[Trans] The Charge ‘Manipulative Fraud’ is Applicable to the SM-Dong Bang Shin Ki Case

Park Chan Jong, “The Charge ‘Manipulative Fraud’ is Applicable to the SM-Dong Bang Shin Ki Case”

“Even a third party can report it…must take this opportunity to eradicate slave contracts”

by CBS Political dept. Reporter Lee Jae Jun

August 4, 2009—‘Minerva’ [Translator’s note: Minerva is a famous/infamous Korean blogger whose accurate political and economic analyses and predictions unsettled even the Korean government], chairman Park Yeong Chan and former Member-of-Parliament (MP) Park Chan Jong [Translator’s note: Park Chan Jong is a famous human rights lawyer and former MP], who likes to think of himself as a legal representative in the thickening case involving Dong Bang Shin Ki, decided to speak out on the issue on the 4th.

Representing ‘upright and conscientious people,’ they stated their position through a press release, “It is clear as day that the contract Dong Bang Shin Ki signed with SM is a ‘slave contract’” and “SM’s actions in pursuit of unjust enrichment are tantamount to a penal offense as well as manipulative fraud.”

MP Park Chan Jong in particular emphasised that the fact the members of Dong Bang Shin Ki were compelled to sign ‘a 13-year contract’ as minors qualifies this as a criminal offense on grounds of ‘manipulative fraud.’

According to Article 348 paragraph 1 of the Penal Code, ‘manipulative fraud’ is the abuse of a minor’s ‘naïveté’ and/or mental or physical disorder to gain personal or property interests; a person convicted under the charge of manipulative fraud will face a prison sentence of 10 years and a fine of roughly 20,000 USD.

Ergo, it can be said that SM used to their advantage the ‘naïveté’ (lack of objective judgment and discernment) of the Dong Bang Shin Ki members to burden them noticeably disadvantageous contract.

MP Park took note of the following:

  • The contract virtually ties down the entertainer to a lifetime employment
  • The penalty for breach of contract includes double the amount the celebrity would have earned in the remaining years of the contract
  • The original contract was not confirmed by the contracted party
  • Only after [Dong Bang Shin Ki] sells 500,000 albums do they receive a salary of 10,000 USD each, an arrangement qualifiable as unfair

In light of these facts, [MP Park stated], “SM’s criminal actions can be reported not only by Dong Bang Shin Ki, the party directly impacted, but also by any other third party,” and “we must take this opportunity to eradicate slave contracts between entertainers and their management companies.”

Source: nocutnews.ko.kr

Translation: Jimmie of TheJYJFiles

Shared by: TheJYJFiles

Please do not add/remove credits


35 thoughts on “[Trans] The Charge ‘Manipulative Fraud’ is Applicable to the SM-Dong Bang Shin Ki Case

  1. Does this not show ppl who support SME that DBSK contract were UNFAIR and is even labelled as a SLAVE CONTRACT in the eyes of people like MP Park Chan Jong, ‘Minerva’ and chairman Park Yeong Chan.

    • Well, this article was back in 2009.
      This whole lawsuit is drag for too long, some people already forgot and some don’t understand the main reason why the lawsuit happened in the first place.
      All thanks to the stupid ‘Crebeau’ issue created by SME!

      • You are absolutely correct! SME is dragging their ass so people will forget and start to blame JYJ because they don’t know what is going on and hearing different stories and rumors. All part of SME’s evil plan!!

    • It got them the suspension, which allowed them to continue doing the activities they’ve done in the past 18 months. Without that clear statement that the contract was unfair (what’s going on how is working on exactly how unfair it is) there would be no Tokyo Dome concert, no US debut, no Seoul concert and the music it produced, no acting triumphs.

      I am wondering where these people are now, though. Why aren’t they saying anything about the manipulative actions that these “associations” are perpetrating in the name of maintaining the status quo?

      • Thanks for the explanation, I was mostly concentrating on the happenings of the last months, all the blocking, petitions and KFC chicken. 🙂

  2. At least someone influence like MP voice out. I hope more people will be brave and those artists will start to take some actions now. JYJ already open up the hard path or road for the artists to have a better environment. But what do they get? Bashing and antis. I hope it’s not too late.

