UNITED STATES DISTRICT COI`RT FOR THE SOUTHERN

Transcription

UNITED STATES DISTRICT COI`RT FOR THE SOUTHERN
UNITEDSTATES
DISTRICT
COI'RT
FORTHESOUTHERN
DIS1RICT
OFNEWYORK
LAI4ONTHAWKh,ISp/k/e,U.OODt
CASENO.: 08Civ 001f9
Plaintiff
COMPLAIIVT
lrs.
DEMalriD F\oR JURY TRIAT.
WUMUSICCROI,JP,
LLC.
Dcftndant
lamont Hawkins professionalry
known as (,,p/h/ar),rj-God,' (hercinafrer
"Plointiff') by andthroughhisundersigned
anorncyqeltoges
uponknowledge
to hinsclf
anduponinfrrmetionandbelicfesto ail othernurtcrs,ssfofiows:
NATUREOF TIIE CASE
l'
This civil actionftr breachof contra$arisesour of de&ndantWu Music
(iroup, LLC's (horeinefter
"Defeudrnt')feilureand/orrefirsslto fut{ill irs tinanciat
paymentobligationsto Plaintiffas required!y the musicalrecalgiqgand
livc musical
performance
agrcamcnt
entcrcdinto belweeoDcftndantand,amongothers,plaintiff
(hereinaft
er the',Conrract'J.
Z.
TheContractrcquired.h perl,irrcnt
pan,that:(r) Plaintiffpe,rbrnce,itain
musicnlrccordingantl live musicalpcrformance
servicesto, and/oron bchalf of
Deftndant;
and(b) Detlndantmrliccertainfinancialpayments
ro plaintiiT3.
Plaintiff fulfilled his obligationsundetrthe Contractan4 rhsreallcr,
demandcd
thatDetbndam
payhimapproximrrcly
$170,000.00
rrprcsenting
rhcf,nancial
psyments
eurenrlydueandowingto plainriffunder
ttreconhact.
4,
Defendant
brcached
the tcrns sndconditioas
of the Comractby refir-sing
and/orftiling to makecenainfinauciqlpayments
orrrenrlydue audowingto plaintitT
undothcconuEct.despitcplaintifpsrcpcatod
demands
thatit do so.
5.
As a resultof Dofendant's
breachof the Couuactplaintiffis entitlodto
reliefrcquested
hercin.
JTru$)ICTION AIYDW"\U-E.
6.
Plaintiffis a citizenof the stateof New Jerseyfor purposes
of divcrslty
jurisdictioo
under28 U.S.C.g| 332.
7.
Upou informationand belicf,Defondrntis a limited liabilitycomprny
Qrtanized
andexistingunderthe lawsof theitateof NelwYork br pr.l;poses
of diversiry
under28 U.S.C.$1332.
Jurisdiction
E.
This Courthasoriginalsubioctmatterjurisdisrien
with respectto this
actionpufsuontto 2t u.s-c. $1332(a)(l) because
thereexisrscomplete
dlvcrsiryof
citizenshipbctweenPlaintiffand Defrndant;andthe amountin controvcrrsy
excceds
seventyFrve'lhousaod
nollars($75,000,00),
exclusive
of interestandcosrs.
9.
ThisCourthaspcrsonaliwisdictlon
overDefrndantbecouse
Doft,ndanr
(i)
is a lcgalentity orgonizedand existingunderthe lawsof thc stateof Ncw yo*; (ii)
solicits,ttsrlsscts
audconducts
busincvs
in thestmEofNsw york andln thisDistri* and
is regularlydoingor solicitingbusiness
or engagirrg
in a persistent
courseof conductin
thc stst€of Ncw York a.ndin this Distria; (iii) receivee
subsrantial
revenuewilhin the
stateof New York and in this Disrrict;and (iv) oommhtodthc acts givi€ rise ro
Plaintift-sactionit| theffatBofNerpyork
)0.
