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Q

I would like to receive contract advisory. Is that possible?

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Our company is soon preparing a new project in the entertainment field as part of expanding into a new business. However, there are not many materials to refer to legally when signing entertainers to the agency. I would like to know whether we can separately receive contract advisory related to the entertainment business. Are there points to be careful about when drafting contracts related to the entertainment business?

Contract advisory

A

Answer to Related Inquiry

Hello. I will answer regarding contract advisory related to the entertainment business.

As the most standard method, you can use the standard contract related to services between a popular culture and arts practitioner and a business operator, which the Ministry of Culture, Sports and Tourism and the Fair Trade Commission established through consultation.

As a matter of course, it is important that the parties to the contract and the contract period be precisely specified and that the contract provide for mutual development and benefit.

In addition, if you conclude the contract through special terms or separate terms and conditions, you must carefully check whether there are any unfair contractual clauses.

Examples of unfair contractual clauses

▶ Violation of the principle of good faith

▶ A clause excluding legal liability arising from one party's intent or gross negligence

▶ A clause by which one party excludes or limits warranty liability without substantial reason

▶ A clause that imposes an unfairly excessive liability for damages on one party

▶ A clause that, in certain cases, deems one party's declaration of intent not to have been expressed

In addition, under the Popular Culture and Arts Industry Development Act, the planning business, that is, the agency, must make efforts to protect the privacy of popular culture and arts practitioners and to ensure that their honor is not damaged.

If a party violates the related duty of maintaining business confidentiality, an administrative fine of up to 10 million won may be imposed.

If you need detailed advice related to the entertainment business, including contract advisory in this way, we recommend seeking help from an attorney specializing in this area.

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