Lee Seung-gi wins lawsuit against former agency over music royalties

Singer and actor Lee Seung-gi has won a lawsuit against his former agency, Hook Entertainment, regarding unpaid music and album royalties generated after his contract ended. The Seoul Central District Court ruled that the agency is obligated to distribute profits even in the absence of a separate post-contract agreement.

Lee sought approximately 830 million won, and the court ordered Hook Entertainment to pay roughly 690 million won. The court rejected the agency's argument that no settlement was required without a new agreement, noting that the original contract used definitive language stating that settlements ‘shall be performed’ rather than ‘may be performed.’

The court further noted that allowing the agency to withhold profits after a contract termination caused by the agency's own misconduct would violate principles of good faith and equity. The ruling highlighted that Hook Entertainment failed to provide settlement data for nearly 20 years and was responsible for the contract's termination. The court set the profit distribution rates at 60% for revenue up to August 2024 and 40% for subsequent revenue, reflecting industry practices for post-contract earnings.