Lawsuit Alleges Dr. Dre & Jimmy Iovine Swindled Beats Partner

Jimmy Iovine and Dr. Dre
Mike Coppola/Getty Images

Jimmy Iovine and Dr. Dre attend WSJ. Magazine 2014 Innovator Awards at Museum of Modern Art on Nov. 5, 2014 in New York City. 

Dr. Dre and record producer Jimmy Iovine are being vilified as scam artists in a lawsuit alleging the duo duped one of their former partners in Beat Electronics before selling the trendy headphone maker to Apple for $3 billion last year.

The complaint filed Tuesday (Jan. 6) in San Mateo Superior Court accuses Dre and Iovine of double-crossing Noel Lee, the founder of audio cable maker Monster.

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Lee once held a 5 percent stake in Beats as part of a partnership between the headphone maker and Monster that ended in 2012. The lawsuit alleges Dre and Iovine orchestrated a "sham" deal that helped terminate the Monster alliance.

The suit alleges the shady maneuvering cost Lee tens of millions of dollars.

Apple Inc. declined to comment on the lawsuit.


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