Vcnueis properlylaidin rhisDistriapursuaflr
ro ZBU.S.C.g l39r(aX2)
theContractwasexecutod
because
in thcstateof NewYork anda sub*antialpartof thc
wsntsgivingriscto Plaintiffs elaimagainstDc&udsnt,as detailedherern,occurrcdin
thestitaof NewYork andinthis Dlstrict.
PARTIES
I l.
PlaintilTisa wcUknownmtsicalrccording
artia in the,.rap"or ,,hlp-hop,,
musicgenrc. For monl ttraDten (10) yearsPlaintifrhasbccr; rnd contlnucsto bc, a
nxnber of the inlernationally
knownmusicalrecordinggroupprofessionally
knownas
the"Wu-Ta[gClan.i' Plnintiffhas
recorded
albums
musical
endcondncted
livemusical
perfonnanccs
bothasan individnalartirt
an<lrg e member
ofthe "Wu-TangClan"
17. Uponhforrnalionandbelief DcfendqtiBo limitedlhbiliry company
duly
endocistingunderthelawsof thestatcof NowYork with itsprincipalplacoof
organized
bushesslocalctwithinthisDlstrict. Uponin'formation
andbelie[Defendnm
furnishes,
andat all timesrelevarilhorein{irrnished,
the musicalrecordingand live perfbrrnance
group"Wu-TangClan."
ofthe reoording
ioruioos
I'^ CTs COMMONTO AJ.L,9T,AIMSFORRELIEF
13,
andbclicf onor aboutlvlty2007,Defendant
Uponinformation
secured
a
recordingcontractwlth thenusic rtcordinganddistribution
oompanies
StreetRecords
andUniversalMotownRecords
Corporation
Oroup(collcctivcly'Universal')r
in which
wouldfirmishthe rnusicalrccordingscrvicesof the"WtpTangCloi" for 0rc
t-)eftndant
purposeof recordinga new mrsical album(the "Wu-TangClan Album') to be
commcrcinlly
distributedandsoldto the gcneralpublicby Universal(the "Univcrsal
Recolding
furecmenf).
14.
Uponin$rmationaadbelie{,theUniversalltccording
roquired
Agreemenr
Univcrsalto, inler alta, gay Defendantan initial monetaryadvancc,for the musical
to beprovidedhy the"Wu TangClan,"uponDefendant's
scryices
tegording
st(ocution
of
(the'Universal
theUniversal
Recording
Agrcement
Advance').
I5.
Uponinbmation andbclief,dueto theorcitemerrrt
andanticipatioa
of the
upcoming"Wu-TangClanAlbum."Defendant
unsableto s€cu(qseveraladditionol
deels
for the"Wu-TangClon."
16.
Uponinformation
ud beliel on oraboutMay2007,Dcfendartsecured
an
agreement
with the musicpublishingcompanyBMG MusicPublishing.
Inc. ('tsMO'),
undcfwhichBMG wouldbgvethe riglrr to sdminister
thepnrblishing
incomegenerated
of the"WrTang ClanAlbum"(the"BMG Agcement').
bytheexploitation
17.
Uponin6rrnationandbcliefithc BMO Agreement
rcquircdBMG to pay
Deftndant.Iwer alia I moneoryadvance:
a portionof whichhadalreadybeenpaidto
ptior to iis executionof lhe BMG Agrocmont;
Defendant
a portionof whichwouldbc
paiduponDefcndant's
exccutionof tho BMG Agrcemcnt;
of wbich
ondthe rernainde'r
rcleasoof thr:"Wu TangClrn Albrmr"in the United
wouldbepaiduponthc commercial
States(the*BMG Advance").
18.
Uponinbrmationandbelief,sometime
in May 2007,Deftndantsecurcd
an exclusivemasterlicenc agreenrsnt
with a GermancompanyBodogMusicGmblI
("Bodogl).underwhichBodogwouldhavethe exclusive
right to commercially
exploit
the"Wu-TangClanAJbum"in EuropeandSouthAfica (the'Bodogfurqement").
