[110314 Court Hearing] The Reason Why JYJ Had No Choice but to Sue

The Reason Why JYJ Had No Choice but to Sue

Posted by Seo Yoonah-pierrot, @followyas and @babyblue

Original source: Naver Mongeul Mongeul blog

The March 15 SM v. JYJ Hearing

1. The alleged reason why the [Dong Bang Shin Ki’s] members’ earnings were so little was that everything was attributed as overhead expenses. It was revealed today that what SM counted as overhead expenses included such comically ridiculous items as snacks, daily expenses of SM executives and staff, parking fees, cold medicine, meals, entertainers’ transportation (ie, plane, car), rent, concert agents’ costs, various taxes and expenses that should have obviously been covered and borne by SM.

2. SM claimed that in 2008, of the 14.7 billion won (roughly 14.7 million USD) in royalties earned that year only 1 billion won (roughly 1 million USD) came from Dong Bang Shin Ki, and the rest came from CSJH, BoA, the Trax and Koh Ara [T/N: A Korean actress under SM]. Those who know of Dong Bang Shin Ki’s popularity and selling power in Japan and abroad know how baseless this claim is. (The judge asked if Koh Ara really brought in more revenue than Dong Bang Shin Ki, at which SM’s side could not respond). At this point, many in the courtroom even burst out laughing.

3. In 2008, SM transferred the required 10% of digital download sales [to Dong Bang Shin Ki] but in 2009 didn’t even bother to do so.

4. The total earnings from the world tour amounted to 3.4 billion won (roughly 3.4 million USD), but of the amount that was supposed to go to the Dong Bang Shin Ki members, [SM] subtracted 900 million won (roughly 900,000 USD) as agents’ fees.

5. The money that was handed out as advances was later deducted as personal taxes. If only [SM] had done their accounting properly there would have been no need to pay such taxes on these advances.

6. The [Dong Bang Shin Ki] members were made to pay for the agents’ fees for their concerts abroad, music videos and even choreography expenses.

7. Even given the sales of Mirotic accounted at 480,000 units, [SM] was supposed to pay [the members] 50 million won (roughly 50,000 USD) but didn’t for the reason that the next album hadn’t come out yet.

8. In 2004, [the Dong Bang Shin Ki members] were accounted the 3-4 months’ worth of profits for the single “Hug”, but the accounting records reveal that after that they received nothing on the sale of their albums.

Ultimately, the [Dong Bang Shin Ki] members were burdened with all the costs.

So what exactly is SM insisting it invested? [T/N: the author is implying that SM’s justification that the financial arrangements in DBSK’s contract were necessary to recover investment costs is in fact one big, elaborate lie/fraud. All the major investments were made by the DBSK members; the DBSK members were in fact forced to invest in the company that supposedly invested in them]

What kind of calculation method is this?

The more they are active, the more they lose money…how is there anyone that thinks this makes any sense?

If this is how much SM screws around in court, one wonders how much more severe is their screwing around in real life.

All the information revealed at the hearing is the result of SM having tailored and bent the facts in their favour, and yet it still renders one appalled. One wonders how much more shocking the uncensored version is.

And now, the judgment that was originally due out today has been extended once more to a fourth hearing thanks to SM’s latest claims/antics.

But everyone, be aware of the truth.

Sources: @followyas, @babyblue1225

Translation by: Jimmie of TheJYJFiles

Shared by: TheJYJFiles

Please do not add/remove credits

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164 thoughts on “[110314 Court Hearing] The Reason Why JYJ Had No Choice but to Sue

  1. that’s appaling alright.
    i am always in some kind of state of shock everytime more truth is revealed in court hearings.
    i dont understand people who keep on saying that it’s the price of popularity and keep on accusing jyj as the sinner or the traitors.
    obviously, violation is violation. the fact that you are famous does not make it right, as it is not right for starving people in africa, migrant workers around the world, or an abused housewife.

    brb crying my eyes out.

  2. I really want to print this out and put up in public places!
    Everyone needs to know how unfair JYJ were/are treated! ><

  3. It’s insanely ridiculous.
    “All the major investments were made by the DBSK members; the DBSK members were in fact forced to invest in the company that supposedly invested in them”
    SO TRUE.
    WHO FEED WHO?
    To think that those CEO’s enjoying their money make me really angry.

  4. >,< This is really a human right case!!

    I mean how much more proof do the people who support SM needs?!?!?

    Is this not enough??

  5. And I seriously wonder why HoMin can bear to stay still in that ass-hole company.
    They may have their diff opinions but to act like they support the company make me sick :/

    • I really have to agree with you, GJYJ. WHAT can Changmin and Yun Ho be thinking?? They are choosing to continue to be raped financially by these cynical thieves, SM. Are they not just as aware of this as we are now?? It’s kind of pathetic.

      • I am sure they are very much aware of this. We just don’t know what the F they were promised by their FATHER to have them stay there in that little hell hole that is STILL making them work their asses off at this very moment.

      • i believe that, sadly, yunnie and minnie probably think that it’s right and/or don’t wanna risk doing things without sme….

        but i don’t think that it will be for long….
        look everything now!
        avex betrayed 3 of 5 gods and now no one will do nothing in japan in 2011 >..<

      • I think they are know more than everyone but may be they dont want to take a big ricky ” little better than not thing” and they think JYJ will loose, they dont want take a change may end their career, that important with them more than anything else, if that happen I not supprise and mad about that..this is just nomal human thinking in their life !!! or may be right now after happen with JYJ ,they have better treatment from SM and they are OK about that!!!! but I happy and admire JYJ out SM, that the men have to do ” fight for your right”!!

  6. What happened on this part of the trial was so funny. I didn’t know SM were such comedians. I had a great laugh over the “facts” exposed.

    The facts just don’t match at all, from the preposterous claim that most earnings came from CSJH, BoA, Trax and Go Ara, plus claiming that Mirotic album sold almost a little short of 500k (when the charts clearly states it is more than so), to submitting a ridiculous accounting statement for Hug era and nitty gritty statements about how almost everything preposterous is subtracted to their earnings without their consent – I don’t know what SM wants to further prove the court in this then.

    If at the end of the day, SM still wins this case, I wouldn’t know what to do. But my hopes are high after all the facts above.

    And I’m reminded by this quote:
    When the elephant is young and relatively weak, it is tied to an immovable stick. So later, no matter how large and strong he becomes…he continues to believe that he cannot free himself.

    Many intelligent people are like circus elephants. They never question their self-imposed limitations.

    Maybe this is the SM Philosophy. I’m glad JYJ took the great leap to become elephants in the wild. Just as they should be.

  7. There are a lot of fans who are clouded by the real reason why jyj wanted to leave the company and I think its selfish for fans to want jyj back in sm. Its also selfish to think it is all about money, it is, but for a perfectly good reason. And about homin… Something shady is happening between sm and homin. Its either blackmail or pure black commintment between homin and sm

  8. AND LOLING FOREVER FOR ALL THE FUCKTARDS WHO QUESTIONED WHY THEY DIDN’T FILED THE LAWSUIT EARLIER.
    EVEN IN THE PEAK CARRIER OF THEM IT’S INSANELY DIFFICULT TO GET OUT OF THIS EVIL COMPANY. CAN’T YOU JUST IMAGINE YOURSELF WHAT WOULD HAPPEN TO THEM IF THEY FILED THIS EARLIER?

  9. OMG!! this is just ruthless!!! JYJ deserve better and for TVXQ to pay for everything, it seems like it, is just BS!!! IDK what Homin’s reasons are but… with this, how can they stay… After all the shit JYJ been through and us worrying about Junsu when he was in japan and the diasterious event that occurred, I felt, as long as JYJ is happy and healthy it’s ok if TVXQ is not 5 anymore.. i just hope one day they talk and are friends again..
    But this hearing, SM are a joke, all those lame excuses.. coming from a so called “rich, top-notch, and powerful” company is just laughable; they have no morals about what human beings and work are supposed to be like. This is plain taking advantage of TVXQ!!!
    I cant stand this BS anymore. They really should end this laughable lawsuit and announce that JYJ won cus its getting to stupid on SM’s part!!! It’s embarrassing listening to all this excuse.

    JYJ Fighting!!! Midhuyo!!!

    • how could you say that it’s okay for them to be apart? By any means they MUST be back together! It may be just my personal saying but I only felt right when hear the song Bolero that they sang together. There’s notthing more heaven-like than it!

      • I know, when all five of them are together, the create beauitful and magical music.
        All care is no matter if there Homin, JYJ, or TVXQ… I just want them to be friends like before. No seperation! Its a plus/bonus if they were TVXQ again and continue their journey through ASIA again! That would be awesome but first they have to come together for that to happen!
        No matter what, I’ll wait for them to return as 5.

      • I agree with DJL, it doesn’t matter if they’re not together again. Because looking at the facts, the possibility for them to be together is zero if the other two are still on SM.

      • @saruko & DJL
        Look at it this way though dears, HoMin said time and again that SME created TVXQ and they will NOT leave that god-forsaken company so they can uphold their promise to the fans.
        JYJ will have to go back to SME if you really want them to reunite with HoMin soon.

        But if we are looking into the future like 5 yrs from now AND hope to God HoMin had already woken up and have removed themselves from SME slavery, then, we can probably start talking about an OT5 comeback.

