The outcome of the legal battle between Sleepy and his former agency, TS Entertainment, has again become uncertain.
On the 4th, Kim Bo-hyun, an attorney from the law firm AK representing TS Entertainment (hereinafter referred to as "the client"), said, "Mr. Sleepy has repeatedly stated through various media that he 'has not received settlement payments for 10 years,' 'there was no settlement payment at all,' and 'suffered from disconnection of utilities due to financial difficulties.' However, the court clearly judged that the settlement was accurately made until February 2019 when Mr. Sleepy sent the certificate of contract termination, and there were no unpaid settlement payments.
He further raised his voice, saying, "The court also acknowledged that Mr. Sleepy conducted SNS advertising without the agency's consent and gained monetary benefits amounting to tens of millions of won. This means that Mr. Sleepy's actions are serious illegal acts that may entail criminal liability, going beyond a simple contract dispute."
However, the court ruled that payment should be made for the unpaid settlement payments for the first quarter of 2019, which were withheld due to Mr. Sleepy's contract termination certificate, and the unpaid portion of the contract fee that was paid monthly as a salary after the contract ended. In terms of litigation costs, Sleepy will bear 70% of the total litigation costs for the first and second trials, while TS Entertainment will bear 30%.
TS Entertainment stated, "Through this ruling, we believe it has been clearly revealed that Mr. Sleepy's claim of unpaid settlement payments for 10 years is different from the facts," and emphasized, "Since Mr. Sleepy's illegal act of acquiring unauthorized advertising revenue has been directly acknowledged by the court, the client plans to actively proceed with the procedures to hold him criminally responsible."
Sleepy filed a civil lawsuit against TS Entertainment in 2019 to confirm the non-existence of the exclusive contract, and the contracts between both parties were terminated through lawsuits for the annulment of the exclusive contract. Afterward, TS Entertainment filed a lawsuit claiming 280 million won, stating that Sleepy concealed part of his broadcasting fees and SNS advertising revenue from the agency, but lost, and Sleepy also filed a damages lawsuit against TS Entertainment for unpaid contract fees and unpaid broadcasting fees, receiving a favorable verdict.
The following is the full statement from TS Entertainment's legal representative.
Hello. I am Attorney Kim Bo-hyun from the law firm AK, representing TS Entertainment (hereinafter referred to as "the client").
Recently, regarding the second trial ruling in the lawsuit filed against the client by Sleepy (real name Kim Sung-won), I would like to accurately convey the facts and the court's judgment.
1. Court's judgment regarding claims related to settlement payments
Mr. Sleepy has repeatedly stated through various media that he 'has not received settlement payments for 10 years,' 'there was no settlement payment at all,' and 'suffered from disconnection of utilities due to financial difficulties.'
However, contrary to Mr. Sleepy's claims, the court determined in this ruling that the settlement was accurately made until February 2019 when Mr. Sleepy sent the contract termination certificate, and there were no unpaid settlement payments.
In other words, the claims that Mr. Sleepy has been disseminating through the media for years have been revealed through judicial judgment to be false or exaggerated.
2. Acknowledgment of unauthorized advertising revenue and illegal acts
The court also acknowledged that Mr. Sleepy conducted SNS advertising without the agency's consent and gained revenue amounting to tens of millions of won.
This means that Mr. Sleepy's actions are serious illegal acts that may entail criminal liability, going beyond a simple contract dispute.
3. Other ruling details
The court ruled that the client must pay the unpaid settlement payment for the first quarter of 2019, which was withheld due to Mr. Sleepy's contract termination certificate, and the unpaid portion of the contract fee that was paid monthly as a salary after the contract ended. The client plans to review the wording of the contract to decide whether to appeal.
In terms of litigation costs, it was ruled that the plaintiff, Mr. Sleepy, would bear 70% of the total litigation costs for the first and second trials, while the client would bear 30%.
4. Future response
The client believes that this ruling has clearly shown that Mr. Sleepy's claim of unpaid settlement payments for 10 years is different from the facts.
Furthermore, since the illegal act of acquiring unauthorized advertising revenue by Mr. Sleepy has been directly acknowledged by the court, the client plans to actively proceed with procedures to hold him criminally responsible.
5. Conclusion
TS Entertainment (the client) maintains a firm position that distorted claims that differ from the facts must be corrected.
In the future, our law firm AK will continue legal responses to protect the client's rights and interests. Thank you.
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