19.
andbeliEf,theBodogAgreement
Uponinformation
requlrcdBodogto pay
(507o)ofwhiohwouldbepaidto
Defeodmt,irtteralia, a rronetaryadvancc:
fifty-percem
DeftndantuponDefindant'ssxeclrtionof the BodogAgreement;
andthe remaildcrof
whichwould be paid to DcFndantuponDefondant's
dcliverysf thE "Wu Turg Clan
Album"to Bodog(tbe"BodogAdvancc').
20.
Upon inbrmationandbelief,somctirno
bctws€oMarchandMqy 200?,
Defendaotentersdivrtout agteemen!or aFr€rnEnts,
wilh unknownthird-partlcsunder
whichDeftrdsnt would firrnlsbths setvigesof the ','WuTlqg Chn"t o conducrlive
musicalpcformrnce$st sev€ralrnusicalconcensin Eumpe(thc tsuropcanTotu
Agreement').
21.
Upon hftrmation and bolief,ths EuropeanTour Agreemententltlcd
Defendant
to receivgin edditionto otherincome,a certainporcaltrgeofthe grosstickct
sahsgoneretcd
at eachmusicconc€f,t
in Europe(the"ewbpeanTourIncomc")22-
Upon informstionaod belief,somerirnc
bctrvcenMorchandMay 2007,
Defrndant
enteredinto an agrecmcnl
wifi a compsnyknownas'Rock the Bolls,LLC'
("RTB') underwhicbDcftndantwouldfuraishthe senicesof the "Wu TengClan"to
conductlivc musicalperformalces
eigbtear(1t) musioaloonoerts
at approximatcly
in thc
UnitedStatcs(0tctrRockthoBellsTourAgrccnrcnt').
?3.
Uponinlbrmaionandbolicf,thc RocktbeBellsTourAgrecmont
rcquired
RTB to pay Deftndanl,inler alia, a sumccrtah for "IVu Targ Clan's' live musical
(18) conccrtsh theUnitedStates(thc "Rockthe
at eachof the eighteen
paformances
EoUsTourlncome'J.
24.
andbelief,onor aboutMay2007,Dcftndarrtsecured
Uponinfotnation,
a
knownas*AnthillTradingLtd,,LLC- ("Anthilt"),
ilarkethgqgreement
wilh a company
t'rghtto marhetandscll"Wu-TangClant'nerchandise
whichgaveAnthitltho exclueive
for a periodnot to e:taeed
theconchrsion
of tlreRockfte BellsTour andthe European
Tour(the'Anthill Agreement").
25.
Upon informiltionandbclie[ the Anthill Agrccnrenrt
requircdAnthill to
pay Defendant,
in additionto otherincome,an initialmonetarl&dvancc:
fifty.pcrccnt
(507o)of whichwouldbepaid to Defendam
uponDcfendaDt's
s(acutionof ttn Anthill
Agreerront;and the remaindcrof which would bo paid to Dcftndantupon tlro
of theEuropean
commencsncnt
Tour(the',AnthillAdvance',).
26.
It is undlgutedthrt in orderto fulfill hs obligations
underthe Universal
ReoordingAgrocmcntthe BMo AgrcemEnL
thc BodogAgreememL
the EuropcanTour
Agroemcnlthe RocJ<
thc BellsTour AEeemontandtheA,rrthillAgecmcnt(collectively
tlte "Wu Music Agreemcnts')Dcfcndsntneedd to securethe publishingrights,the
mugicalrecordingurd livc musicalporformance
services
of cachmemberof the "lilu
TangClu1" irtcludingPlaintilf.
27.