      • but think like that:
        they could be 5 even with 2 in sme
        the problem is, sadly, sme itself ¬¬
        sme say that care about the group but just want the money, and doing what i said will bring less, so no deal would happens (unless they reeeeeeeeeeeeeeeeeally cared for TVXQfamily)

      • Unfortunately, we can’t make them be reunited again only by wishing it. We have to face the truth; day by day JYJ and HOMIN are farther ones from the others. And SME is the main reason of their division. Their hearts are broken, and probably their friendships too. Think about it.

  10. And Mirotic album was sold more than 540,000 copies officially, but SM reduced the
    amount to 480,000 so that they won’t pay any money to TVXQ.
    SM is not a bad company, it’s EVIL. Lee Soo Man is a con artist.

  11. I think it’s becauze of the position of SM that the Sadist-Macho Co got so much power. But under the name Cassiopeia, that ass-company is so screwed! All we have to do now is make the other companies working with SM turn their backs at the damn company. Then the bastards will pay later! ^^

  12. Muahahahahahahaha~~ If SM really wants to continue all its circus antics and entertain people, it’s fine by me, boy did I had a good laugh at all its lame excuses! Yikes!! Pure shame on you SM!~ LOL
    Seriously, after all this, I just don’t get HoMin at all~~ They are truly jailed down by their so-called values and integrity, without considering the correct truth~~ And this whole circus is beginning to make them look like total clowns too~~ Haiz….
    They ‘ve got great talent, but seriously, if they’re all about listening to their parents and sticking to traditional values (don’t bite the hand that feeds you) that are absolutely no good in this case, I don’t see them going very far, artistically speaking~~ And I think something bad has shadowed their personalities after the ordeal, they don’t seem to have taken it more positively like JYJ~ As time goes by, I gradually see them taking the darker side, unlike the other 3, pardon my opinion….
    Another thing I really have to comment is: from this case, it’s obvious to everyone that SM’s actions are tarnishing not just the reputation of Kpop entertainment scene, it basically is escalating into something bigger~~ It’s blatantly showing the world that the average Korean society is still extremely traditional, backward and foolish in its thinking~~ This is absolutely going to mar the beauty of Korean culture and reputation of its people~~
    Booo to you, SM! Just go home and cower under your blankets! You shamed every one of your hardworking artists!

    • A++++
      Totally agree except the part ‘don’t bite the hands that feed you’
      It’s the other way around girl,DBSK FED SM.

    • Well, I think HoMin were just afraid to leave. They were probably threatened that they would never work in the industry again if they left, and look what SM are doing to JYJ now. SM is trying to make an example of JYJ so that no other artist will dare to try and leave their company.
      I doubt it has much to do with parental obedience and company loyalty, and more like my situation during the recession here in England – crappy employer is better than no employer.

      • ms, you make several good points there. Undoubtedly Changmin and Yun Ho were threatened with being finished forever in the music business if they too left and further, SM would be likely to be very hard-assed about it so as to make an example to their other artists as to what happens to people who try to jump ship. This really underscores how brave JYJ were to have stood up and said “No more.” Personally, I have always thought of JYJ as the creative and talent powerhouses of the five with almost unlimited futures for success in every aspect of their entertainment careers, not just music. No part of what they are doing or what they do as artists is easy and personal bravery is a prerequisite of all of it. To me, this just shows one further aspect where Changmin and Yun Ho come up far short of what is required for success.

      • Not only that. SME could’t let Yunho and Changmin depart to join JYJ, because the profit would’ve been for the boys themselves and not for SME, not mentioning the bad publicity for SME (at the present, that doesn’t matter anymore). I think Homin stayed with SME not only for fear, but also because SME offered them another contracts (t.v.series, for example) and a notorious increase in their personal incomes.

      • @Shuheilove – Well, at this point I think we all need to classify any money Changmin and Yun Ho allegedly may have gotten to put up and shut up as cowardly, shameful money and I hope they run afoul of ever finding solace in a penny of it.

      • Although I’m not certain about HOMIN’s increasing in their incomes, it’s obvious that their decision to stay with SME was not only for fear. Lately, they’ve been showing an air of arrogance and greatness not seen before, not to mention the lies they’ve been declaring everywhere claiming to have no knowledge about the lawsuit, and the humilliating and agressive lyrics of “¿Why? Keep your head down”. And, as a witness of HOMIN’s actions, as we all are, I don’t understand the people’s insistence to reunite them again under the DBSK flag. Yes, DBSK boys together sing like angels, but my friends, if one truly understands the situation, to reunite them again is an impossible mission.

      • If you still remember, when JYJ filled in the law suit at the first place, Yunho’s father had sent a letter to 1 of Yunho’s fans in Japan (he is a model also a writer – I think his name is Yu Kugoshi) that there were rumors spread in SK that he had huge debts in SME, he said it was not true. He said, the one who had huge debts was Junsu’s father.
        I think, it’s not logic, if Junsu is the one who wants to be free from SME if his father owns lots of debts to SME. How can he pay the loan & the charge (if he lost the case) if he ‘jobless’? It will be logic if Yunho is the one who willing to stay with SME, because like it or not he has to pay the debts that his father has to SME. For Changmin’s case, I don’t know the reason, maybe the rumors also true that SME had offer him some shares.
        For the reunion, I’m not sure it will happen, the relationship between HM & JYJ already destroyed not just by SME also by HM’s parents because they’re the one who spread negative info about JYJ & the parents in the first place to public saying that the trio is greedy, etc.
        For someone that still thinking that the ninth years relationship can’t be broken, I think they are too naive. Even between brother & sister the relationship can be broken.

      • About what Kur4tinc is commenting, I don’t know why, maybe is my sixth female sense, but I’ve been thinking since the beginning that Yunho and his father are behind the scene of the breaking, obviously associated with SME. All around these two looks very suspicious. I know nothing about Changmin, but I think he was tempted by some special offers from SME, and helped to take his final decision through Yunho’s friendly advices. Finally, HOMIN seem to have broken all their connections with JYJ boys.

      • @Shuheilove – Oh, don’t get me started about the lyrics to “Keep Your Head Down.” The first time I heard the song I couldn’t believe my ears. My reaction was: did someone actually make them sing these lyrics!!? Was this their idea?? And more importantly, WHO wrote these lyrics?? Needless to say, my comments were not popular among the Cassies but–honestly! There is a very bad thing going on with Changmin and Yun Ho to have uttered those words. I cannot fathom why they did it.

      • Lilibaiyu; for the very first time someone agrees with me about “Keep your head down’s” lyrics. HOMIN claimed those were words between lovers who broke their relationship. ¡God! ¿What kind of woman deserves such words? “I burned you out of my life”, “keep below”. That poor woman must be carrying all the known and unknown sins over her soul to deserve such treatment. But, not. Those lyrics weren’t for a woman. The truth about those words is simple: THOSE LYRICS WERE WRITTEN EXCLUSIVELY TO BEAT, HUMILLIATE AND MISTREAT JYJ BOYS. End of the story. A very sad story, by the way. Those aren’t words that one would use with his/her siblings. Never in life.

      • @Shuheilove – No question, a more provocative, more hurtful, a more relationship-ending “statement” on the part of Changmin and Yun Ho could not have been made than the lyrics to “Keep Your Head Down.” It was as nakedly hostile as it could possibly be.
        So to all of these bleeding heart “We Must Have The Five Forever” people, I would say: look to those lyrics to see why there isn’t going to be a reunion any time soon. The Two have become SM’s apologists and propagandists. Who knows why. Pressures from beleaguered family members would be the best possible spin I could put on their behavior. Only time will tell.

  13. Jimmie, a legal question please. Being our legal expert, can you please explain why this legal battle is allowed to continue over and over again? Are the laws in Korea so different that SM can continue to drag its heels? I read that SM wanted to call a SM witness from Japan and that’s why they are continuing this in April. Is this true and can they continue to call one witness after another with no end in sight? Surely, even the Korean courts must have better things to do than deal with one case over and over again. As comical and pathetic as SM is every time they step into the court room, this has to end. Can’t the court order SM to have all of its “ducks in a row” so that this case can come to an end and finally render a decision? I can’t believe SM is allowed this much leniency with its case. Any legal wisdom to share would be most welcome, please! Thank you.

    • According to spn edaily :

      “The next trial will be held on April 19th at the same location and the Courts are planning to hold an examination on another witness, Nam So Young, the CEO of SM Japan who was in charge of TVXQ’s Japanese activities.”

    • I don’t know how it works in Korea, but usually the courts will set a date or a row of dates to complete the witness testimonies, and if due to any circumstances the witness testimony unexpectedly cannot continue/finish on the day of trial, the court can select another date to continue. So basically yes, the court should be able to go on and on. The point isn’t to wrap things up quickly, its to get to the bottom of the matter.

      And usually a list of witnesses should have been submitted to the court BEFORE trial begins, unless they do it differently there. So either the court is fully aware of the next witness and is just continuing as normal or there are some new facts that needed to be verified and the court/counsel requested for the next witness.

