NEW ORLEANS — Acclaimed New Orleans rapper Lil' Wayne is suing the label that he was previously signed to and its CEO and claiming that numerous contractual promises to him have not been fulfilled.
Young Money Entertainment, LLC and Dwayne Michael Carter, Jr. filed suit against Cash Money Records, Inc. in the Orleans Parish Civil District Court on May 29, 2015.
The plaintiff, Dwayne Michael Carter, “Lil Wayne”, is the sole owner of Young Money LLC, his record label. Cash Money is owned and run by Bryan Williams (Birdman) and Ronald Williams. On November 1, 1998 Carter and Cash Money entered into a written recording agreement pursuant to which Carter agreed to provide exclusive recording services to Cash Money. It contained various provisions relating to royalties and advances payable to Carter, product delivery obligations, and Carter's rights of audit and option periods to extend the term. An agreement signed by both Carter and Cash Money in 2003 provided that the profits of the Young Money Label would be divided 51%-49% between Cash Money and Carter and ownership of all the Young Money label property would be distributed by the same ratio.
Pursuant to another agreement signed in April of 2012 between the plaintiff and defendant, Cash Money allegedly agreed to pay Carter an advance of ten million dollars per solo album, with eight million dollars to be paid upon the commencement of the recording of each solo album and the remaining two million to be paid upon delivery of said album to Cash Money. Cash Money also agreed to pay Carter fifty-percent of its net receipts with regard to Carter's solo albums.
The plaintiff alleges that Cash Money has failed to properly account to him and pay royalties and advances to him pursuant to the 1998 recording agreement as well as its subsequent amendments. Despite being obligated to do so, plaintiff alleges Cash Money has not registered Carter as a co-owner of the sound recordings contained in the album entitled “I am Not a Human Being II,” which was delivered for the fourth option period. Carter also claims that as a co-owner of the Young Money label he has duly requested to audit the books and records of Cash Money in respect to the exploitation of his recording as covered by prior agreements. In Early December 2014 he claims to have attempted to deliver the sound recordings comprising the second of the solo albums, but although obligated to pay him 8 million dollars at commencement of recording and two million upon delivery, he claims to have been paid only 2 million dollars, with the remaining balance of eight million dollars remaining unpaid despite demand. With regards to an agreement after signing rapper Drake, Cash Money has failed to account to Young Money LLC on a monthly basis and provide a single complete accounting in respect to the sales of the Drake recording, despite Drake being one of the bestselling recording artists in recent years. Carter also alleges that failure by Cash Money to properly account and pay producers, licensors and other third parties have had a significant negative impact on both the Young Money label and Carter.
Plaintiff seeks no less than eight million dollars as a result of breach of obligation and damages sustained on him, further damages as a result of damages sustained by his company Young Money LLC, a monetary judgment against the defendant for all damages sustained as a result of breaches of fiduciary duty, a monetary judgment for all damages sustained by plaintiff as result of unjust enrichment in no less than 13 million dollars, and a judgment requiring the defendant to render accountings to Carter and Carter/Young Money.
Additionally, he is seeking a monetary judgment against the defendant for all damages sustained by Plaintiffs as result of breaches of contract in no less than 25 million, a judgment determining that Carter is the joint copyright owner of the recordings delivered for the fourth and fifth option periods of the 1998 recording agreement, and attorney's fees.
The plaintiff is represented by Christophe Bela Szapary, Edgar D. Gankendorff and Keelie M. Broom of New-Orleans based Provosty & Gankendorff, LLC and Michael B. Kramer of New York.
This case has been assigned to Div. A Judge Tiffany G. Chase
Case no. 2015-05166.