  3. Mr Park’s comments may have carried some weight but that was more than a year ago, and now it seems that his comments have been swept under the carpet. I hope Mr Park and all these influential people will continue to help JYJ push for a fair settlement from SME.

  4. Pingback: (TRANS) The Charge ‘Manipulative Fraud’ is Applicable to the SM-Dong Bang Shin Ki Case « jyj3

  5. “SM’s criminal actions can be reported not only by Dong Bang Shin Ki, the party directly impacted, but also by any other third party,” I want this! I also want JYJ to talk about what happened with SM like they did with Yoochun’s song…
    while SM is trying to blur minds with cosmetic comp. etc, JYJ only tried to prove the contract is unfair. They didn’t talk about these things, right? In my opinion everybody who is into law can easly say that the contract is not valid but …I still want the dirty face of SM reveal!

  6. Thank you for posting past news articles on this situation.

    They maybe 2000 and late but some like me are 2000 and late right along with them
    and would love to see these. Plus it’s a reminder.

    Memory is mush, nice to see old news posted to remind everyone of things.

  7. I really appreciate the translation. I wish ppl can read this again and stop trying to make JYJ look as if they have no case or worse yet that JYJ betrayed SM. Who betrayed whom!

  8. I’m not a DBSK fan rather got introduced about this because of skks. Neither the less reading previous news make me realize the reason behind why JYJ want the contract null.
    I just hope people will realize that JYJ is not just fighting for their right but also for the right of the coming generations for a better working environment.
    And after reading this article:

    “According to Article 348 paragraph 1 of the Penal Code, ‘manipulative fraud’ is the abuse of a minor’s ‘naïveté’ and/or mental or physical disorder to gain personal or property interests; a person convicted under the charge of manipulative fraud will face a prison sentence of 10 years and a fine of roughly 20,000 USD.”

    I’m curious if JYJ will be filing a criminal charges against SM once they win this case or have they filed it already. Is this also one of the reason why SM is dragging this case not only loosing their geese that lays the golden egg but also there’s a butcher’s knife coming for their necks. *just wondering who will be the person to be lock-up in jail for this*

  9. People tend to forget (or maybe their not aware) that TVXQ first signed a 10-year contract with SME. Since then, their contracts underwent several changes (which included changing the 10-year length to 13 years). They ALL agreed to make it 13 years. Just saying. I love JYJ, btw. But SM isn’t as evil as many people think. LOL

    • Hi there! ^^

      Welcome to The JYJ Files. You are free to hold and express your opinion as am I, so I would like you to think/consider through the following points:

      1. You say that all the members agreed to 13-year contracts (voluntarily), but if you actually research the circumstances surrounding the collective signing of those 13-year contracts–it has something to do with Yunho’s rotation and SM using that as a bargaining chip–you’ll find that it’s not at all difficult to make a convincing argument that these circumstances constitute the legal notion of “signing a contract under duress”. In the legal tradition of every democratic country that I know of, this makes the contract null and void.

      Also, even a 10-year contract has been declared illegal under Korean law…and by a court much higher than the one where JYJ are suing SM (the Supreme Court, one notch below the ultimate legal authority in Korea, the Constitutional Court).

      2. It is not within the law’s purview to determine or declare anything as either “good” or “evil”. Under Korean law, the closest notion to what society and popular philosophy deems “evil” is the “anti-social” notion. The opinion of the Seoul District court that was issued upon granting JYJ suspension of their contract clearly state that SM’s contract is anti-social. If you can find an English translation of that opinion you will be able to see for yourself.



      • Thank you for your lengthy reply! 🙂 I’ve been considering those points that you mentioned also. You can say I’m trying to be as objective as possible.

        But until now, I’m wondering why it took so long for JYJ to file an actual lawsuit against SM. They filed an injunction back in July 2009 (and suspension was granted in October 2009, right?). But it was only back in June 2010 that they filed an actual lawsuit (to invalidate the contract).