      Even if both sides have all their ducks in a row, witness testimonies take time, and there are only so many hours in a day. If SME’s side has like 20 witnesses, it might take a while…

    • Yeah, it’s frustrating for everyone, including the judge presiding over the case I’m sure. SM is taking advantage of every loophole in the courtroom procedures for Korean civil court, like the near absence of subpoena power in civil cases. However, this can only go on for so long. The judge is not absolutely powerless in civil proceedings and can put his foot down hard if he thinks the dragging on is getting ridiculous.

      • I wanted a confirmation but i read on dbsknights that the judge said that if SM doesn’t hand in the relevant documents then they are going to order them to do so.

  14. expenses of SM executives???!!!
    DAMN!!
    and i remember theres a news they boasting abt this… saying due to SNSD & SuJu’s popularity…(seem like DBSK are not alone)
    looks like they found their new ‘feeder’ =.=#

    oh i can’t wait those who blaming JYJ to read abt thisssss… 😀

    thnks 4 sharing

  15. One big time abusive slave driver SM is. Why accuse the devil for everything when man is capable of all evil. SM is as such, in my viewpoint, deadliest sin personified. Justice will be served in a matter of time. I would love the court to order a colossal amount of compensatory damages accorded to JYJ for all their sufferings; public apology; suspension of license on SME, etc I invite you to add on to the list…

    Whatever excuses employed by the defendants, I hope the court will reverse in JYJ’s favour, exceedingly, abundantly, above and beyond our imagination. Fighting!

  16. SM has been quite stunningly Greedy, arrogant and dishonest. I suppose they felt they could get away with literally anything because of their peculiar Korean patriarchal system of running the company, where “father” is always to be bowed to and never questioned.

    Well, how wrong they were. I hope this whole corrupt system is exposed and will eventually be forced to be dismantled. Wake up, SM! It’s not the 16th century anymore and these artists you represent are not your slaves.

  17. Do you think that if we all tip this to AllKPop they will publish it ? Cuz there are so many antis JYJ on allkpop, it’s pissing me off to no end. And it also looks like there are still a lot of people who believe that SM paid all the expenses for TVXQ and so that JYJ shouldn’t complain since SM “took care of everything” and that “JYJ didn’t have to pay anything so the money they got was more than enough”.

    • The problem with tipping this on ALLkpop is that this here is a fanaccount. All of AKPs articles are translations from the news. So if the news are biased of SM, then trust me, there will a war raging in there…. and I will be in the midst of it.

      So hopefully a more reliable news will appear and not be biased…. *cross fingers*

      • Really ? I didn’t see it O_o And, like DoubleJaeDee ‘JaelolliPOP’ wrote, someone else also told me that AllKPop only publish articles from sources such as newspapers etc. so did they really post this ?

  18. All i see is $$$. Where is the music involved?

    I understand that our DBSK members had to pay for some of the costs but isn’t that fine? What matters most is the fans and the music that impacts them. Not the freaking money~! JYJ could had taken the approach of not taking the situation publicly. If Homin is able to endure the clutches of the stupid chairman, should the other three as well? Besides, why leave the company just because of ONE idiot when you have a whole “family” you grew up with trying to pursue all the same dreams???

    • Look here I don’t understand stupid logic like yours. What happens when SME has moved on, tossed them to the side or they leave the company? What sort of savings will they have to their name? I swear OT5, HM stans and the general SME supporters are selfish with no values in their life. WTH, a normal person can move from company to company in search of finding a company that treats them better but when JYJ does it, they are ungrateful, should of shut up and do as they are told. There is no FAMILY. They are you’re co workers that became your friends but if they really are FAMILY they would still be friends no matter what company they are in.

      • Don’t try, there is no hope, those who still believe SM is one big loving family where everyone is friend won’t even try to understand that this is business and that there is no such thing as family here.
        When the Shinee members say that they don’t hang out together outside of work (Key even said that he doesn’t consider them as family nor as close friends but that member is the word that suited the most to describe them) or when SuJu members confess that Kangin and Sungmin relationship is awwkward, that Shindong is awkard with Donghae and that Heechul and Eunhuyk also are akward with each other and that Eunhyuk mentioned that he couldn’t understand Hankyung and hardly speaks to him etc. it doesn’t look like such a family to me…Not saying any of them are friends but just that most of them are just colleagues. This whole “family” thing is just a marketting scheme to please the fangirls but yeah, some people still think it’s true =_=

      • I’m thinking that Brianna is very young. She seems caught up in several dreamy fictions regarding the actual lives of these young men who are trying to continue to be successful musicians. Mind you, they have beaten ALL the odds stacked against them of ever being famous pop stars. They are in about the .01% of all musicians there, for starters. Now they are supposed to wake up to the inescapable facts that they are being robbed of the income they need to support their continued dreams and not do anything about it?? Does this make any sense?? JYJ are NOT children. They are seasoned pros and men in their mid-20s who have worked damn hard for every bit of success they’ve achieved.
        They are not supposed to want to be paid for their services, Brianna?? Since when are they LESS than everyone else who works for a living?

    • Dude the company suppose to be paying for the them such as park fees, snacks etc, NOT DBSK. First how the fuck can you make this situation private when they are the TOP BOY BANDS in Asia, thats not possible. Well HoMin COULD HAVE gone with the 3 BUT IN 1 HOUR IN JAPAN they decided to stay in SM for some reason WE DO NOT KNOW. It was THEIR choice to STAY and JYJ choice to LEAVE. Um whose the ONE idiot please do explain.

    • It’s going to be hard for you to understand the depth and severity of business and terms of rights if all you are thinking of is being with the ‘family.’ I don’t mean to be rude but have you ever tried to make a living? They HAVE tried to talk to the ‘family’ and they won’t listen nor did they answered any questions. Why be loyal and understanding for someone who keeps all the important matters than impact their lives? As for why could Homin be able to ‘endure’ SME…. you can conclude that to many and many things, because the workings of these businesses are never as crystal clear and innocent as it seems. There is such a thing as blackmail, cultural respect, and ‘shut-up’ compensation and initiatives.

      I speak for JYJ and their rights because more of JYJ fans have jobs and making a living independently. Your way of thinking is very irrational, just saying. For me, who is studying and making a living for myself, I wouldn’t want to be stampeded and used by a frighteningly clever and shady company.

    • Well I want to see u working like there’s no tomorrow in some company and then they don’t pay you anything for your hard work .. Would u love that ??? ( we both know the answer )
      so shut the hell up and put your self in their shoes
      and be glad that jyj left that so called family ,
      sm is full of jerks and stupid people

    • there is something called a professional line that should never be crossed and that is mixing business and family/friends.

      Business is a business and all this family bullshit is beyond ridiculous. They are doing a job not some charity with their so called family which in reality is not their family but colleagues. Seriously get out of your delusions and fantasy cause at work they’re first seen as colleagues and outside of work they can put their friendship first. Its like how the Avex artists like Ayu, Naoya and also some of the staff are still friends with jyj in spite of all that has occurred because they know not to mix business/work with family/friendships.

    • My dear Brianna,
      We are not aware if you are underaged or not with that comment of yours.
      SME is a company that employs singers, in this case our beloved JYJ & HoMin. The company in a normal setting must shoulder the expenses/costs and taxes so that by the end of the day the accounting book will reflect the singers’ paycheck as is.
      THAT isn’t the case here.
      Please do not blind yourself with JaeSuChun’s expensive properties so as not to consider them unfairly paid. Please make sure not to overlook the fact that Jaejoong had 2 fanilies, he has other siblings of whom he is still responsible; Junsu has his parents to also take care of as a filial man/son; Yoochun is the sole provider for his family since his father left them back in the US.
      These things are what some people forget. And I do hope you can see the bigger picture now.

    • Brianna,

      I believe I’ve mentioned this to one of your associates at another site.

      No one here is buying what you are trying to sell. Your paid advertisement time is up. Go back to your employer and make sure you ask for cash payment. Do not, and I repeat DO NOT accept a check from them. They are not known for their honesty, I would seriously doubt the proper funds are there.

      You see, people who support JYJ are very intelligent. We are not easily fooled. You are wasting your time. We know what the deal is, and are standing firm in our resolve to be by the sides of Jaejoong, Yoochun, and Junsu. Those who are trying to bring them down are not going to succeed. I would suggest you find a reasonable trade, and get a real job. This one is a complete and utter waste of your time.

      Run along now, take care, and you have a good day.

      PEACE

      • Well said, BAF. I completely agree with you. And as I’ve said in many a forum over the many months, I think it bears repeating one more time: Jaejoong, Yuchun and Junsu are hugely talented artists. In fact, they are so gifted that nothing and no one will ever be able to stop them. They are the real deal. And they did the RIGHT thing. They surely know it and we know it. That’s why we will always remain on their side and why we will always continue to watch all of their creative pursuits with such fascination and delight.

    • @Briana dear, i think i need my medicine after reading your comment! If you represent those who still think JYJ is greedy and biting the hands that feed them, even after this BLATANT truth, then i am sorry to say that you are beyond help. Go back to your room and drink that milk that you are suppose to drink so that you can grow up faster!!! Tsk, Tsk Tsk

    • I’m glad you raised that point. Every one kept forgetting the part about the music.

