Proper Group must pay approximately $1.86 million following a federal court order related to their 2021 acquisition of Lyric Financial.

The U.S. District Court for the Southern District of New York issued the order, stemming from a dispute over the $8 million acquisition agreement. The deal originally structured included:

• $5 million upfront payment
• Two installments of $1.5 million each

After the second $1.5 million payment wasn't made, Lyric Financial's former owners took legal action. The London Court of International Arbitration ruled in the sellers' favor, despite Proper Group's claims that Lyric Financial failed to meet transaction terms.

The final judgment requires Proper Group to pay:

• $1,862,995.54 base amount
• Additional interest from July 3rd until full payment is made

This case represents one of several challenges facing Proper Group (formerly Utopia Music) following their aggressive acquisition period in 2021-2022. During this time, the company purchased multiple businesses, including:

• Absolute Label Services (later re-purchased by founders)
• ROSTR (later re-purchased by founders)
• Sentric (sold to Believe for $50+ million)

The ruling marks another chapter in Proper Group's ongoing restructuring, which has included bankruptcy proceedings, contract disputes, layoffs, and leadership changes.

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