On or aboutMay 2007,De&ndeffbcgttl contrqcflial
negotiatlons
with
cachmemberof "Wu-TangClan""includingPlahti$, to scsureeachmanbc's: ([
a$resrnsnt
to firrnish,oollectively
asthegroup"Wu-TangClan,"theirindividrulmusical
rccordingandlivomusicalperformance
services;
and(ti) r$pcctivepublishingrightsin
andto themushalcornpositions
embodied
in thc "Wlr.TurgClanAlburq" to thc crdent
necessary
for Defendant
to meciitsobllgotiont
undertheWuMusicAgrecmen$.
2t.
in Mayor April2007,Deftndrntandeachindividualmember
Sometime
of the "Wu-TangClan,' inctudingPlaintifr,oxecutoda trtilten agrccment
(i.e. thc
Contraot).undg the contract:(i) eaclrmenrberof thc "wu TangClaq' including
Plaintifr agreedto ftrnish certainscrvhcsand providecellain publislringrights to
Defendant
to thc extentnecessary
for Defendant
to meotits
furnishing
obligations
under
tle Wu-TargAgrecmerts;
and(ii) Defendant
agroed
to payeachmenberof ..WuTrng
Clan,"includingPfaintifi,a certainperc"fltage alt
of
rhe hcomeDe&ndanrreoeived
undcrthe wu MusicAgreernents
includingbut not limitedto, r.hcmoniesDeftndant
reccivcdfrorn thc uaiyersarAdvancqtbe BMG Advanoe,
trre Bodog Advance,rhe
AnthillAdvance(sometimes
coilectivery
referrcdto asthe ..wu M^sicAdvances,),
the
European
Toru Incomoandtbe Rockrhc BollsTour Incorne(sometimes
collectively
,Tour
rcfbrred
to aslhe
lncomc').
29.
Thecorhact rcquircdDcfcndant
to paypraintiffandcachmember
of the
'Wu.TangCIxn,"a ccrtainportionof allthc income.
moniesand/oradvances
paylbleto
Defendurtundet the Wu Music Ageomcntsas
and when De&ndantreceirredsuc'
income,
nronicrand/oradvoncas.
30'
Plaintiff complctclyfulfitlcd all of his obligations
rcquiredundorthe
Contrrano hter thanSeptenrber
or October2007.
3l'
Upon informationand beUefDofrndantreceivqdthe ernirc
Universat
Advance
no latarthanSeptember
2007.
n'
Ltpon inbrmrtion and bcliefl Defendantreceivedtho
cnrire BMG
Advlnceno lsterthanOctober2007.
33.
upon informaion and betief Defendantr€ceivedthe
emire Bodog
Advance
no hter thanOctsber2002.
34,
Uponinfonnation
andbeliefDcfendant
rcccivedtheeNDeEuropean.t.our
Incornsnolder thanSeptcrnber
2007.
35.
andbclief Defendant
Uponinfurmation
rccoivedfie cnttsRock thpBells
Tourlocomenolarr thrn October2007.
36.
Upon informationand bclicf Deftndantreceivedthe entire Anthill
Advence
no ltrterthanAuguet2007,
37.
Upon inlbrrnationand belie(, the '.Wu-Tang Clan Albnrnlt ura:l
commercially
released
on or abou Decernber
I l, 2007.
38.
Defendent
breaohed
theContractby biling and/orrefirsingto payPlainttf
FiftyThousand
representing
approximately
Dollan ($50,000.00),
thatportionoftheTour
Incomersceivedby Dcfcndut,currentlydueandowingto Plaintiff.
39.
Defendant
breaohed
tbeConlractbyfailingand"/or
refusingto payPlointiff
Sixty ThousandDollors($60,000.00),
approximatety
rnpresenting
that ponlon of the
BMGAdvancc
receivcdby Deftndrrt.curentlydueandowingto Plaintiff.
40.