      1: The clause in the contract states that all rights of ANYTHING the boys create during the course of the contract would belong to SME. As musicians/composers/singers, it would have hurt the boys that not only do they not get royalties for the songs that they wrote, they also have to give up rights of usage for it (I think this is why they only co-wrote things with other composers in Korea. It would hurt me so bad to have what I created taken away from me, and on top of everything I can’t even make money out of it? that would suck. No, scratch that, even if I made money out of it I won’t get the money? That would suck even more.) Based on this one clause ALONE I would support JYJ. I suppose this is why Changmin never released an original solo song, he knows he wouldn’t get any money from it so might as well save it for himself? That boy has always seemed more calculating than his hyungs ^^” Junsu probably couldn’t stand not creating/singing and had to make something anyway. I suppose this is also why they like it better in Japan. Avex didn’t impose such strict clauses on their music, as far as I know.

      2. As much as I believe in the ideal of making music for music, they need to eat too. In Yoochun’s case, it looks like he’s the breadwinner. All that he (and the other two) have done was for music, and for their families. And they want the best that they can give for their families, like everyone else. SME is saying they can’t invest in anything other than what SME approves of to help their financial situation (because thats what the exclusivity clause means to SME). So the only contract-compliant way to ‘make money’ is to keep performing and making albums where apparently they had to shell out a lot more money than they were getting, under some pretty harsh working environments. This is on top of being creatively restricted and not owning any rights to anything you did/created. I mean, they can’t even say “at least we got the money”.

      3. When a father abuses his biological child, the whole world will want that child taken away to a safer place, because family means taking care of one another. If its a business, then treat it as a business. Don’t hold the “family” card over their heads just because they’re doing something the company doesn’t like. I think the boys held on for as long as they did because of this “family”. If it wasn’t for that and for the sake of their dream, then I think the boys would’ve bolted much earlier.

      • Ditto to all the above. And well said. There was no possible way, given JYJ’s eventual understanding of the fix they were in, that they could do anything, ANYTHING but what they did.

      • Avi I Love You well said dear, to Brianna have you ever listen to music essay album honey, listen to it and hear the lyrics, i will say that was music all about, they created the music and lyrics so dont tell me homin music its better than them because homin only sing the song

    • Brianna my dear,
      Read & learn……this is what they called very intelligent people react.
      They aren’t bashing people like others out there.
      U should keep on trolling here n other JYJ fandom so u can be more bright & well informed.

    • did you even read the article thoroughly? DBSK didn’t pay for SOME of the costs, they practically paid for every fucking thing, most of which should be borne by SM itself as a management company. And NO, that is NOT okay! Are you currently working? I’m afraid you’ll easily be taken advantage of with that innocent mind of yours. I find it useless to even try to explain the matter and knock some senses into you, so just a piece of advice girl: Grow Up! Life is not all about dreams and fantasies, and money does matter. You should earn what you deserve, and you fight when someone treats you like slaves, that’s it!

    • How old are you? Do you leave in the Dreamland or in fairy tales’ world? Please wake up baby. This is the real world, no one want to work without getting any payment. So, maybe if your parents work for free it will be OK for you?

    • Brianna, little girl; you’re totally out of the question. If you agree with slavery, it is your decision, YOURS ALONE. Don’t dare to judge everyone else who want to be free, to be treated fairly, and to express ourselves and develop our lifes without evil restrictions from third parts..

    • “All i see is $$$. Where is the music involved?”
      “Ars gratia artis” does not happen in a capitalist society.

      “What matters most is the fans and the music that impacts them”
      1- Art and Artists have an intrinsic relationship, art and fans maybe, artists and fans do not.
      2- Artists are still citizens and workers and as such they have every right to get what’s theirs. Furthermore idols are employees and they shouldn’t have to ask to get paid what they’re owed. Not paying your employees is illegal.

      “If Homin is able to endure the clutches of the stupid chairman, should the other three as well?”
      Good for Homin that they want to endure it. JYJ didn’t so they shouldn’t have to.

  19. What type of accounting is this.

    Why was jyj paying for this. This is supposed to be covered under operating costs in the financial statements. This begs the questions what did SM put under operating costs ?
    SM maximized their profits, reduced their operating costs by transferring the burden over to TVXQ. Someone explain to me how this plausible and how you really can balance your financial statements cause this would seriously mess up the balance sheets. What on earth is SM doing in their finance department ?

    • It looks to me that they were running their accounting like they were acting as an agent for TVXQ. In that case, the agent gets a cut (usually 10%) and the rest goes to the performer. Then the expenses are deducted. If the performer want’s a big, flashy show, the expense comes out of their pocket. If they want a private plane and an entourage of 50 people, the expense comes out of their pocket. Of course in TVXQ’s case, they had absolutely no say about what their expenses were. And they weren’t getting the 90% of the performance earnings in order to cover those expenses either.

      So they were running an employment contract (where the employer has all the control) with “agent” accounting (where the performer has all the financial risk). Slimy, SME, very very slimy.

      And I’m not going to even comment on how they can cross streams with TVXQ covering other artists and company expenses. That’s very…sketchy.

      • ” So they were running an employment contract (where the employer has all the control) with “agent” accounting (where the performer has all the financial risk)” …you so right to explaination, that stuck in my head too….unbelievable!!!

  20. Lord have mercy!!!
    (The judge asked if Koh Ara really brought in more revenue than Dong Bang Shin Ki, at which SM’s side could not respond). At this point, many in the courtroom even burst out laughing.

    THIS!
    I will not say anymore for I know I will just explode in anger!
    JYJ WILL WIN THIS!!!

  21. Any one of these actions would be cause for a lawsuit…ALL of them together is over-the-top outrageous and the fact that SM operates in this manner without any SHAME or self-relection is nauseating.

    Although HoMin are not particularly my biases from the original 5 – I HAVE been trying to watch their progress to see if I want to support their music despite loathing SM’s business practices. Their recent video…”Before you Go” has awesome production values & the song is decent…however, in reading that DBSK had to pay for their own music videos – it makes me wonder just how much HoMin had to pay to get that video done. It’s practically a mini-movie, with a huge cast, multiple locations and special effects. If infact…HoMin had to pay for that – they just got ROYALLY screwed.

    I will repeat my stance on all of this…the government of So. Korea needs to step up to the plate an initiate REAL reform. It’s going to be a bloody battle, because the Ent. Companies & broadcasters are not going to take it meekly – but government intervention is the only way, that I can see, that this will ever end.

      • @samvill….please do not presume to call me darling, we’re not that intimate.

        HoMin are grown men…and yes, they have the right to be screwed any way they wish. My point is that the accounting for SM is clearly always in favor of…SM.

        If they (HoMin) feel they are adequately compensated for their efforts then …”let there be merriment throughout all the land ~”….however, I (personally) suspect they just got royally screwed. That MV cost MEGA-won…btw…just watched their performance on Music Bank..it was HOT, HOT, HOT.

        The song and the choreo…perfection.

      • @samvill….after I posted, I realized that *tone* was not as apparent as I wanted it to be….my reply was meant to have humor…hope it comes across 🙂

  22. 😮 I will take you guys advice. -O- I am no anti nor am i a bystander, i am also a cassie. I guess i really wanted to believe that the power of music is greater than money. Shouldn’t it be though? I understand JYJ’s situation and it really bothers me. I just hope that whatever happens, this will be resolved soon. And with this i say goodbye.

    Pray for Japan~ ❤

    • With regards to music…that’s why JYJ left so they could make the music THEY want to make, but also get paid doing it. NOBODY works for free unless they are doing charitable work. Do you work for free, or plan to work for free when you finish school?

      But if you’re upset that JYJ wants get paid, you should be talking to LSM about money honey. After all he’s the $100M USD equivalent man.

    • i realize something when read ur comment. the power of music is greater than money, its what JYJ fandom is all about, have u ever heard fans make their own music station, their own international petition, their own advertising in Bus and Train Station and fans who donate in the name of artist ? its the power of JYJ music did to us the JYJ fandom dear. i tried not to bashing but have ever other artist who musician can do this to their fans ?

  23. Maybe it’ s me, but I keep getting the feeling this court is giving said defendant enough rope to hang themselves. After reading the last order they handed down, and how tightly it was worded, I can’t shake the feeling that the guillotine is going to fall, and make a very sharp cut.

    Over the years, SME has pretty much thumbed their noses at the law. They have done everything they wanted to do with impunity. It would not surprise me, if the courts have had ENOUGH of SME’s shenanigans, and are ready now to put an end to them making fools of the law over the years.

    SME has to understand, you can only push back but so much. Once the wall is behind the one on the receiving end, there is no where to go but on attack. SME, if I were you, I’d be very careful right about now.

    • I get that feeling, too. It’s not that the court needs these witnesses to figure out if the contract is valid or not, it’s to figure out exactly how big the settlement should be. The boys may have only asked for X amount (was it something like 3 billion won? which I think is a token amount considering what they brought in during ’08 & ’09), but the court may decide they deserve 5x that.

      If they are asking for the CEO of SM Japan, I wonder if they are going after the “double-dipping” scheme.

      • Eliza,

        That ‘double-dipping’ meme sounds plausible to me as well. Since JYJ has never seen a Japanese contract, anything could be in it. The business practices of this company would make the Mafia in the States look like choir boys.

