EXCLUSIVE EXAMPLE OF AN IDOL CONTRACT REVEALED (FOR BIG 3 AGENCY)

Below is an example of a contract of former idols in their previous agency. It might be differ to other idols since some might have get a better contract or even worse. After some modification in government policy about the length of the contract, now it's up to 7 years (to previously 12 years). After that, the agency and the idols could continue their agreement with 1-2 years of contract with each other consent. There are several case where the agency paid all the cost that the trainee took before debut and all the preparation for debut (MV, music production, photoshoot, etc),e g: Sm entertainment and the other big agencies, but it's hard for smaller agency to do that so they burden this cost to the idols themselves. The idols were on debt (to their respective agency) for several years, and hopefully can paid all their debt after their debut and gain profit during the other years. Unfortunately some of the idols couldn't get success and not only they aren't famous, they're on debt too.

JYJ, former members of TVXQ,had filed a lawsuit against SM Entertainment on July 31st, 2009. The lawsuit ended in 2012 with both sides reaching an agreement. Netizens found the original of SM's controversial, old contract with TVXQ, on Supreme Court of South Korea's official website. You can see the full contract here

Here is the profit distribution:

Domestic physical album sales 'revenue':

50,000-100,000 copies= 2%

100,000-200,000 copies= 3%

+200,000 copies= 5%

SM Entertainment gives an incentive of 50 million (~$47,000) KRW when they reach over 500,000 albums sold, and 100 million KRW (~$94,000)when over 1 million albums are sold. This means that the members are paid extra when they reached that amount sold.

All of the costs are taken in by SM Entertainment themselves, and the members get a percentage of not the pure profit, but the total sales (meaning before costs and such are subtracted).

Digital album/mp3 sales profit: 10%

Overseas physical album sales profit: 70%

Overseas activities (Event/CF etc.): 70%

Concerts, TV/Radio/Magazine etc appearance: 65%

Photoshoots/Photo albums: 65%

Internet business: 10%

With all that shares and agreement, do you think it's quiet fair for the idols? Tell me about what you think below.