        And if I recall correctly, SM filed a lawsuit against JYJ back in April 2010 to “validate” the contract (meaning they wanted JYJ to go back). So technically, SM was the first one to file an actual lawsuit. Any thoughts on this? I’m just genuinely curious.

      • No problem^^

        This is a place for dialogue and mutual enlightenment after all (and I would prefer it stay that way).

        As to your question on the process of the lawsuit, I think you have it right. JYJ filed for suspension of their contract in 2009 which was granted…what’s being deliberated in court right now is:

        1) The final decision on the validity of the contract (the suspension is more a ‘first opinion’)
        2) The lawsuit filed by JYJ against SM for damages incurred from the contract
        3) The lawsuit filed by SM against JYJ for damages SM incurred as a result of the court granting JYJ suspension of the contract

        So really, there’s two lawsuits happening at the same time in the court case (if you want further details, check out the post that is the fanaccount of the last court hearing), 2) and 3). 1) is just a corollary of 2) and natural next step after the granted injunction for suspension of the contract. So now you see why the trial is taking so long…it’s complicated and also both sides have filed for documents validating their damages (SM is dragging its feet on bringing in those documents).

      • I think I have a good grasp of the process of the lawsuits already. And thanks for your explanation. ^^ But I guess I’m more curious as to why JYJ filed a lawsuit only AFTER SM filed one against them. Why did they wait for so long? If they had wanted to terminate the contract, wouldn’t it be better if they had filed the lawsuit right after they filed the injunction?

      • @scrambledlegs
        I think it’s because the suspension is not an end in itself…once the suspension is granted, the next step is to look into the validity of the contract. This is all that JYJ seemed to be seeking in the first place. But then SM filed suit because they wanted compensation on the damages incurred by the effects of suspending the contract (ie, missed concerts, cancelled promotion plans, cancelled CFs, etc.)….as far as I know it’s not a suit to have the contract declared “valid”; that’s in the discretion of the judge. I think JYJ’s side filed suit against SM after SM filed because they thought, “in any case we were going to seek redress for the profits JYJ lost through this unfair contract, so might as well countersue now and get it all dealt with at once now that financial compensation will become an issue in court thanks to SM’s suit.”

    • They are thieves. (They have stolen the rights to the music and lyrics that Junsu, Yoochun, Junsu, Changmin, and Yunho have created. And the court will decide if they stole the boys’ financial share.) They are manipulative. (They are working with the rest of the idol industry to blackmail the broadcasting companies and others into forwarding their adgenda rather than letting the market work in a natural manner.) They have no respect for their “family”. (They overwork and underpay their artists. Have you seen what they’ve been doing to Changmin and Yunho lately!?) They have no respect for the law. (They have repeatedly delayed submitting evidence requested by the court.)

      That might not be evil, but I wouldn’t want anything to do with them.

      • Oops. I’m in “Tears of Heaven” mode. If it starts with a J it must be Junsu. Sorry, Jaejoong!

  10. O.K. Things are even more messy for JYJ those days. The SME dark actions to influence court decisions seems to be rising. It’s obvious that SME influenced Max’ and Yunho’s judgments concerning JYJ too. They’re nowadays farthest than ever. We have to support JYJ firmly, and to wait for an impartial and fair veredict in march.

  11. This was reported on Aug 4, 2009. So why hasn’t anybody in Korea done anything but stand on the sidelines. Why hasn’t anyone condemned SM for their disregard for the interim ruling to not interfere. This article is useful in defending JYJ against all the accusations coming against them, but just shows that JYJ has been left to fight on their own by their nation who knew they were right. Why isn’t anyone helping them who has the power to do so? These people are saying that SM could be criminally charged, but how about them? They seem to be co-conspirators by their lack of action.

  12. Pingback: DOTS19 – The Charge ‘Manipulative Fraud’ is Applicable to the SM-Dong Bang Shin Ki Case | JYJ DOTS International

  13. Pingback: El cargo “fraude de manipulación” es aplicable en el caso Dong Bang Shin Ki | OurJYJ

  14. Pingback: DOTS19-L’accusa di “frode manipolativa” è applicabile nel caso SM-Dong Bang Shin Ki | JYJ DOTS International

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