        If AVEX is the one doing all the work, why the need for SME/Japan? Granted not all their artists were under AVEX, but what was the Japanese SME doing for JYJ?

        The court all but stated in that last order, there was little or no compensation for the work they did, let alone any ‘rest’ time. And the court’s continued use of the word ‘subjugation’ just shrieks ‘you had them working for nothing’!

        I kind of feel they are going to add some ‘serious’ penalties. The denial of fair compensation is so obvious, a blind person could see it. I just want them to get their copyright and royalty rights back.

        Then I want them to turn around and give SME the ‘fickle finger of fate’ with BOTH hands!

    • Profits were divided amongst the three (SME-Korean, SME-Japan and Avex), so what’s left for DBSK is a rhetoric. HoMin’s revised contractual terms on profit sharing and benefits most probably ran parallel or adapted to this logic.

      SME is a veteran player in the industry. His lackeys would’ve cleaned up his his tracks since commencement of lawsuit. I’m hoping for betrayals; insiders who can no longer tolerate tormented conscience and sleepless nights, to stand trial. That’ll be the cue for the release of the guillotine.

  24. Great to “Peel the SM’s skin off” to uncover the truth, to bring back the justice and fairness to JYJ………. but wondering how come HoMin still being with SM……… still in the contract, being forced ………Poor two of them…..?????? SM truly a blood sucker……… soon or later they become “Dried Corpse”……..

  25. After reading this, Production for JYJ Radio has been pushed into a quicker speed.
    WHY? Because we are going to share the truth about JYJ to the world, and point out SM’s lies…if SM lies, we will announce it..

    SM is using the oldest trick in the book.
    Keep the lawsuit going until one runs out of money.
    JYJ don’t have enough income to battle SM for 10 years.

    The real question is “is this evidence everything” or has SM started burning papers, to hid their tracks, change numbers around..etc…
    JYJ’s lawyers need to request and seize all of Sm’s accounting material about dbsk over the past 7 years. They need to bring in people who accurately go in and follow the trail of money. they need to look for secret accounts SM may have. They need to verify everything before the next hearing because the fact is SM is hiding something. Sm almost looks like fraud. They are your company but act as your agent. You can’t be both.

    I’m sadden to know this matter is still going. It’s obvious SM was wrong, now the question is whether jYJ’s lawyer’s can prove it.
    I almost feel like dragging some american lawyers to korea to help JYJ out.
    I wish my dad’s law firm did these sort of cases.

    If this continues, I’m going to visit the law firm at my school where we have some of America’s greatest, and see what they have to saw about this matter. and then write an article and publish it in every language possible.

    • Well, SLM did have problems with law before because of fraud and funds withdrawing so I wouldn’t be surprised if SM actually did fraud (and still does).

      “Lee Sooman Sentenced to a Period of Probation for “Withholding Company Funds”
      On the 3rd SM Entertainment’s representative Lee Sooman (52) was put under suspicion for using the company’s funds to increase the capital, was sentenced to 2 years and 3 years of probation.”

      • no He’s not the lawyer, He did study law a bit. He’s one of the head specialist (PH.D), that looks into technology to see companies are stealing patents owned by a little guy, and then he brings all of the evidence, and teaches the lawyers how to present it in court, and then they sue.

        Right now they are sueing Samsung in Korea, so a lot of korean lawyers have been coming to town. they’ve sued microsoft, google.
        It’s really amazing how much yo can get if someone steals your patent. millions.
        If SM stole any techonology that’s under a patent, I would tell my dad, they should take the case.
        They are rather ruthless, the company. If the lawyer messes up and loses, 95% chance he loses his job.

        However, the can always ask the korean lawyer my dad works with daily, after they this case they are working on.

  26. As I said before; SME’s lies are falling over their own heads. SME’s rottenness is releasing its putrid odor everywhere. ¿Do they have no shame? Even the judge knows they’re declaring lies. They were earning billions slaving DBSK boys. They’re still earning very good money over HOMIN shoulders. Sometimes I wonder if at least Changmin at this point has regrets for haven’t joined JYJ when they sued SME. “Nothing stays hidden under the sky”. SME people: WE, THE FOREIGN PUBLIC OPINION, CONDEMN YOUR IMMORAL AND PERVERTED WAY OF DOING BUSINESSES, SLAVING YOUNG AND INNOCENT BOYS TO OBTAIN PROFITS, TAKING ADVANTAGE ON THEIR CONFIDENCE AND YOUTH. YOU’RE ABOUT TO PAY THE ENORMOUS PRIZE FOR DARING TO COMMIT SUCH A SIN. THE SWORD IS ABOUT TO STRIKE AND CUT YOUR TRICKER NECKS.

  27. @JYJradio2011, please do. I might have 0 capabalities to help you but i support you wholeheartedly. Even with this kind of news, people still say many unforgivable things. JYJ need all our support

  28. I am curious…this court is seeing and hearing some very ridiculous shenanigans by SM as it continues to show some very creative bookkeeping by SM. What I want to know is, is the tax department in Korea at all even aware of SM’s “accounting” practices? Are they not interested too? They seem to be quite negligent in their duties. If they were to audit SM, I bet this case would go a lot faster. I would imagine that if they (SM) have cooked up the books for our boys, then they must have done the same to the government. If I were a tax person working in Korea, SM would be on my radar and I would be going over their books very carefully. Something smells very rotten…follow the trail of money….SM…..

    • @chunnieauntieandgranny

      I too am mystified about what passes for a government tax system in Korea. Here in the United States, you can commit mass murder and find more leniency. BUT if you try and cheat the government out of it’s tax dollars, they will hang you out to dry! DO NOT mess with the MONEY!! They are not having any of that!

      Right now, they are waging a HUGE financial war with Switzerland over those infamous ‘Swiss bank accounts’ used to shelter money to keep it from being taxed.

      So, Korea I would suggest you stop letting your companies make fools out of you, because they are laughing all the way to the bank! And who knows if those monies are even going into Korean banks?!

  29. holy crap. and to think i supported them going to the sm concert! !@$%@!#$%! im very angry to think that such a huge entertainment would do this. imagine how much worse they had it when they were trainees!!
    sm who made yunho and jaejoong sleep on the streets during trainee days! is it that much of a hassle to just leave the dance studios and places like that open?? im pretty sure they were aware of their situations about their homes too.
    i swear my moms right. they ‘re child laboring bastards.
    go jyj. and i wish that all the other sme people will realize how much of a bastard they are and follow the same path as jyj. taking courage and stepping up.
    what kind of entertainment doesnt pay for all the necessary things for them TO BE celebs?!!
    argh anger overload. imma stop here for today.

  30. I always wonder why SKorean justice system is so willing to wait and allow SME to drag JYJ/SME lawsuits in this fashion. Just hope that the SKorean justice panels see how SME lost their own integrity everytime they(SME) drags the case to a new date.

  31. this is what i call a modern slavery.
    the fourth court might be good to reveal another SME’s rottenness
    come on, Koh Ara brought in revenue more than DBSK? how many Koh Ara did SME had?
    *sigh*

  32. the more they active…the more they lose money..(it’s really obvious that MONEY is really beg deal to them) they more put importance to money than to DBSK (they been DBSK there talent for almost 10years)how could they…aahhh!! remove again…. they where just looking for a hole to it..they making it an excuse..wish i could know the feelings of DBSK now..for sure they we’re sad..(come to us oppa’s..we will make you feel well..we are here to support you!) we love you so much!!

  33. Pingback: [110314 Court Hearing] The Reason Why JYJ Had No Choice but to Sue « JYJ Philippines Fan Site

  34. OH MY GOD~~SM SUCH AN EVIL~~LIAR!!

    How can they said, only now JYJ files the LAWSUIT??? oh come on~~before this might be they always ‘think’ how to escape from SM..once they are matured enuff, the know what to do~ for god saKE~ they did the right thing! SM such a HUGE LIAR~~ i dont trust them….
    SM make money from other ppl hardship & sweat~~law of nature, the more you work, the better u get…but what Happened to DBSK boys? and only 10% from the profit?? this is bullshit….10% is too little…where are the rest of the money gone? the CEO enjoying himself! and somemore they have lots of famous artist for him to make money….

    arghh..i hate SM more & more & more~!!

  35. Pingback: Why SM Entertainment is so obviously evil « Whistling In The Dark

  36. SM is making me laugh real hard.

    Oh please, BoA + CSJH + Trax + Go Ara made more than DBSK in 2008??? And DBSK made not even 1/13 of what the above 4 made??? WTF???

    Here’s the activities & releases of Trax, CSJH, Ara, BoA & DBSK in 2008. Let’s see who made more:

    Trax:
    – Album: none
    – Singles: none
    – DVD: none
    – CF/Advertisement: none
    – Tour: none
    – The only activity The Trax had was 2 members of The Trax were casted in a 12-episode reality show on Mnet – a cable channel.

