On March 27, a legal representative of LM Entertainment issued an official counter statement against Kang Daniel's legal representative, in their ongoing contract nullification dispute. 

LM Entertainment claimed, "Kang Daniel's side has purposely omitted the fact that in the joint business contract in question, LM Entertainment still solely holds all rights to his individual exclusive contract, and used only exerts from this contract to tell a more favorable story on their part, distorting the facts."

"We can only see this as a ploy to buy the sympathy of fans and the press, in order to influence the court's decision unfairly. Furthermore, the joint business contract which Kang Daniel's side made public previously was obtained on their end illegally, and LM Entertainment plans on taking legal action regarding this violation," the label continued. 

Regarding the "problematic" joint business contract, LM stated, "It was a regular business contract meant to allow a third party the regulation of music distribution, copyrights, and performances as an investor for a specific period of time; LM Entertainment still holds all rights to control the actions of our label artists and never gave away such rights. In addition, the investment funds that LM Entertainment received from MMO Entertainment through this joint business contract was actually used for our other label artist Yoon Ji Sung's entertainment promotions. All of this will be revealed through the court trial." 

Finally, the agency revealed, "We have continuously delivered our intentions to call off the joint business contract with MMO Entertainment if Kang Daniel truly disfavored it. However, Kang Daniel has only responded with a legal suit asking for the nullification of his exclusive contract, contrary to his earlier claims [of wishing to come to an agreement]." 

Stay tuned for updates on the dispute.