[talk] [2025 Latest] What's the truth behind Chen Baeksi's controversy? Six consecutive losses with SM and the future of EXO's full group activities!

EXO members Chen Baekhyun and Xiumin (commonly known as Chen Baeksi) have lost all six of their legal battles with SM Entertainment. Why did things get so complicated? We'll explain the complicated behind-the-scenes story, from contract issues to the group's activities as a full group!

 

 

table of contents   1. The beginning of the conflict between Cheong Baeksi and SM 2. The history of the "6-win, 6-loss" lawsuit and the court's decision 3. Details of the Agreement between INB100 and SM 4. Comparing the arguments of both sides (SM vs Chenbeksi) 5. Impact on EXO's full group activities 6. Fan reactions and future prospects 7. Frequently Asked Questions (Q&A) 8. Summary: The Road to Restoring Trust

 

 

1. The beginning of the conflict between Cheong Baeksi and SM

 

The conflict between Chen Baekhyun and Xiumin (hereafter referred to as Chen Baekhyun) and SM Entertainment began in June 2023. Chen Baekhyun requested termination of his contract, citing an "unfair long-term exclusive contract," to which SM rebuffed. A fierce legal battle ensued. The two parties then reached a temporary agreement on June 18, 2023.

 

SM handled EXO's group activities, while individual and unit activities were handled by Chen Baek-si's independent label, INB100. At the time, INB100 signed a contract to pay SM 10% of the profits earned from individual activities. However, INB100 failed to make this payment, and relations deteriorated again. INB100 claimed that SM had failed to fulfill its guarantee of a 5.5% music distribution commission, and SM countered, claiming that this was a breach of its payment obligations, leading to a quagmire.

 

 

 

 

2. The history of the "6-win, 6-loss" lawsuit and the court's decision

 

As of October 2025, Chen Baeksi's side has lost all six lawsuits it has filed, resulting in a six-win-six record. Neither the police, prosecutors, Fair Trade Commission, Ministry of Culture, Sports, nor the courts have acknowledged any illegal activity on SM's part. The police dismissed the case, citing "insufficient evidence to support suspicion," while the prosecutors dismissed the case, citing "lack of evidence to substantiate the allegations." Furthermore, the Ministry of Culture, Sports, and Tourism also concluded that "SM regularly disclosed information to its artists" and ruled that no violations of the law had occurred. The Fair Trade Commission also dismissed both claims of "unfair contracts" and "unfair support." The court even went so far as to call Chen Baeksi's document submission orders "a convenient tactic to psychologically pressure SM," dismissing all appeals. In effect, Chen Baeksi's legal arguments were completely rejected.

 

 

 

 

3. Details of the Agreement between INB100 and SM

Below are the key terms of the agreement signed as of June 2023.

 

Agreed items	Content
Group Activities	EXO's activities are led by SM
Individual and unit activities	Operated and managed by INB100
Revenue sharing	10% of personal earnings will be paid to SM
Special agreement	SM guarantees 5.5% music distribution fee (INB100 claim)

 

SM claims that this agreement is a "valid and complete contract," while INB100 has suspended payments, claiming that the "prerequisite 5.5% guarantee" has not been met. This triggered a new dispute, with SM filing a lawsuit for contract performance and Chen Baeksi filing a counterclaim, further derailing the dispute.

 

 

 

 

4. Comparing the arguments of both sides (SM vs Chenbeksi)

Issues	Chenbeksi (INB100)	SM Entertainment
The essence of the problem	SM did not keep its promised 5.5% commission	INB100 defaulted on 10% payment
legal position	Partial suspension of contract due to breach of agreement	Continued victory in lawsuit seeking implementation of the agreement
result	Six consecutive losses (police, prosecutors, and courts all dismissed)	Winning all cases, contracts remain valid
Future Actions	"Striving for reconciliation"	"Restoring trust comes first"

 

SM stated, "This has had a huge impact on EXO as a group, and trust needs to be rebuilt," and criticized INB100's lawsuits as "unfair pressure." INB100 responded, "We are willing to pay 10% and plan to do so once the legal process is complete."

 

 

 

 

5. Impact on EXO's full group activities

 

SM plans to restart EXO as a full group in December 2025, with participating members including Suho, Chanyeol, D.O., Kai, Sehun, and Lay, who has been promoting in China. However, it's unclear whether Chen, Baekhyun, and Xiumin will participate. SM stated that "it will be difficult for them to participate unless existing agreements are fulfilled and trust is restored," but added, "We will fully support EXO's activities." INB100 also stated that "discussions are continuing with the assumption that the group will continue as a full group," leaving room for compromise between the two sides.

 

 

 

 

6. Fan reactions and future prospects

 

In response to reports on social media that "SM won," many fans have expressed their hopes for EXO to come together, saying, "What's more important than winning or losing in court is that EXO come together." Fandoms in Japan and Korea in particular have been trending, with messages like "Even if it's six straight losses, we can just win through music," and there are widespread calls for their return as artists. Meanwhile, there are also more measured voices saying, "It'll be difficult to resume activities while the relationship of trust remains broken," and attention is focused on future developments. Whether or not the legal and psychological distance between SM and INB100 can be bridged will likely be the biggest factor in determining their activities after 2026.

 

 

 

 

7. Frequently Asked Questions (Q&A)

Q1. Did Chen Baeksi really lose to SM?
A. Yes. All six lawsuits to date have ended with SM winning or being dismissed. No evidence of illegality or fraud was found.

 

 

Q2. Does Chenbexi plan to pay 10%?
A. INB100 has stated that they are willing to pay, but will do so after the legal process is complete. They are not denying the possibility of making payments.

 

 

Q3. Will the three of them be able to participate in EXO's full group activities?
A. It is undecided at this point. However, both have expressed their desire to "perform as a complete group for the sake of their fans."

 

 

Q4. When will this problem be resolved?
A. There is a possibility that the agreement will be re-signed or a settlement will be reached within the year, and we expect to be able to restart the project in its entirety in the first half of 2026.

 

 

 

 

8. Summary: The Road to Restoring Trust

The essence of Chen Baeksi's current controversy lies not simply in a contract dispute, but in a matter of "trust." While the six-game losing streak shows SM's legal superiority, what fans want isn't a win or a loss, but the restoration of "the bond between EXO." Many fans hope that INB100 and SM will engage in sincere dialogue and the day will come when all nine members can once again stand shoulder to shoulder on stage. Will EXO return as a complete group in the winter of 2025? That's the question currently garnering the most attention in the K-pop world.

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