    CSJH:
    – Album: none
    – Singles: less than 20K copies
    – DVD: none
    – CF/Advertisement: none
    – Tour: none

    Go Ara:
    – Drama: Main role in a 17-episode drama called “Who are you” on MBC. The drama had an average viewer rating of 8.4%. To be frank, Ara’s acting sucks (have you seen her in “Heading to the ground”? Yeah, it’s painful 😐 she’s good for eye candy though), and obviously she’s no Ha Ji Won, Yoon Eun Hye, Kim Tae Hee or Song Hye Kyo who are famous enough to guarantee the ratings for dramas, so I bet Ara wasn’t paid loads for this 1 drama (even the highest paid Korean actresses got only around $16K – $25K per episode btw).
    – Documentary: “Ara’s Story of Being Twenty” – a documentary to celebrate Ara’s 20th birthday, aired on Olive TV (a cable channel). I hope that it didn’t incur in too much deficit for Olive TV & SM.
    – MV appearance: Innocent Blue’s MV “Mink”.
    – Fashion shows: Andre Kim Fashion Show, Jill Stuart Fashion Show
    – Commercial/advertisement: Anycall, Lover’s Tea, Etude Cosmetics, Clride & G-market. Go Ara is no where near famous or influential as DBSK so I bet her CF payments weren’t any where near DBSK’s either. Plus fact is, Ara has never been named in ANY highest paid celebrities or anything.

    BoA:
    – Album: 250K copies
    – Singles (Japanese only): around 50K copies
    – DVD: 1 DVD, sales not reported
    – CF/Advertisement: none
    – Tour: 20 concerts, most of them held in Halls (which means the capacity is usually below 10K), and in fact even the biggest venue for BoA’s tour couldn’t even seat 10K people. I think with this tour, BoA attracted 100K~150K audiences at best.
    – Then BoA entered American market with a single, and we all know how she did. I’m pretty sure that her American debut resulted in a deficit for SM.

    DBSK:
    – Albums: 540K (Mirotic) + 158.5K (T) = 698.5K
    – Singles (Japanese only): 524.4K copies
    – DVDs (Japanese only): 177.5K copies
    – CF/Advertisement: Yamaha, Samsung’s AnyCall Haptic cellphone, Samsung’s HAHAHA Campaign , Say No! Save Life! Campaign, Lotte Duty Free.
    – Tour:
    +) 2nd Asia Live tour “O”: 2 concerts in Shanghai & Beijing, attracted around 30,000~40,000 audiences
    +) 3rd Japan Live Tour “T”: 17 concerts in 8 cities, mostly held in Arena venue (which means the capacity is over 10K at least). The tour attracted around 273,800 audiences

    And that is, I haven’t counted photoshoots, variety shows & events. DBSK obviously had to do these kind of activities WAY more than the other 4 (while most of the money came from these activities are taken by SM as “agent fee” according to the contract).

    Obviously, in 2008 DBSK made WAY MORE money than BoA, CSJH, Trax & Go Ara COMBINED!

    • THIS! ♥

      The fact alone that SM affirm that TVXQ only earned 1 billion won in 2008 and that all the rest was earned by The Trax, Go Ara, BoA and CSJH is enough for SM to lose all credibility…

    • LOOOL somebody shud give this to the COURT,
      SM u may have not kept record BUT us fans have. DO NOT MESS WITH US!

      • I wouldn’t worry too much about that. You can bet your bottom dollar, the researchers, and paralegals for JYJ’s law firm have those bases covered. Why do you think they were able to counter attack the number of albums sold for Mirotic? When it comes down to asking for the compensation that JYJ is due, they will know to the exact penny what is owed.

        This team has it’s act together. It’s SME’s that keeps running around chasing its tail.

      • @ButterfliesAreFree How could SME’s staff possibly know how to make an accounting based on actual numbers?? When would they ever have done that? I bet they are still sitting there into the wee hours trying to figure out how little they can get away with reporting. these people have been practicing fraudulent accounting for years! They are thoroughly corrupt. Right now, because of this, SME is fighting for their very lives as a business entity. Look for them to play any card in the deck, to stall, obfuscate and misdirect attention.

      • @Lilibaiyu

        Don’t forget, when they first started this company they had everything in place to conduct business the way THEY WANTED TO.

        This means deciding on who they would selecet, why they would select them, how they would treat them, AND how they would rip them off. None of this happened by accident.

        They have had practice for quite some time now. Impressionable kids, uninformed parents, exciteable fans…what more could they ask for? They knew how they were going to do this from day one. I personally wouldn’t be surprised if they have more than one set of books. Being able to say how much profit one makes, comes from figures somewhere. It’s just determining which set of books one is using.

        The key element here is, as you said…practicing. They have been doing this for so long, they have it down to a fine art. It’s just that this, to my knowledge, is the first time they are being challenged this way, as to what an artist is due. Now they are trying to stonewall it, hoping JYJ will get tired or poor seeking restitution, and freedom.

        They never figured the fan base would be this strong and willing to support them this fiercely! They didn’t put any credence to JYJ’s abilities to find quality partners to handle their business for them, so they could do what they do best. Giving their fans something to cheer about – QUALITY MUSIC & WONDERFUL PERFORMANCES. Make the fans happy and you have back up!

      • @ ButterfliesAreFree

        No question, SM’s dishonesty is entrenched and systemic. I think you are right also that they have never before been questioned by their artists. This open revolt by JYJ is a first. Now all the dirty laundry of their accounting fraud comes tumbling out of a never before opened closet. Imagine how SM must be scrambling! The arrogance and sense of entitlement of the principles involved must be monumental. Probably they still can’t quite believe this is happening and they they cannot just intimidate and bully their way out of it, like they have always done with their poor young artists and their hapless parents.

        To your final point, I think there’s even one more factor to consider here: since breaking with SM, JYJ have been working non-stop in various fields. Recording, writing, acting, doing loads of product endorsements, touring. They are now actually receiving the money they are making (imagine that!) and I’m betting there’s quite a lot of it all of a sudden. They are no longer the poor contractually hobbled kids beholden to SM for the pittance the company decides to throw their way. They are 3 rather rich young men whom EVERYBODY is now flocking to, wanting to get into business with. Viva la difference! Their vibrant, dynamic future is evident to all. No wonder fans everywhere love them. They are the picture for the word “Winner.”

      • @Lilibaiyu

        “They are now actually receiving the money they are making (imagine that!) and I’m betting there’s quite a lot of it all of a sudden. They are no longer the poor contractually hobbled kids beholden to SM for the pittance the company decides to throw their way.”

        What your statement hightlights is the fact, that in just about 2 years, they have made more than they did in 9 years with SME.

        Let’s use this scenario…they make contracts with a top notch law firm, a managment agency, a pr firm, and a music distribution company, producers, just to name a few. This costs money. They work, they get paid, they pay those representing them. There are books to keep, receipts and records, checks to issue, bank accounts to maintain.

        Three humble hardworking young men. You don’t hear one word that folks aren’t being paid. They even manage to donate a very large amount of money for relief aid for the disaster in Japan, their second home.

        So, if all this can happen in roughly 2 years time, how come the HUGE music mogul company can’t seem to FIND money to pay them for all the hard work they do, let alone FIND the records to show the accounting for the entire group? Mind you, this is a company that has been around for quite some time now. But, their top management and shareholders can get rich. WHAT IS WRONG WITH THIS PICTURE?

        If SME wants to be taken seriously, they have to do better than this. I know folks will talk about their industry pull, and powerful connections. Somehow, I get the feeling, the STENCH from this situation will begin to make some of that connection weaken. As the saying goes…you can go to the well one too many times. Eventually it will become dry.

        I’ve mentioned before, I think the court is letting SME have the time it wants, hearing after hearing, and will finally make them pay for this and past sins. They have made a habit of thumbing their noses at the legal system, and I feel the legal system is going to have the last laugh. Sure there will be an appeal try, but on what grounds?

        SME’s legal team doesn’ seem as if it can find it’s own ass, let alone a motion it can appeal on. If this performance is the best they can do, that appeal process should go by very quickly. That’s where I think JYJ’s legal team will take over. How much you want to bet, they ask for the appeal to jump all the way up to the Supreme Court?

      • @ButterfliesAreFree

        I wholeheartedly hope and pray that you are correct about JYJ’s legal team’s strategy. Then again it makes perfect sense that they are just sitting back and just toting up lame stalling device after lame excuses for not being able to produce documents supporting their claims re: royalties. It is obvious to me that the rotten core of SM is and has always been the god-like sense of entitlement and lack of the need to justify anything to anyone that top management has enjoyed all these years. No one has been able to say “boo” to them about anything. It’s the “Father” thing coming up again, and I think in the end it’s going to kill them. The top men have been going further and further off the slippery slope of outright thievery because NO ONE has ever had the balls to question them and ask for a real, legal accounting of their activities. Until now. I think they just must be scrambling. There’s NO paperwork that exists that can support their claims. There’s never had to be any!! I hope (and I believe) that when the legal hammer finally falls, all of their wildly false assertions over the last two years will be painstakingly enumerated for the court. And I’m betting the monetary settlement will be huge.

        And finally, no thank you, I don’t think I’ll take that bet about where the appeal will end up. 🙂
        But it will all end eventually and the longer SM drags it out with the kind of obviously deceptive claims and pathetic, stalling tactics they’ve been using, the angrier the court will be and the more punitive the damages they’ll pay in the end, don’t you think?

      • @Lilibaiyu

        “It’s the “Father” thing coming up again, and I think in the end it’s going to kill them. The top men have been going further and further off the slippery slope of outright thievery because NO ONE has ever had the balls to question them and ask for a real, legal accounting of their activities.”

