TS Entertainment appeals against rapper Sleepy over claims of inequitable profit distribution

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TS Entertainment has filed an appeal against rapper Sleepy over alleged unfair profit sharing. This move comes after the label's legal defeat in October 2021, where they had sued Sleepy for breach of contract, accusing him of concealing broadcast income and ad fees. TS Entertainment had sought damages amounting to 280 million won ($202,903.71 USD).

In a statement released on July 11, TS Entertainment reiterated its stance, asserting that Sleepy had unlawfully taken profit shares through unauthorized event promotions and social media advertising. This appeal marks the latest development in a contentious legal battle between the label and the rapper.

Kim Sung-won, better known by his stage name Sleepy, is a South Korean rapper and television personality. He is a member of the hip hop duo Untouchable and released his solo debut single, "Cool Night," on June 16, 2015. Sleepy gained widespread recognition through his appearances on reality TV shows such as Real Man, I Live Alone, Law of the Jungle, and We Got Married.

On September 14, 2019, Sleepy filed a lawsuit to terminate his contract with TS Entertainment, citing a lack of trust after they refused to provide him with payment documents and a physical copy of his contract. Sleepy claimed he did not receive any payment for his activities for ten years after signing his contract. TS Entertainment denied these allegations, accusing Sleepy of embezzling funds, which he denied. The following day, it was announced that TS Entertainment was referred to prosecution for overdue payments to artists.