As we have said before on this blog, contractual agreements in the entertainment industry can be both a blessing and a curse. On the one side, a contract is often filled with complex legal language that lays out the obligations of each contributing party. Without help from a knowledgeable attorney though, it may be difficult for the average person to understand what is expected of them. This can lead to mistakes that could lead to litigation.
On the other hand though, when one party is accused of breach of contract or another violation of contract law, some consider the denseness of a contract's language to be a savior because it can sometimes contain language that offers protection or language that proves no such violation occurred in the first place.
As our California readers know, a disagreement over the interpretation of a contractual agreement may still require the intervention of the courts, especially if compensation for damages are on the line. Our readers can see this exemplified by an out-of-state case where rapper Lil Wayne is trying to seek $51 million in damages he claims were the result of a breach of contract and breach of fiduciary duty by his record label, Cash Money Records.
Outlined by an article for the Courthouse News Service, the rapper's complaint claims that Cash Money recently failed to meet some of the expectations laid out by a 1998 agreement, such as failing to pay him for the commencement of his most recent record, failing to maintain funds in an escrow account reserved for recording, and failing to provide "proper monthly accountings ... regarding sales and royalties of records on the Youth Money label, including his own."
Just like the Superior Court of Los Angeles County had to determine in the 2003 case of Wolf v. Superior Court, the court in this case will have to determine if, aside from a breach of contract, if a breach of fiduciary duty existed as well. Depending on the laws that apply in the case, further compensation may be due. As you can imagine though, this case may not reach a resolution over night, meaning our readers may have to wait some time before knowing how this case will end.