their connection with artists and media/society more clear and try to avoid issues like this. Considering that Seungri left YG and they’re still being dragged down in scandals and controversies, transparency and ethical behavior is essential so they can be able to pass this crisis.

[legalkorea-blog]

Korea News: Kakao M acquires 4 firms for competitive edge in video contents [Korea Herald]

Short comment: Kakao M used to be known as LOEN Entertainment and they’re one of the companies which tries to expand themselves in different sorts of business, such as making a Kakao TV plataform.

[THE INVESTOR] Kakao M, the entertainment unit of Korea’s top mobile messenger operator, announced on Jan. 2 that it has acquired four local entertainment firms for around 50 billion won (US$44.30 million). The firm bought 30 percent stake in BH Entertainment and J Wide-Company in September, and recently acquired the remaining shares for 18.9 billion won and 5.95 billion won, respectively. BH Entertainment is known for managing top actors, including Lee Byung-hun and Han Ga-in.

Kakao’s entertainment unit, which had 30 percent stake in Ready Entertainment, also bought all the remaining shares for 11.11 billion won in December. In addition, it has invested 14 billion won in Soop Entertainment, which manages top actors like Jeon Do-yeon and Gong Yoo, to acquire 99.36 percent stake. “With our strength, growth potential and business portfolio in music and video content business, we aim to become the top company in cultural contents market,” Kakao M CEO Kim Sung-soo said in a statement. The company added that its current video production units -- Krispy Studio and Mega Monster -- will be able to create synergies through the recent acquisition as it will make the casting process easier. The management of the four entertainment firms will remain the same even after acquisition. As for market speculation that Kakao M plans to sell its contents to global video platform operator Netflix, like CJ ENM’s drama production subsidiary Studio Dragon, the company said it has no specific plans yet. “For now, we plan to make short mobile dramas for our own online platform Kakao TV and sell longer dramas to TV broadcasting firms,” a spokesperson told The Investor.

[legalkorea-blog]

Kpop contract renewals in 2018

This year brought a lot of endings, but also brought a lot of possibilities for new beginnings. Thinking about that, I decided to make another 2018 recap but, this time, showing contract renews from artists and groups occoured in 2018. In other words, a new beginning for them in terms of opportunities and future projects for all the parties involved.

1. 2PM

In the end of January, it was revealed that 2PM members renewed their contracts with JYP Entertainment. Later in July, however, Taecyeon signed with 51K agency instead. But, even with the singer's not renewal with his former agency, 2PM will continue to promote with it's original formation. For now it's hard to imagine their comeback, considering that their last release happened in 2016. But let's wait for future updates and observe closely how the group's future will be.

2. Kyungri/Gyeong Ree

Nine Muses' member Kyungri renewed her contract with Star Empire in February (to the disbelief and shock of some netizens). She debuted as a new member of Nine Muses in 2012 and since then has gained notoriety for her appearance in variety shows. After her renewal, the singer made her solo debut with Blue Moon in July.

3. B1A4

This year, B1A4 faced major changes on it's formation. That's because Jinyoung and Baro didn't renew their contracts with WM Entertainment, while CNU, Sandeul and Gongchan did. But the agency assured the group would continue with the remaining members, so let's wait for possible promotion news.

4. Kim Hyun Joong

Most well known for his past scandals, the actor and singer renewed his contract with Key East Entertainment. After that, he was busy with his activities as an actor in a drama called "When Time Stopped" and released a Japanese single as well.

5. Yoo Jae Suk

One of the most proeminent figures in terms of variety shows, Yoo Jae Suk renewed his contract with FNC Entertainment. At the occasion, the label said:

"Yoo Jae Suk has been receiving love from the public through his diligent image, and he shares FNC's vision of spreading good influence through good contents. The deep trust we built became the base [of the renewal]. We will continue to support him fully as a trustworthy partner."

Since 2015, the company is expanding their business and hired a lot of Jae Suk's colleagues and friends as well.

6. Jung Hae In

Another artist from FNC Entertainment (especifically it's first actor), Jung Hae In was reported to renew his contract with the label. His popularity is increasing lately with his roles in dramas and even hosting 2018's MAMA Awards.

7. BTOB

After six years of activities, all BTOB's seven members decided to renew with Cube Entertainment, continuing, as the company stated, to "keep their promise with their fans".

8. IU

It's no doubt that IU it's one of the dearest solo singers in Kpop industry. After ten years of activities, she decided to continue them with Kakao M in July (formerly known as LOEN Entertainment). According to the news, her contract would expire after a few months, but they decided to renew it earlier based on the artist's trust towards the label.

