In the lawsuit filed by Cuckoo Electronics seeking damages of approximately 2 billion won after terminating its contract with actor Kim Soohyun due to a privacy controversy, the court has ordered the plaintiff to specify the grounds for termination in detail. The court indicated that simply citing "damage to image" is insufficient to justify contract termination.
Actor Kim Soohyun, who had remained silent regarding the recent privacy controversy, made a statement on May 31 at the Stanford Hotel in Mapo-gu, Seoul. Photo by The Asia Business Daily
The 25th Civil Division of the Seoul Central District Court (Presiding Judge Kwon Kiman) held the first hearing on the 14th for the damages claim filed by Cuckoo Electronics, Cuckoo Homesys, and Cuckoo International Berhad, the Malaysian subsidiary of Cuckoo Homesys, against actor Kim Soohyun and his agency Gold Medalist.
Kim Soohyun served as a domestic advertising model for Cuckoo Electronics for two years and six months from 2015 to 2018. Subsequently, from January to December 2025, he signed a contract covering Malaysia rather than Korea, and from March 2025 to February 2026, he entered into agreements targeting six countries: Vietnam, Indonesia, China, Hong Kong, the United States, and Thailand.
However, after allegations surfaced that Kim Soohyun had dated the late actress Kim Saeron when she was a minor, the controversy grew. In response, Cuckoo suspended the advertisements and filed a damages claim against Kim Soohyun for approximately 2 billion won.
During the hearing, the court stated, "The plaintiff (Cuckoo Electronics) cites 'breakdown of trust' as the reason for contract termination, but it must be clarified whether this was due to the other party's fault or simply a loss of trust." The court requested that the grounds for the claim be specified in detail. The court also noted, "Depending on the reason for termination, the scope of damages may differ," and asked the parties to clarify their arguments.
The court particularly emphasized, "A contract cannot be terminated simply because a controversy occurred or because it is impossible to continue advertising. Please organize your claims in accordance with the grounds for termination."
Regarding the allegation of a relationship with Kim Saeron while she was a minor, the court said, "Whether (the allegation) is true must be confirmed before determining if it constitutes grounds for contract termination," and asked Cuckoo whether they intended to proceed with the civil lawsuit after the results of the related investigation become available.
In response, Cuckoo Electronics argued, "The damage to the image of actor Kim Soohyun did not occur solely because of the allegations raised by the Garosero Research Institute channel," and added, "Since the breakdown of trust is also being cited as grounds for termination, we do not believe that the civil lawsuit must wait until the criminal case is concluded."
On the other hand, Kim Soohyun's side countered, "It is unclear what specific actions allegedly violated contractual obligations," and added, "It appears that the claim is based on inadequate response following the allegations, but please specify what aspects of the response were inadequate."
To hear further arguments from both sides, the court scheduled the second hearing for January 16 of next year.
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