Read a post on Allkpop regarding TVXQ's income.
With the court agreeing on the injunction sent by the 3 members of TVXQ, the trio had the power to look at SM Entertainment's contract for the members. It was shockingly unfair and against public policy. The three members who stood up for themselves (Kim Junsu, Kim Jaejoong, and Park Yoochun) have the court on their side and are now proceeding with their main lawsuit, which is to get the shares and income that they deserve from their activities in the past 6 years.
Below is what the court has presented as the content of the members' contracts. The contract has been modified 5 times since their debut, so this is the overall review.1. TVXQ has received $0 from their album sales till July 2008, and a very small amount after.
Before the fifth modification that the company made with their contract, it stated that the profit from albums and singles with sales less than 500,000 copies would go 100% to SM Entertainment, which left the members with nothing. There has been no Korean album that have exceeded 500,000 album sales between the time of TVXQ's debut and their 4th album Mirotic, which was the first album in Korea to sell over 500,000 albums for a long time.
On July 1 2008, the company changed the contract so each member would get 1% from album sales that exceeded 200,000 copies. For albums that are below that number, they are paid 0.6% to nothing. Through these terms, TVXQ has not earned a single cent since February 2009.
2. TVXQ has received $0 from sales of concert DVD's and albums with recordings from concerts.
The contract stated that the members are not entitled to get any profit from concert DVD's and "live" albums.
3. TVXQ received $0 from their appearances in TV programs.
In the contract, the members do not have a right to receive the shares made from appearances on television programs if they are featured in only one episode or if their appearance is temporary. SM has kept all the profit from TV shows where TVXQ were guests.
4. For other ways of getting profit, SM subtracts the total amount with all the expenses that the company has paid for them, including clothing, salary of company staff, stage preparation, rent, food expenses, and etc., which only leaves a fraction for the members of TVXQ.
As for all other sources of income, the contract says that the members do not get the full "net income", but only get a percentage of it. The contract states that the "net income" is the profit remaining after deducting their operating costs, which is the money that the company spends on them. The operating costs include expenses that are to be covered by the employer, such as salaries of the staff (manager, clothing coordinators, makeup artists, dance coordinators, back dancers, etc.), performance stages, living expenses which include water and electricity bills, travel expenses which include plane tickets, and meal expenses. The company might add something in addition to deduct more from the net income.
In conclusion, TVXQ actually received anywhere from 1% to 5% from all of their activities, which depending on how you look at it can still add up to 7 figures or more but still many consider this to be unfair.
SM is insane. Give TVXQ a break, they worked so hard and they only get 1% - 5% from all of their activities? That's effin' ridiculous. And wth?! Zero profit from CD and DVD sales? Go die, Lee Soo Man you old hag. -Kicks SM-. I can see how other JYPE are artists like Rain are able to make so much money and even start their own company (J. Tune Entertainment). Cuz they can get 50% of the money earned, whilst TVXQ only gets 1% - 5%, and 95% - 99% goes to SM.
Anyways, speaking of Rain's J. Tune Entertainment. Has just debuted MBLAQ. Another quintet boy band, their debut song 'Oh Yeah' is quite catchy. Check it out here.
MBLAQ's maknae (18 y/o) - MiR (Bang Chul Yong) is sooooooo cute. He's the main rapper and the dancer of the group. I've got another eye candy to drool over now! Teeheee.
Oh, forgot to mention that 2NE1 Dara's brother - Park Sang Hyun is in MBLAQ too.
P/S: Pico is such a greedy hamham. He bites my finger once I stopped massaging him or when there's no food left. -___-