9. A Pink

During the group's showcase, it was confirmed that A Pink would continue under Plan A Entertainment's managment. They also renewed their contracts earlier than expected and promised better activities in the future.

10. BTS

Worldwide phenomenon, BTS renewed their contracts with Big Hit Entertainment for more seven years, althought their first one was supposed to end only in 2019. The company released a statement commenting the news as it follows:

“With deep trust and affection as the basis of our decision, BTS have decided to renew their contracts with us for 7 years. It is Big Hit’s philosophy that an artist who is showcasing immense achievements worldwide deserves to be treated with the best type of treatment. Through lengthy discussions, the 7 members of BTS decided to renew in order to ensure their long-lasting, stable careers. We plan on strengthening the size and capacity of the current staff team in charge of BTS, which numbers over 100 team members as of now, and we promise to not withhold our most wholehearted, systematic support and investments toward BTS.”

This blog wishes the artists (as well the readers) a happy new year and good prospectives in 2019!

[legalkorea-blog]

Criminal Korea: Shoo of girl group S.E.S. prosecuted for ‘habitual’ gambling

After seeing the news of Shoo’s prosecution, I decided to write a short article about how Korea legislation sees gambling inside its territory and for their citizens. It’s kind of different from other countries on this matter, so it’s interesting to analyze other point of view of how things work there.

So, on December 28, Shoo (who used to belong to S.E.S, a popular 90′s kpop group made by SM Entertainment) was prosecuted for gambling overseas. The accusation states her conduct of going out of Korea to do it and the money spent reached 790 million won ($617,000). 

It may bring a question: does Korea justice can punish her for this crime, even if she commited it out of her homeland? The answer is yes. The first articles of Korean Criminal Act brings the "limit of applicability of criminal code". At article 2 it's expressed that the law is applied to "both Korean nationals and 'aliens' (foreigners) who commit crimes in Korean territory". And that's the normal application concerning criminal acts. But the article 3 also states it's application directed to Koreans outside their country. So, if a Korean citizen, for example, murders someone in German, he can be punished either in German or in Korea if he goes back there. And it's what happened with Shoo for gambling. But in her case, gambling it's not a crime in Macau (one of the countries she did it). Actually, Macau it's well know as the "Gambling capital of the world". It means that, even if the country she commited the crime doesn't consider it as such, can be the person punished by it? The answer is also yes because, again, the Criminal Act allows it.

Two people brought out another accusation against her, this one related with swindling. They argument was that they lent money to the singer (600 million won) but she didn’t pay the amount back. According to Korea Herald, the prosecution pressed charges against the parties instead because they knew it’s main purpose but they lent it anyway. 

Source: Korea Herald.

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Criminal Korea: Woman gets 6 months for putting shampoo in mother-in-law’s milk [Korea Herald]

A short article talking about the case, which is the most popular news on Korea Herald today. As usual, transcripted the news here and it’s interesting in terms of showing a bit of how Korea society works and a bit of their criminal perspective too.

A woman has been sentenced to six months in prison for putting lice shampoo into her mother-in-law’s personal-sized milk carton. Incheon District Court on Friday slapped the assailant, who is from the Philippines, with a six-month sentence suspended for two years. The woman will be on probation for one year and is unlikely to actually see the inside of a cell.

The woman was confirmed to have committed the crime after being constantly talked down to by her mother-in-law. She lived with the victim after marrying her son in 2013. The woman was indicted in June for charges of putting lice shampoo in her mother-in-law’s milk, which led to serious stomach injuries. Following the incident, the woman was reportedly evicted from her mother-in-law’s house and sought sustenance from charity groups.  

[legalkorea-blog]

Article Recommendation #1: How #MeToo movement is pushing for revision of South Korea’s defamation law [Korea Herald]

Continuing 2018′s recap, here it is an intense subject in South Korea this year: the #metoo movement. It started with American celebrities speaking up about the abuse they suffered in industry, which caused a roar around the world, including South Korea. Since January, there were a lot of denounces related with sexual harrassment involving politicians, actors and idols. 

But it’s also important to mention how the defamation law works inside the country. Differently from other legislations, if the victm tells a true fact, even if the person has proof of what was said, they can still be charged with defamation. And the penalty can be either two years behind bars or the payment of a  a fine up to 5 million won ($4,600). 

Considering all the issues, women’s activists rised up the discussion related with this article’s revision. After Jo Minki’s suicide in March, the news talking about sexual harrassment and assault dropped drastically. But it’s still important to remember how #metoo cause was and still is important in a country where the victms have difficulties in speaking out about their abuse and abusers. Since Tumblr has a terrible policy with links, I transcripted the news if anyone is interested. But you can always look on the actual source, that being Korea Herald website. 

