[instiz] CLARIFYING THE SM AND CBX FACTS

(1) “Slave Contract”

After modifying the contract themselves through large law firms for a year and six months, CBX renewed their contracts.
In 2023, EXO was preparing for their first full-group comeback in 3 years and 8 months since the Obsession promotions in 2019. However, just a few weeks before the comeback, CBX claimed their renewed contract was a “slave contract” and sought to terminate it.

→ It was a standard labor contract implemented after the JYJ case, not a slave contract.

(2) Gaslighting

Baekhyun claimed that SM "gaslighted" him by saying, "If you don’t renew your contract, the other EXO members won’t receive their signing bonuses properly."

→ Before Baekhyun’s contract renewal, two members (Kai and Sehun) had already renewed, while two others (D.O. and Lay) had not, proving there was no coercion in the renewal process.

(3) Settlement Data (Financial Records)

A company can choose between "allowing inspection" or "providing documents." SM allowed all artists to inspect the settlement data at any time, accompanied by experts. This applies equally to all SM artists.

→ CBX's lawsuit requesting written copies of settlement data was fully dismissed by the court.

(4) Personal Information and Non-Disclosure Agreement

After receiving reports that Baekhyun had contacted MC Mong, SM suspected possible tampering between Big Planet (One Hundred) and CBX. SM told CBXthat if they signed a NDA, they would provide the financial documents in writing.

→ The settlement data contains company trade secrets and personal information of other EXO members, so confidentiality and consent from the members were required. The EXO members agreed to provide their personal information to CBX.

(5) Distribution Fee of 5.5%

During renegotiations between SM and CBX, SM verbally promised to negotiate with Kakao (the distributor) so that INB100 could pay only a 5.5% music distribution fee.

→ SM informed CBX in advance that they had no authority to decide the final fee themselves, and for that reason, the clause could not be included in the agreement.

(6) 10% of Revenue

CBX agreed to pay SM 10% of their revenue in exchange for being allowed to establish personal companies and use EXO’s IP.

→ The Chinese members who left EXO earlier also paid 30% of the profits earned from their own studios to SM, based on court rulings, setting a precedent.

(7) Fair Trade Commission

MC Mong reported Kakao to the Fair Trade Commission, claiming it was unfair that only Kakao’s subsidiary (SM Entertainment) paid a 5.5% distribution fee.
Despite claiming there was no tampering, CBX joined MC Mong’s label less than a year after establishing INB100, further fueling tampering suspicions. MC Mong also demanded that CBX be granted the same 5.5% distribution fee as Kakao’s subsidiary.

→ On July 4, 2025, the Fair Trade Commission concluded that Kakao’s distribution fee was not guilty (no violation).

(8) Press Conference and Lawsuit

→ CBX held a press conference and filed a lawsuit without informing the other EXO members.

(9) Winter Album and Season’s Greetings

→ Due to CBX's lawsuit, preparations for EXO’s winter album and 2025 Season’s Greetings were canceled. CBX later released a winter album under Big Planet (One Hundred).

(10) IP Usage Fee

→ In April 2024, SM requested CBX to pay IP usage fees. The 10% revenue CBX had agreed to pay SM also included EXO IP usage fees. However, CBX has not paid these fees and is continuing to use the IP without authorization.

Additionally, SM agreed to let INB100 release the solo album that was originally being prepared for Baekhyun under SM, and even covered the cancellation penalties for Baekhyun’s Japan concert that he unilaterally called off.

original post: here

1. I bet their fans will run to OP's posts soon to report her post

2. Thanks for clarifying all this, I'll save this !!

3. Wow the contract renewal part is so shocking..

4. Point #4 shows how much of a saint the members are

5. Just why are they even filing a lawsuit? No matter how I look at it, I don't understand

> No other reason than money

6. SM are real saints

7. ㅋㅋㅋㅋ I wonder if CBX's fans still have anything to add after this post

8. This is honestly legendary

9. If they have the slightest amount of shame left, they should just drop everything and stop acting to get the other EXO members hate

10. What I get from it is this. D.O almost didn't want to renew his contract. And Lay also needs to pay his 10%