It has emerged that Cha Eun Woo once terminated his exclusive contract with Fantagio by mutual agreement before the agency later signed a separate business agreement with a company established by his mother.
According to industry reports on November 1st, Fantagio had struggled to provide management services due to an internal dispute over corporate control and a leadership vacuum, prompting the two sides to part ways.
After rebuilding their trust, Fantagio signed a service agreement with the actor’s mother’s company in July 2019 at his request. The agreement, which covers support for his entertainment activities, reportedly remains in effect.
The arrangement has been at the center of a widely publicized tax dispute involving Cha and Fantagio in recent months. Following an audit of transactions with the company, Fantagio was assessed approximately 8.2 billion won ($5.8 million) in additional taxes. The agency paid an initial 3.2 billion won before settling the remaining 5 billion won on July 31st.
Cha separately paid approximately 13 billion won in additional taxes. Both he and Fantagio are challenging their respective tax assessments.
Fantagio maintains that the agreement with Cha’s mother’s company was a legitimate business arrangement involving services actually provided. But Cha is reportedly the only artist at the agency whose earnings are shared through a service agreement with a family-owned company.
During an April 2024 tax audit, Cha reportedly faced no objections over invoices issued under the arrangement. However, a subsequent investigation in 2025 raised questions about whether the services were actually provided and whether the invoices were valid.
Asked about the newly revealed contract history, Fantagio told Xports News, “We have no additional official statement regarding the matter.”
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