        Yup, that ‘Father’ thing is right. “Do as I say, or else.” They’ve gotten away with it for so long, they’ve missed the point when this became really stale. The young men in JYJ have grown up. They are no longer teens. They understand the meaning of being compensated for hard work. No more promises. Paychecks are in order here, and ones that reflect all the hard work.

        I mentioned in a comment on another site…I believe the reason SME is going for the jugular vein here is because they know their records are not going to pass the smell test. The fact that JYJ is responsible for them having to even address their accounting practices, is making them blue in the face. For this, JYJ has to pay, and pay big time.

        But there are only so many times one can keep drumming acts out of the business and be successful at it. There is that one time in a million, where the talent is too huge for you to keep it down. This is that talent, and this is the time.

        In the past the public, others in the industry, and out of it were complacent. That’s not happening here either. Others are recognizing JYJ’s talents, their hardwork, their ethics, and how personable they are. Not to mention the fact, the fan base has not run off into a corner crying. New fans have joined old ones and are standing tall.

        The law firm is considered one of the top ones in the country. They are being very cagey. They have not jumped through the hoops SME has tried to force on them. It is up to SME to prove JYJ’s side is wrong. Bring in the records and show us where the money is.

        So, with all this support, JYJ is making a way for themselves and they are not cowering. Good for them! I believe that payday is going to be very sweet!

      • @ButterfliesAreFree

        You said:
        “But there are only so many times one can keep drumming acts out of the business and be successful at it. There is that one time in a million, where the talent is too huge for you to keep it down. This is that talent, and this is the time. “

        HA! Now you are really talkin’ my language!! This is exactly the point I’ve been making for months now and as fervently as I believe this to be the truth of the matter, it’s really nice to hear that someone else shares this opinion. 🙂
        JYJ IS that one in a million exception and as day after day goes by and this thing is just snowballing, all in JYJ’s favor, as more and more entertainment entities step up and want to get into business with JYJ in front of SM’s disbelieving eyes, they must be having conniptions! (I picture the top guys having repeated meltdowns like I’ve seen in old Donald Duck cartoons.)
        The bottom line is this: first and foremost, JYJ are the parties that have been wronged, consistently and they deserve redress, big-time. Second, there is so much talent among the three that has been proven over time to be directly and consistently able to make big big money that people are just lining up in every possible area to get into business with them. Thirdly, as you said, these are three of the most likeable, hard-working young men ever. You watch them, you begin to know about them, you listen to the songs they write and how they sing them, you just love them. Everyone does. So with those three factors working in their favor, what ultimate success would a few toxic, lying, thieving old trolls have against them?

      • @Lilibaiyu

        All I know is, there is going to be a bottle of champagne (my personal fave is Moet) with JYJ’s name on it! The closer to the FINAL decision date, that bottle goes in the refrigerator to be chilled. The glasses come out, and the bottle gets opened. CHEERS TO JYJ!!!

        Let’s resolve to cheer them on together along with ALL the other fans who stand beside them!

      • @ButterfliesAreFree

        For me it’s going to be Bollinger, that’s my favorite. I love the idea of having a worldwide “Cheers To JYJ” celebration when this thing is finally done and won. Let’s plan on it!

      • SME’s statements were destroyed the moment they left their mouths. It was such an obvious lie that no one believed it, not even their own lawyers. (JYJ’s side asked them point blank if CSJH earned more than DBSK and SME’s side couldn’t lie that boldly.)

        Don’t worry. The only thing that statement did was further harm SME’s credibility.

    • The REAL question is WHY JYJ’s lawyers were not prepared.
      Why they didn’t so their own research and show proof of SM’s lie that day in court?
      If fans can simply calculate this out, why didn’t JYJ”s lawyer?

      As a lawyer, you are suppose to predict every angle that your opponent can take
      It seems that Sm is extremely predictable. Even if JYJ lawyers can’t acquire the original documents, the internet still has most of the information.
      I don’t know korean law, but why can’t jyj lawyers get the original documents.
      but the lawyers can still go back, because even if SM didn’t record it, someone else did. I suggest they secretly dig deeper into avex and everyone who worked with SM. The JYJ lawyers need to secretly find a hidden card to use against SM over the next month.

      I feel like JYJs lawyers are not going at hard enough. SM knows they are guilty and hiding something so they are stalling to keep on cleaning up their tracks.
      JYJ’s lawyers need to go harder at SM.

      Just my opinion…
      i wish I understood korean law. i always thought i was similar to american law.
      If this case occured in America, SM would go bankrupt from penalties because no judge would support SM, and an american lawyer would rip him to threads
      (of course, american lawyers are known to be ruthless, but SM deserves it)

      ~T^T~ gawd I wish I was a lawyer..

      • @JYJradio2011 – I absolutely agree that JYJ’s lawyers are not hitting this case hard enough. Of course I have no idea why, perhaps they’ve been waiting to see if SM will try to produce fradulent records…which would in fact be a death-blow to SM if JYJ’s lawyers could produce accurate records against the fraudulent ones.
        Not only would JYJ win the contract lawsuit but the penalties for SM would be HUGE – sooooo, honestly I don’t know what their strategy is, but (and please forgive me..I’m American and my viewpoint is..) lawyers all over the world are generally happy to let a court case drag on, because they keep getting paid.

        In my estimation…if SM had the documents to PROVE that they fairly distributed income….they would have presented it long before now – would have been awarded THE WIN – and JYJ would be in the process of appealing the verdict.

        But that hasn’t happened…and JYJ’s lawyers have not, to my knowledge – pressed getting a court order to physically retrieve the accounts from SM’s offices. Which is clearly the only option left – because it’s obvious to anyone that SM IS NOT going to give that information voluntarily. SHEEEEEESH !

      • I believe the lawyers for SM have seen the writing on the wall: that at this point disclosure will spell the end Of SME because of the huge awards and penalties assessed to SM in favor of JYJ.
        Their only remaining tactic now is to stall while secretly transferring as much $$ as possible overseas. Is anybody watching!!?? The harder JYJ’s attorneys fight this thing right now the better. The more time that goes by, the less money there will be to eventually collect. The one ray of sunshine is that SM will be out of business, I predict.

      • @ sally_b

        true, I’m also american, and the lawyers do like to have it drawn out, but then their reputation is on the line, if they lose.
        but two years, and the original lawsuit has no progress.
        I mean why is Sm going “another witness”, at every hearing. Why can’t they just bring all of the witnesses together.
        They are stalling. And jyj’s lawyers need to start showing their cards. Honestly, this matter is more serious than people realize.

        IF Sm loses, they will be most likely shutdown, which means other ent groups will get their act together.
        If JYJ loses, then god help us all.

        I hope JYJ Lawyers step it up a notch. Whoever loses, has alot to lose, it feels really relaxed to me.

      • @JYJradio2011

        It is highly unlikely that SM will be ‘shut down’. Clean up will be messy: SM has numerous business affiliations — domestic and overseas — such as Fandango Korea and Starlight Corporations Ltd. Even liquidation poses too much of a risk in the business sector. With shares reaching 12 billion won (10.56 million US dollars), SM far surpasses the runner-up agencies (Keyeast with 4 billion won in shares and JYP, 2 billion won).

        Sad, but true. SM is a real slimy git but they make the bucks.

  37. Was wondering if thejyjfiles were going to translate and post the full transcript of the hearing just like they did for the previous hearing ? I really hope they will, so that antis can stop saying this is only a fanaccount and doesn’t hold any truth.

  38. O.K. Folks, I agree that our guys had legitimate reasons for leaving SM. I does make you think really hard about the conditions in SM for those artists who remain including HoMiN. Could it be possible that SM also advanced money to the families? That could explain the reluctance on HoMin’s side to leave. Maybe they felt too much in hock to the company store. However, the basic line is that we who support JYJ on the premise that they had a right to be paid for their labors, I have another area of thought for you.

    After the hearing, there was a suit filed against C-Jes and Warner-Korea by an investor. I am going to post a comment I made on my site http://www.jyjfans.com here.

    Red Alert!!!!

    O.K. Here goes. While reading the information from the posting entitled 110315 Investor in JYJ Concert Sues Rights-Holders for Fraud….. with the subsequent understanding that there are supposedly investors out there who put out bukku bucks to get a return on artist’s performances–this question came to mind.
    If there are individuals (and perhaps corporations?) out there investing millions of dollars into production companies for the use of promotion, expenses, etc; then why did SM have such a burden that they had to assign so much cost to be covered by their individual artists and groups? Where there is smoke there is fire.
    So, if I am to understand this correctly–they are sueing C-JeS, and co. even though C-JeS says that the concert rights were transferred to Warner Korea who transferred them to KimXX? It sounds like selling bad loans. This opens up a whole new school of thought on coverage of concert expenses, profit vs non-profit concerts, and who gets caught holding the ball. Also, do any of those investment profits ever in any way benefit the artist themselves? Good Question. Hey, Folks. Give me some feedback here. And if you choose to copy it from my site, please give me credit for the original. Momma Cha

  39. I HAVE A QUESTION! can someone please clear up what exactly happens if/when JYJ wins? What will happen to their contract, and what about HoMin? Will their contracts also be nullified? (Wait is there a difference between termination and nullification of a contract?) PLEAAASEEE HELPPPPP!

