Kim Soo-hyun / XportsnewsActor Kim Soo-hyun's legal battle with one of his advertisers has taken an unexpected turn, raising questions about whether the shift could influence other similar lawsuits.A Korean court has recommended that outdoor brand Eider and Kim reach a settlement after the company significantly reduced the amount it is seeking in damages. The development comes after the criminal case surrounding allegations involving the late actress Kim Sae-ron also took a dramatic turn.According to Star News on Wednesday, the 45th Civil Division of the Seoul Central District Court recommended that Eider and Kim, along with his agency Gold Medalist, resolve their dispute through a settlement during the second hearing of the company's damages lawsuit.Eider initially filed the lawsuit seeking about 2.5 billion won (about $1.8 million) in damages, arguing that the brand's image had been harmed after allegations surfaced that Kim had dated the late actress Kim Sae-ron while she was a minor. Kim has consistently denied wrongdoing.At the latest hearing, however, Eider sharply reduced its claim to about 400 million won. Instead of pursuing damages for alleged reputational harm, the company said it would seek only the return of the remaining model fees under its endorsement contract with Kim.According to the report, the court indicated that Eider appeared to have revised its claim after recognizing that its original damages claim would be difficult to establish. The judges also reportedly questioned whether the revised claim would ultimately be legally recognized.The court further said that Eider, Kim and Gold Medalist had all suffered harm as a result of the allegations raised by Kim Se-ui, head of the controversial YouTube channel HoverLab, also known as Garosero Research Institute.The judges reportedly recommended that the parties consider withdrawing the lawsuit, maintaining the endorsement agreement and covering their own legal costs to bring the dispute to an end.Kim is reportedly facing lawsuits from several other advertisers. Legal observers are now watching to see whether the court's recommendation and Eider's decision to drastically reduce its claim could influence those cases.The allegations against Kim were widely publicized earlier last year, after Kim Se-ui claimed that the actor had been in a relationship with Kim Sae-ron while she was under the legal age of consent.Investigators later concluded that audio recordings and chat materials released by Kim Se-ui had been fabricated, according to the report. Kim Se-ui has since been indicted and is in custody on charges including criminal defamation for spreading false information.The third hearing in Eider's lawsuit against Kim and Gold Medalist is scheduled for Aug. 26.This article from Xportsnews is adapted by a generative AI system and edited by The Korea Times.