[TRANS] 04.16.10 China Court Decision on SM vs. JaeSuChun Lawsuit

SM Entertainment had attributed the main reason for the "DBSK's Lawsuit" to be the cosmetics investment business by some of the DBSK's members and used this reason as justification to propose a 2.2 billion won in damages from the 3 members.

The declaration that SM Entertainment had submitted to Seoul Central District Court on 14th April claimed that "Some DBSK members had invested in a cosmetic company which resulted to be the beginning of the conflict. They have used DBSK's name and portrait without the company's consent and that have violated the exclusive contract. However, they denied the effectiveness of the exclusive contract and proposed the disposition for the effectiveness of the termination of the exclusive contract". During November last year, China Beijing Kowloon Station Century Culture Communication Co. Ltd* (Gao Jian Wen, Representative. Also known as Beijing Kowloon Station Inc.) had used "The fraud of Crebeau which is the collaboration between DBSK's 3 members and Korea Cosmetics Company, Wisyaplus had caused their damages" as the reason to apply for legal action for the damages compensation at the District Court. Recently, the cosmetics company, Wisyaplus announced that "Beijing Haidian District People's Court rejected the Beijing Kowloon Station Inc's claims" and revealed the China Court's arbitration decision documents.

According to the open verdict, the court had rejected all the arbitration applications from the applicant (Beijing Kowloon Station Inc.) and the applicant will bear all the costs for the arbitration (38,470 yuan = 5,635 USD). DBSK's 3 members has nothing to do with the cosmetics company promotion and this was ultimately confirmed by the China Court. And SM Entertainment have been using the photos of the 3 members attending the investment seminars to suspect if the 3 members had directly or indirectly carry out promotional activities.

On the other hand, the cosmetic company's representative, President Kang Suk-won had expressed towards the accusation of SM Entertainment attributing the main cause of the DBSK's lawsuit with the members' cosmetics business that "The police investigation has already shown that the reason behind the DBSK's lawsuit has nothing to do with the cosmetics. However, SM Entertainment once again entangled with it. Therefore, our company will propose a reputation damage lawsuit again for the third time".

President Kang Suk-won claimed that "The reasons why DBSK's 3 members had filed a lawsuit towards SM Entertainment are because of the unfair contractual relationship and unjust distribution of income distribution. This fact has been ruling in the injunction application and it was confirmed. However, such behaviour seems to have become a kind of inertia for SM Entertainment in order to rescue its company reputation".

Wisyaplus had already filed the reputation damage and impede business lawsuit towards SM Entertainment twice in August and November last year. Seoul Gangnam Police Department investigation ended in February and make the decision of without detention and transfer investigation towards SM Entertainment representative, Kim Youngmin. At that point of time, the police had already made a judgement that "The lawsuit of ending the long term exclusive contracts requested by DBSK's 3 members had nothing to do with the cosmetics investment".

source: vandyxu527 @ TVXQbaidubar, www.jaetime.com & DNBN
translations: sicashinki @ OneTVXQ
credits: OneTVXQ & cassiopeialuv newsblog

Oh..SM Entertainment is doomed! XD
China Court is siding with us to!
Pfft... xD We gots so many people on our side.. XD
LOLL SM, you fail.

Always keep the faith!
Dong Bang Shin Ki FTW!