In the wake of the global #MeToo movement, currently one of the most talked about issues here, South Korea’s controversial defamation law has been also brought into the spotlight. A number of lawmakers and political parties recently announced that they would push for a revision of the law, which does not acknowledge truth as defense against defamation charges. Women’s activists and some lawmakers criticized the defamation law as one of the biggest challenges that sexual violence victims here face.

 The Korea Herald has gathered some of the main talking points regarding the possible revision, including why it is being discussed and how it will affect those affected by sexual misconduct in future.

Why is the current law a problem?

Truth and fair comment are currently not acknowledged as defense against defamation charges in South Korea.

This means individuals can be criminally punished even for a true statement. For example, a victim of sexual harassment may be punished for publicly speaking against the perpetrator -- even if he or she had been harassed -- if the perpetrator sues or counter-sues the victim for defamation, meaning ruining his or her social reputation.

 Many women’s rights activists have been calling for a revision of the law, claiming that it makes it extremely difficult for the victims of sexual violence to speak out or file a legal complaint against the accused. “

The current defamation law very much discourages many victims of sexual violence from filing complaints against the perpetrators, as it is virtually impossible to have a valid defense against a possible defamation suit,” states Korea Women’s Hot Line‘s online guideline for victims of sexual violence.“Because of this, it’s been pretty easy for those who have been accused to sue their accusers for defamation, thereby putting their alleged victims on the defensive.”

Under the current laws in South Korea, a person who defames another person can face two years behind bars or a fine up to 5 million won ($4,600), even if the information he or she discloses is true.

Article 307 of the Criminal Act specifically states: “A person who defames another by publicly alleging facts shall be punished by imprisonment without prison labor for not more than two years or by a fine not exceeding five million won.”

Earlier this month, an online petition asking the presidential office to revise the defamation law was organized, claiming Article 307 should be abolished. As of Wednesday afternoon, the petition was signed by more than 38,600 Koreans. 

Who is calling for revision?

United Nations Human Rights Committee has criticized Korea’s defamation law in the past. The committee was especially concerned about Koreans who were prosecuted for criticizing the government during the Park Geun-hye administration. 

A 2015 report by the committee said: “It notes with concern that people can be criminally prosecuted even for making statements that are true. The state party should consider decriminalizing defamation, and should in any case restrict the application of criminal law to the most serious defamation cases, bearing in mind that imprisonment is never an appropriate penalty.”

President Moon Jae-in on Monday expressed his support for the country’s #MeToo movement and called on the judicial agencies and all relevant government bodies to actively investigate allegations of sexual abuse.

“I applaud those who were courageous enough to break the silence and tell their stories,” Moon Jae-in said during a meeting with his advisers. “I actively support the #MeToo movement. We should take this chance, regardless of how painful and embarrassing it can get, to learn our reality and find a concrete solution.”

Some of the high-profile figures accused of sexual misconduct include Lee Yoon-taek, a powerful leader in South Korea’s theater community who has served as the head of the National Theater of Korea. Another is Cho Jae-hyun, a veteran actor who has often collaborated with famed film director Kim Ki-duk. 

Director Kim, who has won top prizes at coveted international film festivals, also has been accused of sexual misconduct by one of the actresses he’s worked with in the past. 

The ruling Democratic Party, as well as the Party for Democracy and Peace, have announced that they will push for a revision of the defamation law. While the ruling party said it aims to decriminalize defamation, the Party for Democracy and Peace said it hopes to see Article 307 of the Criminal Act abolished.

The ruling party’s Rep. Nam In-soon, a feminist activist-turned-legislator, and Rep. Keum Tae-sup, a former prosecutor are among the legislators calling for the law’s revision.

What changes will the revision bring?

If defamation is decriminalized, no one will have to serve jail terms for defaming others. If Article 307 is abolished but defamation remains a criminal offence, alleged victims of sexual misconduct will have to prove the truth of their statements should they be counter-sued for defamation by the accused. Should the person fail to provide proof, he or she may face imprisonment.Experts say even if truth is acknowledged as defense against defamation charges, satisfying the legal standard of proof of truth may not be easy for victims of sexual violence. 

“There are rarely witnesses to a sexual assault, meaning it is usually one person’s word against another’s, the victim is often in a vulnerable state by virtue of age or other power imbalances, and the trauma of the events can contribute to incomplete or vague memories of what happened,” writes Elizabeth Grace, a lawyer at Canada-based Lerners Personal Injury Group, a personal injury law firm. In Canada, truth is accepted as defense against defamation charges. “The effect of factors like these, especially combined, can be sufficient to defeat the defense of ‘truth’ to a defamation claim.”Indeed, news reports have pointed out that many alleged victims of sexual violence in Korea would not press charges against their alleged abuser, and those who have done so find their trials extremely distressing. At trial, victims are asked to revisit the incident and questions by the accused‘s lawyer can be hostile and humiliating, often forcing the plaintiff to share her or his sexual history and even preferences.  Some frequently asked questions include, “Why didn’t you resist?” or “Why did you drink alone with the defendants in the first place?”

