Intellectual Property Wars: Who Owns a K-pop Group?
The NewJeans controversy has exposed fundamental flaws in K-pop’s IP ownership frameworks. Unlike traditional Western music acts where artists often retain publishing rights, HYBE’s standard contract allocates 100% of musical copyrights to the agency. However, ADOR’s unique agreement allowed Min Hee-jin’s team to control 60% of creative IPs – an unprecedented arrangement in Big 4 agencies.
This clash manifests in tangible assets:
Branding Rights: NewJeans’ retro Y2K aesthetic, valued at $8.2 million brand equity
Character Licensing: Member-specific IPs like Hanni’s “Bunny” persona
Catalog Ownership: Dispute over 2022’s Ditto royalties worth $4.7 million
The Korea Copyright Commission reveals 78% of K-pop disputes stem from ambiguous IP clauses. ADOR’s case highlights growing demands for “creator equity” models, mirroring tech startups’ stock allocation practices. As NewJeans dominates 19% of 2023’s girl group album sales, the stakes transcend typical management quarrels, becoming a billion-dollar intellectual property showdown.
As NewJeans moves forward with terminating their exclusive contract with ADOR and pursuing independent activities, five major Korean entertainment organizations have stepped forward to address the growing controversy. These groups are now urging the establishment of anti-tampering legislation to protect the integrity of the K-pop industry.
On February 19, a joint statement was released by the Korea Entertainment Management Association, Korea Entertainment Producers Association, Korea Music Label Industry Association, Korea Recording Industry Association, and the Korea Music Content Association. The organizations emphasized the need to prevent public opinion manipulation and ensure the sustainable growth of Korea’s popular culture and arts industry.
In their statement, the associations called on certain agencies and artists to refrain from leveraging baseless claims to sway public sentiment for personal gain. They also appealed to the National Assembly and government to take decisive action against tampering, which they identified as a primary source of conflict within the industry.
The call for anti-tampering legislation reflects the growing need for structural reforms within the K-pop industry. As disputes like the NewJeans-ADOR controversy continue to surface, the industry faces increasing pressure to establish clearer guidelines and stronger legal frameworks to protect both artists and agencies.