On May 31, Min Hee Jin, CEO of ADOR, held a second press conference, stating, "I hope a compromise can be reached." This marked a new phase in the nearly two-month-old dispute between HYBE, Korea's largest entertainment agency, and its subsidiary ADOR.

HYBE initiated an internal audit on April 22, alleging that Min and ADOR's management were attempting to seize control of the company. This was followed by an attempt to remove Min from her position during an ADOR shareholders' meeting on May 31. However, on May 30, the court accepted Min's injunction to prevent HYBE from exercising voting rights at the shareholders' meeting, allowing her to retain her position. Min then extended a reconciliation gesture to HYBE during a press conference on May 31, but HYBE has yet to issue an official response.

During this period, both sides have experienced gains and losses. HYBE claims a partial victory by preventing Min's alleged attempt to make ADOR independent with NewJeans. The court acknowledged that Min sought ADOR's independence but had not yet acted on it, which could be seen as a betrayal to HYBE but not a breach of duty to ADOR.

However, the court's acceptance of Min's injunction has dealt a blow to HYBE, providing Min with grounds to propose reconciliation meanwhile HYBE remains silent on this matter.

Legal experts suggest that the criminal charges filed by HYBE against Min and her close associates for breach of duty may weaken Min's position further as the police investigation progresses. The Yongsan Police Station has completed its investigation of HYBE and has requested that Min submit her laptop for forensic analysis.

An industry insider noted that even if a laptop is formatted, forensic analysis can recover over 90% of the data. Although Min has not yet complied with the request to submit her laptop, it is seen as only a matter of time. HYBE is likely to use the findings of the investigation to determine the timing of Min's dismissal.

Min's reputation has also suffered, with accusations and public disputes with HYBE tarnishing her image. This fallout has affected the brand value of the artists involved and led to a decline in HYBE's stock price. Min's criticism of deep-rooted K-pop industry practices, such as excessive album sales tactics and plagiarism, has been particularly damaging for HYBE.

Belift Lab, another HYBE subsidiary and the agency behind ILLIT, recently filed a lawsuit against Min for interference and defamation over her plagiarism accusations. This lawsuit, along with a newly filed civil suit, reflects HYBE's strategy to protect its artists.

The public backlash and Min's emergency press conference on April 25, where she criticized HYBE executives, significantly shifted public opinion. During the conference, Min accused HYBE executives of conspiring against her, using harsh language to describe their actions. Her stance against corporate abuse resonated with many young female workers, elevating her to a symbolic status.

In her second press conference, Min emphasized NewJeans' achievements, showcasing her confidence as a planner and manager. She claimed, "I achieved in two years what other boy bands might achieve in five or seven years."

However, unless HYBE agrees to a reconciliation, Min remains entangled in ongoing civil and criminal lawsuits. Depending on the investigation results, her 100 billion KRW (~75.6 million USD) worth of shares could be jeopardized, as the shareholders' agreement could be invalidated. Min must invest significant resources to prove the validity of the contract.

The shareholders' agreement allows HYBE to repurchase Min's shares for approximately 3 billion KRW (~2.18 Million USD) if they prove her breach of duty. Critics argue that Min's actions might cost her the right to sell her estimated 100 billion KRW worth of shares at a set price by the end of this year, reflecting an overreach that might leave her with nothing.

Moreover, Min's breach of fiduciary duty as CEO could hinder her ability to attract investment and restart her career independently of HYBE.

SEE ALSO: HYBE chairman Bang Si Hyuk: 'Collaboration is key to K-pop's global success'