On September 27, the Korea Entertainment Management Association (KEMA) released an official statement, announcing that the legal dispute between solo artist Kang Daniel and his former label LM Entertainment has officially come to an end. 

The KEMA revealed, "We notify that the legal dispute involving the nullification of Kang Daniel's exclusive contract with LM Entertainment has been resolved through the mediation of the Korea Entertainment Management Association, with both sides coming to a settlement."

According to the KEMA, "First, Kang Daniel and LM Entertainment have come to an agreement to conclude this legal dispute in order to prevent any further damages to either side, including the rise of any unnecessary issues which may have resulted from the dispute's continuation. Furthermore, LM Entertainment has decided to respect Kang Daniel's future promotions as a solo artist under his new label for the sake of ensuring the prosperity of the entertainment industry. As of September 27, 2019, Kang Daniel will be cancelling his lawsuit against LM Entertainment regarding the invalidity of his exclusive contract, while LM Entertainment will be cancelling their appeal lawsuit against the court's previous ruling; at the same time, the exclusive contract between LM Entertainment and Kang Daniel will cease to exist."

As a result, Kang Daniel and LM Entertainment will refrain from any further involvement in legal and punitive procedures regarding their exclusive contract. Finally, the Korea Entertainment Management Association asked both the artist as well as the entertainment agency to respect one another's perspectives while maintaining quality expectations for the environment of the entertainment industry.