Not everyone in Korea thinks Article 307 should be abolished. 

Some say once the defamation law is revised, it might violate Article 17 of the Constitution, which states: “The right to privacy of all citizens shall not be infringed.

”“People should have the right to have their personal history protected, regardless of them being true or not,” said Kim Han-jun, a professional in Seoul who is skeptical about the possible revision.“

The revision of the current law might allow anyone to disclose any information about others’ past or private lives, even if you are not a public figure with a lot of influence on the general public and interest.”

[legalkorea-blog]

Kpop contract terminations and group disbandments in 2018

Hey guys. A new year is ending, which means it’s time to look back and remember important events from Kpop in 2018. This blog especifically has the goal to analyze and focus on legal aspects of South Korea legislation and how it affects Kpop culture (not only music, but fashion, dramas and connected subjects). So, this recap wants to bring to light 2018 disbandments and the reasons for that, as well all the drama it caused in some cases.

1. T-ARA

T-ARA's name was well commented in January. It was reported the end of their contract with MBK Entertainment. After that, a lot of rumors about members dating surfaced online. Which most brought attention though was the fact the company applied T-ara's on treadmark, which caused a legal battle between the parties. On August 8, the Korean Intellectual Property Office denied MBK's application to trademark the name (although, according to the company, the have three more chances to try it out). In June, the Korea Intellectual Property Rights Information Service (KIPRIS) also refused the matter. In December, Jiyeon stated that the group didn't actually disband. Let's just wait and root for their future!

2. Stellar

During their 8 years, they brought a lot of different concepts and became notorious for their sexy songs. Their disbandment was announced in February, since Minhee and Hyoeun's contracts expired and they didn't renew with The Entertainment Pascal. It was mentioned the existence of friction between the members and company, so maybe parting ways was for the best.

3. "Secret"

TS Entertainment keeps assuring that Secret didn't disband, but this year was turbulent between the company and the members. That's because both Jieun and Hyosung filled legal actions to nullify their contracts because of delayed payments and "breach of trust" (which were accepted by court). Hana is the only member still signed with the company, so the fans need to wait for further updates about what TS will do with the group.

4. JBJ

Group created after Produce 101 Season 2's popularity, they had a lot of discussions to their formation since the beginning. Companies like CJ E&M and LOEN Entertainment were active on the discussed related to the groups formationd and they ended debuting in September 2017. Their contracts were supposed to end in April and even with the members expressing their wishes of continuing the promotions, the companies involved were against it. That caused the inevitable contract expiration with Fave Entertainment.

5. Henry

Also in April, Henry's ten year contract with SM expired and he decided on non renewing. But he's doing well lately. Was casted in a Hollywood movie and signed with AXIS, which can, accord to them "help them venture out more musically".

6. Psy

It's well know that Psy had a long career before joining YG Entertainment in 2010. And it's understandable it's continuation after parting ways with the agency. At least, according to the label "Whether or not we have an exclusive contract, YG and Psy's close relationship will last forever. We're cheering on Psy's great new beginning and wish for his health and happiness". Let's do the same for him as well.

7. Fiestar

In May, it was revealed that the company's 6 year contract with FAVE Entertainment had come to an end, except from Cao Lu, that also left at the end of the same month.

8. Jeon Somi

Somi is well know for working hard in survival realities such as Sixteen and Produce, which she debuted with I.O.I. After the group's disbandment, she had a formal contract with JYP to manage her solo activities. In August the company announced her departure through an agreement. Now she signed with "The Black Label" (YG's sub-label) and a possible solo debut in 2019.

9. Hyuna and E'Dawn

This case was one of the most emblematic in terms of contract termination. All considering the fact that the artists themselves confirmed the relationship rumors surrounding them. That caused the Triple H promotions to be canceled. After that, in September, Cube Entertainment announced the termination of Hyuna and E’Dawn's contracts because the trust between the parties had been broken to no repair. Hyuna used her personal Instagram to explain her side of the story and ended up setlling up an agreement with the company. At this moment, the couple remains strong and it's rumoured that they will have a comeback next year.

10. Zico

In November, it was revealed a suspicion already commented by Korean media: Zico left Seven Seasons and Block B to foucs on his solo career. The group remains with six members and things seems to be going well with the members, considering their recent interactions. In the end, this departure shows how much people need to pursue the best path for themselves.