Why Did ADOR Terminate Only Danielle Marsh’s Contract?... The Staggering Penalty She Faces

[Financial News] ADOR, which notified NewJeans member Danielle Marsh of contract termination, is initiating legal proceedings, including a claim for damages.
According to YTN on the 30th, ADOR filed a lawsuit against Danielle Marsh with the court the previous day, demanding penalties for breach of contract and compensation for damages suffered by the agency.
ADOR stated, "As legal proceedings are expected to follow, it is difficult to provide specifics. However, there were violations of the exclusive contract, such as entering into conflicting agreements, pursuing independent entertainment activities, or damaging the reputation and credibility of the agency and NewJeans. We requested rectification, but as it was not addressed within the deadline, we proceeded with the termination."
They added, "While it is difficult to disclose the exact amount of damages, the penalty will be calculated according to the formula already stipulated in the exclusive contract."
The exclusive contract between ADOR and Danielle Marsh is set to run for more than four and a half years, until July 2029. According to details revealed during the injunction trial filed by former ADOR CEO Min Hee-jin against Hybe, if NewJeans members terminate their contracts with ADOR, the expected penalty ranges from 450 billion to 620 billion KRW. Based on a simple calculation, the penalty Danielle Marsh would face is estimated at 90 billion to 124 billion KRW.
ADOR also intends to hold not only Danielle Marsh but also one of her family members and former CEO Min Hee-jin legally accountable.
ADOR stated, "We will pursue legal responsibility against the family member of Danielle Marsh and former CEO Min Hee-jin, who are significantly responsible for causing this dispute, the departure of NewJeans, and the delay in their return." It is known that the 'family member' refers to Danielle Marsh’s mother.
Previously, after former CEO Min Hee-jin, who had been in conflict with Hybe, was dismissed, the NewJeans members claimed that ADOR had breached their exclusive contracts and declared contract termination in November last year. On December 12 of the same year, they filed a lawsuit to confirm the validity of the exclusive contract.
In October, the Civil Division 41 of the Seoul Central District Court ruled in the first trial that "the exclusive contracts signed between ADOR and NewJeans on April 21, 2022, are valid." Subsequently, Haerin and Hyein returned to ADOR.
About a month and a half later, news broke of Hanni’s return and Danielle Marsh’s contract termination. Minji’s status has not yet been decided.
ADOR stated, "Minji is also in discussions with ADOR, and both sides are continuing talks to deepen mutual understanding."
If Minji rejoins, NewJeans is expected to continue as a four-member group rather than five.
moon@fnnews.com Moon Young-jin Reporter