Official Notice of Termination and Legal Grounds
In a significant shift for the K-pop industry, nine members of the prominent boy group THE BOYZ have officially moved to terminate their exclusive contracts with their current agency, One Hundred. According to a recent investigative report, members Sangyeon, Jacob, Younghoon, Hyunjae, Juyeon, Kevin, Q, Sunwoo, and Eric have issued a certification of contents to CEO Cha Ga-won. The legal notice cites a ‘fundamental breach of contract’ and an ‘irreparable breakdown of trust’ as the primary drivers for the separation. This development follows a month of failed negotiations that began recently, during which the members sought transparency regarding their financial settlements and contractual obligations.
The dispute reportedly reached a breaking point when the agency failed to provide detailed accounting records and settlement statements requested by the members. Under standard entertainment contracts regulated by the Fair Trade Commission, artists maintain the right to review financial documents to ensure accurate distribution of earnings. Sources familiar with the matter indicate that the agency remained non-compliant for over thirty days, offering no substantial explanation for the delay. Instead, the agency reportedly countered by alleging negligence on the part of the members and demanding substantial termination penalties, further straining the relationship between the artists and management.
“The lack of transparency regarding settlements is a direct violation of the trust required to maintain an artist-agency relationship. If the reports regarding the misappropriation of dorm deposits are accurate, this transcends a simple contract dispute and enters the realm of legal liability.” — Industry Legal Analyst
Financial Mismanagement and Capital Erosion
The internal stability of One Hundred has come under intense scrutiny following revelations of the company’s dire financial health. Reports indicate that the agency is currently in a state of complete capital erosion, a financial condition where a company’s total liabilities exceed its total assets. This fiscal instability has directly impacted the members of THE BOYZ, with unpaid settlements reportedly amounting to several billion KRW since the third quarter. The financial strain extends beyond the artists themselves; third-party vendors, stylists, and production staff are also allegedly owed significant sums, raising questions about the agency’s ability to support future promotional activities.
Furthermore, a particularly distressing detail has emerged regarding the members’ living arrangements. Investigations have confirmed that CEO Cha Ga-won recently withdrew approximately 150 million KRW from the security deposits allocated for the members’ dormitories. This unauthorized use of funds, which were intended to secure the artists’ housing, has been cited as a primary factor in the members’ decision to seek immediate legal recourse. Such actions are viewed within the industry as a severe breach of fiduciary duty, as the agency is responsible for managing the artists’ professional and residential welfare using allocated corporate funds.
“It is heartbreaking to learn that the members are paying for their own practice rooms while the CEO is allegedly withdrawing their housing deposits. They have worked so hard to reach the KSPO Dome, and this is how they are treated?” — Community post on TheQoo (User ID: tbz_forever)
Operational Neglect Ahead of KSPO Dome Concert
Despite the ongoing legal battle, THE BOYZ are scheduled to hold a major concert at the Seoul KSPO Dome on April 24. However, the lack of agency support has forced the members to take unprecedented measures to ensure the event proceeds as planned. Due to the agency’s failure to provide adequate rehearsal space or staff support, the nine members have reportedly been renting practice rooms using their personal funds. This self-funded preparation highlights the members’ commitment to their fans, even as they face a total withdrawal of corporate infrastructure.
The logistical challenges are significant. Preparing for a stadium-scale concert requires a massive coordination of lighting, sound, choreography, and security staff. With the agency reportedly unable to pay existing debts to subcontractors, the burden of these costs may fall on the members themselves if they wish to fulfill their promises to the audience. This situation marks a rare instance in the K-pop industry where a top-tier group is forced to operate as independent entities while still technically under a disputed contract. The determination of the members to proceed with the April date suggests a desire to maintain their professional reputation despite the collapse of their management structure.
The Exception: New Remains with One Hundred
In a move that has surprised many industry observers, member New (Choi Chan-hee) has opted not to join the other nine members in the contract termination filing. While the specific reasons for his decision to remain with One Hundred have not been officially disclosed due to their personal nature, the split has created a complex dynamic within the group’s hierarchy. New’s continued affiliation with the agency means that THE BOYZ, as a ten-member unit, faces an uncertain future regarding group branding and collective activities. Historically, contract disputes involving the majority of a group often lead to a full transition to a new label, but a split of this nature introduces significant legal hurdles regarding the use of the group’s name and intellectual property.
Journalistic inquiries into New’s decision have pointed toward personal circumstances that differentiate his contractual standing or future career goals from those of his colleagues. Regardless of the motivation, the 9-to-1 split complicates the legal proceedings. If the nine members successfully terminate their contracts, they may be required to rebrand or seek a new collective identity if the trademark for ‘THE BOYZ’ remains tied to One Hundred or its parent entities. This scenario mirrors past industry cases where groups have had to navigate the complexities of trademark law to maintain their connection with their fanbase post-departure.
“We respect the privacy of individual members, but the unity of the group is what fans value most. Seeing nine members move together gives us hope, but the road ahead looks incredibly difficult without the full lineup.” — Fan comment on Weverse
Reporter’s Analysis: A Symptom of Larger Industry Issues
The situation unfolding with THE BOYZ and One Hundred serves as a stark reminder of the vulnerabilities inherent in the K-pop agency model. While the industry has seen immense global growth, the internal financial management of mid-sized agencies often lacks the oversight found in larger conglomerates. The allegation that a CEO would resort to using artist dorm deposits to cover corporate shortfalls suggests a level of desperation that is rarely publicized. For THE BOYZ, a group that has consistently delivered high performance and strong physical sales, to be facing billions of KRW in unpaid settlements indicates a systemic failure in how revenue is allocated and protected.
This case will likely set a precedent for how ‘irreparable breakdown of trust’ is defined in the current K-pop landscape. If the courts or arbitration panels favor the members based on the evidence of financial mismanagement and lack of operational support, it could empower other artists facing similar neglect. However, the road to independence is fraught with challenges. The members must not only win their legal freedom but also secure the financial backing necessary to sustain their careers at the level their fans expect. The upcoming KSPO Dome concert will be a litmus test for their ability to function as a self-managed unit under extreme pressure.
Conclusion and Next Steps
Currently, One Hundred has not released a comprehensive rebuttal to the specific claims of misappropriated deposits or unpaid settlements. CEO Cha Ga-won has reportedly maintained that the contracts remain valid and that any attempt to leave will be met with legal resistance. Meanwhile, the nine members are focusing their efforts on the April concert date, viewing the event as a critical moment to connect with their supporters before the legal proceedings enter their next phase. The industry now waits to see if a settlement can be reached or if this will result in a prolonged court battle that could sideline the group’s activities for the remainder of the year.
SYNC SEOUL will continue to monitor the situation closely. Further updates regarding the KSPO Dome concert logistics and any official statements from the legal representatives of the nine members will be reported as they become available. For now, the focus remains on the resilience of the artists who, despite the lack of official support, are determined to stand on stage for their fans.
