[INFO] 110603 C-JeS Announces the Bringing of the Main Lawsuit Against Avex

June 3, 2011 · by JYJ3 Team

C-JeS made an announcement today (translated below) that informs the fans that it has withdrew the petitions for injunctive judgment and is now filing the Main Lawsuit against Avex. C-JeS terminated its contract with Avex regarding JYJ’s Japanese activities on February 22 of this year because Avex, by unilaterally declaring cessation of JYJ’s Japanese activities and also by not doing anything that a management company must do for its artists for over half a year, breached the contract.

Avex is arguing that this termination is invalid. Avex then did not go to court to assert its position in the proper fashion but rather used its business influence to tell a falsehood (that Avex has exclusive rights to JYJ) to the venues of JYJ’s charity concert and severely interfered with JYJ’s affairs. C-JeS therefore has decided to assert its rights in court through its Main Suit. It withdrew the petitions for injunctive judgment since the concert is mere days away.

The translation of the C-JeS announcement follows.

On the Bringing of the Lawsuit Against Avex Management Corporation

The withdrawals of the petitions for injunctive judgment that took place yesterday were withdrawals for the Main Suit. Currently Avex is arguing that the termination of its exclusive management contract with JYJ is void, and is acting to interfere with the charity event through the unfair imposition of force. At this we have decided to file the Main Suit and we plan to argue our legitimacy in the court of law.

< On the Bringing of the Lawsuit Against Avex Management Corporation>

We (“C-JeS”) have come to bring the following suit against Avex Management Corporation (“Avex”) to prohibit its interference with our management duties and such with regards to the activities of JYJ, our affiliate artists. Therefore we report to you.

As for the JYJ Tohoku Kando Earthquakes Relief Charity Event (the “Current Charity Event”), we sold the tickets having received the consent of Saitama Super Arena (“SSA”) which was the planned hosting venue. However, on the home page of SSA, an official announcement was made which read that it “decided that to give permission for use was improper.” The resulting change in venue and such led to huge inconveniences to those who purchased the tickets and also worry. We deeply apologize.

The root of the current situation is that there was a request from Avex to SSA that: “JYJ cannot be active as artists as long as they do not act through Avex. Therefore we ask that you do not give permission to use the venue for JYJ’s activities.”

However, on February 22 of this year, C-JeS terminated the exclusive contract between C-JeS and Avex with regards to JYJ (the “Current Contract”) due to Avex’s defaulting on (failing to perform) its duties. Due to this termination, Avex lost its exclusive rights to manage JYJ’s activities with regards to Japan. Therefore, the above statement that Avex made in order to keep SSA from giving C-JeS the permission to use the venue is a fabrication.

In the prior negotiations with Avex, C-JeS believed the welfare of the fans and the artist to be of foremost importance, and until now had as our goal the resolving of this conflict through consultations with Avex. However, Avex unilaterally announced the cessation of JYJ’s activities in Japan and also did not carry out its promised duties of managing JYJ in Japan for over half a year. Therefore, citing these points, C-JeS, having no other choice, terminated the Current Contract as Avex’s breach of it.

At this, Avex is currently arguing the termination of the Current Contract is invalid. On the matter of the Current Charity Event, Avex did not employ any legal means but rather interfered with it by unfairly imposing its powers, the influence inherent in a large corporation, to inform the Venue of a false fabrication to cause it to refrain from giving permission to use.

On the above acts by Avex, C-JeS, having no other choice, argued for an injunction in Tokyo District Court to request prohibition of interference from Avex and a just judgment of the court. However, because the Current Charity Event is now in front of us, as the Subject (of this Announcement) reads, we have come to decide to bring the Main Suit.

From now on, we will come to argue the legitimacy of C-JeS in court. However, we will, in the future also, consider the welfare of the fans and the artist to be foremost and do our best, such as in the holding of the Current Charity Concert. We ask for your understanding and support.