SM and EXO’s Chen, Baekhyun, Xiumin fail to settle 600 million won lawsuit in first mediation, next round set for October

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SM Entertainment and EXO-CBX (Chen, Baekhyun, and Xiumin) are still in a tough legal fight over their contracts.

On September 23, the Seoul Eastern District Court revealed that the first mediation session for the 600 million won contract and settlement lawsuit between SM and EXO-CBX ended without an agreement. The second mediation is now scheduled for October 2.

The conflict dates back to 2023, when EXO-CBX announced their decision to end their exclusive contracts with SM, citing unfair terms and unclear settlement details.

They even filed a complaint with the Fair Trade Commission. After negotiations, both sides reached a partial agreement—group activities would remain under SM, but the members’ individual schedules would be managed by a new agency, INB100.

But in June 2024, EXO-CBX raised new claims, saying SM failed to honor the agreed distribution fee rate for albums and digital music and also did not provide proper settlement documents. This pushed them to take legal action.

SM pushed back strongly, saying, “The essence of this entire issue is the unfair inducement (tampering) by MC Mong and Cha Ga Won toward our artists.”

The company demanded that EXO-CBX pay 10% of their individual activity revenue as previously agreed, filing a lawsuit to enforce the contract. In response, EXO-CBX also filed their own lawsuit over settlement payments, creating an ongoing legal standoff.

For now, EXO-CBX continues their promotions under INB100, part of One Hundred Label, where they have been active since January 2024.

Source: [1]