SM Entertainment has reportedly moved to freeze the assets of EXO members Chen, Baekhyun and Xiumin due to a dispute over contract terms and revenue sharing.
Biz Hankook reported on February 11th that SM has started legal procedures to preserve the personal properties of the three artists. These include Chen’s residential lease deposit, Baekhyun’s apartment in Guri City, and Xiumin’s apartment in Yongsan, Seoul.
SM is seeking a total of 2.6 billion won ($1.8 million). The breakdown is 300 million won ($206,000) from Chen, 1.6 billion won ($1.1 million) from Baekhyun, and 700 million won ($480,000) from Xiumin. This action is meant to secure 10% of their personal activity revenue, as agreed upon in a contract signed on June 18, 2023.
The conflict began in June 2023 when CBX announced they wanted to end their exclusive contracts with SM, citing a lack of settlement data and excessively long contract terms. SM denied these claims, saying they had provided the necessary information and raised concerns about the management of CBX’s individual activities by their parent company, Big Planet Made Entertainment.
Later, both parties reached a settlement where EXO’s group activities would remain under SM, but CBX’s individual activities would be handled by a separate agency. According to this agreement, CBX was required to pay SM 10% of their personal activity revenue.
However, the dispute flared up again in June 2024 when CBX’s side accused SM of failing to honor a 5.5% album distribution fee rate. CBX filed a fraud complaint against SM executives, but it was dismissed due to a lack of evidence.
The issue resurfaced when CBX was reportedly excluded from EXO’s full group activities in 2025. SM explained that CBX had not yet paid the required 10% of their individual earnings, as stated in the agreement.
Now, with SM freezing their assets, the conflict looks set to escalate into more legal battles. All eyes are on how CBX will respond to this latest development.
>> EXO Returns as a 6-Member Group Without Chen, Baekhyun and Xiumin
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