    • I’ll try to answer your question. 🙂 If JYJ wins the lawsuit, their contracts with SME would be no more. It would no longer bind them, and they’ll be free of SME’s reins. (Ideally) It would have no effect whatsoever on HoMin – they still remain with SME. The decision of the court in the lawsuit would only bind the parties there, which in this case, are JYJ and SME.

      As for the difference between nullification and termination of contracts – I’m not sure, but I think that in nullification of a contract, the contract’s unlawful from the beginning. Because it was already unlawful, it was not legally binding in the first place, so in nullifying it, the court is just declaring that there was no contract in the first place. I think termination, on the other hand, is that there was a lawful contract in the beginning and it is legally binding on both parties (JYJ and SME). However, while the contract is existing, a breach was committed by one side, forcing the other side to terminate (or end) the contract despite the fact that it’s not yet finished. So I guess in termination, there was a legal contract in the first place, but something happened and it’s up to the court to decide whether to end the contract or not.

      This is just my thinking though, I’m not sure if there really is a difference between nullification and termination or the terms are just used synonymously.

  40. Hi there Jimmie.
    I have always been an avid fan of The JYJ files, and have thoroughly supported JYJ through the years they parted from SM Entertainment, and have engaged in several online flaming wars to stand up for JYJ.
    But whenever I point a finger to SM Entertainment, they would always tell me Lee Soo Man is innocent, and it’s all Kim Young Min’s fault.
    I’m really confused, and people used that against me and stupidly say that I don’t have enough information to say that JYJ is not selfish (which literally makes me wish I could bash their faces).
    Can I please ask if it’s Kim Young Min, the now CEO, or Lee Soo Man, the then CEO, who did all of this shitty crap to poor DBSK?
    Or is it someone else, because I’m really confused.
    But I think I’ve already established the fact that SM Entertainment sucks to the core.
    JYJ is loved<3

    • As far as I’m concerned, they’re both rotten through and through for setting up, engaging in and defending a system that exploits the dreams of Korea’s talented youths. Lee Soo Man began the rottenness, Kim Young Min is simply continuing the legacy. For more background on Lee Soo Man and the history of SM, I recommend you read my A Cosmetic(s) Discourse Part IV and check out the references listed in that article’s endnotes.

      Also, the idea that because Lee Soo Man is no longer the CEO of SM so he cannot be held accountable is frankly ridiculous. The man still has the largest number of shares (even after selling quite a few of them (perhaps losing confidence in his own machinations?)) and sits on the Board of Directors for the company. In addition, he still takes “business trips” where he cons young Korean hopefuls into the life of enslaved stardom that he pioneered.

    • @Kri

      All one has to do is look at who handed that original joke of a contract to DBSK/TVXQ to sign. LSM.

      KYM I believe wasn’t even at the company then. I think I’ve seen where he came on board just before SNSD debuted. Wikipedia has a fairly decent profile of the company. So, the instigator if you will, is he himself LSM. I look at the set-up of SME and I see cult written all over it. The way mindsets are formed there, I don’t see anything else. That ‘Father’ nonsense is just way too much.

      I just feel those who are able to break away are freer of thought than those who can’t seem to leave. IMHO anyone who stays there, has to be extremely frightened to be on their own. It seems like it has been drummed into their heads, you cannot make it without SME. I just don’t see how it can be anything but that. LSM reminds me of a snake charmer, snakeoil just oozes out his pores.

      All that bait and switch nonsense is just that, bait and switch. You have must have a very strong constitution to subject yourself to those Inquisitions. It’s really interesting to see how light-weight their arguments are, and then they proceed to tell someone else, you don’t know what you’re talking about. They think they are getting their points across by being mean and spiteful.

      Obviously, the Internet allows anyone to use the medium to say and do almost anything. The anonymity factor makes people have more courage than they would face -to -face. But the more this situation progresses, the more enlightened others are becoming and are speaking out. Here, I’m talking about seasoned professionals, intellectuals, respected journalists. SME always counted on complacency before. That is not happening here now.

      Plus, they DID NOT expect the fan base to rise to the occasion. How wonderfully fooled they are. When they created the fan base branding technique, that base simply transferred itself to JYJ, and when new fans came on board, they were drawn by the awesome talents and personalities. It’s kind of like – they bit off their noses to spite their faces. 🙂 How cool is that!

  41. huff……i dont have anything to say cos i think my fellow jyj fans had said all the angles of the issues and i m proud of you guys…just wish that jyj doesnt have to suffer anymore….damn SM….dont know how much shit they will do….

  42. Just like a endless tape but JYJ did good choice. Same like a Jp’s Entertainment “A”keep saying same story to public, “they’d relationship w/mafia”. To me himself’d relationship w/j.mafia. This time JYJ had planing to support Tsunami Victims but
    “A” interferes’n prevents JYJ’s heart…… this kind of PUNK don’t understand others feeling. I’m really disappointed Saitama/yokohama/tokyo concert arena. Ty

  43. Maybe JYJ and HoMin now are just trying to find a way to reunite again, and not bound to SM. But to be freed from SM and reunite again, both JYJ and HoMin must endure this sickening situation for now.
    I know nothing about this business but as long as we still support Jaejoong,Yoochun,Junsu,Changmin and Yunho like we always do, I believe that all will go well. Lets just keep supporting all 5 of them guys, and not put JYJ against HoMin or any other way. Both JYJ and HoMin deserves our support and our love guys, each on of them needed it the most now. Besides, we don’t know what really happen “inside”, we just need to be patience and see how it goes.
    Though I really hope that the 5 of them will be together again and not being disturbed by SM anymore.

    • @noi
      “Maybe JYJ and HoMin now are just trying to find a way to reunite again, and not bound to SM. But to be freed from SM and reunite again, both JYJ and HoMin must endure this sickening situation for now.”

      Hi Noi,

      Do you mean seven years from now when Homin’s current contract with SM expires? That’s a long way off. That’s almost as much time as the boys were ever together as DBSK. If that’s what you mean, after writing and performing as JYJ for 9 years, I honestly don’t see JYJ welcoming Homin back on a permanent basis. Too many hurt feelings, too much time has gone by with no contact, etc. etc. Homin absolutely can’t just leave SM at this point. They’ve made too much of how “disloyal” JYJ was for leaving. They can’t do it themselves.

      I’ve tried to answer your other questions and respond to your comments so please read on:

      “I know nothing about this business but as long as we still support Jaejoong,Yoochun,Junsu,Changmin and Yunho like we always do, I believe that all will go well. Lets just keep supporting all 5 of them guys, and not put JYJ against HoMin or any other way. ”

      I actually know quite a bit about the business, having spent my life as a songwriter. Things don’t always go well in the entertainment business because it is run, in SM’s case, by vindictive men who are really only interested in completely controlling their signed acts and in making a profit for themselves. This is a terrible situation that SM has created, which JYJ have managed to escape and Homin are still in the middle of, by their own choice, with seemingly no avenue of escape.

      “Besides, we don’t know what really happen “inside”, we just need to be patience and see how it goes.”

      Actually, we DO know. We know because JYJ have spoken out, at length, through the medium of their songs. From Jaejoong’s perspective, listen to “Pierrot.” (English lyrics to their songs can be found at http://www.JYJ3.net among other places.) Perhaps the most stunning statement of what happened has come from Yuchun in his “Song With No Name.” Everything that happened is there, Noi. It’s wrong to still claim that “we don’t know anything” because at this point, we do. Do a little bit of homework and you’ll know too. The facts are readily available to all.

  44. Does anyone know when is the next hearing? Or at least what is the latest progress up-to-date? I’d appreciate some enlightment 🙂

    • @trippie_trippie

      Hi – No, we are all waiting (impatiently) just like you. The case has gone to binding arbitration months ago and we assume that as of yet, they have not come up with a deal that everyone can live with. It is frustrating and there is some suspicion that SM is dragging their feet as long as possible so the media blocking will continue to be enforced among their entertainment industry colleagues. This is speculation though. JYJ’s lawyers are not speaking about the case. And so we wait.

  45. @noi
    “Maybe JYJ and HoMin now are just trying to find a way to reunite again, and not bound to SM. But to be freed from SM and reunite again, both JYJ and HoMin must endure this sickening situation for now.”

    Whether you are being honest in your sentiment, or playing the dutiful troll, doesn’t matter. After all the acrimony spewed by HoMin since this situation has evolved. I for one will suggest you not hold your breath waiting for a reunion to happen. I don’t ever say never, but time wise, the likelihood that this will occur before they are 30 are slim to none. Too much water has passed under the bridge and needs to recede some. That’s at the very least. Mindsets have to change, and some apologies need to be rendered, and I don’t mean from JYJ.

    HoMin made their choices, just as JYJ did. The difference is, JYJ’s choices led them to becoming free young men. They are able to come and go when, where, and how they want to. They are working hard for themselves, and their families. They are enjoying the fruits of their labors. They are smiling like nobody’s business! This last part, the smiles…when HoMin begin to smile like JYJ does, then I’ll believe they made the right choices.

  46. Pingback: The Mycenaean

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