Influencer Song Jia‘s agency, Hyowon CNC, has been embroiled in a lawsuit worth 300 million won.
As a result of the “Sports Trend” coverage on the 13th, Hyowon CNC was sued by former influencer Choi Seok Young on March 15 last year for requesting confirmation of the termination of the exclusive contract. It is argued that Hyowon CNC deceived the cost of the product and did not pay the difference in settlement in the process of selling e-commerce products.
According to the director, Choi Seok Young also signed a management contract with Hyowon CNC (broadcast appearance, model activities, etc.), but only promoted SNS products for a considerable period of time, and demanded the termination of the contract in March 2020. Hyowon CNC dissuaded it, but the obligation was not fulfilled for the next year or so, and the manager in charge was also changed several times, so the work did not proceed smoothly.
In particular, in terms of sales and profit distribution of e-commerce products, Hyowon CNC and Choi Seok Young decided to settle the amount of sales at 5 to 5 of profits excluding product costs, but claimed that the product cost was not transparently disclosed. Choi was believed to have overcalculated the cost of each product’s distribution stage (cost, supply price, delivery fee, etc.), and Hyowon CNC refused to provide it, saying, “Some of the data are not authorized to be viewed by Choi“, and it is stated in the complaint.
In addition, Choi argues that Hyowon CNC has violated privacy and personal rights, and that it has terminated the exclusive contract and claims for unpaid settlement payments.
On the other hand, Hyowon CNC filed a claim for damages worth 42 million won against Choi Seok Young on November 19 last year. Choi Seok Young unilaterally notified the termination of the contract even though there was no reason attributable to it, and since he had already received 10 million won in down payment, he was obliged to pay 30 million won more under the exclusive contract punishment regulations.
Hyowon CNC has filed a complaint against Choi on charges of defamation and attempted blackmail by publications. Choi is making groundless false claims for malicious purposes. Regarding the settlement part, all data such as supplier transaction statements, supply contracts, purchase tax invoices, and settlement messages with Choi have already been submitted to the law firm. In addition, she replied, “I will attend the investigative agency and disclose the attempted defamation and blackmail through evidence“.
Hyowon CNC is a commerce company founded by actors Kang Ye Won and CEO Kim Hyo Jin. Their company is also an influencer management company that includes Song Jia, who caused controversy over “wearing fake items,” and “Heart Signal” Park Ji Hyun.