Dcfendanl
theContfectby failingand/orre'fusing
brcachcd
to peyPlshtitr
approximately
40,000Euros(or the UnitedStatesDolhr cquivalcnt).
representing
that
portionof the Bodog Advancereceivedby Deftndunt,cunentlydue and owing to
Plaintlff.
41.
breachod
Dcfcndarrt
theContractby fbilingand/orrefusingto pry Plailiff
represoming
approximately
Dollars($6,000.00),
thatportionofthc 'tackSix Thousaad
end" of the UniversalRecordingAdvanceroceivedby Defurdantcunentlydue and
owingtoPlrintifi
42.
Dsfondsnthrs friled and/orrefusedto pay certainmonles,describedin
paragrapbs
38 to 4l hereirl cuncutlyduc and owlngto Plahtifl despitcPlaintiffs
dsnrurds
thatit do so.
rcpcated
CAUSEOF ACTION
COUNTI
EREACKOFCONTRI\CT
43.
eachand evcry allcguion containcdin
Plaintifl rcpeatsand realleges
paragraphs
I through42 asif fully wt farth hcrcin44,
agreement.
TheContractis a validandenforceable
45-
Delpndanlmaterinllybrerohed
lhc Contractby refusingand/orftiling to
paycertainmonies,asdescribed
in paragaphs38ro 4l herein,cunentlyducandowing
to Plaimif[,despitePlaintiffsrcpcated
dernands
thotit do rc.
46,
Defendaut's
breasbof tbe Contractwaswillf,rl, intsntionrlandwithout
justification.
47.
of theC.ontrac[
Plaintiffhasbeen
As a directrcsultofDcfendail'sbreach
in a surneqtr,al
to hisopectatlondamagus
undertheContractandis entitledto
damaged
in paragraphs
38 to 4l hcrcin,orrmtly
described
rceovorfull paymentof thc nnonies.
ducandowingto Plaintifftn additionto prcjudgnentintcrcstat an m.ntnl:,ateof 9Yo,
ofthc Connast.
breach
calculatcd
fiornthedoteofDeftndantns
48.
at nial,
will bedetefinined
daarages
Plaintiffsexactamountof contractual
Dollars($170000.00).
Thousand
butareln no sveotlpssthanOnel{undredSeventy
PRAYERF'ORRELIEX'
WHEREFORE, Plaintiff prays to the Court for a judgrnent againstthe
Deftndant:
A.
AwardlngPlaintltfhis contreartaldrmeges,
togetherwith prcjudgrnent
fronrthe dateof Dcftndartt'sbroachof the
interestat an annualrateof 9% calculaled
Contract,in anamountto bc dstenninsd
at rrial,but in no ewnt lessthanOneHundred
Thousand
Dollars($17Q000,00);
Seventy
B,
AwandingPlaintifl his reasonable
attorneyr'fees,cost$and ocpenses
rehtcdto thisat:tioruand
C.
Awardingsuohotherandftrthet reliefasthe Coufi may deemjust and
Propcr.
Datcd:Nar YorlqNewYork
January
8, 200E
Regactfirltysubmined,
c/ PaulA-Chin
PaulA.Chi4Esq.(Fe9656)
LAW OTFICBS
OTPAULA. CHIN
TheWoolworthBuilding
233Broadway,
5s Floor
NewYork,}.ry 10279
(212)964.E030
Attoncy.tlor Plointiff
DEMANDF'OR.JURYTBIAI
to Itulo38(b)of theFederalRulesof Civil
a jury trlal pursuanr
Plaintifrdemands
Proccdurc.
Datod:NcwYork, Ne{pYork
Jarruary
E.2008
Rcspectflrlly
submined,
s/ PaulA. Chin
PaulA.Chin,Esq.(PC9656)
OFPAULA. CHIN
IAW OFFICES
ThoWoolworthBlilding
5hFloor
233Broadway,
NewYork,I{Y 10279
(2r2)96+E030
Attornrysfor Plailallf
l0