CONTACTStaffCAREER OPPORTUNITIESADVERTISE WITH USPRIVACY POLICYPRIVACY PREFERENCESTERMS OF USELEGAL NOTICE
© 2024 Pride Publishing Inc.
All Rights reserved
All Rights reserved
By continuing to use our site, you agree to our Private Policy and Terms of Use.
Maverick Records brought its fight with Warner Music Group to Los Angeles superior court on Thursday, filing a breach-of-contract suit seeking millions in damages and the right to terminate their joint venture. As reported in Daily Variety, the suit comes a day after Gotham-based Warner Music filed what Maverick is calling a "preemptive action" in Delaware. The L.A. suit does not specify damages, but sources said Maverick estimates them at $200 million without punitives. "To my recollection, this is the only time that a major record company has filed a lawsuit against its principal recording artist and has done it with this tactic of talking settlement and then filing a preemptive sneak attack in Delaware," said Maverick attorney Bert Fields. "Obviously, they believe that Delaware will be more expensive and inconvenient for Maverick, and I can understand why they would fear the verdict of a California jury and why they would want to run away for that." Madonna and business partner Guy Oseary started Maverick as a joint venture with Warner Music in 1992. Maverick's successful artists include Alanis Morissette and Michelle Branch. With the joint venture set to terminate at the end of the year, what started out as an accounting dispute mushroomed into a lawsuit over the value of the company. Warner has an option to buy out Maverick's share, but the two sides are far apart on price. Maverick sources said the company has generated $100 million in profits; Warner Music claims the label hasn't been profitable in years. Maverick sources also said the company has tried to buy out Warner's interest and has been rebuffed. The complaint seeks to terminate the buy-sell procedure in the joint venture agreement. Although the dispute with Maverick has been brewing for a year, the lawsuits are now the responsibility of Edgar Bronfman Jr., who took over as head of Warner Music at the beginning of the month, after he and a private equity group acquired the company for $2.6 billion from Time Warner, which is also named in the lawsuit. Maverick's complaint charges Warner Music with numerous breaches of the joint venture agreement, such as failing to provide marketing and publicity, forcing Maverick to shut down its Latin division before it was given a reasonable chance to succeed, improperly requiring Maverick to pay expenses of other Warner entities, and false accounting for receipts and expenses. Maverick also claims it was pressured into settling a Labor Commission claim by artist Branch even though it was "a transparent attempt to renegotiate her contract" because Warner wanted to preserve its relationship with her manager, who reps other artists. Further, Maverick claims that Warner Music Group reneged on an agreement not to treat as a loss an amount paid to Morissette when her contract was renegotiated. In a statement, Warner Music Group said it "is simply seeking to affirm that the claims Maverick Records has been making against the company over the past year regarding the joint venture are baseless, unsubstantiated, and without merit. We look forward to resolving this issue so all parties can move forward with clarity."
Want more breaking equality news & trending entertainment stories?
Check out our NEW 24/7 streaming service: the Advocate Channel!
Download the Advocate Channel App for your mobile phone and your favorite streaming device!
From our Sponsors
Most Popular
Here Are Our 2024 Election Predictions. Will They Come True?
November 07 2023 1:46 PM
17 Celebs Who Are Out & Proud of Their Trans & Nonbinary Kids
November 30 2023 10:41 AM
Here Are the 15 Most LGBTQ-Friendly Cities in the U.S.
November 01 2023 5:09 PM
Which State Is the Queerest? These Are the States With the Most LGBTQ+ People
December 11 2023 10:00 AM
These 27 Senate Hearing Room Gay Sex Jokes Are Truly Exquisite
December 17 2023 3:33 PM
30 Steamy Photos of Folsom Street Fair 2023 Debauchery
October 15 2023 11:06 PM
10 Cheeky and Homoerotic Photos From Bob Mizer's Nude Films
November 18 2023 10:05 PM
42 Flaming Hot Photos From 2024's Australian Firefighters Calendar
November 10 2023 6:08 PM
These Are the 5 States With the Smallest Percentage of LGBTQ+ People
December 13 2023 9:15 AM
Here are the 15 gayest travel destinations in the world: report
March 26 2024 9:23 AM
Watch Now: Advocate Channel
Trending Stories & News
For more news and videos on advocatechannel.com, click here.
Trending Stories & News
For more news and videos on advocatechannel.com, click here.
Latest Stories
The Advocate's Jake Shears cover: Go behind the scenes
April 08 2024 4:17 PM
Pride
Yahoo FeedUnlocking a new level of beauty with Dr Botanicals' ethical skincare line
April 08 2024 3:39 PM
Pride
Yahoo FeedUnleash your wild side with The Pride Store’s beginner’s guide to kink
April 08 2024 3:34 PM
'Written in the Stars:' University of Michigan hosts 'Pride Prom' for LGBTQ+ students
April 08 2024 12:51 PM
Best tips to see today’s eclipse, according to this famed gay astrophotographer
April 08 2024 11:17 AM
Vatican condemns gender-affirming surgery as threatening ‘unique dignity’ of a person
April 08 2024 9:20 AM
These are the most challenged library books in America — yes, most are LGBTQ+
April 08 2024 8:31 AM