YM&U Group, the former management company of 5 Seconds of Summer, is suing the Australian musicians for $2.5 million over an alleged breach of contract.

5SOS' partnership with YM&U started in February of 2021 and ended in September. Apparently, the band didn't compensate the company for several business deals that they helped set up, such as their $10 million recording contract with BMG, as well as a $1.5 million merchandise deal with Bravado International Group, as per court documents obtained by Billboard [via NME].

Part of 5SOS and YM&U's agreement stated that the management company would receive 15 percent of the band's advance from BMG, which would have been a total of $825,000. However, 5SOS allegedly ended their arrangement with YM&U just before signing to the label, and their attorney wrote a letter to the company affirming that the group would not be paying it.

"The only reason given was 5SOS’s attorney’s frivolous assertion that the timing of 5SOS’s termination of plaintiff somehow entitled 5SOS to refuse to pay plaintiff for the valuable services they had induced plaintiff to provide,” the suit reads.

As a result, YM&U Group is suing 5SOS — members Luke Hemmings, Calum Hood, Ashton Irwin, Michael Clifford — their manager Benjamin Evans and their touring team for $2.5 million. Evans had worked with the band before they paired up with YM&U, and has been working with them again since they cut ties.

Furthermore, the documents note that Evans “acted with fraud, malice, or oppression” and encouraged the band to try and get away with not paying the management firm so that they would be compelled to reduce the total amount that they were owed.

The suit was filed Dec. 17 in the California Superior Court.

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