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"'Hook should pay 690 million'...Lee Seung-gi wins lawsuit over unsettled payments"
by. Azin Lee

[Dispatch=Reporter Lee Ah Jin] Singer and actor Lee Seung-gi has won again in a settlement payment lawsuit against his former agency Hook Entertainment.

The Seoul Central District Court's Civil Settlement Division 20 rendered a partial victory judgment on the 28th of last month in the settlement payment claim lawsuit that Lee Seung-gi brought against Hook Entertainment.

In February, Lee Seung-gi filed a lawsuit requesting settlement of music source and album revenues generated after the termination of his exclusive contract in December 2022. He claimed approximately 830 million won. The court ordered Hook to pay approximately 690 million won of that amount.

Hook's side countered that there was no settlement obligation. They cited a clause in the exclusive contract stating "if sales occur after contract termination, settlement shall be made through separate agreement." They argued that without separate agreement, there was no obligation to share profits.

However, the court did not accept this argument. It pointed out that the contract specifically stated "settlement shall be made" rather than "settlement may be made." The court determined that settlement obligations arise even without separate agreement. It also judged that Hook bore responsibility for the termination of the exclusive contract.

However, the distribution ratio was set lower than Lee Seung-gi's request. Lee Seung-gi originally requested 70% of sales generated up to August 2024, the time of exclusive contract expiration, and 50% thereafter.

However, the court took into account that, in accordance with industry practice, settlement after contract termination occurs at a lower rate than before. It recognized 60% and 40% respectively.

Meanwhile, Lee Seung-gi began legal disputes with Hook in 2022 by raising the issue of unpaid music usage fees. He won a related lawsuit in April of last year.

<Photo=Dispatch DB>

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